Do Hybrid Organizational Forms of the Social Economy have a Greater Chance of Surviving? An Examination of the Case of Montreal

The objective of this article is to contribute to an understanding of the evolution of a population of social economy enterprises faced with the economic crisis, namely by referring to the case of Montreal. We apply a two-step approach. For one, we use an innovative discrete-time survival model that takes spatial heterogeneity into account. In a second step, this model is used to predict the survival of different forms of the social economy, according to various proposed typologies for identifying hybrid organizational forms. It is understood that certain organizational forms (professional social economy) have fared better than others (emerging social economy). Organizations combining several sources of financing and several forms of paid or volunteer work likewise have greater chances of survival.     

MONETARY POLICY, BANKING, AND GROWTH

There is ample empirical evidence suggesting that countries with high inflation tend to grow slower than countries with low inflation. Based on the regression evidence, the inflation-rate effect is fairly large; on average, per-capita real GDP grows between 1/4- and 3/4- percentage-points slower in a country in which the average inflation rate is 10% as compared with a country in which inflation is 0%. The purpose of this paper is to determine whether a model economy that is reasonably calibrated can account for such large inflation-rate effects. The answer is yes. ( JEL O41, E58)     

REAL EXCHANGE RATE,MONETARY POLICY,AND THE U.S. ECONOMY: EVIDENCE FROM A FAVAR MODEL

This paper examines the effects of exchange rate depreciation to the U.S. economy in a factor‐augmented vector autoregression model using monthly data of 148 variables for the post–Bretton Woods period of 1973–2017. Exchange rate shock is identified to reflect exogenous disturbances to the foreign exchange market, and movements in exchange rate that are not accounted for by changes in the U.S. monetary policy. We find that depreciation is expansionary and inflationary to the broad U.S. economy, the current account improves over time conforming to the J‐curve theory, and monetary policy is leaning against the wind. (JEL E3, E5, F31, F32, F41)     

INDUSTRIAL DYNAMICS AND THE NEOCLASSICAL GROWTH MODEL

This paper studies industry-level dynamics and demonstrates the ability of a modified neoclassical growth model to capture a range of empirical facts. The paper begins by using U.S. data to document skilled and unskilled labor trends within industry sector classifications as well as industry sector output trends. Using Current Population Survey data from 1968 to 2004, it is shown that the ratio of skilled workers to unskilled workers employed has risen in all industries. The absolute increase in this ratio was larger in the more skilled industries, while the growth rate was larger in the less skilled industries. Furthermore, using national income account data, it is shown that relatively high-skilled industries have accounted for an increasing share of output over time. A version of the neoclassical growth model is then constructed to match these observations. One important feature of this model is a structure that introduces new goods into the economy at each moment of time. The model is able to capture a rich set of labor market movements between sectors and between skill levels as well as changes in the relative output shares across industries, yet preserves many nice features of the neoclassical growth model. ( JEL E13, J20, 030)     

THE TURKISH CURRENT ACCOUNT DEFICIT

During the 2011–2015 period, Turkey's current account deficit as a percentage of gross domestic product (GDP) was one of the largest among the Organization for Economic Co‐operation and Development countries. In this paper, we examine if this deficit can be considered optimal using the Engel and Rogers's approach. In this framework, the current account of a country is determined by the expected discounted present value of its future share of world GDP relative to its current share. A country whose income is anticipated to rise relative to the rest of the world is expected to borrow now and run a current account deficit. Our findings suggest that Turkey's current account deficit in 2015 may be considered optimal if the Turkish economy's share in the world economy could continue to grow at rates similar to the past or to the predictions from professional forecasts. The same approach, however, indicates that the current account deficit in 2011, at its peak, was unlikely to be optimal. (JEL F32, F41, F43)     

FORWARD GUIDANCE AND THE STATE OF THE ECONOMY

This paper analyzes forward guidance in a nonlinear model with a zero lower bound (ZLB) on the nominal interest rate. Forward guidance is modeled with news shocks to the monetary policy rule, which capture innovations in expectations from central bank communication about future policy rates. Whereas most studies use quasi‐linear models that disregard the expectational effects of hitting the ZLB, we show how the effectiveness of forward guidance nonlinearly depends on the state of the economy, the speed of the recovery, the degree of uncertainty, the policy shock size, and the forward guidance horizon when households account for the ZLB. (JEL E43, E58, E61)     

The underground economy and social stratification

Few sociological studies escape without some consideration of variables which involve the ranking of people or positions. The intent of this paper is to point out a serious problem in our measurement of status/mobility/stratification/class, a problem which is increasing in its seriousness with the growth of the underground economy. In this paper, we (1) define the underground economy, (2) survey research on its size and growth in the United States, (3) define the problems which the underground economy poses for sociology using stratification research as an example, and (4) point out the promise for sociology of including the underground economy in our research.     

