nep-ure New Economics Papers
on Urban and Real Estate Economics
Issue of 2015‒05‒30
58 papers chosen by
Steve Ross
University of Connecticut

  1. The Impact of Welfare Reform on Social Housing Tenants: Findings from two Think Tanks By LSE Housing and Communities
  2. For whom are cities good places to live? By Fredrik Carlsen; Stefan Leknes
  3. Urban sprawl and regional growth: empirical evidence from Italian Regions By Di Liddo, Giuseppe
  4. Divided City? The value of mixed communities in expensive neighbourhoods By Katie Bates; Laura Lane; Anne Power; Nicola Serle
  5. Spatial Distribution of Agglomeration Effects on the Returns to Education in Brazil By Diana Lúcia Gonzaga da Silva; Gervásio Ferreira dos Santos, Ricardo da Silva Freguglia
  6. Handling amenities in income taxation: Analysis of tax distortions in a migration equilibrium model By Jørn Rattsø; Hildegunn E Stokke
  7. The Effect of High School Shootings on Schools and Student Performance By Louis-Philippe Beland; Dongwoo Kim
  8. Energy Plus: Energy Efficiency in Social Housing By Anne Marie Brady; Bert Provan
  9. The pre-tracking effects of parental background By Korthals R.A.
  10. Hedonic Model with Discrete Consumer Heterogeneity and Horizontal Differentiated Housing By Masha Maslianskaia Pautrel
  11. Shallow determinants of growth of Polish regions. Empirical analysis with panel data methods By Tomasz Brodzicki
  12. Social Interactions, Mechanisms, and Equilibrium: Evidence from a Model of Study Time and Academic Achievement By Tim Conley; Nirav Mehta; Ralph Stinebrickner; Todd Stinebrickner
  13. Peer Effects in Endogenous Networks By Timo Hiller; Timo Hiller
  14. Long Run Expectations, Learning and the U.S. Housing Market By Daniel Tortorice
  15. An Exploration of School Quality, House Prices and Geographical Location in Wellington, New Zealand By Daglish, Toby; De Roiste, Mairead
  16. Improved Lagrange Multiplier Tests in Spatial Autoregressions By Peter M Robinson; Francesca Rossi
  17. “Fast Charging Stations: Simulating Entry and Location in a Game of Strategic Interaction” By Valeria Bernardo; Joan-Ramon Borrell; Jordi Perdiguero
  18. A teacher unlike me: Social distance, learning, and intergenerational mobility in developing countries By Karachiwalla, Naureen
  19. Spatial variation in non-marital fertility across Europe: recent trends, past path dependencies, and potential future pathways By Sebastian Klüsener
  20. Non-Nested Testing of Spatial Correlation By Miguel A. Delgado; Peter M Robinson
  21. Cities: Places of new European prosperity. Compendium of case studies on the socio-ecological transition of urban commons By Thomas Sauer; Susanne Elsen; Stefan Kuhn; Stephanie Barnebeck; Cristina Garzillo; Yannick Kalff; Judith Schicklinski
  23. Common Ground: The Need for a Universal Mortgage Loan Identifier By Matthew McCormick; Lynn Calahan
  24. A hedonic house price index in continuous time By Sofie R. Waltl
  25. Is Welfare Reform Working? Impacts on working age tenants By Eileen Herden; Anne Power; Bert Provan
  26. Prediction of air pollution peaks generated by urban transport networks By Bell, Margaret; Bergantino, Angela S.; Catalano, Mario; Galatioto, Fabio
  27. Labour’s Record on Neighbourhood Renewal in England: Policy, Spending and Outcomes 1997-2010 By Alex Fenton; Amanda Fitzgerald; Ruth Lupton
  28. The more the merrier? Evidence on quality of life and population size using historical mines By Stefan Leknes
  29. Ever Failed, Try Again, Succeed Better: Results from a Randomized Educational Intervention on Grit By Sule Alan; Teodora Boneva; Seda Ertac
  31. Second homes: households' life dream or (wrong) investment? By Marianna Brunetti; Costanza Torricelli
  32. Regional Economic Development, Social Capital and Governance: A Comparative Institutional Analysis France - Sweden By Karlsson, Charlie; Rouchy, Philippe
  33. Illegal Immigration and Fiscal Competition By Bandyopadhyay, Subhayu; Pinto, Santiago M.
  34. The effect of state taxes on the geographical location of top earners: evidence from star scientists By Moretti, Enrico; Wilson, Daniel J.
  35. Opening remarks at the Mortgage Contract Design: Implications for Households, Monetary Policy, and Financial Stability Conference By McAndrews, James J.
  38. Who Is More Mobile in Response to Local Demand Shifts in China? By Luo, Dongdong; Xing, Chunbing
  40. Health and Home Ownership: Findings for the Case of Japan By Aizawa, Toshiaki; Helble, Matthias
  42. Federalism and innovation support for small and medium-sized enterprises: Empirical evidence in Europe By Becker, Lasse; Bizer, Kilian
  44. The Rise and Fall of Consumption in the 2000s By Demyanyk, Yuliya; Luengo-Prado, Maria Jose; Hryshko, Dmytro; Sorensen, Bent E.
  45. When arm’s length is too far. Relationship banking over the credit cycle By Thorsten Beck; Hans Degryse; Ralph De Haas; Neeltje van Horen
  46. Political Bonds: Political Hazards and the Choice of Municipal Financial Instruments By Abhay Aneja; Marian Moszoro; Pablo T. Spiller
  47. Does It Matter Where You Came From? Ancestry Composition and Economic Performance of U.S. Counties, 1850-2010 By Fulford, Scott L.; Petkov, Ivan; Schiantarelli, Fabio
  49. Household Debt and Defaults from 2000 to 2010: Facts from Credit Bureau Data By Atif Mian; Amir Sufi
  50. Wage Dynamics and Peer Referrals By Vincent Boucher; Marion Goussé
  51. Firms and skills: the evolution of worker sorting By Håkanson, Christina; Lindqvist, Erik; Vlachos, Jonas
  52. Firming Up Inequality By Jae Song; David J. Price; Fatih Guvenen; Nicholas Bloom
  53. Euro 2012 economic impact on host cities in Poland By Zawadzki, Krystian
  55. The avoidable costs of local governments'fragmentation in Italy By Sabrina Iommi; Donatella Marinari
  56. Second Chance for High-School Dropouts? A Regression Discontinuity Analysis of Postsecondary Educational Returns to General Educational Development Certification By Christopher Jepsen; Peter Mueser; Kenneth Troske
  57. No blessing, no curse? On the benefits of being a resource-rich southern region of Italy By Roberto Iacono
  58. Economic concentration and finance: Evidence from Russian regions By Hattendorff , Christian

  1. By: LSE Housing and Communities
    Date: 2015–03
  2. By: Fredrik Carlsen (Department of Economics, Norwegian University of Science and Technology); Stefan Leknes (Department of Economics, Norwegian University of Science and Technology)
    Abstract: We use Norwegian data to evaluate the consumption hypothesis of geographical variation in educational attainment, i.e. that well-educated people particularly value the amenities provided by cities. Our results cast doubts on the hypothesis. After-tax real wages are higher in rural areas than in urban areas, suggesting that Norwegians are willing to forego purchasing power in order to enjoy urban amenities, but the urban purchasing power premium is roughly equal across education groups. Moreover, survey data in which respondents evaluate local amenities indicate a broad consensus between education groups about the advantages and disadvantages about city life as well as about the relationship between city size and the quality of local amenities.
