University IPRs and knowledge transfer: is university ownership more efficient?

This paper addresses an issue that has been largely ignored so far in the empirical literature on the role of patents in university–industry knowledge transfer: does it matter who owns the patents on university research? We observe that especially in Europe, many patents in which university researchers are listed as inventors are not owned by the university. From a literature review, we conclude that private ownership of university patents may reduce the efficiency of the knowledge transfer process. This hypothesis is put to an empirical test, using data on patents in six European countries. Specifically, we assess whether university-owned patents (in Europe) are more often applied, and/or more economically valuable, than university-invented (but not-owned) patents. Our results indicate that, after correcting for observable patent characteristics, there are only very small differences between university-owned and university-invented patents in terms of their rate of commercialization or economic value.     

Some Basic Economics of Carbon Taxes

This article asks three questions. First, how do carbon taxes drive economic and environmental outcomes? Second, what is the appropriate economic base on which carbon taxes should be levied? Finally, how well does a carbon tax deliver economic and environmental outcomes compared to a comparable emissions trading scheme?     

Conditions for Sustainable Optimal Economic Development

This paper shows that, for dynamic optimizing economies with different types of natural resource, environmental, and human‐made capital stocks, a necessary and sufficient condition for permanently sustaining an optimal utility/consumption level is the stationarity of the current‐value Hamiltonian. For economies whose development is not exogenously and directly affected by time (i.e., time‐autonomous economies), this stationarity condition generalizes Dixit et al.’s (1980 ) “zero‐net‐aggregate‐investment” rule of sustain‐ability, which in turn generalizes Solow‐Hartwick’s sustainability rule. For non‐autonomous economies, the stationarity condition is not generally fulfilled, and the current‐value Hamiltonian under (over) estimates the true welfare level by an amount equal to the discounted value of the net “pure time effect.” For the non‐autonomous case of a time‐dependent utility discount rate, a general condition on the discount rate function (of which the hyperbolic discount rate function is a special case) upholds the results obtained for autonomous cases. The paper concludes with a discussion of policies that promote both optimality and sustainability objectives.     

A Post-Keynesian Response to Piketty's ‘Fundamental Contradiction of Capitalism’

In Capital in the Twenty-First Century, Thomas Piketty presents a rich set of data that deals with income and wealth distribution, output-wealth dynamics and rates of return. He also proposes some ‘laws of capitalism’. At the core of his argument lies the ‘fundamental inequality of capitalism’, an empirical regularity stating that the rate of return on wealth is greater than the growth rate of the economy. This simple construct allows him to conclude that increasing wealth (and income) inequality is an inevitable outcome of capitalism. While we share some of his conclusions, we will highlight some shortcomings of his approach based on a Cambridge post-Keynesian growth-and-distribution model. The paper makes four points. First, r?>?g is not necessarily associated with increasing inequality in functional distribution. Second, Piketty succumbs to a fallacy of composition when he claims that a necessary condition for r?>?g is that capitalists save a large share of their capital income. Third, post-Keynesians can learn from Piketty's insights about personal income distribution and incorporate them into their models. Fourth, we reiterate the post-Keynesian argument that a well-behaved aggregate production function does not exist and cannot explain income distribution.     

World Human Development: 1870–2007

How has wellbeing evolved over time and across regions? How does the West compare to the Rest? What explains their differences? These questions are addressed using a historical index of human development. A sustained improvement in world wellbeing has taken place since 1870. The absolute gap between OECD and the Rest widened over time, but an incomplete catching up—largely explained by education—occurred between 1913 and 1970. As the health transition was achieved in the Rest, the contribution of life expectancy to human development improvement declined and the Rest fell behind in terms of longevity. Meanwhile, in the OECD, as longevity increased, healthy years expanded. A large variance in human development is noticeable in the Rest since 1970, with East Asia, Latin America, and North Africa catching up to the OECD, and Central and Eastern Europe and Sub‐Saharan Africa falling behind.     

