The core of an exchange economy with asymmetric information

This paper studies the core of an exchange economy in which agents are asymmetrically informed about states of nature. An agent's information is modelled as part of his consumption set and thus as part of his consumption plans. If an agent joins a coalition, his information changes according to an exogenously given information rule, a concept introduced by B. Allen. It is shown that an exchange economy with asymmetric information generates a well defined cooperative game and that the core of this game and thus the core of the underlying economy is nonempty. In contrast to recent results, this holds independently of the given information rule.     

In-house information activities in an applied general equilibrium framework

Increasingly, firms' activities consist of information generating and processing activities, and information costs tend to dominate production costs. This indicates the necessity for explicitly incorporating private bureaucracies in economic modelling, if we want to understand economic development. Porat and Rubin's concept of the ‘secondary information sector’, which accounts for non-marketed information services produced in-house, is an attempt to account for and analyse intra-firm information activities at an industry and economy-wide level. The present study extends their work by embedding the sector in a simple computable general equilibrium model, using Japan in 1980 as an illustrative case study. Scenarios modelling changes in sectoral exports and domestic demand are conducted. Advantages and disadvantages of the secondary information sector concept are highlighted and areas for further research are indicated.     

The productivity paradox and the new economy: The Spanish case

This paper studies the impact of the information and communication technologies (ICT) on economic growth in Spain using a dynamic general equilibrium approach. Contrary to previous works, we use a production function with six different capital inputs, three of them corresponding to ICT assets. Calibration of the model suggests that the contribution of ICT to Spanish productivity growth is very relevant, whereas the contribution of non-ICT capital has been even negative. Additionally, over the sample period 1995–2002, we find a negative TFP growth and productivity growth. These results together aim at the hypothesis that the Spanish economy could be placed within the productivity paradox.     

Inflation model of a semicommand economy

A semicommand economy can be defined as a system where the pricing of goods is influenced by the market but where the prices of production factors are under control of the state. The model presents various pricing and economic policy measures to deal with inflation. It is constructed as a dynamic supply-side focused, input-output model which differentiates nominal and real movements. It examines the possible responses of prices and the volume of production to certain measures or programmes to counteract inflation. The cases described are based on the present day Yugoslav economy.     

A patent-based cross impact analysis for quantitative estimation of technological impact: The case of information and communication technology

The increasing syntheses and interactions between various technologies increase the usefulness of cross impact analysis (CIA) as a method for forecasting and analyzing them. Conventional CIA depends on an expert's qualitative judgment or intuition and thus it is difficult to evaluate quantitatively the impact of one technology on another. In this study, we employ patent analysis in CIA to examine such impacts between technologies based on multiple patent classifications. Patent information is used for facilitating quantitative and systematic approach in CIA. The distinctive feature and main contribution of the proposed approach is the overcoming of the limitations of conventional CIA, by employing conditional probabilities based on the patent information. The classification of patents, particularly the multiple classifications, is used to evaluate the relationships between technologies. As an illustration, a patent-based CIA with information and communication technologies (ICTs) was conducted. Firstly, the patent-based cross impact among ICTs was calculated. Secondly, the technology pairs were classified based on the cross impact score between ICTs. Thirdly, a cross impact network was constructed to identify the complex relation among ICTs. Finally, the changes in cross impact scores between technologies over time were analyzed. The results of this research are expected to help practitioners to forecast future trends and to develop better R&D strategies.     

The Socioeconomic Thoughts of Mahatma Gandhi: As an Origin of Alternative Development

This paper tries to present the overall socioeconomic thoughts of Mahatma Gandhi as an origin of alternative development. The first section of the paper provides Gandhi's criticism of modern civilization, that of economics and that of Marxist socialism and communism. The second section analyzes his ideas for a "post-modern" construction of India, where his views on Swadeshi (self-reliance), his theory of trusteeship (theory of class and distribution) and his images of an ideal village economy are examined. The paper, referring to the works of E. F. Schumacher and the Other Economic Summit as well, concludes that Gandhian style of development theories have persistently furnished a critique of "modern" ways of thinking and presented alternative visions of socioeconomic development.     

