Bootstrap Testing of Hypotheses on Co‐Integration Relations in Vector Autoregressive Models

It is well known that the finite‐sample properties of tests of hypotheses on the co‐integrating vectors in vector autoregressive models can be quite poor, and that current solutions based on Bartlett‐type corrections or bootstrap based on unrestricted parameter estimators are unsatisfactory, in particular in those cases where also asymptotic χ² tests fail most severely. In this paper, we solve this inference problem by showing the novel result that a bootstrap test where the null hypothesis is imposed on the bootstrap sample is asymptotically valid. That is, not only does it have asymptotically correct size, but, in contrast to what is claimed in existing literature, it is consistent under the alternative. Compared to the theory for bootstrap tests on the co‐integration rank (Cavaliere, Rahbek, and Taylor, 2012), establishing the validity of the bootstrap in the framework of hypotheses on the co‐integrating vectors requires new theoretical developments, including the introduction of multivariate Ornstein–Uhlenbeck processes with random (reduced rank) drift parameters. Finally, as documented by Monte Carlo simulations, the bootstrap test outperforms existing methods.     

A theoretical analysis of the value added intellectual coefficient (VAIC)

Journal of Management and Governance - This paper offers a critical assessment of the value added intellectual coefficient (VAIC) through the analysis of the coherence of the definitions of and...     

On the Use of Shadow Prices for Sustainable Well-Being Measurement

Social Indicators Research - This paper tries to answer the following research question: can multidimensional concepts like well-being or sustainability be measured by using a single metric such as...     

Choosing Aggregation Rules for Composite Indicators

From a formal point of view, a composite indicator is an aggregate of all dimensions, objectives, individual indicators and variables used for its construction. This implies that what defines a composite indicator is the set of properties underlying its mathematical aggregation convention. In this article, I try to revise the theoretical debate on aggregation rules by looking at contributions from both voting theory and multi-criteria decision analysis. This cross-fertilization helps in clarifying many ambiguous issues still present in the literature and allows discussing the key assumptions that may change the evaluation of an aggregation rule easily, when a composite indicator has to be constructed.     

The price for information about probabilities and its relation with risk and ambiguity

In this article, ambiguity attitude is measured through the maximum price a decision maker is willing to pay to know the probability of an event. Two problems are examined in which the decision maker faces an act: in one case, buying information implies playing a lottery, while, in the other case, buying information gives also the option to avoid playing the lottery. In both decision settings, relying on the Choquet expected utility model, we study how the decision maker??s risk and ambiguity attitudes affect the reservation price for ambiguity resolution. These effects are analyzed for different levels of ambiguity of the act. Operating instructions for the elicitation of the reservation price for ambiguity resolution in an experimental setting are provided at the end of the article.     

The TRIPs agreement and technological innovation

In this paper we attempt to evaluate the possible spill-over of the international agreement on Trade-Related Aspects of Intellectual Property rights (TRIPs for short), underwritten in 1994, regarding economic growth for both wealthy and developing countries. We find that the TRIPs convention has prompted, at the same time, innovation in developing countries and a rise in the per capita income for all the economies involved in international commerce. As a by-product of our research we find that, despite the strong growth of resident patents application after 1995 (the year in which TRIPs came into force), most of the increase in the gross domestic product per capita in developing countries is attributable to the international transfer of technologies, via foreign direct investments.     

Strategies of Italian Firms in Romania: Evidence from Selected Case Studies

The aim of this paper is to analyze the internationalization of Italian firms in Romania, operating in the sectors of footwear, furniture and industrial refrigeration. After describing and quantifying the internationalization process between Veneto and Romania, we discuss for each of the sectors, the changes that occurred in the organisation of the production processes within the firms, and particularly how such processes have been fragmented. This article draws on numerous case studies, posits different models of value chain governance, and discusses their implications for regional development and sustainability.     

Techno-sovereignism: the political rationality of contemporary Italian populism

This article provides an original exploration of the self-identified populist coalition leading the Italian government between 2018 and 2019. The analysis, informed by a governmentality approach, starts by scrutinising the economic, social, and cultural issues framed as political “problems” by the coalition, also highlighting the tensions underlying such constructions. The second step charts how this political subject sought to address those problems by deploying an array of political technologies. From examining these two dimensions, the article then can discern the composite rationality—techno-sovereignism—that drove precariously the coalition’s art of government. Finally, the article sketches out some forms of contestation against the techno-sovereignist operations, whose significance may stretch beyond the Italian borders. Overall, although the Italian populist coalition turned out to be ephemeral, the dynamics that characterized its emergence and functioning could still be used heuristically to understand the interactions and reciprocal adjustments possibly used by right-wing and technocratic populist groups to exert political power conjointly.

     

Behavioural Addictions in Adolescents and Young Adults: Results from a Prevalence Study

Our study aims to assess the prevalence of behavioural addictions in an adolescent population, evaluating the effects of gender and age, and to assess the correlations among different behavioural addictions. 2853 high school students were assessed in order to evaluate the prevalence of behavioural addictions such as Pathological Gambling (PG), Compulsive Buying (CB), Exercise Addiction (EA), Internet Addiction (IA), and Work Addiction (WA), in a population of Italian adolescents. The South Oaks Gambling Screen-Revised Adolescent (SOGS-RA), the Compulsive Buying Scale (CBS), the Exercise Addiction Inventory (EAI), the Internet Addiction Test (IAT), and the Work Addiction Risk Test (WART), were compiled anonymously by the students. Overall prevalence was 7.0% for PG, 11.3% for CB, 1.2% for IA, 7.6% for WA, 8.5% for EA. PG and EA were more common among boys, while gender had no effect on the other conditions. CB was more common among younger (<18 years old) students. The scores of all of these scales were significantly correlated. The strong correlation among different addictive behaviours is in line with the hypothesis of a common psychopathological dimension underlying these phenomena. Further studies are needed to assess personality traits and other clinical disorders associated with these problems behaviours.     

Lag Length Selection for Unit Root Tests in the Presence of Nonstationary Volatility

A number of recent papers have focused on the problem of testing for a unit root in the case where the driving shocks may be unconditionally heteroskedastic. These papers have, however, taken the lag length in the unit root test regression to be a deterministic function of the sample size, rather than data-determined, the latter being standard empirical practice. We investigate the finite sample impact of unconditional heteroskedasticity on conventional data-dependent lag selection methods in augmented Dickey–Fuller type regressions and propose new lag selection criteria which allow for unconditional heteroskedasticity. Standard lag selection methods are shown to have a tendency to over-fit the lag order under heteroskedasticity, resulting in significant power losses in the (wild bootstrap implementation of the) augmented Dickey–Fuller tests under the alternative. The proposed new lag selection criteria are shown to avoid this problem yet deliver unit root tests with almost identical finite sample properties as the corresponding tests based on conventional lag selection when the shocks are homoskedastic.