Technology flows between sectors and their impact on large-scale firms

In this article we highlight the importance of technology flows between sectors and their impact on the labour productivity of large-scale corporations. Based on theoretical considerations, we explore technological spillovers between the sectors of an economy. Large-scale corporations usually focus on certain sectors but make use of a wide range of technological knowledge from other sectors. Thereby, technological knowledge built up in sectors by continuous R&D activities does not spill over without bounds but is directed by firms’ absorptive capacities. We use firms’ patent portfolio to empirically calculate the sector affiliation and therewith the firms’ absorptive capacities in order to estimate the impact of technology diffusion on labour productivity. Fortune 500 firms serve as data base.     

Human capital and firms’ innovation: evidence from emerging economies

ABSTRACT

We explore the relationship between human capital and firms’ innovation in emerging economies. Most papers consider the formal knowledge developed in R&D laboratories as a major source of innovation. However, a critical portion of knowledge required for innovation resides in human resources and is created outside any formalised R&D activity. We consider that, to improve their technological capabilities, firms should invest in different forms of human capital, namely highly educated workforce and experienced managers, but also in strategic human resource (HR) practices aimed at developing human capital by increasing employees’ firm-specific technical skills and competences. Besides looking at the type of innovation outcomes, we place greater emphasis on the strategies of innovation development, as these should signal an improved firms’ ability, not just to innovate, but to put their own creative effort in the development of innovation. Our results contrast with the traditional view of firms in emerging economies as mainly relying on the external acquisition of innovations, by showing their actual ability to develop new technologies. In this respect, HR practices aimed at fostering employees’ learning and autonomy at work appear more important than the educational attainment of workers, whilst the experience of managers does not seem effective.     

ASSESSING THE VALUE OF ECONOMICS RESEARCH: THE CASE OF THE BIAS IN THE CONSUMER PRICE INDEX

Economists provide sometimes contradictory information about economic systems that contribute to policy design. How does one value this type of knowledge? A political‐economic game is presented that allows for reinforcing and contradictory research messages. Policy makers are assumed to follow a Bayesian decision theory process and the model is tested with quantitative estimates of the value of research on the degree of bias in the Consumer Price Index. Most economists agree that a bias exists, but published estimates vary widely. A blue‐ribbon panel of economists recommended revisions to how the index is calculated, and the Bureau of Labor Statistics subsequently made revisions that differed from their original plans, but how much influence did the panel really have on the revisions? (JEL Z00)     

Patient and parent preferences for immunoglobulin treatments: a conjoint analysis

Abstract

Objectives:

The purpose was to quantify patient and parent preferences for administration attributes of immunoglobulin (IG) treatments; and determine which administration attributes were most important to users of IG treatment and whether patients and parents have similar preferences for administration attributes.

Methods:

US adult patients and parents of children with a self-reported physician diagnosis of a primary immunodeficiency disorder completed a best-practice web-enabled choice-format conjoint survey that presented a series of 12 choice questions, each including a pair of hypothetical IG-treatment profiles. After reviewing current therapies, each profile was defined by mode of administration, frequency, location, number of needle sticks, and treatment duration. Before answering the choice questions, respondents were told to assume all treatments worked equally well. Choice questions were based on a D-efficient experimental design. Preference weights for attribute levels were estimated using random-parameters logit for each sample (adult patients and parents). Tests were performed to determine potential interactions among the administration attributes. All respondents provided online informed consent.

Results:

In total, 252 patients and 66 parents completed the choice questions appropriately. Overall, both groups preferred a home setting, monthly frequency, fewer needle sticks, and shorter treatment durations of IG treatment relative to alternative choices (p?<?0.05). Mode of administration was the least important attribute to both samples; however, parents strongly preferred self-administration to an appointment with a healthcare professional (p?<?0.05), whereas patients slightly preferred self-administration but were indifferent to the two modes.

Limitations:

Respondents evaluate hypothetical treatments and differences can arise between stated and actual choices.

Conclusions:

Considering the hypothetical treatments evaluated, IG treatments that provide the option of a home setting, monthly frequency, fewer needle sticks, and shorter treatment durations may address the needs of both patients and parents. Patients and parents have different preferences for administration attributes of IG treatments.     

