Aid Allocation by German NGOs: Does the Degree of Official Financing Matter?

Using a new data set for 41 German non‐governmental organisations (NGOs), we analyse the allocation of NGO aid across recipient countries in a Tobit regression framework. By identifying for each NGO the degree of official financing, we address the largely unresolved issue of whether financial dependence on the government impairs the targeting of NGO aid. It turns out that German NGOs are more active in poorer countries, while they do not complement official aid by working under difficult local conditions. Beyond a certain threshold, rising financial dependence weakens their poverty orientation and provides an incentive to engage in ‘easier’ environments. In addition, we find that the NGOs follow the state as well as NGO peers when allocating aid. This herding behaviour is, however, hardly affected by the degree of official financing.     

The Displacement Effect of Public Pensions on the Accumulation of Financial Assets*

The generosity of public pensions may depress private savings and provide incentives to retire early. While there is plenty of evidence supporting the latter effect, there remains considerable controversy over whether public pensions crowd out private savings. This paper uses international micro‐data sets collected over recent years to investigate whether public pensions displace private savings. The identification strategy relies not only on cross‐country differences in generosity but also on differences in the progressivity or non‐linearity of pension formulas across countries. We estimate that an extra dollar of pension wealth depresses accumulated financial assets around the time of retirement by 22 cents. An extra 10,000 dollars in public pension wealth reduces the average retirement age by roughly one month, which implies an elasticity of years of retirement with respect to pension wealth of 0.15.     

Methodological Innovations in Collecting Spending Data: The HRS Consumption and Activities Mail Survey

It has traditionally been believed that collecting survey measures of total spending necessarily involved asking a large number of questions, too many for inclusion of a comprehensive spending measure in a general-purpose survey. In this paper we report on a supplemental survey to the Health and Retirement Study that took up this challenge. We discuss issues that arise designing a survey module to collect spending data with strict time constraints, describe how the implementation in the Consumption and Activities Mail Survey (CAMS) played out, and elicit anomalies that more detailed analysis of data quality revealed. We report how we addressed some of these anomalies in subsequent waves of CAMS. Other anomalies required conducting additional randomized experiments to find what explains the observed patterns. The results highlight the tension between asking about spending using a long time frame, which exacerbates recall bias, versus using a short time frame, which risks relying on an unrepresentative snapshot of a household's spending to proxy the total for the last 12 months. An important complicating factor in deciding which goods should be put into which time frames is that there is substantial heterogeneity in the frequency of spending across households even for the same category of spending.     

A decomposition scheme for large-scale Service Network Design with asset management

In this paper, we address a large-scale freight transportation problem for maximizing the profit of a carrier. We propose two solving algorithms using a decomposition of the problem into three main steps: construction of the network, filling vehicles with commodities and construction of the vehicle plannings. The resolution of these steps involves heuristic schemes, Mixed Integer Programming and Constraint Programming techniques. To evaluate the model and the solution algorithms, we produce instances based on a study of real-life data. The results show that the methods without transhipment provide solutions with a good computation time/quality trade-off.     

Rezensionen

Ohne Zusammenfassung

---

Book reviews

     

Trade as an engine of growth: The lewis versus riedel controversy revisited

Is there a stable quantitative relationship between the exports of developing countries and prosperity in developed countries? The controversy between Lewis and Riedel on this question is taken up anew in this paper and examined in the light of ten years of added data and by estimating additional relationships.     

INCREASES IN WEALTH AMONG THE ELDERLY IN THE EARLY 1990s: HOW MUCH IS DUE TO SURVEY DESIGN?

The Asset and Health Dynamics Among the Oldest Old (AHEAD) study shows a large increase in reported total wealth between 1993 and 1995. Such an increase is not found in other U.S. household surveys around that period. This paper examines one source of this difference. We find that in AHEAD 1993 ownership rates of stocks, CDs, bonds, and checking and saving accounts were under-reported, resulting in under-measurement of wealth in 1993 and a substantial increase in wealth from 1993 to 1995. The explanation for the under-reporting is a combination of question sequence and wording in the AHEAD survey instrument.