    Keywords: Quality of life, urban amenities, population size, education, mobility
    JEL: R11 R12 J3 J61
    Date: 2015–01–05
  3. By: Di Liddo, Giuseppe
    Abstract: Urban sprawl may affect economic growth through its negative effects on a number of relevant aspects of the economic activity. The negative effect may be due either by the increase in infrastructure’s cost of provision within the national area and the reduction in productivity of farmland or by the increase in distortionary local taxes or subsidies. Furthermore, urbanization of remote rural area may also have important negative effects on public health, decreasing labour productivity. Using Italian regional data, this paper provides empirical evidence of the negative impact of urban sprawl on regional economic growth in Italy. The results suggest that the containment of urban sprawl may lead to higher regional GDP growth rate.
    Date: 2015
  4. By: Katie Bates; Laura Lane; Anne Power; Nicola Serle
    Abstract: Headlines: [1] Octavia Housing, a long-established social landlord in Kensington and Chelsea and Westminster, provides low cost rented homes to low-income local residents in high-cost areas. In doing so it helps to overcome deep social divisions. [2] Octavia's rents are far lower than local private rents and offer tenants security and a sense of belonging. Octavia tenants pay around £120 a week, significantly lower than private rents in our case study areas. Tenants generally are happy with their neighbourhoods and they like living where they do. [3] Most Octavia tenants have lived in these areas for a long time - some all their lives - and long before they became so expensive. They feel part of the area where they live. [4] Low-income tenants identify many benefits from living in mixed neighbourhoods alongside people on much higher incomes. Schools, parks and amenities earn praise. [5] Almost all tenants believe that social housing in expensive areas is vital to retaining a social mix and building an inclusive society. They think their children benefit from attending schools in these areas and aspire higher as a result. Tenants worry that moving to other cheaper areas would damage their work chances and their children's education. They would lose local support. They think poorer areas have more social problems. [6] Tenants are worried about their future, which they feel is threatened by gentrification and wider economic conditions. They also worry that public spending cuts and loss of services and support is making their lives more precarious. Tenants' biggest fear is that little will be left for their children and grandchildren in the way of jobs and housing.
    Keywords: social housing, Octavia Housing, social mix, social landlords, mixed neighbourhoods
    Date: 2013–07
  5. By: Diana Lúcia Gonzaga da Silva; Gervásio Ferreira dos Santos, Ricardo da Silva Freguglia
    Abstract: The objective of this paper is to analyze the spatial distribution of the agglomeration effect on wage differentials, from the returns to education in Brazil. To find the agglomeration effect on the returns to education in the 24 metropolitan areas in Brazil, a wage equation was estimated with the control of individual fixed effects and metropolitan areas effects, using a panel of micro data - RAIS-Migra - of formal workers. The results show that there is agglomeration gain of the return to education in Brazil. These gains are more favorable in the North and Northeast regions of Brazil. The metropolitan areas of the Center-South tend to generate higher earnings from individual skills of workers
    Keywords: Agglomeration Economies; Urban Wage Premium; Education; Wage Inequality; Metropolitan Areas
    JEL: J24 J31 R23 C23
    Date: 2015–05–18
  6. By: Jørn Rattsø (Department of Economics, Norwegian University of Science and Technology); Hildegunn E Stokke (Department of Economics, Norwegian University of Science and Technology)
    Abstract: The tax system may have welfare costs associated with the regional allocation of resources. Nominal income taxation distorts incentives to the disadvantage of high-cost regions. The incentive problem can be addressed by real income taxation internalizing cost of living differences. Our contribution is to expand the handling of regional allocation by including amenities in a broader horizontal equitable taxation. Good amenities and high quality of life allow for lower wages in migration equilibrium and may distort the resource allocation to the disadvantage of low amenity regions. We use a large dataset of individual wages and housing prices to identify regional wage and price differences. The regional resource allocation is analyzed in a calibrated migration equilibrium model of a representative household capturing the basics of the Norwegian income tax system. Tax reform handling the two types of distortions has important and opposite quantitative effects for the resource allocation across regions when amenities and cost of living are positively correlated as in the Norwegian data.
    Keywords: Income taxation, regional taxation, cost of living, amenities
    JEL: H24 H77 J61 R23
    Date: 2015–03–06
  7. By: Louis-Philippe Beland; Dongwoo Kim
    Abstract: We analyze how fatal shootings in high schools affect schools and students using data from shooting databases, school report cards and the Common Core of Data. We examine schools’ test scores, enrollment, number of teachers, graduation, attendance and suspension rates at schools that experienced a shooting, employing a difference-in-differences strategy that uses other high schools in the same district as the comparison group. Our findings suggest that homicidal shootings significantly decrease the enrollment of students in grade 9 and test scores in math and English standardized tests. Using student-level data from California, we confirm that shootings lower test results for students that remain enrolled.
  8. By: Anne Marie Brady; Bert Provan
    Date: 2015–03
  9. By: Korthals R.A. (GSBE)
    Abstract: Tracking students in secondary school could increase the effect of parental background PB on student performance, especially if parents can influence the track choice. This influence can be either direct or indirect, and either purposefully or not. Little is known about these indirect effects of PB that could arise before tracking has taken place. In the Netherlands the track placement decision of individual students is made by secondary schools that base their decision on two performance signals that they receive from the elementary school of applying students an elementary school exit test score and an elementary school teacher track recommendation. Using longitudinal data from the Netherlands, I find that high PB parents are able to increase their childs teacher recommendation purposefully or not The odds of having the highest track recommendation as compared to the other recommendations, for students whose parents have a tertiary education degree are between 1.6 and 3.6 times greater than for students whose parents only have a primary education degree. For the math exit test score I find no effect, while for reading an effect is found but not robust.
    Keywords: Education and Research Institutions: General; Analysis of Education; Education and Inequality;
    JEL: I20 I21 I24
    Date: 2015
  10. By: Masha Maslianskaia Pautrel (LEG, University of Dijon)
    Abstract: This paper investigates how the hedonic equilibrium is modified when discrete consumer heterogeneity with horizontal differentiated housing supply is assumed. Our results are threefold. First, discrete consumer heterogeneity leads to a segmentation of the hedonic price function at equilibrium and the discontinuity of the implicit price of environmental quality on the borders of the segments. Second, we demonstrate that horizontal differentiation may lead to a partial sorting of consumer demand for housing attributes at hedonic equilibrium. Finally, we show that the discrete consumer heterogeneity with horizontal differentiation can lead to modification of welfare assessment related to changes in environmental quality.
    Keywords: Hedonic model, Discrete consumer heterogeneity, Horizontal differentiation, Locational choice
    JEL: R21 R31 Q51
    Date: 2015–07
  11. By: Tomasz Brodzicki (Faculty of Economics, University of Gdansk)
    Abstract: We derive and then estimate an augmented growth model to identify major shallow determinants of development of Polish regions at NUTS-2 level of spatial disaggregation. Of particular interest to us is an attempt to assess the impact of investment in transport infrastructure and investment in human capital related to a large influx of Structural Funds after the accession in 2004 to European Union. We utilize various panel data techniques in order to reach the major conclusion. Most of results are in line with theoretical predictions. The obtained results are however sensitive to the introduction of spatial effects and their particular specifications. At regional level agglomeration effects are clear with metropolitan status of a region playing a significant role in development. Polycentric core-periphery model seems to suit the Polish framework conditions.
