Dynamics of Wheat Prices in the Wake of Market Reforms: The Case of Pakistan

Using Autoregressive Conditional Heteroskedastic (ARCH) method, this paper examines the effects of market reforms on the distribution of real mean prices and their variability before and after reforms. It is found that market-oriented reforms benefited producers and consumers alike. Empirical evidences, generally, support theoretical assertion that mean prices decline in most urban areas and increase in those markets that are located in surplus producing areas. The results also showed that market reforms lead to more price volatility.     

Quantifying Structural Change in U.S. Agriculture: The Case of Research and Productivity

Previous work on structural change in agriculture has failed to distinguish long-run trends from structural breaks leading to new trends. We measure structural changes as statistically significant breaks in either stochastic or deterministic time trends, and apply these measures to agricultural productivity and research. Productivity has a break in 1925 accompanying agriculture's early experience with the Great Depression. Research trends shifted in 1930 as the Depression and new technology began to strongly influence efficient farm size and capitalization. After modeling lags between research and productivity impacts in a vector autoregression (VAR), we compare our results to earlier work by developing a procedure to estimate the rate of return to research from the impulse response function of the VAR.     

Agricultural Prices in Transition Economies: The Case of Bulgaria and Slovenia1,2

The paper studies the extent to which the transition in agricultural prices has satisfactorily been implemented in Bulgaria and Slovenia and the degree to which actual prices reflect the equilibrium conditions of the market. In Bulgaria, a model in which the new and old regime can co-exist, was estimated using the Kalman filter while in Slovenia, a market clearing supply-demand model for each agricultural product is estimated. The quantitative results show that the liberalisation process in agricultural prices is implemented in Bulgaria in a satisfactory way. The way of price determination is shifting from a cost-based approach to a market clearing one. The conclusions for Slovenia suggest that, at least for the period studied, convergence to a market clearing economy, as measured by the state intervention, is not as rapid as desired.     

Total Factor Productivity Growth and Urbanization Economies: A Case of Indian Industries

Based on panel data for fifteen major states in India, this paper provides evidence in favor of the existence of urbanization economies. In eleven of seventeen two-digit industry groups, total factor productivity growth is responsive to urban population or industrial spread. Although the impact of these variables taken to capture agglomeration economies on total factor productivity growth is not monotonic, economic policy would yield a sub-optimal outcome by ignoring the positive effect of the size factor. Urban population or industrial spread benefits firms by possibly improving the quality of labor and enhancing the productive utilization of resources.     

黄金期货价格与我国黄金采选业股票价格关系的实证研究——以山东黄金股票价格为例

本文通过对我国黄金期货价格和相关股票价格之间关系的研究,试图把握其内在规律,为相关行业、企业、市场参与者和市场监管部门提供有价值的市场信息,从而可以正确认识我国目前黄金期货市场的价格发现功能,以及股票市场的运行效率。     

The Information Content of Stock Prices,Legal Environments,and Accounting Standards: International Evidence

Abstract

In this paper, we investigate the impact of accounting standards on the information content of stock prices using a sample of 44 countries from around the world. We find that the adoption of International Financial Reporting Standards or US Generally Accepted Accounting Principles per se does not make stock prices more informative, but that better accounting standards are helpful only in countries having effective legal environments. In particular, we find a significantly negative relationship between stock price synchronicity and the quality of accounting standards in countries with a common-law legal origin and generally better shareholder protection. Our findings are consistent with the theoretical prediction in Zhang [(2013). Accounting standards, cost of capital, resource allocation, and welfare in a large economy. The Accounting Review, 88(4), 1459–1488] that improving accounting standards effectively would increase social welfare in general.     

Productivity dispersion: facts,theory, and implications

This paper discusses the stylized facts, the theory, and the remaining problems of productivity dispersion, which is essentially related to the concept of equilibrium in the neoclassical theory. Empirical study of data relating to Japanese firms shows that they all obey the Pareto law, and also that the Pareto index decreases with the level of aggregation. In order to explain these two stylized facts we propose a theoretical framework built on the basic principle of statistical physics and on the concept of superstatistics, an approach that accommodates fluctuations of aggregate demand. We show that the allocation of production factors depends crucially on the level of aggregate demand, and that the higher the level of aggregate demand, the closer the economy is to the frontier of the production possibility set.     