REFORM SUPPORT IN TIMES OF CRISIS: THE ROLE OF FAMILY TIES

We argue that an important determinant of voters' support for economic reform is the strength of family ties. While the “crisis hypothesis” predicts that crises facilitate reform, we show in a political economy model that this relation can break down, and even reverse, when agents take into account the effect of reform on their family members. Applied to southern European countries with strong family ties, the model rationalizes why the extremely high (youth) unemployment following the Great Recession has not led to more substantial labor market reforms. In such countries austerity might block rather than foster additional structural reforms. (JEL D64, D72, J48)     

On natural-social commodities. The form and value of things

This article re-reads Marx's account of the commodity as a socio-natural entity. In doing so, it re-evaluates the status of the political (as opposed to questions of political economy) in Marx's analysis and also reads his argument in light of Actor-Network-Theory's call for the thingness of things to be taken seriously. The paper argues that there is a complex duality to the commodity as it is always comprised of both use-value and exchange-value and hence as both 'natural' and 'social'. It is pointed out that the usual translation of words with the root 'gesellschaft-' as 'social' is unhelpful and that a better term would be 'societal', as this enables Marx, and us, to re-approach the very distinction between the natural, the societal and the social. Marx's notion of 'value as equivalence' is then outlined and it is argued that this crucial stage in his account is often passed over. Value as equivalence is not a mere social production but relies upon the expression of the use-value of one thing in another. This leads to the third move which is an outline of the importance of value-form and social form. It is argued that it is this formation of a commodity (comprising both the natural and the social) which is the key both to understanding it as a specific historical entity as well as offering a powerful, non-reductive, account of the natural, social, material and historical character of things. Overall, the article attempts to develop a novel conception of natural-social commodities which does not premise either side of this dyad and so might help social theorists to talk of real things whilst avoiding charges of essentialism and reductionism as well as possible Latourian critiques of over-generalization.     

The impact of migrants' remittances on the Egyptian economy

"The main objective of this paper is to evaluate the impact of the large remittances made by Egyptian migrants to their home country on the Egyptian economy. In order to study this impact, we use the implications of the standard Keynesian model. We estimated the structural equations of the model using annual data for the Egyptian economy over the period from 1970 to 1984.... The results suggest that remittances have had a strong positive impact on GNP in Egypt." The authors note that remittances especially affect private consumption spending. Policy implications concerning labor migration are discussed. (SUMMARY IN FRE AND SPA)     

Reflexive modernization and the third way: the impasses of Giddens' social-democratic politics

In the light of a critical account of Giddens’ three recent books on politics (1994, 1998, 2000) this paper argues that it is possible to formulate a third way, that is different both form the ad hoc mixture of neo‐liberal and conventional social‐democratic recipes found in the Blair/Schröder type of discourse, as well as from Giddens’ utopianism that is blind to political economy realities. This alternative version of the third way, guided by a non‐economistic holistic framework should stress the continuous relevance of the Left‐Right divide, ie, the continuities between early and late modernity and between the old and new emancipatory struggles against tyranny, exploitation and cultural/symbolic manipulation. It should also attempt to elaborate new reform proposals (in the area of the work, welfare, democracy, the life world) that take seriously into account the contradictions and present distribution of economic, political and cultural power, both on the national and the global level.     

Beyond cheap labour: trade unions and development in the Turkish metal industry

The ability of developing countries to export to more developed parts of the world is often associated with cheap labour. But such very obvious economic advantage is not always the end of the story. A fuller account needs to consider the wider institutional context. In some instances trade unionism can be an important part of this. This paper addresses trade unionism with specific reference to workers employed in large firms in Turkey that are significant exporters of consumer goods to the European market. The union examined is the largest union in the metal industry, an industry that is a driving force in the Turkish economy, and a major centre of trade unionism with over half a million of Turkey's three million trade unionists. The particular ‐ autocratic ‐ character of this union is critically examined and located with reference to wider forces of political economy and the specific constraints and difficulties to which its members are subject. Finally, the significance of this sort of trade unionism for economic ‐ and socio‐political ‐ development is discussed.     

