Integration of rice markets: the case of southern China

In this article, integration of rice markets in southern China is analyzed using the cointegration technique and monthly price data. Results show that there is a general lack of integration among the indica rice markets in China. Poor transport facilities, government interventions, and the limited amount of grain available for arbitrage are identified as the major impediments to market integration. Policy implications are discussed.     

A decision support system for vehicle relocation operations in carsharing systems

This paper presents a novel three-phase optimization-trend-simulation (OTS) decision support system for carsharing operators to determine a set of near-optimal manpower and operating parameters for the vehicle relocation problem. Tested on a set of commercially operational data from a carsharing company in Singapore, the simulation results suggest that the manpower and parameters recommended by the OTS system lead to a reduction in staff cost of 50%, a reduction in zero-vehicle-time ranging between 4.6% and 13.0%, a maintenance of the already low full-port-time and a reduction in number of relocations ranging between 37.1% and 41.1%.     

INFLATION STABILIZATION AND NOMINAL ANCHORS

This paper analyzes the choice of a nominal anchor in disinflation programs in chronic inflation countries. Both theory and evidence suggest several conclusions. (i) The recessionary effects associated with disinflation appear in the early stages of money-based programs but only in the late stages of exchange rate-based programs. (ii) Lack of credibility is more disruptive under fixed exchange rates than under floating exchange rates. (iii) Attempting to pursue a disinflationary policy while maintaining a given level of the real exchange rate is likely to be self-defeating. (iv) A high degree of currency substitution favors the exchange rate as the nominal anchor.     

North American economic integration and industry location

Does regional economic integration affect the location of economicactivity inside countries? Discussed in this paper is recentacademic literature on whether the movement towards free tradein North America has influenced the spatial organization ofproduction in Canada, Mexico, or the United States. In Mexico,closer economic ties with the United States appear to have contributedto a contraction of employment in the Mexico City manufacturingbelt, a rapid expansion of manufacturing employment in northernMexico, and an increase in the wage premiums paid to skilledworkers. The effects of economic integration on industry locationin Canada and the United States seem to have been much weaker.One exception to this finding is US cities on the Mexican border,whose employment growth is strongly positively correlated withexport production in neighbouring Mexican regions. The implicationof a possible hemispheric free-trade agreement are also discussed.