Trade liberalization,labor reforms and formal–informal employment dynamics

This paper studies gross worker flows to explain the rise in informality in Brazilian metropolitan labor markets from 1983 to 2002. In particular, we examine the impact of trade and constitutional reforms (that include increased firing costs, tighter restrictions on overtime work, and fewer restrictions on union activity) occurring during the period. We find aggregate sectoral movements to be driven largely by changes in the hiring rates which, in turn are driven largely by the constitutional reforms. Trade liberalization accounts for roughly 1–2.5% of the increase in informality, while the constitutional reforms account for 30–40%.     

An Ayresian View of Gandhian Economics

Economic waste stems from the abuse of power that interferes with the process of social provisioning. For Thorstein Veblen, waste stems from individual efforts to show superiority, corporate efforts to increase pecuniary returns without increasing industry, or national efforts to exert military dominance. For John Maynard Keynes, waste assumes the form of idle factories, unemployed workers, and unsold goods resulting from insufficient demand. From a broader perspective, waste results from the efforts of rentiers to increase their returns. Both dimensions of waste relate to the Fed and other central banks’ efforts to address the problem of social provisioning through the wealth effect. The ideas of Veblen and Keynes provide guidance for evaluating policy directed at enhancing the provisioning process. Based on Veblen’s ideas, policies should promote the life process and not conspicuous consumption. Based on Keynes ideas, policies should stimulate demand, increasing profits and, in turn, creating jobs.     

Useful component analysis: Graphical views of marketing data

The authors present a proof demonstrating the relationship between general components and Fourier series. The process allows the inspection of all general components, not just principal components. The usefulness of Fourier plots for investigating general component structures is shown, and marketing applications of scale analysis, discriminant analysis, and classification analysis are presented.     

HOW WELL DID SOCIAL SECURITY MITIGATE THE EFFECTS OF THE GREAT RECESSION?

Using a computational life cycle model, this article assesses how Social Security affects the welfare of different types of individuals during the Great Recession. Overall, we find that Social Security reduces the average welfare losses for agents alive at the time of the Great Recession by the equivalent of 1.4% of expected future lifetime consumption. Moreover, we show that although the program mitigates some of the welfare losses for most agents, it is particularly effective at mitigating the losses for agents who are poorer and/or older at the time of the shock.     

Efficiency and Productivity Change of Non‐Life Insurance Companies in Japan

In a book published in 1994, Production Frontiers , Färe and colleagues developed an output‐based DEA (data envelopment analysis) technique to compute productivity change. The technique constructs the Malmquist index using Farrell measures of efficiency. The Farrell efficiency measures are derived from linear programming problems which allow slack in output constraints. The possible existence of output slack is less than desirable in the computation of efficiency. Therefore, the present paper constructs also the Russell and Zieschang measures of efficiency, which disallow output slack and compares them with the Farrell measures. The analysis uses data on Japanese non‐life insurance firms during the period 1983–94.     

Relative prices and inflation: new evidence from different inflationary contexts

This paper analyses the relationship between inflation and relative price variability, in the direction of the latter, in two countries with very different inflationary experiences: Argentina and Spain. To address this objective, using disaggregated price indexes (the Wholesale Price Index for Argentina and the Consumer Price Index for Spain), we delimitate different inflationary regimes and compute a set of regressions for each country. Our results suggest evidence in favour of the non-neutrality of inflation (mostly in hyperinflation periods) and do not support either the menu costs or the signal extraction approaches. We also detect significant structural changes in the relationship depending on the inflationary regime.     

Real-world dosing and drug costs with everolimus or axitinib as second targeted therapies for advanced renal cell carcinoma: a retrospective chart review in the US

Objective:

To describe dosing patterns and to compare the drug costs per month spent in progression-free survival (PFS) among patients with advanced renal cell carcinoma (aRCC) treated with everolimus or axitinib following a first tyrosine kinase inhibitor (TKI).

Methods:

A medical record retrospective review was conducted among medical oncologists and hematologists/oncologists in the US. Patient eligibility criteria included: (1) age ≥18 years; (2) discontinuation of first TKI (sunitinib, sorafenib, or pazopanib) for medical reasons; (3) initiation of axitinib or everolimus as a second targeted therapy during February 2012–January 2013. Real-world dosing patterns were summarized. Dose-specific drug costs (as of October 2014) were based on wholesale acquisition costs from RED BOOK Online. PFS was compared between everolimus and axitinib using a multivariable Cox proportion hazards model. Everolimus and axitinib drug costs per month of PFS were compared using multivariable gamma regression models.

Results:

A total of 325 patients received everolimus and 127 patients received axitinib as second targeted therapy. Higher proportions of patients treated with axitinib vs everolimus started on a higher than label-recommended starting dose (14% vs 2%) or experienced dose escalation (11% vs 1%) on second targeted therapy. The PFS did not differ significantly between patients receiving everolimus or axitinib (adjusted hazard ratio (HR)?=?1.16; 95% confidence interval [CI]?=?0.73–1.82). After baseline characteristics adjustment, axitinib was associated with 17% ($1830) higher drug costs per month of PFS compared to everolimus ($12,467 vs $10,637; p?<?0.001).

Limitations:

Retrospective observational study design and only drug acquisition costs considered in drug costs estimates.

Conclusions:

Patients with aRCC receiving axitinib as second targeted therapy were more likely to initiate at a higher than label-recommended dose and were more likely to dose escalate than patients receiving everolimus. With similar observed durations of PFS, drug costs were significantly higher—by 17% per month of PFS—with axitinib than with everolimus.     

An Analysis of the Welfare Effects of Long-Distance Market Entry by an Integrated Access and Long-Distance Provider

This paper discusses the welfare effects of entry by a vertically integrated access and long-distance service provider into the long-distance market. Using a stylized model of these markets, we conclude that substantial net consumer benefits arise when a vertically integrated firm is created by the entry of a LEC into the long-distance market, and these gains are mostly achieved from declines in supra-competitive profits received by long-distance incumbents. We find that these gains dominate losses in producer surplus that could arise even if integrated firm entry were to displace more efficient long-distance providers.