Showing papers by "Pompeu Fabra University published in 1996"
TL;DR: In this article, the authors extend the empirical evidence on regional growth and convergence across the United States, Japan, and five European nations, and confirm that the estimated speeds of convergence are surprisingly similar across data sets: regions tend to converge at a speed of approximately two percent per year.
1,421 citations
TL;DR: In this article, the concepts of sigma-convergence, absolute beta-concave, and conditional beta-consistency were applied to a variety of data sets that include a large cross-section of 110 countries, the subsample of OECD countries, and regions within several European countries.
Abstract: The concepts of sigma-convergence, absolute beta-convergence and conditional beta-convergence are discussed in this paper. The concepts are applied to a variety of data sets that include a large cross-section of 110 countries, the subsample of OECD countries, the states within the United States, the prefectures of Japan, and regions within several European countries. Except for the large cross-section of countries, all data sets display strong evidence of sigma-convergence and absolute beta-convergence. The cross-section of countries exhibits sigma-divergence and conditional beta-convergence. The speed of conditional convergence, which is very similar across data sets, is close to 2 percent per year. Copyright 1996 by Royal Economic Society.
1,244 citations
TL;DR: In this article, the authors analyze the interaction between growth and financial development in a model of product innovation and find that a positive correlation emerges between the two, and that the optimal degree of monitoring depends on factor prices and increases with capital accumulation.
192 citations
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TL;DR: In this paper, the authors consider a 2-stage game in which each player can either commit to a quantity in stage 1 or wait till stage 2, and they show that committing is more risky for the high cost firm and that, consequently, risk dominance considerations, as in Harsanyi and Selten (1988), allow the conclusion that only the low cost firm will choose to commit.
Abstract: We consider a linear quantity setting duopoly game and analyze which of the players will commit when both players have the possibility to do so. To that end, we study a 2-stage game in which each player can either commit to a quantity in stage 1 or wait till stage 2. We show that committing is more risky for the high cost firm and that, consequently, risk dominance considerations, as in Harsanyi and Selten (1988), allow the conclusion that only the low cost firm will choose to commit. Hence, the low cost firm will emerge as the endogenous Stackelberg leader.
174 citations
TL;DR: The authors compare consumption and income tax systems and find that switching tax systems typically does not benefit the median voter; moreover, a change from income to consumption taxes may make everybody worse off.
127 citations
TL;DR: In this article, the authors argue that social security programs around the world link public pensions to retirement: people do not lose their pensions if they make a million dollars a year in the stock market, but they do confront marginal tax rates of up to 100 percent if they choose to work.
Abstract: In this paper I make two points. First, I argue that social security programs around the world link public pensions to retirement: people do not lose their pensions if they make a million dollars a year in the stock market, but they do confront marginal tax rates of up to 100 percent if they choose to work. Second, after arguing that most existing theories cannot explain this fact, I construct a positive theory that is consistent with it. The main idea is that pensions are a means to induce retirement—that is, to buy the elderly out of the labor force because aggregate output is higher if the elderly do not work. This is modeled through positive externalities in the average stock of human capital: because skills depreciate with age, the elderly have lower-than-average skill and, as a result, have a negative effect on the productivity of the young. When the difference between the skill level of the young and that of the old is large enough, aggregate output in an economy where the elderly do not work is higher. Retirement is desirable in this case, and social security transfers are the means by which such retirement is induced. The theory developed in this paper is also shown to be consistent with a number of other regularities documented in Section 1.
124 citations
TL;DR: In this paper, the authors analyze a banking environment where bank runs can occur as a result of negative signals about the bank's investments and show that there are conditions under which it is profit-maximizing for the bank to avoid runs, and others under which occasional runs are part of optimal bank behavior.
120 citations
TL;DR: In this paper, Spanish and Catalan dubbed versions of English TV comedy series such as "Yes, Minister" are examined, with special attention to wordplay as a particular instance of the more general problem of translating comedy for television.