    Keywords: regional development, economic growth, panel data analysis
    JEL: O41 R10 R11 C23
    Date: 2015–05
  12. By: Tim Conley (University of Western Ontario); Nirav Mehta (University of Western Ontario); Ralph Stinebrickner (Berea College); Todd Stinebrickner (University of Western Ontario)
    Abstract: We develop and estimate an equilibrium model of study time choices of students on a social network. We examine how network structure interacts with student characteristics to affect academic achievement. Due to data limitations, few papers examine the mechanisms through which peer effects operate. The model is designed to exploit unique data collected in the Berea Panel Study. Study time data allow us to quantify an intuitive mechanism for social interactions: the cost of own study time may depend on friend study time. Social network data allow study time choices and resulting academic achievement to be embedded in an equilibrium framework. We find friend study time strongly affects own study time, and, therefore, student achievement. Not taking into account equilibrium behavior would drastically understate the effect of peers. Sorting on friend characteristics appears important in explaining variation across students in study time and achievement, and determines the aggregate achievement level.
    Keywords: Social Networks; Peer Effects; Homophily; Time-use
    Date: 2015
  13. By: Timo Hiller; Timo Hiller
    Abstract: This paper presents a simple model of strategic network formation with local complementarities in effort levels and positive local externalities for a general class of payoff functions. Results are obtained for one-sided and two-sided link creation. In both cases (pairwise) Nash equilibrium networks are nested split graphs, which are a strict subset of core-periphery networks. The relevance of the convexity of the value function (gross payoffs as a function of neighbours' effort levels when best responding) in obtaining nested split graphs is highlighted. Under additional assumptions on payoffs, we show that the only efficient networks are the complete and the empty network. Furthermore, there exists a range of linking cost such that any (pairwise) Nash equilibrium is inefficient and for a strict subset of this range any (pairwise) Nash equilibrium network structure is different from the efficient network. These findings are relevant for a wide range of social and economic phenomena, such as educational attainment, criminal activity, labor market participation, and R&D expenditures of firms.
    Keywords: Strategic network formation, peer effects, strategic complements, positive externalities.
    JEL: D62 D85
    Date: 2013–09
  14. By: Daniel Tortorice (Brandeis University)
    Abstract: This paper examines key facts about the U.S. housing market. The price to rent ratio is highly volatile and significantly autocorrelated. Returns on housing are positively autocorrelated. The price to rent ratio is negatively correlated with future returns on housing and future rent growth. Finally, housing returns exhibit significant time varying volatility. I show that a benchmark rational expectations general equilibrium asset pricing model is inconsistent with these facts. I modify the model in two ways to improve its fit with the data. First, I allow for pricing frictions so prices adjust slowly to their fundamental value. Second, I assume the agent does not know if housing fundamentals, captured by rental flows, are stationary or non-stationary and has changing beliefs depending on how well each model fits the current data. I find that these modifications allow the model to increase the volatility of the price to rent ratio and to match the autocorrelation of housing returns. The price to rent ratio then negatively forecasts returns and rent growth. Finally the model generates time varying volatility consistent with the data.
    Keywords: Learning, Expectations, Housing Demand, Asset Pricing
    JEL: D83 D84 G12 R21
    Date: 2015–05
  15. By: Daglish, Toby; De Roiste, Mairead
    Abstract: ISCR and Victoria University of Wellington undertook a project with Sarah Crilly, a Higher Diploma of Data Science and Analytics student at the Cork Institute of Technology, Ireland in a project investigating school quality measures and house prices in Wellington, New Zealand. This project was presented at the Central Statistics Office, the Irish equivalent to Statistics New Zealand, at a Data Science seminar on the 31st of April 2014. This project investigates available school measures, their use as measures of school quality and explores whether school quality is associated with house prices in Wellington, New Zealand. Geographical Information Science and Systems (GIS) is used as a descriptive and analytic tool in tandem with multiple linear regression and k-means clustering. It is found that a socioeconomic measure known as school decile, student ethnicity and assessment results are likely school quality measures. The association between school quality measures and house prices is found to be statistically significant but not strong.
    Keywords: ,
    Date: 2014
  16. By: Peter M Robinson; Francesca Rossi
    Abstract: For testing lack of correlation against spatial autoregressive alternatives, Lagrange multiplier tests enjoy their usual computational advantages, but the (x squared) first-order asymptotic approximation to critical values can be poor in small samples. We develop refined tests for lack of spatial error correlation in regressions, based on Edgeworth expansion. In Monte Carlo simulations these tests, and bootstrap ones, generally significantly outperform x squared-based tests.
    Keywords: Spatial autocorrelation, Lagrange multiplier test, Edgeworth expansion, bootstrap, finite-sample corrections.
    JEL: C29
    Date: 2013–10
  17. By: Valeria Bernardo (Faculty of Economics, University of Barcelona); Joan-Ramon Borrell (Faculty of Economics, University of Barcelona); Jordi Perdiguero (Faculty of Economics, Universitat Autònoma de Barcelona)
    Abstract: This paper uses a game of strategic interaction to simulate entry and location of fast charging stations for electric vehicles. It evaluates the equilibria obtained in terms of social welfare and firm spatial differentiation. Using Barcelona mobility survey, demographic data and the street graph we find that only at an electric vehicle penetration rate above 3% does a dense network of stations appear as the equilibrium outcome of a market with no fiscal transfers. We also find that price competition drives location differentiation measured not only in Euclidean distances but also in consumer travel distances.
    Keywords: Regional Planning; Electric Vehicle; Fast Charging; Games of Strategic Interaction; Entry Models JEL classification: Q48, Q58, L13, L43, R53
    Date: 2015–05
  18. By: Karachiwalla, Naureen
    Abstract: Same-type teachers are extolled as a way to improve learning outcomes of socially disadvantaged students. This paper uses a relatively understudied social characteristic, caste, to study whether same-type teachers improve learning in a low-income country. Rich longitudinal data from Pakistan allows identification of causal effects using child fixed effects specifications. Low caste boys have significantly higher learning outcomes when taught by high caste teachers. Low caste boys have higher aspirations, and their parents spend significantly more time helping them with homework, when taught by these teachers. These results illustrate that, contrary to previous findings, in some settings different-type teachers may also promote educational attainment and aspirations, and thus intergenerational mobility.
    Keywords: social distance, learning outcomes, complementarities, caste
    JEL: I24 I25 J15 O15
    Date: 2013–09–19
  19. By: Sebastian Klüsener (Max Planck Institute for Demographic Research, Rostock, Germany)
    Abstract: -
    Keywords: Europe, family formation, spatial analysis
    JEL: J1 Z0
    Date: 2015–05
  20. By: Miguel A. Delgado; Peter M Robinson
    Abstract: We develop non-nested tests in a general spatial, spatio-temporal or panel data context. The spatial aspect can be interpreted quite generally, in either a geographical sense, or employing notions of economic distance, or even when parametric modelling arises in part from a common factor or other structure. In the former case, observations may be regularly-spaced across one or more dimensions, as is typical with much spatio-temporal data, or irregularly-spaced across all dimensions; both isotropic models and non-isotropic models can be considered, and a wide variety of correlation structures. In the second case, models involving spatial weight matrices are covered, such as "spatial autoregressive models". The setting is sufficiently general to potentially cover other parametric structures such as certain factor models, and vector-valued observations, and here our preliminary asymptotic theory for parameter estimates is of some independent value. The test statistic is based on a Gaussian pseudo-likelihood ratio, and is shown to have an asymptotic standard normal distribution under the null hypothesis that one of the two models is correct. A small Monte Carlo study of …finite-sample performance is included.
