Health insurance and savings over the life cycle—a semiparametric smooth coefficient estimation

Individuals save for future uncertain health care expenses. This is less efficient than pooling health risk through insurance. The provision of comprehensive health insurance may raise welfare by providing the missing market to smooth out consumption through the life cycle. We employ a semiparametric smooth coefficient model to examine the effects of the introduction of the National Health Insurance in Taiwan in 1995 on savings and consumption over the life cycle. The idea is to estimate the coefficients of health insurance which vary with age. Our results suggest that younger households are more sensitive to the risk reductions, and that they demonstrate a greater response in the reduction of their precautionary saving. Copyright © 2004 John Wiley & Sons, Ltd.     

Simultaneous one-sided prediction intervals for a two-parameter exponential distribution using complete or type II censored data

Summary Simultaneous prediction intervals for observations inl future samples from a two-parameter exponential distribution are considered. The prediction limits depend upon a previously available complete or type II censored sample from the same distribution. An equation is derived from which the prediction factor is determined and exact prediction limits are illustrated with a numerical example.     

Abdominal MR imaging following antegrade air introduction into the intestinal loops

Air was used to distend the gastrointestinal tract and act as a contrast medium to effectively delineate the other abdominal organs/masses and to outline intraluminal or mural lesions. We used a nasogastric tube to introduce air into the stomach. Metoclopramide was administered to propel air throughout the gastrointestinal tract. Bowel peristalsis was then controlled by scopolamine butylbromide. Most of the alimentary tract could be distended by air. The normal bowel walls were barely visible between intraluminal signal-void air and extraluminal high-signal fat. Intraluminal tumor, wall thickening, and adjacent structures could be clearly delineated.     

Retrograde air insufflation in MRI: A technical note

Retrograde air insufflation was employed to distend the colon and the ileum in 18 patients and five volunteers for magnetic resonance examination. Good and moderate marking of the ileum was obtained in 18 cases. The colon was nearly completely distended in every case. Intraluminal tumor, mural thickening, and extraluminal lesion were outlined by intraluminal air and surrounding air-distended bowel. This study shows that retrograde air insufflation is a useful method to mark the colon and most parts of the ileum.     

National Health Insurance and Technology Adoption: Evidence from Taiwan

Generous health-insurance coverage may encourage hospitals to acquire and employ more advanced medical technologies. The authors examine the effects of Taiwan's 1995 implementation of National Health Insurance on technology adoption, ownership, and use by comparing changes in adoption, ownership, and use rates by private hospitals with changes by public nonteaching and public teaching hospitals. Using random-effect panel probit and tobit models, the article finds strong empirical evidence that third-party payment increases the probability of technology adoption, ownership, and use. (JEL H4 , I )     

Intraday return spillovers and its variations across trading sessions

The main purpose of this paper is to study the intraday return spillovers and their real time variations amongst selected technology stocks. Based upon randomly selected technology stocks in terms of multilateral analysis, we find the following evidence. Firstly, we find that positive spillover effects are discernible amongst medium- and large-sized stocks, with the effects being directionally asymmetric between different size groups. Secondly, we find that for most stocks, the full effects of the firm-specific shocks over other stocks are realized within approximately 30 min to 2 h. Finally, we show that the spillover effects tend to follow an M-shaped intraday pattern. Our results suggest that during the opening and closing sessions, trades motivated by information spilled over from other firms are relatively subordinated, with the trading at these times being largely dominated by those based upon common market factor or firm-specific fundamental information.     

Range-based multivariate volatility model with double smooth transition in conditional correlation

This paper proposes a multivariate model named Double Smooth Transition Conditional Correlation Conditional Autoregressive Range (DSTCC-CARR for short). Determined by two transition variables, the correlations smoothly transit from one state to another. Together with the DSTCC-GARCH model, the model is employed to investigate the interdependence between Hong Kong's and international stock markets. It is proved by the empirical analysis that the DSTCC-CARR model is more credible and efficient than the DSTCC-GARCH model. Linkages among Hong Kong's and other world's markets captured by these two models are testified to be consistent with history, and have meaningful interpretations.     

Nonparametric search

We analyze the search problem of a consumer who derives information only from the sequential search process. This paper considers the case of a consumer who uses a nonparametric procedure to estimate the probability distribution. It is shown that a solution to the consumer's problem is a very simple strategy which depends only on the order statistics, on the discounting factor, and on the duration of the search. It leads to a finite search almost surely. This optimal strategy is a myopic rule which is computable and which is characterized by a sequence of strictly increasing reservation prices.     

Gross substitution, Gresham's law, and Hayek's free currency system

Professor Hayek has advocated that citizens be free to use foreign currency as a means of payment in order to put a check on national governments' tendency to rely on the seigniorage for fiscal purposes. His proposed scheme is based on an intuitive reasoning that being able to use foreign currencies makes demand for domestic currency more elastic, thus reducing the monopoly power of national governments on currency issue. This paper demonstrates that this would be true if and only if the foreign currency were a gross substitute for the domestic currency. The paper also shows that the same condition holds for Gresham's law to be valid.