Abstract: This paper examines Catalan and Spanish dubbed versions of English TV comedy series such as ‘Yes, Minister’, with special attention to wordplay as a particular instance of the more general problem of translating comedy for television. The objective is to show that producing foreign-language dubbed versions of audiovisual texts has enough in common with other types of translating assignments to be included within translation studies, as well as to contribute to the area of quality assessment and evaluation of translations by proposing that the criteria for judging a translation should be clear, flexible and realistic, and should take into account the translator’s limitations and working environment. The paper also proposes a classification of jokes, with further examples from translations of British situation comedy into Catalan, and presents the concept of ‘stylebook’ as a helpful bridge between general statements about translation and specific contextualized translating assignments.
81 citations
TL;DR: In this paper, the authors explore the effect of policy variability on economic growth and welfare and find that the lack of persistence in policies per se need not be welfare reducing and that it is likely to decrease growth, but, by creating a stronger intertemporal link across regimes, variability reduces the fluctuation in investment rates, thus decreasing the magnitude of changes in consumption and increasing welfare.
Abstract: This paper explores the effect of policy variability (or frequency of regime switching) on economic growth and welfare. We study a one-sector growth model where investment can be subsidized at either a positive rate or not subsidized at all. We find that the lack of persistence in policies per se need not be welfare reducing and that it is likely to decrease growth. Higher variability implies more frequent changes in consumption and investment. But, by creating a stronger intertemporal link across regimes, variability reduces the fluctuation in investment rates, thus decreasing the magnitude of changes in consumption and increasing welfare.
63 citations
TL;DR: In this paper, a detailed finite-size scaling analysis of the first-order phase transition in the 3-state Potts model on cubic lattices with emphasis on recently introduced quantities whose infinite-volume extrapolations are governed 'only' by exponentially small terms is presented.
Abstract: We report a fairly detailed finite-size scaling analysis of the first-order phase transition in the three-dimensional 3-state Potts model on cubic lattices with emphasis on recently introduced quantities whose infinite-volume extrapolations are governed `only' by exponentially small terms. In these quantities no asymptotic power series in the inverse volume are involved which complicate the finite-size scaling behaviour of standard observables related to the specific-heat maxima or Binder-parameter minima. Introduced initially for strong first-order phase transitions in q-state Potts models with ``large enough'' q, the new techniques prove to be surprisingly accurate for a q value as small as 3. On the basis of the high-precision Monte Carlo data of Alves `et al.' [Phys. Rev. B43 (1991) 5846], this leads to a refined estimate of $\beta_t = 0.550,565(10)$ for the infinite-volume transition point.
56 citations
TL;DR: In this article, the authors analyze the legal and economic nature of the services, the incentives that control their provision, and the cost in terms of competitive restraints that could be generated by the organizational patterns making up such incentives.
Abstract: In civil law legal systems, notaries fulfill two crucial roles, acting as both law enforcers and court officers, and as facilitators and enforcers of private transactions. In these countries, notaries achieve economies of scope by simultaneously providing private and public services and substituting both parties' lawyers. This arrangement is subject, however, to serious conflicts of interest that could prejudice the provision of public services that have attributes of externalities, as well as the notary's independence from all parties to the transaction. This paper shows how this notary system may be efficient in this context. Focusing on Spanish notaries, it analyzes the legal and economic nature of the services, the incentives that control their provision, and the cost in terms of competitive restraints that could be generated by the organizational patterns making up such incentives. Supporting empirical evidence is also provided.
TL;DR: In this paper, the authors present a discrete location model formulation to address the maximum capture problem with uncertainty, where a firm wants to locate p servers so as to maximize market capture in a region where competitors are already located but where there is uncertainty.
Abstract: The strategic location of servers by a firm in a competitive environment is basic in the determination or division of market shares. Let us suppose that a firm wants to locate p servers so as to maximize market capture in a region where competitors are already located but where there is uncertainty—there are several possible future scenarios with respect to demand and/or the location of competitors. The firm will want a strategy of positioning that will do as ‘well as possible’ over the future scenarios. In this paper we will present a discrete location model formulation to address this maximum capture problem with uncertainty.