Wages,Prices and Politics: Evidence from Norway

This paper studies the empirical relevance of the close ties between a central trade union and the social democratic political party using time series data for Norway. Using a structural wage-price model we estimate that changing from a bourgeois to a social democratic government reduces manufacturing wages in the long run by 2.3 percent. This result is consistent with a wage bargaining model augmented by political preferences of the union leaders. Private service wages are not directly affected by government type, but wage spillover effects imply that the long-run dampening effect in the private service sector is around 2 percent. The results also support the proposition of the Scandinavian model of inflation that the traded goods sector is the wage leader.     

Depreciation, Maintenance, and Housing Prices

This paper investigates the effect of homeowner maintenance and improvements on the depreciation rate for housing and on house price indexes. We examine three specifications of a hedonic house price model: one that includes a variable for age, as a proxy for depreciation, and an age–maintenance interaction variable; one that considers depreciation but ignores maintenance; and one that ignores both depreciation and maintenance. The remarks of the listing agent as to the property's condition is our proxy for the level of maintenance characterizing the home. In our sample, we find that poorly maintained homes depreciate at a much faster rate than do homes with average maintenance, and that well-maintained homes depreciate somewhat more slowly. Omitting maintenance from the variable specification has little impact on hedonic house price indexes constructed with our data, but failing to consider dwelling age imparts a significant and growing downward bias to the indexes. Monte Carlo simulations investigating various data specifications support our empirical findings.     

Bubbles and Crises: The Role of House Prices and Credit

This paper utilizes quarterly panel data for 20 OECD countries over the period 1975:Q1–2014:Q2 to explore the importance of house prices and credit in affecting the likelihood of a financial crisis. Estimating a set of multivariate logit models, we find that booms in credit to both households and non‐financial enterprises are important to account for when evaluating the stability of the financial system. In addition, we find that global housing market developments have predictive power for domestic financial stability. Finally, econometric measures of bubble‐like behavior in housing and credit markets enter with positive and highly significant coefficients. Specifically, we find that the probability of a crisis increases markedly when bubble‐like behavior in house prices coincides with high household leverage. Copyright © 2016 John Wiley & Sons, Ltd.     

On Modelling Speculative Prices: The Empirical Literature

Traditionally, financial theory and in particular asset pricing models have assumed (implicitly or explicitly) a certain probabilistic structure for speculative prices. The probabilistic structure is usually defined in terms of specific statistical models and relates to the dependence, heterogeneity and the distribution of such prices. The primary objective of this paper is to trace the development of various statistical models proposed since Bachelier (1900), in an attempt to assess how well these models capture the empirical regularities exhibited by data on speculative prices.     

The Residual: On Monitoring and Benchmarking Firms,Industries, and Economies with Respect to Productivity

Productivity is an important component of profitability, and therefore an important variable for monitoring and benchmarking exercises. This survey discusses the basic accounting model as well as the various measurement problems one gets involved in. By virtue of its structural features, this model is applicable to individual firms and aggregates such as industries or economies.Though the measurement of productivity change and productivity differences is important, still more important is their explanation. Thus, first, this article reviews recent results relating to the decomposition of aggregate productivity change into components due to firm dynamics and intra-firm productivity change, results which were obtained by studying longitudinal enterprise microdata sets. Second, this article reviews a number of methods for decomposing productivity change and productivity differences, whether at the individual firm level or at aggregate level, into partial measures relating to technological change and efficiency change. The combination of both research strategies seems to be a promising undertaking.     

Production,Prices and Time: A Comparison of Some Alternative Concepts

This paper compares alternative concepts of production and prices with a special emphasis on time. First, it is demonstrated that the point-input point-output representation of processes used in von Neumann-Sraffa models is not restrictive and can be derived from general flow-input flow-output processes. Second, the concept of long-period positions, which can be traced back to the work of the classical authors, is discussed. Third, the von Neumann-Sraffa approach is compared with the neo-Austrian model and the flow-fund model developed by Hicks and Georgescu-Roegen respectively. It turns out that these latter two models are, at best, a special case of the former. Finally, some problems and intricacies concerning observable input-output coefficients are discussed and, as an alternative, a possibly applicable method to determine coefficients for general flow-input flow-output processes is presented.     