    Keywords: on-nested test, spatial correlation, pseudo maximum likelihood estimation
    JEL: C12 C21
    Date: 2013–11
  21. By: Thomas Sauer; Susanne Elsen; Stefan Kuhn; Stephanie Barnebeck; Cristina Garzillo; Yannick Kalff; Judith Schicklinski
    Abstract: Taking into account the potentially different starting and framework conditions of regions in dif-ferent parts of the European Union, we will present a new approach for sustainability transition analysis. We hypothesise: favourable overall institutional conditions, such as a high degree of formal and informal local decision-making autonomy, are supportive for innovative institutional arrangements, like self-organised and co-operative forms of management of urban common pool resources. This report aims to explore these conditions systematically in the context of socio-ecological transitions with a special focus on the overarching research question: What is the transformative role of institutional diversification and innovation in the governance of core urban common pool resources? The role of the resource systems energy, urban green spaces and drinking water will be empirically analysed in the context of self-organisation and socio-ecological transition. Finally, policy recommendations based on these findings will be mapped.
    Keywords: Socio-ecological transition; Sustainable cities; Sustainable urban transitioning; Beyond GDP; Biophysical constraints; Multi-level governance
    JEL: Q56 R11 D70
    Date: 2015–03
  22. By: Francesco Aiello; Graziella Bonanno (Dipartimento di Economia, Statistica e Finanza, Università della Calabria)
    Abstract: Banking is increasingly a-spatial. However, the environment matters for small banks. Indeed, they are embedded in narrowed markets and hence benefit from proximity to their member-customers. By referring to multilevel approach, this article aims at measuring how much the performance of Italian mutual-cooperative banks is determined by both geographical (provincial level) and individual characteristics (small bank level). The effect of local markets explains 28.27% of bank heterogeneity in the empty multilevel model and 33% in the most extended model. Moreover, it is found that bank efficiency increases with market concentration and demand density and decreases with branching in local markets.
    Keywords: Multilevel model, mutual-cooperative banks, local markets, cost efficiency
    JEL: G21 C13 D00 R19
    Date: 2015–05
  23. By: Matthew McCormick (Office of Financial Research); Lynn Calahan (Office of Financial Research)
    Abstract: The U.S. mortgage finance system is a critical part of our nation's financial system, representing 70 percent of U.S. household liabilities. It is also highly complex, with many finance channels, participants, and regulators. The data produced by this system reflect that complexity; unfortunately, no single identifier exists to link the major loan-level mortgage datasets. The establishment of a single, cradle-to-grave, universal mortgage identifier that cannot be linked to individuals using publicly-available data would significantly benefit regulators and researchers by enabling better integration of the fragmented data produced by the U.S. mortgage finance system. Such an identifier could additionally serve as the foundation of a system that could benefit private market participants, as long as such a system protected individual privacy.
    Keywords: Mortgage Loan, Data Standards
    Date: 2013–12–05
  24. By: Sofie R. Waltl (University of Graz)
    Abstract: House price indexes are usually calculated period-wise, i.e., it is assumed that indexes do not change within a time interval of predetermined length. The shorter a period the more precise the index. However, period lengths have to be long enough to guarantee a sufficiently large number of observations per period yielding stable results. Considering the housing market there are usually not enough transactions to construct monthly or even weekly or daily indexes. Continuous time hedonic methods, that are proposed here, entirely drop the topic of accurate period length selection and rather measure time on a continuous scale. Additionally, locational effects are accounted for continuously by including a two-dimensional price map defined on exact longitudes and latitudes. Next to a standard model, I provide an extension that allows shadow prices to evolve over time. Using data for Sydney, Australia, over the period from 2001 to 2011, I compare the resulting indexes from this model to various discrete indexes for different period lengths. I find that indexes differ significantly both in terms of turning points and the index level. It is shown that discrete indexes have an additional source of subjectivity as they are sensitive towards the selection of period lengths and starting points. They are prone to an averaging effect that leads to imprecise measurement of index levels. Furthermore, there are robustness results emphasizing the attractiveness of continuously estimated house price indexes.
    Keywords: House price indexes; Hedonic indexes; Continuous indexes; Generalized Additive Models; Penalized Least Squares
    Date: 2015–05
  25. By: Eileen Herden; Anne Power; Bert Provan
    Abstract: This report presents evidence on whether the aim of moving people who are dependent on benefits into work has been achieved, and considers three important questions: Are welfare reforms encouraging tenants into work or to work more? What are the main barriers to work for out of work tenants or tenants who want to work more? Why are many social housing tenants not working?
    Keywords: social housing, tenants, welfare, reform, employment,housing association, hailo
    Date: 2015–03
  26. By: Bell, Margaret; Bergantino, Angela S.; Catalano, Mario; Galatioto, Fabio
    Abstract: This paper illustrates the first results of an ongoing research for developing novel methods to analyse and simulate the relationship between trasport-related air pollutant concentrations and easily accessible explanatory variables. The final scope of the analysis is to integrate the new models in traditional traffic management decision-support systems for a sustainable mobility of road vehicles in urban areas. This first stage concerns the relationship between the mean hourly concentration of nitrogen dioxide and explanatory factors like traffic and weather conditions, with particular reference to the prediction of pollution peaks, defined as exceedances of normative concentration limits. Two modelling frameworks are explored: the Artificial Neural Network approach and the ARIMAX model. Furthermore, the benefit of a synergic use of both models for air quality forecasting is investigated. The analysis of findings points out that the prediction of extreme pollutant concentrations is best performed by the integration of the two models into an ensemble. The neural network is outperformed by the ARIMAX model in foreseeing peaks, but gives a more realistic representation of the relationships between concentration and wind characteristics. So, it can be exploited to direct the ARIMAX model specification. At last, the study shows that the ability at forecasting exceedances of pollution regulative limits can be enhanced by requiring traffic management actions when the predicted concentration exceeds a threshold that is pretty high but lower than the normative one.
    Date: 2015
  27. By: Alex Fenton; Amanda Fitzgerald; Ruth Lupton
    Abstract: When he came to power in 1997, Tony Blair reacted to widening disparities between poorer and richer neighbourhoods by declaring that no one in future decades should be seriously disadvantaged by where they lived. This paper reviews the policies that Labour pursued and assesses how close it came to realising Blair's vision. It draws on speeches, policy documents, government website and evaluation reports, and on new analysis of administrative and survey data. We find that Labour's neighbourhood initial policy approach - the cross departmental National Strategy for Neighbourhood Renewal, with its 'floor targets' below which no neighbourhood should fall - was distinctive, although after 2007 there was a move away from this approach towards a narrower focus on economic regeneration, at large spatial scales, and on the reduction of worklessness. Evaluations report that the policies pursued represented value for money and there were trends towards positive outcomes. Physical environments and services got better during Labour's term in office - a direct result of the policies enacted. Gaps between poorer and richer areas also improved in many individual outcomes, although these cannot be so readily attributed to neighbourhood policy per se. All gaps remained large in 2010, suggesting that Blair's vision was not fully realised: which is, perhaps, not surprising in the context of sustained income inequalities.