TL;DR: The issues are illustrated, the issues are posed, and the perspective toward resolution is posed.
Abstract: Finding a natural meeting ground between the highly developed complexity theory of computer science — with its historical roots in logic and the discrete mathematics of the integers — and the traditional domain of real computation, the more eclectic less foundational field of numerical analysis — with its rich history and longstanding traditions in the continuous mathematics of analysis — presents a compelling challenge. Here we illustrate the issues and pose our perspective toward resolution.
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TL;DR: A science story, just like any other story, must compete for space, and whether it is chosen depends on headline potential, the relationship between the journalist and section head, external social and cultural events, and sources of news.
TL;DR: In this paper, the authors examine how asymmetric external information flows give rise to asymmetric political control rules that introduce bias and inconsistency into regulatory outcomes, and examine the role of the media, interest groups, and constituents in this process.
Abstract: In political settings, delegation is often motivated by differences in expertise of costs of information gathering. Even if a political principal is less well informed than a regulatory agency, she can monitor whether the agency is acting in her best interests by taking informational cues from the media, interest groups, and constituents. In response to such "fire-alarm" signals, the principal may engage in political oversight activities. This article examines how asymmetric external information flows give rise to asymmetric political control rules that introduce bias and inconsistency into regulatory outcomes. Copyright 1996 by Oxford University Press.
TL;DR: In this paper, the authors argue that in spite of Spanish high unemployment and economic re-structuring, union membership in Spain increased significantly from 1986 to 1993, and that the effect of democratic consolidation, as well as complex union dynamics in the labour market, generate this recovery that challenges, to some extent, the pessimistic union decline thesis.
Abstract: Examining newly available figures, this article argues that in spite of Spanish high unemployment and economic re-structuring, union membership in Spain increased significantly from 1986 to 1993. The effect of democratic consolidation, as well as complex union dynamics in the labour market, generate this recovery that challenges, to some extent, the pessimistic union decline thesis.
TL;DR: Clinical and serological findings indicate a low general risk of maternal-fetal transmission of Toxoplasma infection in HIV-infected women.
TL;DR: In this article, a multiproduct stochastic hospital cost frontier is estimated on panel data for 43 Catalan hospitals over the period 1988-91 on the assumption that inefficiency remains constant over time.
Abstract: A multiproduct stochastic hospital cost frontier is estimated on panel data for 43 Catalan hospitals over the period 1988–91 on the assumption that inefficiency remains constant over time. In addition to reporting estimates of inefficiency, the paper reports estimates of economies of scope and economies of scale.
TL;DR: In this paper, the authors analyze risk sensitive incentive compatible deposit insurance in the presence of private information when the market value of deposit insurance can be determined using Merton's (1977, 3-11) formula.
Abstract: We analyze risk sensitive incentive compatible deposit insurance in the presence of private information when the market value of deposit insurance can be determined using Merton's (1977, 3-11) formula. We show that, under the assumption that transferring funds from taxpayers to financial institutions has a social cost, the optimal regulation combines different levels of capital requirements combined with decreasing premia on deposit insurance. On the other hand, it is never efficient to require the banks to hold riskless assets. Finally, chartering banks is necessary in order to decrease the cost of asymmetric information.
TL;DR: The authors studied managerial incentives in a model where managers choose product market strategies and make takeover decisions, and found that when managers are more aggressive, rival firms earn lower profits and thus are willing to seU out at a lower price.
Abstract: The paper studies managerial incentives in a model where managers choose product market strategies and make takeover decisions. The equilibrium contract includes an incentive to increase the firm's sales, under either quantity or price competition. This result contrasts with previous findings in the literature, and hinges on the fact that when managers are more aggressive, rival firms earn lower profits and thus are willing to seU out at a lower price. However, as a side-effect of such a contract, the manager might undertake unprofitable takeovers.
