Showing papers on "Spillover effect published in 1992"
Posted Content•
TL;DR: In this paper, the authors find no quantitatively important spillover effects across states in terms of private sector productivity, and they reconcile existing econometric estimates with the findings of Hulten and Schwab based on growth accounting techniques.
Abstract: A number of studies have suggested a quantitatively important relationship between public-sector capital accumulation and private sector productivity, with the most compelling evidence derived from analyses of state-level data. Estimates herein of production functions that use standard techniques to control for unobserved, state-specific characteristics, however, reveal essentially no role for public-sector capital in affecting private sector productivity. Only estimates of state production functions that do not include such controls find substantial productivity impacts. This result reconciles existing econometric estimates with the findings of Hulten and Schwab based on growth accounting techniques, as such techniques effectively control for state-specific effects. Region-level estimates are essentially identical to those from state data, suggesting no quantitatively important spillover effects across states.
998 citations
TL;DR: This article examined the nature and predictors of the spillover from non-work domains to work and found that domain involvement appeared to enhance both positive and negative sides of spillover, whereas domain satisfaction enhanced the positive side and reduced the negative.
Abstract: This study examined the nature and predictors of the spillover from nonwork domains to work. A sample of 110 men and women from a variety of business settings indicated how parenting, community work, and recreation affected work. They agreed more strongly with statements about positive nonwork-to-work spillover than with those about the negative side. Agreement with the statements was related to the kind of nonwork domain, domain qualities, and the sex of the individual. in general, domain involvement appeared to enhance both positive and negative sides of spillover, whereas domain satisfaction enhanced the positive hut reduced the negative. Surprisingly, women disagreed more strongly with statements about negative spillover than did men. These perceptions challenge the common view of domain relationships being conflict ridden and invite further attention to positive spillover, the ignored side of spillover.
263 citations
TL;DR: This article used data from the 1987 NORC General Social Survey to test these expectations with respect to participation in religious organizations, finding that greater involvement in churches goes with more conservatism and somewhat greater politicization, although there are some variations by race, sex, and denomination.
Abstract: The spillover effect postulates that participation in nonpolitical realms of people's lives will affect their political orientations and behavior. Data from the 1987 NORC General Social Survey are used to test these expectations with respect to participation in religious organizations. Results indicate that greater involvement in churches goes with more conservatism and somewhat greater politicization, although there are some variations by race, sex, and denomination.
119 citations
TL;DR: In this paper, share price reactions of commercial bank common stock issues were examined and negative effects on rival commercial and investment banking firms were found, with no such intra-industry effects for equity issues by industrial firms.
76 citations
TL;DR: This paper examined the effect of unionization on manufacturing firm profits and found that quasi-rents from firm investments in intangible assets are a relatively greater source of union profit effects than product market concentration, suggesting spillover effects on nonunion employees.
Abstract: This study examines the effect of unionization on manufacturing firm profits, extending earlier research by combining industry-level and firm-level measures of unionization. Using several profit measures, we find that quasi-rents from firm investments in intangible assets are a relatively greater source of union profit effects than product market concentration and that union profit effects occur largely in the first 10 percent of firm coverage, suggesting spillover effects on nonunion employees.
55 citations
Posted Content•
TL;DR: In this paper, the authors reconcile existing econometric estimates with the findings of Hulten and Schwab based on growth accounting techniques, as such techniques effectively control for state-specific effects and suggest no quantitatively important spillover effects across states.
Abstract: A number of studies have suggested a quantitatively important relationship between public-sector capital accumulation and private sector productivity, with the most compelling evidence derived from analyses of state-level data Estimates herein of production functions that use standard techniques to control for unobserved, state-specific characteristics, however, reveal essentially no role for public-sector capital in affecting private sector productivity Only estimates of state production functions that do not include such controls find substantial productivity impacts This result reconciles existing econometric estimates with the findings of Hulten and Schwab based on growth accounting techniques, as such techniques effectively control for state-specific effects Region-level estimates are essentially identical to those from state data, suggesting no quantitatively important spillover effects across states
47 citations
TL;DR: The hypothesis that the growth experiences of core parts of metropolitan areas in the United States tend to predict the growth of satellite, exurban, and even more distant non-metropolitan areas is evaluated and supported by 1980-1990 patterns of change.
