The scoring rules in an endogenous election

Plurality rule is mostly criticized from being capable of choosing an alternative considered as worst by a strict majority. This paper considers elections in which the agenda consists of potential candidates strategically choosing whether or not to enter the election. In this context, we examine the ability of scoring rules to fulfil the Condorcet criterion. We show for the case of three potential candidates that Plurality rule is the only scoring rule that satisfies a version of the Condorcet criterion in two cases: 1) when preferences are single-peaked and, 2) when preferences are single-dipped.

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The response of household parental investment to child endowments

The theoretical and empirical literature on parental investment focuses on whether child-specific parental investments reinforce or compensate for a child’s initial endowments. However, many parental investments, such as neighborhood quality and family size and structure, are shared wholly or in part among all children in a household. The empirical results of this paper imply that such household parental investments compensate for low endowments, as proxied by low birth weight.

On the influence of extreme parties in electoral competition with policy-motivated candidates

We study and compare equilibrium platforms in models of unidimensional electoral competition with two and four policy motivated parties. We first analyze the plurality game, where the party getting the most votes is elected and implements its proposed platform. Restrictions on the set of credible announcements are needed to get existence of equilibria. Comparing equilibria with two and four parties, we obtain that moderate parties react to the introduction of extreme parties by proposing the same or more extreme equilibrium platforms. We then study the proportional system, where the policy implemented is a weighted sum of the proposals, with the voting shares as weights. Here, the existence of extreme parties leads moderate ones to choose more centrist platforms. We finally test the robustness of our results with respect to, first, the enlargement of the strategy space to entry decisions and, second, to asymmetric distributions of voters' blisspoints.

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Export, Import and Economic Growth: The Case of Transition Economies

This study analyses the relationships between export, import and economic growth for the 13 transition economies. Empirical results show that there is a unidirectional causality from economic growth to export. Empirical findings show that the growth-led export hypothesis is valid in those countries and growth is rather shaped by increase in import demand.

The Chinese and Indian Automobile Industry in Perspective: Technology Appropriation, Catching-up and Development

The comparison of the automobile industry in China and India allows us to shed light on the economic processes of emergence at large. There is a stark contrast in the capacities of autonomisation and endogenisation of the sector in the two countries. This contrast serves as an analyser of the relationships between the modes of sector opening and the paths of technological catching-up that is at the core of the phenomenon of emergence.

The optimal design of fallible organizations: invariance of optimal decision criterion and uniqueness of hierarchy and polyarchy structures

We present a general framework to study the project selection problem in an organization of fallible decision-makers. We show that when the organizational size and the majority rule for project acceptance are optimized simultaneously, the optimal quality of decision-making, as determined by the decision criterion, is invariant, and depends only on the expertise of decision-makers. This result clarifies that the circumstances under which the decision-making quality varies with the organizational structure are situations where the organizational size or majority rule is restricted from reaching the optimal level. Moreover, in contrast to earlier findings in the literature that the hierarchy and the polyarchy are generally sub-optimal structures, we show that when the size, structure and decision criterion are simultaneously optimized, the hierarchy and the polyarchy are in fact the only possible optimal organizational structures when decision-making costs are present.

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The crisis of neoliberalism and the future of international institutions: A comparison of the IMF and the WTO

The current crisis of neoliberalism is calling into question the relevance of key international institutions. We analyze the origins, nature, and possible impacts of the crisis through comparing two such institutions: the International Monetary Fund (IMF) and the World Trade Organization (WTO). Both originated in the post-World War II U.S.-led hegemonic order and were transformed as part of the transition to global neoliberalism. We show that while the IMF and the WTO have been part of the same hegemonic project, their distinct institutional features have put them on significantly different trajectories. Historical differences in the two institutions’ systems of rules have placed the IMF in a more vulnerable position than the WTO, which provides clues to the future contours of global economic governance.

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The Banking Network as a Transmission Channel of Migrant Remittances: The Case of Greek and Italian Banks in Albania

The paper examines the role of the banking network of foreign banks, namely Greek and Italian banks, on the transfer of remittances of Albanian immigrants. Remittances through the official network that is formed mainly by the banking network, grew much higher in comparison to non-official network during the period 1994–2006. The paper finds that the growth of the amount of remittances conveyed through the official network as part of the total amount of remittances is related to the evolution of branches of Greek and Italian banks in Albania.

Reduced prizes and increased effort in contests

We study the general class of two-player public-policy contests and specify the asymmetry condition under which a more restrained government intervention that reduces the contestants’ prizes has the “perverse” effect of increasing their aggregate lobbying efforts.

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The economics of gay and lesbian couples: Introduction to a special issue on gay and lesbian households

This article presents a simple conceptual framework integrating three couple-related outcomes analyzed in this volume: wage differentials in earnings related to couple formation, household formation (including cohabitation and registration as Registered Domestic Partnership), and intra-household allocation of income. It also discusses some of the articles’ main findings.