Bootstrapping R and adjusted R in regression analysis

In this paper, using the bootstrap method, we consider to estimate the standard errors of R² and which are measures of their precision, and to construct their confidence intervals. It is shown by Monte Carlo experiments that the bootstrap standard errors are considerably accurate estimates of the exact ones. It is also shown that although the bootstrap 95% confidence interval of R² do not include the true value of the parent coefficient of determination in some particular cases, such a phenomenon does not occur when is used.     

Follow the leader? How leadership behavior influences scientists’ commercialization behavior (or not)

In this study we analyze the impact of organization leaders on their fellows’ behavior in academia by utilizing the unique structure of the Max Planck Society. The latter is a leading research organization in Europe with autonomous institutes which center around appointed directors. Using panel data of commercialization activities and royalties received in the period 1980–2007, we observe that both director engagement in disclosure activity and royalty shares received at the institute level lead to a significant increase in invention disclosure by non-directors in the following year. Yet, both effects are only significant when regarding short-term time lags of one year. Utilizing information based on a survey performed with Max Planck scientists in 2007 we find that scientists’ perceived academic relevance of commercialization neither relates to previous director involvement in disclosure activity nor to previous overall disclosure efforts within the institute. We conclude that directors have a short-term impact on fellow scientists’ behavior while there is hardly any long-lasting impact on scientists’ attitude or behavior. Thus, scientists’ adaption to director behavior in academia is rather symbolic.     

Bread and Social Justice: Measurement of Social Welfare and Inequality Using Anthropometrics

We address the question of the measurement of health achievement and inequality in the context of variables exhibiting an inverted-U relation with health and well-being. The chosen approach is to measure separately achievement and inequality in the health increasing range of the variable, from a lower survival bound a to an optimum value m, and in the health decreasing range from m to an upper survival bound b. Because in the health decreasing range, the equally distributed equivalent value associated with a distribution is decreasing in progressive transfers, the paper introduces appropriate relative and absolute achievement and inequality indices to be used for variables exhibiting a negative association with well-being. We then discuss questions pertaining to consistent measurement across health attainments and shortfalls, as well as the ordering of distributions exhibiting an inverted-U relation with well-being. An illustration of the methodology is provided using a group of five Arab countries.     

Examining the association between pain severity and quality-of-life,work-productivity loss,and healthcare resource use among European adults diagnosed with pain

Objective: The goal of this research was to quantify the association between pain severity and several health outcomes in a large sample of patients diagnosed with some form of pain.

Methods: Responses from patients who had been diagnosed with some form of pain (n?=?14,459) were drawn from the 2013 EU National Health and Wellness Survey (NHWS; n?=?62,000). Respondents reported their subjective pain severity in the past week on a numerical rating scale (0–10) as well as the Medical Outcomes Study Short Form (SF-36), Work Productivity and Activity Impairment Questionnaire (WPAI), and healthcare resource utilization in the past 6 months (healthcare professional (HCP) visits, emergency room (ER) visits, and hospitalizations). Associations between pain severity and health outcomes were examined via a series of regression models controlling for a set of demographic and health-related covariates.

Results: After controlling for demographics and comorbidities, pain severity in the past week was shown to be significantly negatively associated with Health Utilities (b = ?0.022, p?b?=?0.18, p?b?=?0.13, p?b?=?0.14, p?b?=?0.08, p?Limitations: This study was a self-report cross-sectional study which may have biased the results and does not allow for causal inferences to be made. Finally, the regression models run were limited to available covariates and, hence, some potentially important covariates may not have been included in these models.

Conclusions: The findings suggest that reducing pain severity could result in an increase in patients’ quality-of-life and work productivity, and a decrease in healthcare resource use. The equations, linking pain and outcomes, were presented in an accessible format so they could be readily applied in healthcare decision-making.     