Abstract: This paper evaluates the hypothesis that the growth experiences of core parts of metropolitan areas [in the United States] tend to predict the growth of satellite exurban and even more distant non-metropolitan areas. Particular attention is paid to evidence of spillover of growth into adjacent smaller metropolises and smaller cities and to the hypothesis that spillover is especially marked in areas of rapid growth growth restrictions and housing price inflation. The hypotheses are supported by 1980-1990 patterns of change as is the continuing attractiveness of exurban and non-metropolitan environmental amenities. (EXCERPT)
40 citations
TL;DR: The authors examined the relationship between workplace politicization and political orientations and behavior in one small city in upstate New York and found that what happens in the workplace affects the extent of individuals' political participation.
Abstract: It has often been hypothesized that workplace politicization has a spillover effect onto people's participation in the larger political world. This article examines the relationship between workplace politicization and political orientations and behavior in one small city in upstate New York. Results indicate that what happens in the workplace affects the extent of individuals' political participation. Implications for the study of political socialization are discussed.
34 citations
TL;DR: Theoretical models of local pay, ranging from neoclassical perspectives, unemployment/wage trade-off models, and segmented labor market approaches, are reviewed in this paper.
Abstract: Theoretical models of local pay are reviewed, ranging from neoclassical perspectives, unemployment/wage trade-off models, and segmented labor market approaches. The empirical work on U.S. North-South differentials is discussed. For the U.K., studies of the extent of and trends in geographical pay differentials are considered, as well as behavioral explanations focusing on the role of excess demand. The issue of adjustment processes is then discussed, both in theory and in relation to empirical work for the U.S. and U.K. This discussion focuses largely on geographical spillover effects, in terms of origins, evidence, and issues of identification. Finally, the impact of certain impediments in the adjustment process are considered, specifically in relation to the U.K. These concern the role and influence of national wage bargaining, as well as factors inhibiting labor migration stemming from the housing market and the climate of the national labor market. Copyright 1992 by Blackwell Publishers Ltd
22 citations
TL;DR: In this article, a set of diagnostic simulations on five European-based multi-country models is presented, including the EEC's model QUEST as operated by the Deutsches Institut fur Wirtschaftsforschung (DIW), the GEM model jointly operated by National Institute of Economic and Social Research and the London Business School; the Oxford Economic Forecasting model; the MIMOSA model used by the Observatoire Francais des Conjonctures Economiques (OFCE) and Centre D'Etudes Prospectives et D
Abstract: This paper is a product of the SPES programme on multi-country models and describes a set of diagnostic simulations on five European-based multi-country models. These are the EEC's model QUEST as operated by the Deutsches Institut fur Wirtschaftsforschung (DIW); the GEM model jointly operated by the National Institute of Economic and Social Research and the London Business School; the Oxford Economic Forecasting model; the MIMOSA model used by the Observatoire Francais des Conjonctures Economiques (OFCE) and Centre D'Etudes Prospectives et D'Informations Internationales (CEPII), and OECD's Interlink model. The simulation experiments are designed to clarify the interdependencies and relative structures of the major European economies using both (internal) single-country and external common shocks.
All the models tend to adopt similar specifications across the different countries but differences in simulation responses still occur and cross-model differences often dominate those between countries. Several general qualitative conclusions can be drawn, however. For example, independent fiscal policy under a monetary policy of fixed real interest rates has only limited power to raise output, although full crowding out does not occur. Spillover effects to the other European economies are weak with respect to independent fiscal expansions but stronger for an external shock.
The model comparisons reveal differences in modelling strategies, notably with respect to the treatment of inflation on consumption, the role of activity on import behaviour and the influence of excess demand on wages. These; are all key factors in explaining simulation differences between the models. Not all the models currently have endogenous exchange rate determination and this becomes an essential requirement for analysis of non-EMS and EMS-style regimes.