Productivity, Profitability, and Firm Value

This study examines the role of productivity in the prediction of future profitability and firm valuation. The results indicate that productivity does not provide much information about future profitability incremental to that provided by current profit rate, but explains cross-sectional differences in market value incremental to that explained by book value and current profit rate.     

Stable Prices, Money, and the Cost of Living

A bstract .   An analysis of indexed units of account such as that proposed by Robert Hall.     

The Relationship of Housing Prices and Transportation Improvements: Location and Marginal Impact

Abstract

In this paper, I examine the relationship between housing prices and transport improvements. The relationship between distance and housing prices is known to be negative for a densely populated area. I will examine whether this relationship holds for a sparsely populated area, and will test whether this relationship is convex with respect to distance. A macro panel dataset from Iceland will be used. The existence of the expected relationship is among the main findings. Thus, transportation improvements between the CBD and other localities have greater marginal impact on the local real price of houses in closer localities compared to those which are farther away.

Rapports marginaux entre prix de l'immobilier et améliorations dans les transports: emplacement et impact marginal

Résumé Dans la présente communication, j'examine le rapport entre le prix de l'immobilier et l'amélioration des transports. On sait que le rapport entre la distance et le prix de l'immobilier est négatif pour les zones à forte densité de population. Je vais examiner si ce rapport reste vrai pour des zones à faible densité, et effectuer des essais afin d’établir si ce rapport est convexe en fonction de la distance. Un ensemble de données de macro panel provenant d'Islande sera utilisé. Une des principales conclusions est l'existence de rapports prévus. Ainsi, les améliorations des transports entre CBD et d'autres lieux ont un impact marginal supérieur sur le prix réel local de l'immobilier dans des localités plus proches, par rapport à des localités plus éloignées.

La relación marginal de los precios de la vivienda y las mejoras del transporte: ubicación e impacto marginal

Extracto En este trabajo examino la relación entre los precios de la vivienda y las mejoras en el transporte. Se sabe que la relación entre la distancia y los precios de la vivienda es negativa en las áreas densamente pobladas. Examinaré si esta relación se mantiene en un área escasamente poblada, y ensayaré si es convexa con respecto a la distancia. Se utilizará un conjunto de datos de macro-panel procedente de Islandia. La existencia de la relación esperada es uno de los principales descubrimientos. Así, las mejoras del transporte entre el CBD (distrito central de negocios) y otras localidades tienen un mayor impacto marginal sobre el precio local real de la vivienda en localidades más próximas, en comparación con las que están más alejadas.

     

The Structure of Urban Land Prices

Recognition of the existence of nonlinear land prices has an impact on the measurement of the rate at which land price declines with distance from the urban center. It is hypothesized that concave parcel prices have given rise to overly large estimates of the rate of price decline with distance, because parcel sizes increase with distance and increased parcel sizes would be associated with lower unit prices as a result of the concavity of the land price function. This hypothesis is empirically tested using vacant residential, commercial, and industrial land sales from within Cook County, Illinois. An important finding is that allowing for concavity greatly reduces, although it does not eliminate, measured rates of price decline with distance.     

International Comparisons of Labour Productivity in Transport and Communications: The US,the UK and Germany

We construct benchmark estimates of labour productivity covering the transport and communications sectors for the US, UK and Germany for 1992 and 1993. The US lead is substantial in rail and trucking, even after adjusting for differences in stage length, but Britain leads in air transport and all three countries have similar productivity levels in local transport. In telecommunications and postal services the US enjoys a large lead over both the UK and Germany. We compare these estimates based on industry data with ones derived from the national accounts and find them similar in communications but not in transport. For 1973–96, and also 1989–96, productivity was growing slower in the US, hence some of the gap has been closed.