Fixed-step anonymous overtaking and catching-up

We investigate criteria for evaluating infinite utility streams that satisfy fixed-step anonymity and include some notion of overtaking or catching-up. We do so in a generalized setting that does not require us to specify the underlying finite-dimensional criterion (e.g. utilitarianism or leximin). We present axiomatizations that rely on weaker axioms than those in the literature, and which in one case is new. We also provide a complete analysis of the relationships between the symmetric parts of these criteria and likewise for the asymmetric parts.     

Foreign capital inflow,skilled–unskilled wage inequality and unemployment of unskilled labour in a fair wage model

This paper has developed a three-sector general equilibrium framework that explains unemployment of both skilled and unskilled labour. Unemployment of unskilled labour is of the Harris–Todaro (1970) type while unemployment of skilled labour is caused due to the validity of the FWH in the high-skill sector. There are two types of capital one of which is specific to the primary export sector while the other moves freely among the different sectors. Inflows of foreign capital of either type unambiguously improve the economic conditions of the unskilled working class. However, the effects on the skilled–unskilled wage inequality and the extent of unemployment of both types of labour crucially hinge on the properties implied by the efficiency function of the skilled workers.     

Implied volatility and future portfolio returns

Prior studies find that the CBOE volatility index (VIX) predicts returns on stock market indices, suggesting implied volatilities measured by VIX are a risk factor affecting security returns or an indicator of market inefficiency. We extend prior work in three important ways. First, we investigate the relationship between future returns and current implied volatility levels and innovations. Second, we examine portfolios sorted on book-to-market equity, size, and beta. Third, we control for the four Fama and French [Fama, E., French, K., 1993. Common risk factors in the returns on stocks and bonds. Journal of Financial Economics 33, 3–56.] and Carhart [Carhart, M., 1997. On persistence in mutual fund performance. Journal of Finance, 52, 57–82.] factors. We find that VIX-related variables have strong predictive ability.     

Demand for household sanitation in India using NFHS-3 data

India has the highest number of people defecating in the open, and the Indian Government is trying to eradicate by constructing toilets for its citizens. This paper is about whether the government is likely to succeed in its cleanliness drive mission by a supply-side policy. We examine the household preference and other the factors leading to open defecation in India. We examine preference for having a toilet in the household over the preference of other household durable goods. Our results suggest toilets get a lower preference—ranked 12, out of 21 different types of consumer durables we investigate. The results also indicate a strong case for imparting education and public awareness, especially, among the female cohort. We find the odds of having toilets in a household with an educated woman (18 years of schooling) is 3.1 times more than a household with illiterate or preschool educated women. Among other factors households living in urban areas are 19 times more likely to have toilets in comparison with their rural counterparts.     

Is India Shining?

The popular perception about economic reforms having benefitted only the richer districts of India between 1999/2000 and 2004/2005 is investigated. Using the spatial dynamics of district‐level per‐capita income it was found that income distribution did not change between the years examined. It is argued that this is because of per‐capita income across districts being spatially positively correlated. Physical infrastructure, human capital, and factories are identified as factors responsible for increase in income for both the rich as well as the poor districts. Infrastructure, physical or social, is a key component of growth in India. A policy impact analysis shows development of better drainage and potable water systems has a large impact on income. For the year 2001/02, it was found that for every 1% increase in closed drainage system and potable water, district‐level median income increases by 1.39% and 0.21%, respectively.     

A dynamic semester-long social dilemma game for economic and interdisciplinary courses

The authors present a semester-long game to teach the role of economics in natural resources management. The game is framed within a fisheries context: multiple student fisheries harvest fish to maximize yield/profit, which is measured using a piecewise linear function. There are prizes for both the student and the group with the highest semester-long catch, which brings forth the social dilemma associated with dynamic stock externalities in fisheries. The game can be played in large classes, is robust to student attrition, and requires 5–10?minutes per class period. Given its features, it can be used to teach behavioral economic principles in resource management, incentives versus command-and-control regulations, role of cheap talk, social preferences, punishment, and community management as well as solutions such as aquaculture.     

Information flow,expectations and job search: rural-to-urban migration process in India

"Probabilistic migration models assume that search for urban jobs is entirely an urban-based activity and that employment in free-entry activities is a transitional phase during which migrants are actively searching for formal sector employment. This paper tests the empirical validity of these assumptions using data, collected by the author in a sample survey in Delhi [India] in 1975-76, on 1,400 migrants from rural areas." Evidence is presented "that the migration process postulated in probabilistic models is not realistic in the case of Delhi. Over one-half of the sample had moved to Delhi after lining up specific jobs; a sizeable proportion expected to enter on arrival activities generally considered to be characterized by freedom of entry; and the majority of entrants into free-activities did not search for alternative employment and were engaged in the same activities at the time of the survey."