Healthcare resource utilization and direct costs associated with frequent nausea in episodic migraine: results from the American Migraine Prevalence and Prevention (AMPP) Study

Abstract

Background:

Nausea is a common migraine symptom that is associated with impaired quality-of-life and functional disability. In this study, population-based data were used to elucidate the relationship between nausea frequency and headache-related healthcare utilization and costs in persons with migraine.

Research design and methods:

Participants with episodic migraine who completed the 2009 American Migraine Prevalence and Prevention (AMPP) Study survey rated their headache-related nausea as occurring never, rarely, <half the time, or ≥half the time with their headaches, and completed questions on symptom frequency and healthcare resource utilization.

Main outcomes measures:

Ordinal logistic regression models were used to assess the association between nausea frequency and headache-related healthcare utilization. Healthcare cost equivalents were calculated.

Results:

Among the 6488 respondents with episodic migraine, the number of respondents observed across headache-related nausea frequency strata were 6.9% for never, 14.5% for rarely, 29.1% for <half the time, and 49.5% for ≥half the time. In unadjusted models, the odds of having ≥1 healthcare encounter for headache in the preceding year increased with frequency of nausea for primary care/obstetrics-gynecology visits (OR?=?1.41; 95% CI?=?1.30–1.52, p?<?0.001), nurse practitioner/physician assistant visits (OR?=?1.52; 95% CI?=?1.25–1.85, p?<?0.001), neurology/headache clinic visits (OR?=?1.33, 95% CI?=?1.18–1.51, p?<?0.001), pain clinic visits (OR?=?1.31, 95% CI?=?1.01–1.71, p?<?0.05), emergency department visits (OR?=?1.85; 95% CI?=?1.56–2.19, p?<?0.01), and overnight hospital stays (OR?=?1.50, 92% CI?=?1.12–2.00, p?<?0.01). The odds of having ≥1 lifetime CT scan or MRI also increased with the frequency of nausea (p?<?0.001 for both). Results remained significant in these analyses when controlling for sociodemographics and overall symptom severity except in the case of pain clinic visits (p?<?0.107). Visits for Mental Health and visits for Chiropractic/Alternative care did not differ significantly by nausea group in unadjusted or adjusted models. Mean estimated direct headache-related healthcare cost equivalents per person per year generally increased with increasing headache-related nausea frequency across categories of healthcare utilization. Average per person healthcare cost for nausea ≥half the time vs nausea never was $179 and $49 yearly for outpatient services, $183 vs $20 yearly for overnight hospital stays, and $314 vs $257 for lifetime diagnostic services/imaging.

Conclusions:

Direct costs of migraine increase with increasing frequency of migraine-associated nausea. Both frequency and severity of headache-related nausea should be monitored as part of ongoing care of persons with migraine. Headache-related nausea, like headache pain, should be considered an area of central concern during clinical, diagnostic, and treatment optimization assessments.

Study limitations:

This study relied on self-reported headache frequency and healthcare costs which are subject to recall bias and under-reporting; however, reporting bias is unlikely to be different as a function of nausea frequency. In addition, medication use costs and indirect costs (which may be higher than direct costs for migraine) were not assessed.     

Does Web 2.0 utilisation lead to knowledge quality,improvisational creativity,compositional creativity,and innovation in small and medium-sized enterprises? A sense-making perspective

A few attempts were made to investigate how sense making is triggered through Web 2.0 utilisation and how it enables the accomplishment of key organisational outcomes. The objective of this research is to examine the structural relationship between Web 2.0 utilisation, knowledge quality (KQ) aspects, improvisational creativity, compositional creativity, and small and medium-sized enterprises (SMEs) innovativeness in an emerging market – Malaysia. Built upon sense-making theory, this study proposes that sense making is a progression of four formative constructs. Empirical analyses are based on a sample from SMEs’ top management (N?=?358, response rate?=?21%) using partial least squares approach. The findings indicate that Web 2.0 utilisation influences business entities’ sense-making activities in the way they realise the intrinsic value of knowledge and take action to apply the organisational knowledge. These sense-making activities are conducive to improvisational and compositional creativity of SMEs as well. Contributions, managerial implications, and limitations are discussed.     