Post-traumatic Stress Disorder in Childhood Sexual Abuse: A Synthesis and Analysis of Theoretical Models

The notion that post-traumatic stress disorder (PTSD) may be found in children who have experienced sexual abuse has become an important issue in research and clinical practice. To date however, there is a lack of consensus on what theoretical model(s), if any, best account for PTSD within this population. As a way of contributing to the existing body of literature pertaining to PTSD and its relationship to childhood sexual abuse, this paper synthesizes and presents a critical analysis of contemporary theoretical models.     

A question of perception: Bourdieu, art and the postmodern

Bourdieu and Darbel's classic study of European art museum audiences, The Love of Art (1991), remains one of the most influential academic studies of the social indices of art perception. Its findings were central to Bourdieu's on-going study of culture-mediated power relations, as found in the book Distinction (Bourdieu 1984), as well as social surveys of the behaviour of museum audiences across the world. Much in Bourdieu's account of art perception, however, has begun to appear dated and in need of supplementation. This paper will be a critical but sympathetic re-reading of Bourdieu's sociology of art perception in the light of recent criticisms of his approach. Whilst fine art and its institutions continue to function as sources of social identification and differentiation, this paper argues that the relationship between perception and stratification is somewhat looser than connoted in Bourdieu's work. Beyond the shift to a less rigid taxonomy of social formations, the immense expansion of the visual arts complex has opened up possibilities for the dissemination of art knowledge beyond the cultivated bourgeois. The erosion of boundaries between the aesthetic and the economic, between art and popular culture, are the result of processes of commodification that have placed museums alongside shopping malls within the realms of consumption and entertainment. New audiences have emerged from this mix with less dichotomized - that is, either cultivated or popular - ways of seeing culture that suggest a revision of Bourdieu's overly integrated account of class and cognition. An alternative, 'postmodern', approach to art perception is entertained, where an aesthetics of distinction is replaced by a culture of distraction, but this abstracts culture from any structural grounding. Capturing the shift to an accelerated cultural present, instead, requires a warping of Bourdieu's categories to account for broader patterns of culture and economy and the accentuation of modern visual culture.     

SOVEREIGN DEBT CRISIS IN A MONETARY UNION: ACCOUNTING FOR EXCESSIVE DEBT,HOUSING BUBBLES,AND THE TRANSMISSION OF CRISES

Despite vast empirical documentation of the recent sovereign debt crisis in southern Europe, there is little research accounting for the following stylized facts in a single coherent framework: continuous borrowing, high growth, housing bubbles, and current account deficits since the beginning of the European Monetary Union ending with a sudden crisis and subsequent contagion of crisis. We fill this gap by proposing a model and fitting it to the data. Using a growth model with collateral constraints of small peripheral economies in the institution of a monetary union, we analyze the multilayer moral hazards underlying excessive borrowing. Since housing bubbles can support a constant loan‐to‐value (LTV) ratio lower than LTV limits, peripheral economies can lock into a steady‐state Ponzi growth equilibrium with high growth and current account deficits, but these economies become vulnerable to crises. We identify the “self‐fulfilling crisis region” (SFCR), in which the economy grows fast with a seemingly safe LTV ratio, but with a vulnerability to crises. Moreover, a crisis in one sector propagates to other sectors by endogenously expanding their SFCRs. We derive some policy implications on LTV regulations and market psychology. Finally, our calibration exercise presents how bubbles develop and burst along with contagion across sectors, accounting for the data. (JEL E44, F34, O16)     

Dynamics of Current Account Deficit: A Lesson from Pakistan

This study investigates the determinants of the current account deficit in Pakistan by using the annual time series data for the period from 1976 to 2010. The cointegration results suggest the positive and significant long run relationship of the current account deficit with the exchange rate, trade deficit and fiscal deficit while a significant negative relationship is found with external debt and private saving. The error correction model also confirms the significant positive relationship of the current account deficit with trade deficit and fiscal deficit in the short run. The Granger-causality test shows the bidirectional causal relationship of exchange rate and external debt with current account deficit. While, unidirectional causality is found from current account deficit to trade deficit and private savings. It is recommended that the government needs to be cautious in financing its fiscal deficit. Savings habits should be increased to narrow the investment gap in economy.     

