DOES DIVORCE LAW MATTER?

In this paper we derive an explicit model of negotiations between spouses when unconstrained transfers are possible only in case of separation. We show that inefficient separation may occur in equilibrium even under consensual divorce law. This provides theoretical support for the view that changes in social norms rather than in legislation may be responsible for increasing divorce rates. (JEL: C78, J120)     

Assessing driver's mental representation of Adaptive Cruise Control (ACC) and its possible effects on behavioural adaptations

The introduction of Adaptive Cruise Control (ACC) could be very helpful for making the longitudinal driving task more comfortable for the drivers and, as a consequence, it could have a global beneficial effect on road safety. However, before or during the usage of the device, due to several reasons, drivers might generate in their mind incomplete or flawed mental representations about the fundamental operation principles of ACC; hence, the resulting usage of the device might be improper, negatively affecting the human-machine interaction and cooperation and, in some cases, leading to negative behavioural adaptations to the system that might neutralise the desirable positive effects on road safety. Within this context, this paper will introduce the methodology which has been developed in order to analyse in detail the topic and foresee, in the future, adequate actions for the recovery of inaccurate mental representations of the system.     

An omnibus test of goodness-of-fit for conditional distributions with applications to regression models

We introduce an omnibus goodness-of-fit test for statistical models for the conditional distribution of a random variable. In particular, this test is useful for assessing whether a regression model fits a data set on all its assumptions. The test is based on a generalization of the Cramér–von Mises statistic and involves a local polynomial estimator of the conditional distribution function. First, the uniform almost sure consistency of this estimator is established. Then, the asymptotic distribution of the test statistic is derived under the null hypothesis and under contiguous alternatives. The extension to the case where unknown parameters appear in the model is developed. A simulation study shows that the test has good power against some common departures encountered in regression models. Moreover, its power is comparable to that of other nonparametric tests designed to examine only specific departures.     

The Implications of Temporary Jobs on the Distribution of Wages in Italy: An Unconditional IVQTE Approach

Using Italian data, this paper investigates the wage implications of temporary jobs across the whole pay profile using unconditional quantile regression (UQR) models. Results clearly indicate that the wage penalty associated to temporary jobs is significantly larger at the bottom of wage profile and is almost absent for high‐wage jobs. This is in line with the sticky floors hypothesis, supporting the idea that the wage gap for temporary employees depends on their position in the wage distribution for low‐paid jobs. To recover a causal interpretation, I employ an instrumental variable (IV) strategy. I adopt the unconditional instrumental variable quantile treatment effects (IVQTE) estimator proposed by Frolich and Melly, which corrects for endogenous selection in temporary contracts. The IVQTE estimates yield similar results to standard UQR, even if the wage penalty is larger in size at the bottom of the wage distribution and disappears at the top quantiles. This evidence highlights that policies aimed at increasing flexibility may reinforce the two‐tier nature of the Italian labour market and the relative wage inequality.     

Cyber-Laundering: The Union Between New Electronic Payment Systems and Criminal Organizations

Cosa Nostra, ‘Ndrangheta, Camorra, Sacra Corona Unita, Stidda, Triad, Yacuza, Russian Mafia, American Cosa Nostra, Chinese Triads, Wo Hop To, Sun Yee On, 14 K, these are only some of the criminal organizations considered as the “magnates” (particularly with the meaning in power) of national and international crime and/or organized criminality. Together with the aforementioned criminal organizations, we may consider many other organizations, particularly those of the terroristic type which, although having different characteristic activities as opposed to the former, share the same modalities of financing and/or laundering of the gains deriving from the activities carried out. Studies and research, but mainly financial police operations, have often brought out the channels, systems and modalities, by means of which great amounts of money of criminal origin or destined to criminality are cleaned up and/or introduced into the financial circuits.      

Assessment of Organizational Trust: Italian Adaptation and Factorial Validity of the Organizational Trust Inventory

Trust influences interactions among individuals and organizations but has been an elusive concept to define and measure. The Organizational Trust Inventory (OTI) measures three dimensions of organizational trust, as defined by Cummings and Bromiley (in: Kramer and Tyler (eds) Trust in Organizations, 1996), believing or feeling that others: keep commitments, negotiate honestly, and do not take excessive advantage. This research presents an original adaptation of the OTI for the Italian people. It can now be used to evaluate trust regarding colleagues, managers, suppliers, subordinates, clients, and organizations. Using a sample of 490 employees and structural equation modeling, we consider the validity of the questionnaire and the theoretical model articulation both across different counterpart and countries. Besides, we develop a new reduced-form of the questionnaire (OTI/R), which offers better psychometric properties than the long form.     

DISCRETE CHOICE WITH SOCIAL INTERACTIONS AND ENDOGENOUS MEMBERSHIPS

This paper is about selection of neighbors in models of social interactions. I study a general equilibrium model of behavior subject to endogenous social influences when heterogeneous individuals can choose whom to associate with, buying associations on a “memberships market”. Social effects in behavior turn out to be a stratifying force: The desire for valuable interactions induces inefficient sorting and may lead to the endogenous emergence of “social traps”. The theory is then used to suggest identification strategies that may solve, in a micro‐founded way, identification and selection problems that typically affect empirical work on social interactions. Such strategies offer a viable alternative when valid instrumental variables or randomized experiments are not available. (JEL: C26, D85, Z13, Z19)     

The National Wilms Tumor Study: a 40 year perspective

The National Wilms Tumor Study (NWTS) was the first pediatric intergroup clinical research unit in North America. It was thus able to collect data concerning children with malignant kidney tumors from each of the then-extant childhood cancer cooperative study groups. Enough patients—about 350 per year—could thus be gathered to study the nature and clinical characteristics of the various kidney malignant tumors of childhood. It also enabled randomized trials of comparative treatment regimens, patients stratified following stipulated risk criteria. The result has been a steadily increasing two-year survival rate to the 90% level while at the same time modulating the intensity of therapy according to well-defined needs. For example, routine post-operative radiation therapy, damaging to normal as well as neoplastic tissues, has been largely eliminated. The proportion of patients given doxorubicin, a cardiotoxic drug, also has been curtailed. These two therapies are now restricted to the 30% of patients who have more advanced or more aggressive disease. All this has been driven to meet the challenge inherent in the motto of pediatric oncology: “Cure is not enough”; that is, the cured child of to-day must not become the chronically ill adult of tomorrow, suffering from the delayed complications secondary to unnecessary, toxic therapies.     

Reconsidering two-agent Nash implementation

In this paper, we reconsider the full characterization of two-agent Nash implementation provided in the celebrated papers by Moore and Repullo (Econometrica 58:1083–1099, 1990) and Dutta and Sen (Rev Econ Stud 58:121–128, 1991), since we are able to show that the characterizing conditions are not logically independent. We prove that an amended version of the conditions proposed in these papers is still necessary and sufficient for Nash implementability. Then, by using our necessary and sufficient condition, we show that Maskin’s impossibility result can be avoided under restrictions on the outcomes and the domain of preferences much weaker than those previously imposed by Moore and Repullo (Econometrica 58:1083–1099, 1990) and Dutta and Sen (Rev Econ Stud 58:121–128, 1991).