Returns to Scale on Nonparametric Deterministic Technologies: Simplifying Goodness-of-Fit Methods Using Operations on Technologies

Thepurpose of this short article is to simplify goodness-of-fitmethods to obtain qualitative information about returns to scalefor individual observations. Traditional and new goodness-of-fitmethods developed for estimating returns to scale on nonparametricdeterministic reference technologies are reviewed. Using compositionrules for technologies with specific returns to scale assumptions,we show how these goodness-of-fit methods can be simplified inthe case of convex technologies (Data Envelopment Analysis (DEA)models).     

On the estimation of returns to scale, technical progress and monopolistic markups

A number of theoretical results on estimating returns to scale, technical progress and monopolistic markups are derived when there are multiple outputs and inputs. The choice of value added versus gross output and problems that arise in aggregation across sectors of an economy are also considered. Using US data on manufacturing, evidence is found of increasing returns to scale across all levels of aggregation. Technical progress is typically found to be insignificant implying that economic growth has been driven by increasing returns to scale rather than technical progress. Such findings have important implications for the macroeconomic modeling of economic fluctuations.     

Evaluating cost efficiency and returns to scale in the Life Insurance Corporation of India using data envelopment analysis

This paper applies a new variant of data envelopment analysis model to examine the performance of Life Insurance Corporation (LIC) of India. The findings show a significant heterogeneity in the cost efficiency scores over the course of 19 years. A decline in performance after 1994-1995 can be taken as evidence of increasing allocative inefficiencies arising from the huge initial fixed cost undertaken by LIC in modernizing its operations. A significant increase in cost efficiency in 2000-2001 is, however, cause for optimism that LIC may now be realizing a benefit from such modernization. This will stand them in good stead in terms of future competition. Results from a sensitivity analysis are in broad agreement with the main findings of this study.     

开放式基金的资金流量对投资组合的影响分析

对单个基金来说,基金流量会影响到投资者的收益,其中的途径就是通过影响基金的投资组合,文章实证检验了由基金资金流入或流出引发的基金资产组合交易变动的程度,同时验证了基金“流动性动机交易”在中国基金市场上确实存在。     

New evidence on the efficiency of Italian airports: A bootstrapped DEA analysis

A bootstrapped DEA procedure is used to estimate technical efficiency of 18 Italian airports during the period 2000-2004. Departing from previous studies, we separate the efficiency related to ability to manage airside activities (operational) from that related to the management of all business activities (financial). In general, Italian airports operate at poor levels of efficiency, with slightly better performance in terms of their financial activities. In the current study, selected intrinsic and environmental characteristics are considered as possible drivers of Italian airport performance. In particular, we found that: (i) the airport dimension does not allows for operational efficiency advantages, (ii) on the other hand, the airport dimension allows for financial efficiency advantages for the case of hubs and disadvantages for the case of the smallest airports (iii) the type(s) of concession agreement(s) might be considered as important source of technical efficiency differentials for those airports running marginal commercial activities; (iv) the introduction of a dual-till price cap regulation might create incentives which lead to the increase of financial efficiency at the detriment of the operational performance. Lastly, the development of a second hub (Milano Malpensa), has negatively affected the performance of the country’s national hub (Roma Fiumicino).     

Overeducation in the Labour Market

Abstract.  This paper presents a review of the literature on overeducation. The paper assesses the consistency of overeducation within the context of a number of theoretical frameworks including Human Capital Theory (HCT) and Assignment Theory. The analysis goes on to discuss the various measurement controversies associated with the study of overeducation in order to provide an assessment of the extent to which the impacts of the phenomenon represent an economic reality as opposed to a statistical artefact. After reviewing the literature, it is concluded that the impacts of overeducation are likely to be non‐trivial and that the phenomenon may potentially be costly to individuals and firms, as well as the economy more generally. The existence of overeducation also raises some doubts with respect to the validity of some of the central assumptions and predictions of HCT that are unlikely to be fully explained by gaps in the standard wage equation framework.     

Efficiency and Global Scale Characteristics on the “No Free Lunch” Assumption Only

In a production technology, the type of returns to scale (RTS) associated with an efficient decision making unit (DMU) is indicative of the direction of marginal rescaling that the DMU should undertake in order to improve its productivity. In this paper a concept of global returns to scale (GRS) is developed as an indicator of the direction in which the most productive scale size (MPSS) of an efficient DMU is achieved. The GRS classes are useful in assisting strategic decisions like those involving mergers of units or splitting into smaller firms. The two characterisations, RTS and GRS, are the same in a convex technology but generally different in a non-convex one. It is shown that, in a non-convex technology, the well-known method of testing RTS proposed by Färe et al. is in fact testing for GRS and not RTS. Further, while there are three types of RTS: constant, decreasing and increasing (CRS, DRS and IRS, respectively), the classification according to GRS includes the fourth type of sub-constant GRS, which describes a DMU able to achieve its MPSS by both reducing and increasing the scale of operations. The notion of GRS is applicable to a wide range of technologies, including the free disposal hull (FDH) and all polyhedral technologies used in data envelopment analysis (DEA).     

Impact of investor sentiment on mutual fund risk taking and performance: evidence from China

ABSTRACT

This study provides empirical rationale and guidance for incorporating investor sentiment into mutual fund enterprise information systems. It investigates the effect of fund-specific investor sentiment on fund risk taking and performance. Working on a sample of equity funds in China, our panel regressions reveal that fund risk-taking is negatively related to lagged fund-specific investor sentiment. Investor sentiment is negatively linked to subsequent fund performance, which conforms with the dumb money effect. Encouragingly, there is evidence that mutual fund managers in China possess investing expertise. Fund-specific investor sentiment shows asymmetric impacts. The dumb money effect is primarily driven by positive sentiment.     