20 citations
TL;DR: In this paper, the indirect effects of government employment on hourly earnings for workers in both the public and private sector were examined using Census data, and the proportion of employment in an occupation that is governmental was significantly positive in earnings regressions.
01 Jan 1992
TL;DR: In this paper, the implications of gender role spillover for sexual behavior at work were investigated through analysis of a telephone survey of working adults in Los Angeles County in 1980, and it was found that women are more visibly negative for women than for men.
Abstract: Sex-role spillover is the carryover of gender-based roles into the work setting. It is exacerbated by having a highly skewed ratio of the sexes at work. The sex roles associated with the majority sex become incorporated into the work roles. In male-dominated jobs, activity, rationality, and aggressiveness are emphasized, whereas nurturance and passivity are associated with “women's work. “ The implications of sex-role spillover for sexual behavior at work was investigated through analysis of a telephone survey of working adults in Los Angeles County in 1980. Sex-role spillover affects people in traditional work by having their sex role and work role merged together, and affects people in nontraditional work by the fact that they are a visible minority and their sex does not correspond to the sex roles normally associated with their jobs. In the case of sexual behavior at work, the fallout of sex role spillover is more visibly negative for women than for men. Very few men work in nontraditional or integrat...
Posted Content•
TL;DR: In this article, D'Aspremont and Jacquemin's model is extended to study alternative configurations of research agreements and analogies with the cartel literature are found: under certain conditions on spillover values, outsiders benefit more than participants in R&D agreements.
Abstract: D'Aspremont and Jacquemin's (1988) model is extended to study alternative configurations of research agreements. Analogies with the cartel literature are found: under certain conditions on spillover values, outsiders benefit more than participants in R&D agreements. If cooperative spillovers are high enough, though, national R&D cooperation has the same beneficial effect as subsidies in strategic trade policies. Unlike the latter, however, it is not necessarily harmful to foreigners, and retaliation may leave both countries better off than non-cooperation. Finally, international R&D cooperation would be Pareto-superior to both retaliation and non-cooperation for high enough spillovers.
TL;DR: In this article, the authors adopt the reduced-form approach that is within the flow-of-funds framework in examining determinants of investment, domestic saving and foreign saving.
Abstract: The study adopts the reduced-form approach that is within the flow-of-funds framework in examining determinants of investment, domestic saving and foreign saving. Time-series annual data for 25 Sub-saharan countries are employed and six possible determinants are considered, with their general primary effects being as follows: (i) foreign reserves availability promotes investment (ii) real interest rate has rather ambiguous effects (iii) change in GDP promotes investment and domestic saving and retards foreign saving (iv) domestic credit availability enhances investment (v) world economic growth reduces foreign saving and (vi) real exchange rate devaluation reduces investment and foreign saving. These primary effects are also with the expected Spillover effects. [O55]
TL;DR: In this article, a framework for examining technology spillovers extant between research teams is proposed, and a policy-relevant finding is that firms' research organizations must strive to absorb foreign technology.
Abstract: This paper offers a framework for examining technology spillovers extant between research teams. A policy-relevant finding is that firms' research organizations must strive to absorb foreign technology. The result of a technology spillover imbalance or asymmetry is that from a country or policy perspective, even for countries sustaining a superior number of world-class research teams, a comparative technological advantage may be lost if the domestic R/D teams fail to absorb and exploit technology as aggressively as foreign rivals.
TL;DR: The authors examined the implications of alternative monetary policy rules for economic stabilization within Europe, using the OECD world model, INTERLINK, and found that policy linkage through the Exchange Rate Mechanism will have differing effects on the effectiveness of stabilization policies depending on the nature of economic shocks.
