Closing the Technology Gap?

This paper focuses on the dimensions shaping the dynamics of technology. We present a model where the knowledge stock of a country grows over time as a function of three main factors: innovation intensity, technological infrastructures, and human capital. The latter two variables determine the absorptive capacity of a country as well as its innovative ability. We then carry out an empirical analysis that investigates the dynamics of technology in a large sample of economies in the last two‐decade period, and studies its relationships with income per capita growth. The results indicate that the cross‐country distributions of technological infrastructures and human capital have experienced a process of convergence, whereas the innovative intensity is characterized by increasing polarization between rich and poor economies. Thus, while the conditions for catching up have generally improved, the increasing innovation gap represents a major factor behind the observed differences in income per capita.     

Equal-treatment policy in a random search model with taste discrimination

We consider a search model of the labor market with two types of equally productive workers and two types of firms, discriminators and non-discriminators. Without policy intervention, there is wage dispersion between and within the two worker groups, but all wage differences become negligible when the taste for discrimination is small. We analyze the effect of an equal-pay policy, both in combination with affirmative action and without. When equal opportunity of hiring cannot be enforced, wage dispersion increases and wages for minority workers fall substantially relative to laissez faire. Sometimes also the wage gap between worker groups widens in response to the policy.     

LIQUIDITY CONSTRAINTS IN A MONETARY ECONOMY*

This article presents a microfounded model of money with a consumption and an investment market. We consider an economy in which only part of the investment returns can be pledged. A liquidity constraint arises when the pledgeable part of the returns are not enough to pay for investment costs. We show that when the liquidity constraint is binding, agents may make a cash downpayment and money can perform two roles—as a provider of liquidity services and exchange services. The liquidity constraint constitutes a channel though which underinvestment occurs even at low inflation rates.     

“全业务竞争”成就电信霸主

电信重组了,随之而来的是其全业务运营.国外运营商在全业务运营方面已经走在了前面,其成失败对国内运营商来说都有很多宝贵经验值得借鉴. 如果把电信市场比喻成一个立方体,横向是固网(长途、市话、IP电话等)、宽带(互联网接入等)、无线(移动通信、卫星通信等);纵向足网络接入、基础业务、增值业务、内容提供等.从重组前的市场结构来看,中国电信、中国网通等同网运营商在接入业务方面缺少蜂窝移动业务经营权,中同移动则缺少固定接入业务经营权.     

A microcomputer‐aided support environment for Xerox quality improvement teams: A case study

Although successful total quality management (TQM) emphasizes the role of teams, the quality literature does not provide a clear picture of the conditions that enable high‐performance teamwork. This case study describes the impacts of a microcomputer‐aided support environment implemented to support quality improvement teams (QITs) at Xerox. The support environment, called the Quality Support Center or QSC, was proposed and implemented explicitly to aid Xerox QITs in intensifying quality practice. The QSC features a comprehensive software tool kit, which, in conjunction with human facilitation, is designed to support correct use of Xerox structured meeting and quality processes and tools and facilitate team coordination over time. Impacts—realized from implementing solutions proposed by QITs using the QSC, as well as impacts on the work of QITs—have been substantial and far‐reaching, indicating that use of the QSC has contributed significantly to the business bottom line and quality intensification. The contribution of contextual enablers to these impacts is assessed using Hackman's [1] influential model; QSC software is described as reinforcing and augmenting these contextual enablers. Practical implications of this study stem from its documentation of the impacts of use of the QSC in the award‐winning TQM environment of Xerox. This study contributes to theory development as well by mapping features of the Xerox TQM environment on to the Hackman model. The mapping suggests the relevance of frameworks drawn from group research for modeling contextual enablers of high‐performance teamwork in TQM settings, especially as the need for theory in assessing QIT performance enablers has been emphasized [2].     

Switching VARMA Term Structure Models

The purpose of this article is to propose a global discrete-timemodeling of the term structure of interest rates which is ableto capture simultaneously the following important features:(i) a historical dynamics of the factor driving term structureshapes involving several lagged values, and switching regimes;(ii) a specification of the stochastic discount factor (SDF)with time-varying and regime-dependent risk-premia; (iii) explicitor quasi explicit formulas for zero-coupon bond (ZCB) and interestrate derivative prices. We develop the switching autoregressivenormal (SARN) and the switching vector autoregressive normal(SVARN) Factor-Based Term Structure Models of order p. The factoris considered as a latent variable or an observable variable:in the second case the factor is a vector of several yields.Regime shifts are described by a Markov chain with (historical)nonhomogeneous transition probabilities. An empirical analysisof bivariate VAR(p) and SVARN(p) Factor-Based Term StructureModels, using monthly observations of the U.S. term structureof interest rates, and a goodness-of-fit and expectation hypothesispuzzle comparison with competing models in the literature, showsthe determinant role played by the observable nature of thefactor, lags, and switching regimes in the term structure modeling.     

Multinational Production, Absorptive Capacity, and Endogenous R&D Spillovers

Do R&D spillovers have an impact on whether firms choose to go multinational or not? We present a three‐stage Cournot duopoly model, which identifies under what conditions firms choose to service a foreign market through exports or localized production. The establishment of a foreign subsidiary improves the ability to learn from foreign R&D since spillovers are strongly moderated by geographical distance. We explicitly model the concept of absorptive capacity, where gains from spillovers are determined by own R&D investments. With exogenous R&D investments, the absorptive capacity effect contributes to increase the gains from going multinational when the firm is R&D‐intensive. However, if R&D investments are endogenous, only medium‐sized absorptive capacity effects will result in firms going multinational. Furthermore, higher spillover rates do not necessarily drive down R&D and profits for the multinational firm. This stands in contrast to models that ignore absorptive capacity effects.     

SMEs’ Financing and Banks’ Profitability: A “Good Date” for Banks in Ghana?

Small and medium enterprises (SMEs) are the core of most economies and are a major source of economic growth. In recent times, banks have been actively involved in the financing of SMEs through the provision of loans to this sector. This paper investigates the impact of SMEs financing on banks’ profitability in Ghana. The study employed the fixed effect model as the main regression tool. The study result reveals that SMEs significantly contribute to banks’ profitability in Ghana. Interestingly, transaction cost in administering SME loans was insignificant in all the models. Higher inflation reduces the real value of the loan and erodes the interest returns on the total credit to the SMEs. Conversely, growth of GDP enhances the growth of the bank profit.     

Operations Research in passenger railway transportation

In this paper we give an overview of state-of-the-art Operations Research models and techniques used in passenger railway transportation. For each planning phase (strategic, tactical and operational), we describe the planning problems arising there and discuss some models and algorithms to solve them. We do not only consider classical, well-known topics such as timetabling, rolling stock scheduling and crew scheduling, but we also discuss some recently developed topics such as shunting and reliability of timetables.
Finally, we focus on several practical aspects for each of these problems at the largest Dutch railway operator, NS Reizigers.