TL;DR: In this article, the authors developed and analyzed a model of asset markets with two types of investors and studied the stochastic processes for the distribution of wealth between the two types and for the equilibrium asset returns.
TL;DR: In this paper, the authors extended D'Aspremont and Jacquemin's model to study alternative configurations of research agreements in a two-country integrated world economy and showed that allowing national firms to cooperate in research and development (R&D) confers them an advantage over foreign rivals, an effect similar to R&D subsidies.
TL;DR: This paper developed a sequential random matching model of asset trading to analyze how the extent of information about an asset that is available in the market can affect its tradeability, where agents who want to consume relatively early optimally choose to exchange initial assets for new assets that have lower expected payoff but are more liquid in subsequent trading.
01 Dec 1996
TL;DR: The objective here is to present the advantages of having a method for the evaluation of multimedia usability, the results of which can be used to improve the design of interactive applications with a certain level of complexity, such as distance university education.
Abstract: We consider how the quality of software — in this case multimedia “on the net” — is influenced by several factors that are exogenous to a programming code. The analysis of a layout, a dynamics, a content, a structure, facilitates the acceptance of multimedia products. In other words, the objective here is to present the advantages of having a method for the evaluation of multimedia usability, the results of which can be used to improve the design of interactive applications with a certain level of complexity, such as distance university education. This paper presents the communication recourses and the methodology employed in the design of educational multimedia packages for the first virtual campus of an open university based in Barcelona. It also explains circumstances that affected directly or indirectly its creation.
01 Jan 1996
TL;DR: In this paper the concept of coherence is introduced within a network location covering framework: the Coherent Covering Location Problem locates two hierarchical facility levels by maximizing the coverage while ensuring coherence.
Abstract: In a location-allocation system, it is necessary to obtain not only an efficient set of facility locations, but also an efficient relationship among the catchment areas This is especially important in services that are hierarchical in nature and where there is a strong relationship between the different levels In seeking an effective relation among the different levels, all the areas assigned to a particular facility at one hierarchical level should belong to one and the same district in the next level This property leads to a “coherent” districting structure In this paper the concept of coherence is introduced within a network location covering framework: the Coherent Covering Location Problem locates two hierarchical facility levels by maximizing the coverage while ensuring coherence Adaptations of the model to different location patterns and computational experience are provided
TL;DR: In this article, the value principle does not hold for the Harsanyi NTU-value: there is a unique competitive equilibrium, which however does not belong to the (nonempty) set of value allocations.
TL;DR: In this article, the authors formulate and estimate a model of externalities within countries and technological interdependence across countries and find that external returns to scale to physical capital within countries are 8 percent.
Abstract: I formulate and estimate a model of externalities within countries and technological interdependence across countries I find that external returns to scale to physical capital within countries are 8 percent; that a 10 percent increase of total factor productivity of a country's neighbors raises its total factor productivity by 6 percent; and that a 2 percent annual growth rate of labor productivity can be explained as an endogenous response to an exogenous 02 percent annual growth rate of total factor productivity in the steady-state
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TL;DR: In this paper, the generation and transmission of international cycles in a multi-country model with production and consumption interdependencies were studied, and two sources of disturbance were considered, and three channels of propagation were compared.
Abstract: This paper studies the generation and transmission of international cycles in a multi-country model with production and consumption interdependencies. Two sources of disturbance are considered, and three channels of propagation are compared. In the short run the contemporaneous correlation of disturbances determines the main features of the transmission. In the medium run production interdependencies account for the transmission of government shocks. Technology disturbances, which are mildly correlated across countries, are more successful than government expenditure disturbances in reproducing actual data. The model also accounts for the low cross-country consumption correlations observed in the data.
TL;DR: In this article, the authors used a representative-agent cash-in-advance consumption-based ICAP model, modified to allow for time variation in the conditional variances of the exogenous processes.