    Keywords: neighbourhood, regeneration, renewal, spatial, New Labour
    JEL: I38 H76
    Date: 2013–10
  28. By: Stefan Leknes (Department of Economics, Norwegian University of Science and Technology)
    Abstract: I attempt to find the causal effect of endogenous population size on quality of life. Quantity and quality of consumer amenities would increase with urban scale if not offset by congestion effects. To deal with endogeneity, I utilize a quasi-experimental design where I exploit the exogenous spatial distribution of mineral resources with Norwegian historical mines from the 12th till the 19th century. The findings suggest persistence in population patterns from early industrialization, and a positive urban scale effect on quality of life that pass multiple tests of confounding factors.
    Date: 2014–11–25
  29. By: Sule Alan (University of Essex); Teodora Boneva (University of Cambridge); Seda Ertac (Koc University)
    Abstract: We show that grit, a non-cognitive skill that has been shown to be highly predictive of achievement, is malleable in the childhood period and can be fostered in the classroom environment. Our evidence comes from an evaluation of a randomized educational intervention implemented in elementary schools in Istanbul. Outcomes are measured via a novel incentivized real effort task and actual school grades on core subjects. We find that treated students are 1) more likely to choose to undertake a more challenging and more rewarding task against an easier but less rewarding alternative, 2) less likely to give up after failure, 3) more likely to exert effort to accumulate task-specific ability, and consequently, 4) more likely to succeed and collect higher payoffs. The intervention also has a significant impact on school grades: We find that treated students are about 3 percentage points more likely to receive top grades in core academic subjects.
    Keywords: non-cognitive skills, grit, perseverance, field experiments, randomized interventions
    JEL: C91 C93 D03 I28
    Date: 2015
  30. By: Sarita Dahiya; Monika Saini
    Abstract: The present study attempted to know the effect of Achievement Motivation of senior secondary school students in relation to their gender and intelligence. The sample comprised of 200 students of 10+2 class from Govt. and public schools named Govt. Boys Senior Secondary School Rohtak, Govt. Girl Senior Secondary School, Rohtak, Vaish Boys Senior Secondary Public School, Rohtak and Vaish Girl Sr. Secondary School, Rohtak. The age of students ranged between 16 to 18 year old. The study was conducted through descriptive survey method. Achievement Motivation Test (ACMT) by Dr. V.P. Bhargava and Mental ability group test by Dr. S.S. Jalota was used to collect the data. On the basis of statistical results it was concluded that there exists significant positive correlation between achievement motivation and intelligence of male and female students of Govt. and Public school. There is a significant difference between achievement of male and female students of Govt. and public schools. Key words: Achievement Motivation, gender, intelligence
    Date: 2014–09
  31. By: Marianna Brunetti; Costanza Torricelli
    Abstract: While the purchase of a primary home is mainly motivated by essential consumption needs, buying a second house has been generally considered a good investment decision. However, second homes may results in many different final uses, ranging from holidays and profitable uses to definitely unprofitable ones. We contribute to the scant literature on second houses by exploring the case of second homes that remain unrented and represent the most notable unprofitable use. The empirical investigation relies on the 2002-2012 Bank of Italy Survey on Household Income and Wealth which, among other things, provides plenty of information on real estates, including the actual use. Our results on the unprofitable use of second homes highlight: a gender gap, whereby this case tends to be more clearly associated with male decision makers; no association with household’s economic characteristics; and, strong association with the specific real estate features, with inherited dwellings more likely to end up being unprofitably used. Thus our results, besides casting some doubts on the goodness of second homes as an investment decision, may have important policy implications on the housing and rental market and call for policy or regulatory interventions.
    Keywords: multiple homeownership, second homes, household portfolios, probit
    JEL: C25 D1 D14 R2
    Date: 2015–05
  32. By: Karlsson, Charlie (Centre of Excellence for Science and Innovation Studies (CESIS), Jönköping International Business School & Blekinge Institute of Technology); Rouchy, Philippe (Blekinge Institute of Technology)
    Abstract: The purpose of this paper is to consider how social capital enhance or hamper regional economic development due to governance systems. To answer this question, we take a comparative institutional perspective between France and Sweden based on OECD regional outlook indicators. It comprises 1- a comparison of both countries regional and municipal governances; 2- a definition of social capital as a social utility function of region or localities, i.e. their “social atmosphere”. 3- A comparison of the participation rate in interest groups in both countries indicating a propensity to collaborate with institutions. The result of the paper shows a differential intensity of participation to interest groups between France and Sweden and an effect of local political institutions on countries’ “social atmosphere”. In conclusion, we show differential values between France and Sweden in terms of political ethics supporting the formation of social capital. We suggest policy implication to increase entrepreneurial solution in civil society.
    Keywords: Comparative Institutional Analysis; Regional Development; Social Capital; Governance; Interest Groups; Public Choice; Cooperation
    JEL: A14 B25 D70 O17 P48 R11 R58
    Date: 2015–05–21
  33. By: Bandyopadhyay, Subhayu (Federal Reserve Bank of St. Louis); Pinto, Santiago M. (Federal Reserve Bank of Richmond)
    Abstract: Reflecting recent enforcement policy activism of US states, this paper examines federal-state overlap of illegal immigration policy in a spatial context. Keeping the US-Mexico context in mind, we assume that labor from a source nation enters a host nation through bordering states. Once in the host, illegal immigrants may stay in the state of entry or move to another state. The host nation's federal government and/or the state governments choose border and internal enforcement policies, and also provide local goods. As a benchmark, we define the completely centralized solution as the case where the federal government chooses all the policies, while the state governments are passive. At higher levels of decentralization (i.e., as states take more responsibility in deciding some of the policies), the overlap of federal and state policies is associated with both vertical and horizontal externalities. Among other results, we find that if inter-state mobility is costless, internal enforcement is overprovided, and border enforcement and local goods are under-provided under decentralization, leading to relatively high levels of illegal immigration. While inter-state migration costs moderate such overprovision/under-provision, extreme levels of inter-state immobility may lead to too little illegal immigration, and an overprovision of local goods.
    Keywords: illegal immigration, vertical and horizontal externalities, border and internal enforcement, publicly provided local goods
    JEL: F2 H4 H7
    Date: 2015–05
  34. By: Moretti, Enrico (University of California, Berkeley); Wilson, Daniel J. (Federal Reserve Bank of San Francisco)
    Abstract: Using data on the universe of U.S. patents filed between 1976 and 2010, we quantify how sensitive is migration by star scientists to changes in personal and business tax differentials across states. We uncover large, stable, and precisely estimated effects of personal and corporate taxes on star scientists’ migration patterns. The long run elasticity of mobility relative to taxes is 1.6 for personal income taxes, 2.3 for state corporate income tax and -2.6 for the investment tax credit. The effect on mobility is small in the short run, and tends to grow over time. We find no evidence of pre-trends: Changes in mobility follow changes in taxes and do not to precede them. Consistent with their high income, star scientists’ migratory flows are sensitive to changes in the 99th percentile marginal tax rate, but are insensitive to changes in taxes for the median income. As expected, the effect of corporate income taxes is concentrated among private sector inventors: no effect is found on academic and government researchers. Moreover, corporate taxes only matter in states where the wage bill enters the state’s formula for apportioning multi-state income. No effect is found in states that apportion income based only on sales (in which case labor’s location has little or no effect on the tax bill). We also find no evidence that changes in state taxes are correlated with changes in the fortunes of local firms in the innovation sector in the years leading up to the tax change. Overall, we conclude that state taxes have significant effect of the geographical location of star scientists and possibly other highly skilled workers. While there are many other factors that drive when innovative individual and innovative companies decide to locate, there are enough firms and workers on the margin that relative taxes matter.