Abstract: This paper examines the implications of alternative monetary policy rules for economic stabilization within Europe, using the OECD world model, INTERLINK. The results suggest that policy linkage through the Exchange Rate Mechanism will have differing effects on the effectiveness of stabilization policies depending on the nature of economic shocks. For demand shocks, the choice of monetary rule in the country of the ‘anchor’ currency is of more consequence than the flexibility of exchange rates. For supply shocks, exchange rate rigidity is likely to have more problematic effects on economic adjustment. Spillover effects are also important when the shock is felt primarily by the ‘anchor’ economy.
Journal Article•
TL;DR: Researchers are gathering evidence that as health maintenance organizations increase market share, they act as a brake on a community's rising medical costs, according to the author of one study.
Abstract: Researchers are gathering evidence that as health maintenance organizations increase market share, they act as a brake on a community's rising medical costs. In other words, competitive pressures from HMOs have a 'spillover effect' on the free-for-service sector, according to the author of one study. Meanwhile, a study of hospitals in California attributed more than $1 billion in savings in one year to the influence of HMOs on the market.
Posted Content•
TL;DR: This article examined the sources of economic fluctuations in seven OECD small open economies and found that output fluctuations are primarily explained by domestic supply shocks, trade balance movements are explained mostly by domestic absorption shocks, and spillover effects of external shocks on the domestic economy are primarily on nominal, rather than real, variables.
Abstract: This paper examines the sources of economic fluctuations in seven OECD small open economies. We measure the relative contribution of external shocks and country-specific aggregate demand and supply disturbances (internal shocks) in explaining short-term movements of output, inflation and the trade balance. We find: (i) output fluctuations are primarily explained by domestic supply shocks, (ii) trade balance movements are explained mostly by domestic absorption shocks, and (iii) spillover effects of external shocks on the domestic economy are primarily on nominal, rather than real, variables. We conclude that, while domestic absorption policies like fiscal restraint may improve the trade balance, they cannot stabilize output.
Book•
01 Jan 1992
Posted Content•
TL;DR: The sources of rapid economic growth in Korea in recent times and their economic implications by means of three types of econometric tests based on the modern theory of cointegration, the dominant role of demand over supply and the significant degree of economies of scale due to the spillover effects of human capital and of technological diffusion are discussed in this article.
Abstract: This paper dicusses the sources of rapid economic growth in Koreai in recent times and their economic implications by means of three types of econometric tests based on the modern theory of cointegration, the dominant role of demand over supply and the significant degree of economies of scale due to the spillover effects of human capital and of technological diffusion. The empirical growth profile of Korea in recent times seems to vindicate some of the major tenets of the new growth theory.
Posted Content•
TL;DR: In this article, the authors argue that the application of marginal cost prices is insufficient because of externalities and spillover effects, during the period of site availability, during which the availability of sites is limited.
Abstract: Garbage disposal and, in particular, the location of additional sites seems a major problem of current environmental policymaking A major reason for the now unfavourable state is the application of wrong pricing principles, ie charging the average costs or less This paper argues that the application of marginal cost prices is insufficient because of externalities and spillover effects, during the period of site availability
TL;DR: In this paper, the authors show that excessive restraint of the uniform nation-wide wage component may in fact lead to higher overall wage increases and explain the persistence of the post-stabilization rate of inflation.
Abstract: The path of real wages in Israel since the July 1985 stabilization programme-an initial decline followed by excessive wage increases-is not fully explained by macroeconomic variables. The interaction of wage changes across industries is shown to play a key role in the development of average wages: exogenous shocks affect industries unevenly, setting off a short-run wage-comparison process between the different industries. These dynamics act in combination with longer-run competitive forces, while in the very long run the wage system converges to a stable structure. One implication of the analysis is that excessive restraint of the uniform nation-wide wage component may in fact lead to higher overall wage increases. It also helps to explain the persistence of the post-stabilization rate of inflation.
Posted Content•
TL;DR: In this article, it was shown that even though in an imperfectly competitive economy multiplier effects prevail, the economy nevertheless does not exhibit excessive aggregate fluctuations under plausible condi tions.