Unemployment as a problem in the development of industrial societies: the English experience

Unemployment, as a concept and as a mass phenomenon, is a relatively new thing in western society. It was largely elaborated and experienced in the period from the 1890s to the 1930s. What did it mean to be ‘unemployed’ before that time?. What was the nature of ‘the economy of the poor’, and how far did unemployment in the household and informal economy balance unemployment in the formal economy? Using largely the evidence of Poor Law policies and practices, this paper considers the attitudes to the unemployed since Elizabethan times, and what this tells us about the conditions of life and work of the labouring population in England before the public recognition and definition of the specific status of being unemployed. It then considers the period, from the 1890s to the 1940s, in which ‘full employment’ came to be inscribed on the banner of all industrial societies. Finally it considers the implications of this account for full employment in the future of industrial societies, and the extent to which we should continue to regard this as a possible or desirable aim.     

CONTROL: the extractive ecology of corn monoculture

This article tells the history of the industrial and biotechnological development of large-scale corn agriculture, from a new materialist perspective. Addressing the large-scale economy of industrial food production as a form of more-than-human configuration, it demonstrates how corn has been made into a quintessential commodity and factor of production for a consumption-based economy. Set within discourses around the climate crisis, this account critically assesses the Anthropocene and its advocacy for human accountability in regards to the exploitation of nonhuman matters. I ask: who is the Anthropos? How does it/he/she meet with its domesticated subjects, or rather makes them into domesticable materials? Telling the history of corn monoculture from a new materialist standpoint exposes this industry’s distribution of agency, power and control across a diversity of human and nonhuman actors. This is at the centre of this article’s three sections: (1) an argument for inscribing extractivism within new materialist literature, (2) an account of the industrialization of corn monoculture, exposing the industry’s main mechanisms and economic endeavours, as well as its ramifications with a biopolitics of invasion and (3) the biotechnological development of the industry and its shifts from a biopolitics of vegetal matter to an informational extractivism and a necropolitics of killable life. Thus I argue that if the industry of corn monoculture belongs to a broader network of detrimental industries characteristic of the Anthropocene, the geological Anthropos is not to be understood as synonymous with the human species, but as a very restrictive ecology of humans and nonhumans, including corporate, industrial, technoscientific and extractive actors. As such, the article emphasizes the moral necessity of rupturing with the narrative of the Anthropocene, a discourse better suited for supporting existing mechanisms of domination and exploitation constitutive of the economy of climate change.     

The Development of Social Economy in South Korea: Focusing on the Role of the State and Civil Society

The existing literature has claimed that the state-backed social enterprises in South Korea could be degenerated since the South Korean civil society is not advanced enough to safeguard them against the isomorphic pressure wielded simultaneously by the state and the market. Taking this claim seriously, this paper examines the recent development of social economy in South Korea. Based on the considerable changes in the long-standing statist model of non-profit sector since the late 1990s, the enormous impact of 2011 FAC on the civil society and social economy, and more frequent collaborative effort between the local governments and civil society organizations since 2012, this paper claims that the development of social economy in South Korea has recently shifted from dominance of state power to a mixture of top-down and bottom-up approaches.     

Social Capital and economic opportunities

Moving on from [Coleman, J.S., 1990. Foundations of Social Theory. Belknap Press of Harvard University Press, Cambridge, MA, London] and [Putnam, R.D., Leonardi, R., Nanetti, R.Y., 1993. Making Democracy Work Civic Traditions in Modern Italy. Princeton University Press, Princeton, NJ, Chichester], an ever-growing literature claims that repeating trustful interactions in the economy do sediment in higher levels of generalized trust. This aggregate stock of trust is then named Social Capital and treated as an input in the aggregate production function, such as labour, physical capital, or human capital. In this paper we argue that in many instances there is no need for meta-concepts like Social Capital, as trust is often simply the outcome of profit maximization. Whilst approaches that refer to Social Capital ignore the set of economic opportunities, incentives and conflicts behind trust, in this article we propose a simple model to show that when these are taken into account, the roles of trust and Social Capital can be better defined and understood.