    Date: 2015–04
  35. By: McAndrews, James J. (Federal Reserve Bank of New York)
    Abstract: Remarks at Mortgage Contract Design: Implications for Households, Monetary Policy and Financial Stability Conference, Federal Reserve Bank of New York.
    Keywords: ARMs; Home Affordable Refinance Program (HARP); fixed-rate mortgages (FRMs)
    JEL: G21
    Date: 2015–05–21
  36. By: Mahesh Thakkar
    Abstract: The objectives of the study were to investigate the relationship between different learning styles and learning achievements of students studying at secondary schools. To investigate the relationship two types of data were collected. Firstly information about students learning styles were collected by using learning style questionnaire, secondly information about students’ achievement was taken from the test conducted. The population of the study was students studying in class 9th of 10 deferent School of Ahmedabad. The sample (1580 students) was drawn by using multistage sampling technique .The data were collected by administering the questionnaires to students in their classes. It was found Students did not preferred collaborative and dependent learning style. They preferred to study at their own this leads that the class room activities were of no use for them. Their concern for the achievement showed their interest for examination. This showed that learning styles may not effect learning achievement but the system of examination effects the achievement. In the light of conclusions it was recommended that the system of examination may be connected with class room activities. It may focus on real classroom learning not to rote memorization. Key words: Learning Styles, Learning Achievement, Secondary School
    Date: 2014–12
  37. By: Tomba Chingtham
    Abstract: Life in private schools is different. Being fully independent management, the teachers are expected to be more committed and compassionate. This paper examines the socio economic status and job satisfaction of private school teachers. The pressure on teachers of low socio economic status, professional difficulties, inadequate service condition and higher responsibilities and less salary, the problems found by the study. Key words: Private school teachers, condition of services, SES
    Date: 2014–12
  38. By: Luo, Dongdong (Beijing Normal University); Xing, Chunbing (Beijing Normal University)
    Abstract: In this paper, we use two nationally representative datasets to examine the population adjustment of demographic groups in response to regional demand shifts between 2000 and 2005. Results from OLS regressions show that population changes of less educated groups are more associated with changes in total city working hours than population changes of educated groups. These findings explain increases in skill premia in coastal regions after China's entry into the WTO, but it does not mean that the former groups are more responsive to demand shocks, because changes in city working hours also reflect other forces such as supply shocks. Using an IV strategy, we find that educated workers are more responsive to demand shocks than those who are less educated. In addition, old subgroups are particularly inert in responding to demand shocks. Our results also suggest that China's household registration (Hukou) system prevents the mobility of urban residents more than it prevents the mobility of rural residents. We propose that Hukou reform should not only abolish the agricultural vs. non-agricultural division, but also change the decentralized (local vs. non-local) feature of the system.
    Keywords: local demand shift, population adjustment, Hukou
    JEL: J23 R23
    Date: 2015–05
  39. By: Y. Vijaya Lakshmi
    Abstract: An increase in the rate of enrolment of children in the primary education is clearly visible in India. The credit for this goes to number of initiatives being taken in the country to ensure that each and every child gets access to quality education. The enactment of Right to Education Act (RtE) 2009 adds further strength and as a result, today we see that the concept of inclusion in education is getting broader. Inclusion in education is an ideology which emphasizes that we need to enjoy the existence of each and every child in education system and also we have to develop the skill of enjoying the diversity existing in the classrooms. Inclusion in education integrates all such efforts done by various stakeholders of education system which would remove the discrimination done in the system in the name of social aspects, gender, ability, language, caste/religion etc. Thus, today, inclusion in education means accepting and celebrating all kind of differences whether it is social, gender, ability, language, caste/religion etc. The present article presents efforts done by the primary school teachers of Gujarat state to minimize the exclusion factors and to bring improvement in Enrolment, Retention and quality of education. Key words: Enrolment, Retention and quality of education
    Date: 2014–06
  40. By: Aizawa, Toshiaki (Asian Development Bank Institute); Helble, Matthias (Asian Development Bank Institute)
    Abstract: The research objective of this paper is to test whether health conditions and health behavior are related to home ownership. This question has not yet been examined quantitatively in the existing literature. Our estimation results show that homeowners consistently report better health and less physical problems. The significance of home ownership remains even after controlling for financial assets and housing conditions. Furthermore, our estimations indicate that homeowners invest more in their future health by undergoing voluntarily medical screenings more frequently. Finally, our estimations suggest that home ownership is positively correlated with health care expenditure even when controlling for income, debt, and other financial assets and we could not reject the exogeneity of home ownership. Our empirical results thus provide evidence for the importance of home ownership for health.
    Keywords: health; home ownership; housing conditions; grossman model; medical expenditures
    JEL: I12 I15
    Date: 2015–05–13
  41. By: N. Pradhan; Tomba Singh Thokchom
    Abstract: This paper is focused on finance management of un-aided private schools of Manipur. The objectives of study are process of budgeting, problems of during and after budgeting, sources and problems of sources of finance, and possible ways to overcome these problems. Survey method is adopted in this study. The population of the study is constituted of 193 un-aided private schools of Manipur. Fifteen schools have selected by using random sampling technique for the study. The data were collected by using a questionnaire developed by the researcher. The main findings of the study are almost all the un-aided private schools of Manipur have faced financial problems; schools do not consult any expert person for preparing school financial budget, mostly trustee members and principals are involved in school financial budget; school’s financial files, cash memo and received of any expenditure are unsystematically arranged in school. However, schools must manage financial condition and must provide quality education to students. Improper finance management in school is going to affect quality education in un-aided private schools of Manipur. Key words: Process of Budgeting, Finance management, un-aided private schools.
    Date: 2014–09
  42. By: Becker, Lasse; Bizer, Kilian
    Abstract: Private innovative activities receive public innovation support from different political levels. Few studies have empirically evaluated the influence of political systems on the reception of public innovation support and no other studies have evaluated innovation support across Europe with CIS data. This paper analyses the differences between federal, semi-federal and centralist political systems with CIS data from sixteen European countries. The results show that regional programmes in federal and semi-federal countries reach firms with barriers to innovate, such as small and medium-sized enterprises, while other programmes only claim to reach them. Federal and semi-federal countries therefore support a broader variety of firms compared with centralist countries. European support reaches SMEs better in centralist countries compared with federal and semi-federal countries. Regular and higher expenditure on innovative activities shows a positive influence on the reception of support in all countries, while indicators such as market focus vary between countries and political levels. Regional programmes focus more strongly on companies with a regional market focus, which can be seen as another barrier to innovation. As a policy implication, the paper implies that barriers to innovation can be reduced by a decentralized innovation framework with stronger regional programmes.