Abstract: Imperfect competition has become a popular paradigm for New Keynesian macroeconomic theory. It has been recognized that, in a general equilibrium context, economies with market power may serve as a sound microfoundation for the analysis of Problems of coordination failure. In these models, demand externalities can generate Keynesian phenomena such as multiplier effects. The present paper shows that even though in an imperfectly competitive economy multiplier effects prevail, the economy nevertheless does not exhibit excessive aggregate fluctuations under plausible condi tions. Models which generate amplifying feed-back effects are very appealing as an explanation of huge aggregate fluctuations. The real business cycle theory, for example, trying to model fluctuations in a competitive context, has to face the difficulty that in competitive economies a multitude of Stabilising factors (such as consumption smoothing, etc.) prevail and therefore, in order to generate plausible aggregate fluctuations, one needs to assume the existence of large exogenous shocks. As a consequence, a new generation of real business cycle models departs from the competitive paradigm and introduces externalities and nonconvexities for a realistic modelling of macroeconomic phenomena (see King/Plosser/Rebello, 1988, for a survey). Hart (1982) and Cooper/John (1988) have shown, that in a model with imperfect competition, it is possible to create multiplier effects in the sense that an increase in demand for produced goods will be reinforced by feed-back effects. The positive feed-back effects created by externalities suggest that shocks in the economy will be magnified via the spillover effects. So, imperfectly competitive economies may seem to be more volatile than a perfect competitive economy, thus justifying stabilisingpolicies as an instrument to approximate a first-best solution. It will be shown that this netion is not true. Based on the model of Cooper/John (1988) with disutility of labar and competitive labor markets, it is shown that in general, with imperfect competition output fluctuations will be smaller and price fluctuations higher as compared to the perfect competitive case. The feed-back mechanisms creating amplifying effects of shocks in their model are caused by the assumed homothetic preference structure and in general they are even stronger with perfect competition. Only under special conditions concerning labor supply and demand one gets the reverse results. So imperfect
Journal Article•
TL;DR: In this article, it was shown that even though in an imperfectly competitive economy multiplier effects prevail, the economy nevertheless does not exhibit excessive aggregate fluctuations under plausible condi tions.
Abstract: Imperfect competition has become a popular paradigm for New Keynesian macroeconomic theory. It has been recognized that, in a general equilibrium context, economies with market power may serve as a sound microfoundation for the analysis of Problems of coordination failure. In these models, demand externalities can generate Keynesian phenomena such as multiplier effects. The present paper shows that even though in an imperfectly competitive economy multiplier effects prevail, the economy nevertheless does not exhibit excessive aggregate fluctuations under plausible condi tions. Models which generate amplifying feed-back effects are very appealing as an explanation of huge aggregate fluctuations. The real business cycle theory, for example, trying to model fluctuations in a competitive context, has to face the difficulty that in competitive economies a multitude of Stabilising factors (such as consumption smoothing, etc.) prevail and therefore, in order to generate plausible aggregate fluctuations, one needs to assume the existence of large exogenous shocks. As a consequence, a new generation of real business cycle models departs from the competitive paradigm and introduces externalities and nonconvexities for a realistic modelling of macroeconomic phenomena (see King/Plosser/Rebello, 1988, for a survey). Hart (1982) and Cooper/John (1988) have shown, that in a model with imperfect competition, it is possible to create multiplier effects in the sense that an increase in demand for produced goods will be reinforced by feed-back effects. The positive feed-back effects created by externalities suggest that shocks in the economy will be magnified via the spillover effects. So, imperfectly competitive economies may seem to be more volatile than a perfect competitive economy, thus justifying stabilisingpolicies as an instrument to approximate a first-best solution. It will be shown that this netion is not true. Based on the model of Cooper/John (1988) with disutility of labar and competitive labor markets, it is shown that in general, with imperfect competition output fluctuations will be smaller and price fluctuations higher as compared to the perfect competitive case. The feed-back mechanisms creating amplifying effects of shocks in their model are caused by the assumed homothetic preference structure and in general they are even stronger with perfect competition. Only under special conditions concerning labor supply and demand one gets the reverse results. So imperfect