浅谈独立学院贫困生资助管理工作的几点思考——以江苏科技大学苏州理工学院为例

当前高校贫困生人数和比例呈上升趋势,高校贫困生资助管理工作应与时俱进,应把高校贫困生帮扶与教育相结合,把物质救助手段与精神鼓励手段结合起来,全面、系统的做好高校贫困生的资助管理工作。     

决策权分配与投资策略选择——来自中国开放式基金的证据

决策权分配与效率是组织行为研究的重要问题。通过比较决策权集中的单独管理基金和决策权分散的团队管理基金的投资策略差异,提供开放式基金决策权分配结果的证据。研究发现：团队管理基金有显著为正的选股业绩,单独管理基金表现出在股票和债券间配置组合资产的市场择时能力。研究还发现：团队管理基金没有市场择时能力是由于协调成本高;团队管理基金的专业化收益不能完全弥补其协调成本,而单独管理基金的择时收益则能够弥补其专业化的不足;多任务管理进一步影响决策权分配和投资策略的选择。单独管理基金的经理如同时管理其他偏股型基金时择时能力最突出,团队管理基金的经理如有多任务管理则其选股业绩不显著。     

中国城市集聚与扩散的转换规模及最优规模研究

以我国211个主要地级及地级以上城市为研究对象,其中包括除拉萨以外的30个省会城市、5个计划单列城市以及176个地级市.收集了1989-2003年及2000-2005年各城市的连续时间序列数据,构建了城市集聚与扩散的Panel-data模型,并运用该模型分别估算了各城市的相对规模收益和相对外部成本,然后通过收益与成本的对比分析,判断城市发展所处的阶段,找出城市以集聚为主向以扩散为主转换的城市规模.研究发现:目前,除上海市处于扩散阶段外,我国其它城市都处于以集聚为主的发展阶段,且在这些城市中,绝大部分城市的规模收益的增长速度要快于其外部成本.     

Accumulation, Technical Progress, and Increasing Returns in the Economic Growth of East Asia

Adopting homothetic variable returns to scale functional specifications, this study identifies the returns to scale in the aggregate production functions of four East Asian newly industrialized economies–Hong Kong, Korea, Singapore, and Taiwan–and the Group of Five economies based on a maximum likelihood estimation. The study finds evidence of increasing returns in the early developmental stage of the East Asian economies. Separating out the scale contribution from the non-scale factor contributions, the decomposition of the sources of East Asian economic growth differs significantly from the conventional constant returns to scale results, indicating that the role of technical progress is overestimated when constant returns to scale is assumed.     

Winners and losers after 25 years of transition: Decreasing wage inequality in Slovenia

Over the past twenty-five years, wage inequality has fallen in Slovenia, even as it has risen in most developed economies. The rates of return to education and work experience rose and remained high on average. However, rapid increases in the number of college graduates have outpaced the rising relative demand for skill among the youngest labor market entrants. As a result, the youngest cohorts of college graduates have experienced declining returns to education and a downward shift in their occupational distribution, which has not been experienced by older college graduates. These changes coincide with the implementation of the Bologna Reform, which reduced the length of time necessary to complete a bachelor’s degree and contributed to the incentives to attend college. Falling returns to tertiary education contributed to declining within-cohort wage inequality among the young, which was large enough to reduce overall wage inequality.     

Dynamic Factor Demands and Technology Measurement under Arbitrary Expectations

We present a dynamic model of factor demands based on expected discounted costs minimization. While making only very mild assumptions on expectations and technology, we are able to establish a duality relationship between contemporary factor demands and the technology, and we provide formula for easily recovering marginal products, returns to scale, and technological change from estimated factor demands. Parametrization and implementation are illustrated in a detailed example.     

The Returns to Education: Microeconomics

In this paper we focus on education as a private decision to invest in "human capital" and the estimation of the rate of return to that private investment. While the literature is replete with studies that estimate the rate of return using regression methods where the estimated return is obtained as the coefficient on a years of education variable in a log wage equation that contains controls for work experience and other individual characteristics, the issue is surrounded with difficulties. We outline the theoretical arguments underpinning the empirical developments and show that the evidence on private returns to the individual is compelling. Despite some of these issues surrounding the estimation of the return to schooling, our evidence, based on estimates from a variety of datasets and specifications, is that there is an unambiguously positive effect on the earnings of an individual from participation in education. Moreover, the size of the effect seems large relative to the returns on other investments.     

HUMAN CAPITAL MEASUREMENT: A SURVEY

Abstract After a short history of the concept of human capital (henceforth HC) in economic thought ( Section 1 ), this study presents the two main methods for estimating the value of the stock of HC – the retrospective and prospective one – with a review of the models proposed ( Section 2 ). These methods are linked both to the theory of HC investment as a rational choice ( Section 3 ), the literature analysing the contribution of HC investment to economic growth and the HC estimating method through educational attainment ( Section 4 ). The more recent literature on HC as a latent variable is also assessed ( Section 5 ) and a new method of estimation where HC is seen both as an unknown function of formative indicators and as a ‘latent effect’ underlying earned income is proposed ( Section 6 ). Section 7 concludes.