    Keywords: innovation,innovation support,SME,Europe,federalism,decentralization
    JEL: O31 O38 H77 H71
    Date: 2015
  43. By: Alka Sapre
    Abstract: School supervision plays significant role in the development of education system, by monitoring the quality of schools and by supporting their improvement. For school supervision, supervisor plays an important role for the improvement of educational quality, controlling, decision making and guidance etc. The actions of supervisors are in principle based. For this supervisors should be competent enough. The research was of survey type, which consists of a multistage random sample of 252 supervisors of the GSEB English medium schools of Gujarat state. An opinionaire was constructed and standardized by the researcher and administered on the sample subject. The interpretation of data was done with the statistical methods mean, standard deviation and t-test. It was found that there exists the significant difference between the professional competence of male and female school supervisors and no significant difference found between the professional competence of granted and non-granted school supervisors. Key words: Professional Competence, Supervisors
    Date: 2014–06
  44. By: Demyanyk, Yuliya (Federal Reserve Bank of Cleveland); Luengo-Prado, Maria Jose (Federal Reserve Bank of Boston); Hryshko, Dmytro (University of Alberta); Sorensen, Bent E. (University of Houston)
    Abstract: U.S. consumption has gone through steep ups and downs since the turn of the millennium, but the causes of these fluctuations are still imperfectly identified. We quantify the relative impact on consumption growth of income, unemployment, house prices, credit scores, debt, expectations, foreclosures, inequality, and refinancings for four subperiods: the “dot-com recession” (2001-2003), the “subprime boom” (2004-2006), the Great Recession (2007-2009), and the “tepid recovery” (2010-2012). We document that the explanatory power of different factors varies by subperiods, implying that a successful modeling of this decade needs to allow for multiple causal determinants of consumption.
    Keywords: consumption growth; wealth effects; income inequality; debt overhang; consumer credit; consumer expectations; foreclosures; cash-out refi nancing; dot-com recession; subprime boom; Great Recession; tepid recovery
    JEL: E21 E24
    Date: 2015–05–21
  45. By: Thorsten Beck; Hans Degryse; Ralph De Haas; Neeltje van Horen
    Abstract: Using a novel way to identify relationship and transaction banks, we study how banks’ lending techniques affect credit constraints of small and medium-sized enterprises across emerging Europe. We link the lending techniques that banks use in the direct vicinity of firms to these firms’ credit constraints at two contrasting points of the credit cycle. We show that relationship lending alleviates credit constraints during a cyclical downturn but not during a boom period. The positive impact of relationship lending in a downturn is strongest for smaller and more opaque firms and in regions where the downturn is more severe. Additional evidence suggests that the reduction in credit constraints due to relationship lending helps to mitigate the adverse impact of an economic downturn on local firm growth and does not constitute evergreening of underperforming loans.
    Keywords: relationship banking; credit constraints; credit cycle
    JEL: F36 G21 O12 O16
    Date: 2015–03–20
  46. By: Abhay Aneja; Marian Moszoro; Pablo T. Spiller
    Abstract: We study the link between the choice of rule-based public contracts and political hazards using the municipal bond market. While general obligation bonds are serviced from all municipal revenue streams and offer elected officials financial flexibility, revenue bonds limit the discretion that political agents have in repaying debt as well as the use of revenues from the projects financed by the debt. We predict that public officials choose revenue bonds when elections are very contested to signal trustworthiness and transparency in contracting to the voter. We test this hypothesis on municipal finance data that includes 6,500 bond issuances nationwide as well as election data on over 400 cities over 20 years. We provide evidence that in politically contested cities, mayors are more likely to issue revenue bonds. The correlation is economically significant: a close victory margin of winning candidates and more partisan swings increases the probability of debt being issued as a revenue bond by 3–15% and the probability of issuing bonds through competitive bids by 7%. We test a few additional hypotheses that strengthen the argument that the choice of revenue bonds is a political risk adaptation of public agents so as to signal commitment and lower the likelihood of successful political challenges of misuse of funds.
    JEL: D23 D73 D78 H57 K23
    Date: 2015–05
  47. By: Fulford, Scott L. (Boston College); Petkov, Ivan (Boston College); Schiantarelli, Fabio (Boston College)
    Abstract: The United States provides a unique laboratory for understanding how the cultural, institutional, and human capital endowments of immigrant groups shape economic outcomes. In this paper, we use census micro-sample information to reconstruct the country-of-ancestry distribution for US counties from 1850 to 2010. We also develop a county-level measure of GDP per capita over the same period. Using this novel panel data set, we investigate whether changes in the ancestry composition of a county matter for local economic development and the channels through which the cultural, institutional, and educational legacy of the country of origin affects economic outcomes in the US. Our results show that the evolution of the country-of-origin composition of a county matters. Moreover, the culture, institutions, and human capital that the immigrant groups brought with them and pass on to their children are positively associated with local development in the US. Among these factors, measures of culture that capture attitudes towards cooperation play the most important and robust role. Finally, our results suggest that while fractionalization of ancestry groups is positively related with county GDP, fractionalization in attributes such as trust, is negatively related to local economic performance.
    Keywords: immigration, ethnicity, ancestry, economic development, culture, institutions, human capital
    JEL: J15 N31 N32 O10 Z10
    Date: 2015–05
  48. By: Rohitbhai S. Valand
    Abstract: Information and Communication technology (ICT) has remained a buzz word in arena of education since the last decade. Its effectiveness in general and teaching learning in particular has been proved by numerous educational researches conducted. It has thus remained a major area of research in the last few years. It is now becoming imperative for the schools to impart education through use of ICT. Consequently, the government has launched various policies and plans to promote use of ICT in school education through a variety of ways such as developing infrastructural facilities, giving training to school teachers, awarding incentives for innovations in use of ICT and so on. To what extent, these physical facilities and training vis-à-vis integration of ICT in education have yielded positive results in elementary school education system needs to be investigated. The researcher conducted the present study to keep in mind this question. Key words: Information and Communication technology (ICT). Upper Elementary schools, Lower elementary schools
    Date: 2014–03
  49. By: Atif Mian; Amir Sufi
    Abstract: We use individual level credit bureau data to document which individuals saw the biggest rise in household debt from 2000 to 2007 and the biggest rise in defaults from 2007 to 2010. Growth in household debt from 2000 to 2007 was substantially larger for individuals with the lowest initial credit scores. However, initial debt levels were lower for individuals in the lowest 20% of the initial credit score distribution. As a result, the contribution to the total dollar rise in household debt was strongest among individuals in the 20th to 60th percentile of the initial credit score distribution. Consistent with the importance of home-equity based borrowing, the increase in debt is especially large among individuals in the lowest 60% of the credit score distribution living in high house price growth zip codes. In contrast, the borrowing of individuals in the top 20% of the credit score distribution is completely unresponsive to higher house price growth. In terms of defaults, the evidence is unambiguous: both default rates and the share of total delinquent debt is largest among individuals with low initial credit scores. The bottom 40% of the credit score distribution is responsible for 73% of the total amount of delinquent debt in 2007, and 68% of the total in 2008. Individuals in the top 40% of the initial credit score distribution never make up more than 15% of total delinquencies, even in 2009 at the height of the default crisis.