Circular economy： from an institutional perspective

Circular economy （CE） has been put fonvard as an important environmental and resource strategy in China.Aiming at the high utilization rate of resources and reduction of pollutants,CE means to realize a shift of fundamental paradigm.With the mode of production and consumption from linear to recycling model,the promotion requires transdisciplinary researches which integrate technological,ecological,social-cultural and other sciences.The present study focuses on the implementation of circular economy from an institutional perspective.Institution acts as a crucial factor by providing incentives for technical innovation,leading investment orientation and determining policy effectiveness,etc.This paper mainly discusses about： firstly,the feature of institution,institutional changes and institutional innovation is articulated,together with eco-industrial park strategy,extended producer＇s responsibility and dematerialization principle as innovative institutional arrangements; secondly,as policy plays great role on institutional changing process,the mechanism of policy implementation is needed to be related; as a result,coevolution of institutions and policies is thus presented; at last,a pilot attempt is made to find out some operational avenues in accomplishment of CE through both theoretical and practical methodology,special resolutions are put forward after some projecting difficulties and dilemmas in China are described.     

The structure of the German economy

Exploiting the information contained in an economy’s input-output matrix and using the novel approach developed by Fisher and Marshall (2011), we calculate Rybczynski effects and Stolper–Samuelson effects for Germany in 2007. We show how sectoral output and factor remuneration react to exogenous changes of factor endowments and product prices, respectively. These calculations are implemented using two different models comprising one with labour and capital as the classical production factors and one where we introduce patent stock as an additional factor of production. In the former, we further differentiate between a scenario where all production factors are mobile and one with sector-specific capital. In the latter analysis, we measure the impact of innovation-targeting policy action for sectoral output. Positive Rybczynski effects of patents and high-skilled workers are strongest in knowledge-intensive sectors, while other sectors contract. The introduction of patents as a further production factor has only minor influence on the Rybczynski effects of other factors.     

我国通信部门对经济增长的外溢效应——基于面板数据和动态Feder模型

首先梳理了通信部门对经济增长的外溢性影响的特点,然后选取动态Feder模型,运用1995—2008年我国省级面板数据,对我国通信部门与经济增长之间的关系进行定量分析。结果表明:整体而言,我国通信部门对经济增长具有显著的促进作用,表现为通信部门自身促进经济增长的直接效应,以及通信部门通过技术、信息等多渠道产生的较强的外溢效应;从区域层面看,东、中部地区通信部门的外溢效应显著大于西部地区。     

The End of Transition: An Institutional Interpretation of Energy Sector Reform in Eastern Europe and the CIS

This paper provides an empirical analysis of the growing institutional divergence of systemic transformation in the countries of Eastern Europe and the former Soviet Union. Based upon the institutional theory of economic and legal systemic change, we empirically analyse reforms in a sector where the transformation process proved to be particularly tough: the energy sector. We test to what extent reforms reflect the ideal types seen in Western contexts (e.g. Anglo-Saxon and French), and to what extent new models have emerged. By generalising the results from the energy sector, one key finding emerges: starting from similar reform projects, transition in Eastern Europe has led to fundamentally different outcomes, of which we identify three ideal types: i) the reforming Central/Eastern European market economy; ii) the post-Soviet mixed economy; and iii) the Caspian state economy.     

Market games with asymmetric information: the core

This paper concerns cores of economies with asymmetric information. Alternative definitions of the information available to traders in coalitions and the cooperative games they generate are analyzed. An important technical result states that such NTU games in characteristic function form are well defined. Properties of various cores with asymmetric information are examined. Sufficient conditions on information sharing rules are provided for the induced games to be totally balanced or balanced, so that their cores are nonempty. Incentive compatibility issues are considered. Finally, a perspective on this research area is provided.     

The bargaining set of a large economy with differential information

Summary. We study the Mas-Colell bargaining set of an exchange economy with differential information and a continuum of traders. We established the equivalence of the private bargaining set and the set of Radner competitive equilibrium allocations. As for the weak fine bargaining set, we show that it contains the set of competitive equilibrium allocations of an associated symmetric information economy in which each trader has the “joint information” of all the traders in the original economy, but unlike the weak fine core and the set of fine value allocations, it may also contain allocations which are not competitive in the associated economy. Received: February 15, 1999; revised version: August 9, 1999     

Infrastructure of the digital economy: Some empirical findings with the case of Korea

While different conceptions of the digital economy exist, there is a common ground where discussion on digital economy can be fostered. Taking the notion that digital economy as a continuum from the existing old economy, this paper regards the manufacturing sector of the digital equipment as the digital infrastructure. Upon this, this research attempts to analyze the supply and demand side development patterns of the infrastructure of the digital economy in Korea between 1989 and 2000 with the Bank of Korea's data in order to present the dynamic that brought the growth of digital economy. Research findings show that there has been an unique mechanism in the development of IT sector in Korea, while policy measures have been broadly identical to the promotion of other sectors.     