Aggregation of semiorders: intransitive indifference makes a difference

Summary A semiorder can be thought of as a binary relationP for which there is a utilityu representing it in the following sense:xPy iffu(x) –u(y) > 1. We argue that weak orders (for which indifference is transitive) can not be considered a successful approximation of semiorders; for instance, a utility function representing a semiorder in the manner mentioned above is almost unique, i.e. cardinal and not only ordinal. In this paper we deal with semiorders on a product space and their relation to given semiorders on the original spaces. Following the intuition of Rubinstein we find surprising results: with the appropriate framework, it turns out that a Savage-type expected utility requires significantly weaker axioms than it does in the context of weak orders.We wish to thank Tatsuro Ichiishi, Jorge Nieto, Ariel Rubinstein, Efraim Sadka and especially David Schmeidler and anonymous referees for stimulating discussions and comments. I. Gilboa received partial financial support from NSF grants nos. IRI-8814672 and SES-9113108, as well as from the Alfred P. Sloan Foundation.     

Happiness, freedom and control

How do people value freedom of choice? Drawing on economics and psychology the paper provides an hypothesis and empirical evidence on how individuals may value freedom of choice and derive utility from it. It is argued that the degree of perceived control that individuals have over choice – a construct known as the locus of control in psychology – regulates how we value freedom of choice. People who believe that the outcome of their actions depends on internal factors such as effort and skills (the ‘internals’) have a greater appreciation of freedom of choice than people who believe that the outcome of their actions depends on external factors such as fate or destiny (the ‘externals’). We find some evidence in support of this hypothesis using a combination of all rounds of the World and European Values Surveys. A variable that measures freedom of choice and the locus of control is found to predict life satisfaction better than any other known factor such as health, employment, income, marriage or religion, across countries and within countries. We show that this variable is not a proxy of happiness and measures well both freedom of choice and the locus of control. ‘Internals’ are found to appreciate freedom of choice more than ‘externals’ and to be happier. These findings have important implications for individual utility, social welfare and public policies.     

LOST IN TRANSLATION? TEACHER TRAINING AND OUTCOMES IN HIGH SCHOOL ECONOMICS CLASSES

Using data from a 2006 survey of California high school economics classes, we assess the effects of teacher characteristics on student achievement. We estimate value‐added models of outcomes on multiple choice and essay exams, with matched classroom pairs for each teacher enabling random‐effects and fixed‐effects estimation. The results show a substantial impact of specialized teacher experience and college‐level coursework in economics. However, the latter is associated with higher scores on the multiple‐choice test and lower scores on the essay test, suggesting that a portion of teachers' content knowledge may be “lost in translation” when conveyed to their students. (JEL A21, I21)     

Medical chart validation of an algorithm for identifying multiple sclerosis relapse in healthcare claims

Abstract

Objective:

Relapse is a common measure of disease activity in relapsing-remitting multiple sclerosis (MS). The objective of this study was to test the content validity of an operational algorithm for detecting relapse in claims data.

Methods:

A claims-based relapse detection algorithm was tested by comparing its detection rate over a 1-year period with relapses identified based on medical chart review. According to the algorithm, MS patients in a US healthcare claims database who had either (1) a primary claim for MS during hospitalization or (2) a corticosteroid claim following a MS-related outpatient visit were designated as having a relapse. Patient charts were examined for explicit indication of relapse or care suggestive of relapse. Positive and negative predictive values were calculated.

Results:

Medical charts were reviewed for 300 MS patients, half of whom had a relapse according to the algorithm. The claims-based criteria correctly classified 67.3% of patients with relapses (positive predictive value) and 70.0% of patients without relapses (negative predictive value; kappa 0.373: p?<?0.001). Alternative algorithms did not improve on the predictive value of the operational algorithm. Limitations of the algorithm include lack of differentiation between relapsing-remitting MS and other types, and that it does not incorporate measures of function and disability.

Conclusions:

The claims-based algorithm appeared to successfully detect moderate-to-severe MS relapse. This validated definition can be applied to future claims-based MS studies.