The Chinese Banking System: Economic Performance and Prospects for Future Development

This paper examines the main characteristics of the Chinese banking industry. In particular, it analyses the main performance indicators of the system together with some prospects of future development. The paper also considers the problems related to high levels of non-performing loans and the internationalization paths of the Chinese banking market. In spite of some recent reforms, further legislative improvements are required to develop the system and to allow a gradual opening to foreign competition.

The Non-Existence of the Labor Demand/Supply Diagram,and other Theorems of Institutional Economics

The most famous and influential diagram in modern (neoclassical) labor economics is the model of wage determination by supply and demand. Using concepts and ideas from institutional economics, I argue that the theory of a perfectly competitive labor market is logically contradictory and, hence, the demand/supply diagram cannot exist on the plane of pure theory. Four other fundamental theorems concerning labor markets are also derived, as are implications about the theoretical foundation of the field of industrial relations and the economic evaluation of labor and employment policy.

Informalization and contemporary manners: The Wouters studies

This is a discussion of two books by Cas Wouters, Sex and Manners: Female Emancipation in the West 1890–2000 (London: Sage, 2004), and Informalization: Manners and Emotions since 1890 (Sage, forthcoming 2007, English version).

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The Therapeutic Action of Play in the Psychodynamic Treatment of Children: A Critical Analysis

This paper critically appraises the therapeutic action of play in psychodynamic child therapy and identifies obstacles to utilizing play therapeutically with children. An examination of the functions of action and verbal means of communication as well as their roles in shaping therapeutic relationships in treating children is provided in light of recent theoretical advances. The significance of engaging children directly through play and for redressing the balance between action and verbalization in child therapy is discussed.

The Effects of Licensing on the Wages of Radiologic Technologists

We analyze the effect that state licensing of radiologic technologists (RTs) has had upon RT wages with a unique dataset that allows us to control for place of work and job specialization. Using OLS and several measures of licensing, we find evidence that RTs working in states with licensing statutes earn as much as 3.3% more than RTs working in states without licensing. When we control for endogeneity using instrumental variables (IV) estimation, our estimate of the licensing premium doubles (6.9%). Our results provide further support for existing theories of the effects of occupational licensing on the wages of practitioners.

The inverse plurality rule—an axiomatization

Under the ‘inverse plurality rule’, voters specify only their least preferred alternative. Our first result establishes that this rule is the only scoring rule that satisfies the minimal veto condition (MV). We then prove that the inverse plurality rule is characterized by MV and the four well known conditions that characterize scoring rules; namely, Anonymity (A), Neutrality (N), Reinforcement (RE) and Continuity (CO). Our new characterization result is related to the characterizations of approval voting and of the widely used plurality rule. We finally show how the axiomatization of the inverse plurality rule can be extended to the axiomatization of elementary scoring rules (vote for t-alternatives scoring rules). We are indebted to two anonymous referees for their most useful comments.

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Nonprofit Isomorphism: An Australia–United States Comparison

This paper examines the organizational structures of nonprofit organizations in Australia and the United States. Using random samples of nonprofits drawn from the two organizational populations, the analysis compares the extent of structural resemblance or isomorphism in each. It detects similar levels of isomorphism for several structural characteristics. The paper interprets this finding as reflecting expectations for nonprofit organizations that stretch worldwide.

The Monster Within: Countertransference Reflections on a Gay Adolescent’s Struggle with Sexual Identity

This paper concerns the author’s countertransference reflections on her work with a gay adolescent who identifies with powerfully destructive internal objects, including Hitler and the Monster. The author describes her countertransference inquiry through which she experiences her own potential destructiveness in order to help accommodate her adolescent patient’s rejected and disowned self states.

The Portuguese Disinflation Process: Analysis of Some Costs and Benefits

This study aims to analyse the Portuguese economic policy of disinflation through a nominal stabilization policy of the Portuguese escudo. We study the pegging of the Portuguese escudo to the deutschmark knowing the reputation of the Bundesbank for its anti-inflationary record. The acceptance of German monetary policy allowed the Portuguese economy to achieve its primary goal of price stability. The nominal stability policy of the escudo may serve as an example for other small economies that may be presently involved in the European integration process such as the Czech Republic, Estonia, Hungary, Poland and Slovenia.

Marketing Models: The Culture of Mathematical Economics

This paper explores the culture in which academic economists work, and tries to show how an appreciation of this culture makes their work more understandable and valuable to mainstream sociology. Economists are not interested in representing reality, but in constructing models that simplify reality to isolate mechanisms that account for observed phenomena. Economists have a distinctive epistemic culture, sustained by the discourse through which they talk and think about their work. This discourse mediates the relationship between the mathematical models they devise and the economic phenomena to which they apply. This study reveals economists' culture based on in-depth interviews with academic economists and an ethnographic study of economic departments in Israel.