Macroeconomic effects of an indirect tax substitution

We study an indirect tax reform in a general equilibrium model with imperfect competition for both the Cournot and the Free entry equilibria. We show that it is possible to attain a positive balanced budget multiplier by means of a substitution of specific by ad valorem taxation. Moreover, although any tax substitution causes higher prices and the flow up of firms in the long-run, the Free entry equilibrium output can increase with respect to that of the Cournot equilibrium. Finally, in contrast with the partial equilibrium, welfare decreasing tax reforms are likely to occur even when the balanced budget multiplier is positive.      

A broader multicountry perspective on the Gibson paradox and fisher's hypothesis

Summary A broader multicountry perspective on the gibson paradox and fisher's hypothesis Correlations between nominal interest rates and price levels in 44 countries over periods of about 30 years indicate the Gibson paradox is widely observed in the post-Word War II era. Fisher's hypothesis on the determination of nominal interest rates, which has been regarded as one possible explanation for the phenomenon, is formulated in terms of Granger-causality between inflation and interest rates, and a test of causal ordering across the pair is conducted. The test results seem to provide only a limited degree of support for the hypothesis.Rosa Lea Danielson and Sunita Bose provided useful research assistance.     

Modeling Cyclical Asymmetries in GDP: International Evidence

This paper models asymmetric behavior in GDP growth in the USA, Germany, France, and Japan. It develops smooth transition autoregressive models and interprets nonlinear dynamics in terms of cyclical asymmetries. A procedure for defining data-based, qualitative cyclical regimes from the estimated models is proposed, and generalized impulse response functions are computed to assess to what extent the response to a shock changes over different phases of the cycle.     

Feral futures: Zen and aesthetics

Studies of ‘futures’ have hitherto focused on those that are predictable and ‘tame’, and on those that are unpredictable and ‘wild’. Here we consider a new class, the ‘feral’; which are expectations that things might be made worse by risk-based actions. The type case is the nuclear accident at Three Mile Island, where operatives assumed that what was unfolding was of a sort described in their manual, and discovered too late that responses based on that assumption were making the situation worse. In this paper we review the idea of ‘feral’ and how it applies to futures, and discuss the different modes of engagement (or non-engagement) with feral futures. To make feral futures manageable, we suggest two ideas from other spheres of activity. Zen is a practice and philosophy which enables us to drop our preconceptions and thereby to respond to emerging, unprecedented situations. Aesthetics articulates a particular way to sense and appreciate realities intuitively, again enabling a direct response. The combination of Zen and aesthetics with scenario practice in the tradition of Pierre Wack provides a promising mode of response to emerging feral futures.     

Noncentral bimatrix variate generalised beta distributions

In this paper, we determine the density functions of nonsymmetrised doubly noncentral matrix variate beta type I and II distributions. The nonsymmetrised density functions of doubly noncentral and noncentral bimatrix variate generalised beta type I and II distributions are also obtained.     

The frontiers of eBusiness technology and supply chains

This article is an Introduction to this Special Issue on “eBusiness and Supply Chain Management.” It also provides a vision for eBusiness and supply chain for the future.     

Shareholder Value Maximisation,Stock Market and New Technology: Should the US Corporate Model be the Universal Standard? 1

In 1992 a blue‐ribbon group of US economists led by Michael Porter concluded that the US stock market‐based corporate model was misallocating resources and jeopardising US competitiveness. The faster growth of US economy since then and the supposed US lead in the spread of information technology has brought new legitimacy to the stock market and the corporate model, which is being hailed as the universal standard. Two main conclusions of the analysis presented here are: (a) there is no warrant for revising the blue‐ribbon group’s conclusion; and (b) even US corporations let alone developing country ones would be better off not having stock market valuation as a corporate goal.     

Strategic Delegation with Multiproduct Firms

This paper shows that a multiproduct firm may find it optimal not to delegate the sales of all products and therefore to employ different distribution channels for different products. It faces the following trade-off: There is a strategic effect associated with delegation, but if both products' sales are delegated, intrafirm competition is not internalized. By delegating the sales of just one of the products while selling the other product directly—partial delegation—the multiproduct manufacturer strikes just the right compromise: The externalities between its owns products are internalized partially while a strategic advantage is achieved against its rival single-product manufacturer. Partial delegation also holds if both products are sold by a common retailer; it dominates full delegation when both manufacturers are multiproduct firms .     

Efficiency Characterization of Liability Rules When Liability Payments Differ from the Actual Harm

Journal of Quantitative Economics - By now, it is well known that damage awards under a liability rule affect the efficiency of the rule. Due to variety of reasons, damage awards fixed by courts...     

Le partenariat public-OSBL dans les services sociaux. Le cas espagnol

The article considers the social services supply in the Spanish area of Valencia. The objective is double. First the authors analyse what describes the partnership between public sector and NPO in this area, by using a systemic conception of the social services sector where three main functions can be identified (financing, production and distribution, and regulation). Secondly they search for theoretical arguments explaining this partnership principle. This second section is mainly based on the NPO approach.