    JEL: E0 R3
    Date: 2015–05
  50. By: Vincent Boucher; Marion Goussé
    Abstract: We present a flexible model of wage dynamics where information about job openings is transmitted through social networks. The model is based on Calvó-Armengol & Jackson (2004, 2007) and extends their results outside the stationary distribution, and under observed and unobserved heterogeneity. We present an empirical application using the British Household Panel Survey by exploiting direct information about individual’s social networks. We find that the distribution of job offers is positively affected by the employment status of an individual’s friends, and that this relationship is stronger for women.
    Keywords: Labour Market, Peer Referrals, Social Networks
    JEL: C33 J31
    Date: 2015
  51. By: Håkanson, Christina (Sveriges riksbank); Lindqvist, Erik (Stockholm School of Economics); Vlachos, Jonas (Department of Economics, Stockholm University)
    Abstract: We document a significant increase in the sorting of workers by cognitive and non-cognitive skills across Swedish firms between 1986 and 2008. The weight of the evidence suggests that the increase in sorting is due to stronger complementarities between worker skills and technology. In particular, a large fraction of the increase can be explained by the expansion of the ICT sector and a reallocation of engineers across firms. We also find evidence of increasing assortative matching, in the sense that workers who are particularly skilled in their respective educational groups are more likely to work in the same firms. Changes in sorting pattens and skill gradients can account for a about half of their increase in between-firm dispersion.
    Keywords: Skill sorting; skilled-biased technological change; outsorcing; globalization; cognitive skills; non-cognitive skills; personality; employer-employee matched data
    JEL: J24 J62 L21 O33
    Date: 2015–05–20
  52. By: Jae Song; David J. Price; Fatih Guvenen; Nicholas Bloom
    Abstract: Earnings inequality in the United States has increased rapidly over the last three decades, but little is known about the role of firms in this trend. For example, how much of the rise in earnings inequality can be attributed to rising dispersion between firms in the average wages they pay, and how much is due to rising wage dispersion among workers within firms? Similarly, how did rising inequality affect the wage earnings of different types of workers working for the same employer—men vs. women, young vs. old, new hires vs. senior employees, and so on? To address questions like these, we begin by constructing a matched employer-employee data set for the United States using administrative records. Covering all U.S. firms between 1978 to 2012, we show that virtually all of the rise in earnings dispersion between workers is accounted for by increasing dispersion in average wages paid by the employers of these individuals. In contrast, pay differences within employers have remained virtually unchanged, a finding that is robust across industries, geographical regions, and firm size groups. Furthermore, the wage gap between the most highly paid employees within these firms (CEOs and high level executives) and the average employee has increased only by a small amount, refuting oft-made claims that such widening gaps account for a large fraction of rising inequality in the population.
    JEL: E24 E25 J31 L23
    Date: 2015–05
  53. By: Zawadzki, Krystian
    Abstract: The UEFA European Championship (Euro) is among the world's most important sporting events staged nowadays. Apart from tremendous excitement among football fans, such a major event has a number of other implications, above all of economic nature. This study, as one of the few concerned with the Polish circumstances, is intended to determine what significance should be attributed to stage the Euro 2012 in Polish host cities. aware of the difficulty in finding an unequivocal answer, the Authorfocused on four isolated areas of impact, namely: sports infrastructure, other infrastructure, tourist traffic and the labour market.
    Keywords: Euro 2012; Mega sport's event; economic impact
    JEL: H40 H41 H42 J30 R0
    Date: 2013–12
  54. By: Milan Mistry
    Abstract: Adjustment is very important for a successful and harmonious life. The present study focuses on birth-order and SES and thus studies the adjustment of the high school students with reference to these variables. The research aimed to study effect of birthorder and SES on the adjustment of the high school students of Ahmedabad district. The study comprised of 800 high school students of Ahmedabad selected by cluster multistage sampling. In the present study the survey method was used and the verbal adjustment scale was used. To conduct analysis and interpretation of data Mean, S.D, and t-test was used. The results declared that there exists significant difference in the adjustment of the high school students with the first and second birthorder as well with high and low SES. Key words: adjustment, birthorder, SES
    Date: 2014–06
  55. By: Sabrina Iommi (Istituto Regionale per la Programmazione Economica della Toscana); Donatella Marinari (Istituto Regionale per la Programmazione Economica della Toscana)
    Abstract: According to New Institutional Economics, institutions affect economic performance in that they reduce the transaction costs borne by economic players and change the payoffs for actions and investments. Contrary to what usually happens in literature, the relationship between institutions and economic performance is analyzed referring to a developed country as Italy and at the local scale. The hypothesis to be tested is that the excess of institutional fragmentation, with respect to the territorial boundaries of the real communities, increases avoidable operating costs. The paper assumes administrative expenses and those for government bodies as measure of the local governments’operating costs, analyzes its components and determinants estimating two municipal expenditure functions, and finally assesses the savings achievable introducing a territorial amalgamation of local governments coherent with socioeconomic phenomena and two different estimating criteria for financial requirements. For three ordinary regions the simulation is extended to different territorial arrangements. Creation-Date: 2012-February
    Keywords: local government, fragmentation, Italy
    JEL: D72 H11 H72
  56. By: Christopher Jepsen (UCD School of Economics and UCD Geary Institute for Public Policy, University College Dublin); Peter Mueser (University of Missouri-Columbia); Kenneth Troske (University of Kentucky)
    Abstract: In this paper, we evaluate the educational returns to General Educational Development (GED) certification using state administrative data. We use fuzzy regression discontinuity (FRD) methods to account for the fact that GED test takers can repeatedly retake the test until they pass it and the fact that test takers have to pass each of five subtests before receiving the GED. We generally find positive effects of the GED on multiple measures of postsecondary education. Although the GED increases the likelihood of postsecondary attendance substantially, the GED impact on overall credits completed is much more modest: The GED causes an average increment of only two credits for men and six credits for women. The effects of the GED on postsecondary awards are inconclusive, likely related to the small percentage of awards received by GED test takers.
    Date: 2015–05–18
  57. By: Roberto Iacono (Department of Economics, Norwegian University of Science and Technology)
    Abstract: The aim of this research is to examine the economic effects of natural resources in Basilicata, a southern region of Italy. The paper focuses on the economic effects of large-scale oil extraction that started in 1999. I proceed by systematically constructing a comparison unit for Basilicata using synthetic control techniques. The comparison unit's economic parameters capture how Basilicata's economic activities would have evolved in the absence of the oil extraction industry. The comparison between real GDP per capita in Basilicata and in its comparison unit suggest that a large amount of oil extraction, at times peaking at 50 barrels per capita per year, has no detectable effect on Basilicata's economic performance.
    Keywords: Natural resources, Oil Royalties, Regional Development, Synthetic Control Method, Basilicata
    JEL: N54 O13 Q32 R15 R58
    Date: 2014–11–24
  58. By: Hattendorff , Christian (BOFIT)
    Abstract: The paper investigates the relationship between economic concentration and level of financial development to illuminate the linkage of real economy structure and financial markets. Using data from 81 Russian regions for the period 2005–2011, empirical evidence is offered to show that poor diversification weakens credit. Geographical variables are used as instruments of concentration in accounting for endogeneity. This work supports previous findings at the national level that policymakers seeking to promote economic development should place stronger emphasis on output diversification.
    Keywords: economic concentration; diversification; financial development; Russia
    JEL: E51 O11 R11
    Date: 2015–05–18

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