The Czech economy as an integrated periphery: The case of dependency on Germany

The Czech Republic (CZ) is a small open economy that has been integrated into the European economy predominantly through its ties to Germany. Traditional analysis has focused on the positive aspects of this process and pointed out the favorable indicators of the Czech economy, strongly influenced by a modernist perspective (model of economic development) and neoliberalism (applied economic policies). The aim of this article is a more critical reflection on some important features of the Czech economic model. The application of some currently emerging analytic instruments of international economic relations allows us to point out many problematic features of the Czech economy—in particular its dependence on foreign capital combined with a weak ability to retain it and the low added value created within the CZ. There are indicators suggesting a dependent growth within a rigid pattern of an international division of labor and wealth distribution. We argue that shortcomings of the neoliberal model of development (even) in the case of a well prepared and governed economy are a good reason to bring the insights of dependency theory back into the discussion.     

经济民主与社会主义市场经济的政治经济学含义:基于生产方式视角的分析

长期以来,作为社会主义市场经济的政治经济学含义的主要载体,经济民主的作用并不明显。出现这一现象的原因有二:在理论上,学界关于经济民主的论述强调生产关系视角而忽视生产方式视角。这样的把握方式导致经济民主体系处于悬置的状态;在现实中,将美国型市场经济视为唯一的参照系导致具有后福特主义色彩的经济民主无法进入政策议程。本文认为,以生产方式视角下的经济民主为中心,有选择、有秩序地推进经济民主是当下的现实选择。     

The nature of economic change and management in a new knowledge based information economy

The development of management theory and practice and their informational assumptions are followed over three phases of economic development; (1) the pre-oil crisis experience 1969–1975, (2) the post oil crisis sobering up through most of the 1990s and (3) the emergence of globally distributed production organizations, blurring the notion of the firm to be managed. The change from a belief in a predictable environment and only marginally uninformed actors to an increasing recognition of the fundamental ignorance that enters all business decisions, the consequent business mistakes and that learning between the periods has been of limited value and often misleading is found to be reflected in business information systems.The increased rate of failure among large firms in recent decades appears to be related to the increasing complexity of business decisions, the decreased reliability of learning and the difficulties of controlling the value chain in globally distributed production.     

An experimental test of observational learning under imperfect information

Summary. Nearly all observational learning models assume that individuals can observe all the decisions that have previously been made. In reality, such perfect information is rarely available. To explore the difference between observational learning under perfect and imperfect information, this paper takes an experimental look at a situation in which individuals learn by observing the behavior of their immediate predecessors. Our experimental design uses the procedures of Çelen and Kariv [9] and is based on the theory of Çelen and Kariv [10]. We find that imitation is much less frequent when subjects have imperfect information, even less frequent than the theory predicts. Further, while we find strong evidence that under perfect information a form of generalized Bayesian behavior adequately explains behavior in the laboratory, under imperfect information behavior is not consistent even with this generalization of Bayesian behavior.Received: 29 January 2002, Revised: 12 May 2004, JEL Classification Numbers: C92, D8. Correspondence to: Boaçhan ÇelenWe completed most of this paper when we were both graduate students at New York University. This research was supported by the Center for Experimental Social Sciences (C.E.S.S.) and the C.V. Starr Center for Applied Economics at New York University. We are grateful to Andrew Schotter for his guidance and to an anonymous referee for his comments. We benefited from the expositional suggestions of William Baumol. We also acknowledge helpful discussions of Colin Camerer, Liran Einav, Xavier Gabaix, Douglas Gale, Charles Holt, David Laibson, and Matthew Rabin. We also benefited from suggestions by the participants of the 2002 International ESA Meeting and seminars at several universities.     

Models in evolutionary economics and environmental policy: Towards an evolutionary environmental economics

In this paper we review evolutionary economic modelling in relation to environmental policy. We discuss three areas in which evolutionary economic models have a particularly high added value for environmental policy-making: the double externality problem, technological transitions and consumer demand. We explore the possibilities to apply evolutionary economic models in environmental policy assessment, including the opportunities for making policy-making endogenous to environmental innovation. We end with a critical discussion of the challenges that remain.