Vertical and Horizontal Inequality in Ecuador: The Lack of Sustainability

We analyse the evolution of vertical and horizontal inequality in Ecuador in the long-run (1990–2016), as well as during and after the recent commodities boom (2005–2014). Using data from censuses, living standard measurement surveys, and employment surveys we show that Ecuador has made significant progress in reducing inequality, particularly since 2000. However, inequality has not decreased further since 2011. We argue that a key factor behind the reduction and ensuing stagnation of inequality is the dynamic of oil revenues, particularly regarding its effect on economic growth and on the financing of redistributive policies. Using the decomposition of the Gini coefficient by income source proposed by Lerman and Yitzhaki (Rev Econ Stat 67:151–156, 1985) we show that during the last decade there has been a shift away from market sources towards sources of income derived from government expenditures. Following the end of the commodities boom, this process is no longer sustainable. Indeed, we show that the underlying causes that led to the change in the sources of income started long before the end of the boom. The temporary shock following the 2008 financial crisis already affected the structure of Ecuador’s public finances and its current account. And, since around 2011, its institutions and labour market indicators have also deteriorated. We conclude that sustainable inequality reductions require improving the current institutions.

     

Explaining welfare recidivism: what role do unemployment and initial spells have?

The question of high welfare re-entry rates has attracted great attention from economists and policymakers. Using a very rich administrative data set for the minimum income program of the Madrid Government (over 50,000 spells), this paper aims to broach various questions arising from the issue of welfare re-entry. We try to identify what factors determine observed differences in the durations of the first off-welfare spell. We analyze the combined effects of the length and type of exit of the first spell, unemployment, and sociodemographic characteristics. The experience of the first spell and, to a lesser extent, employability can contribute toward lengthening the time spent outside the program. Our results also show that off-welfare spells of households leaving the program in periods of low economic growth will be longer than those that do so during economic expansions. With the exception of unemployment effects, our estimates yield very similar results to those obtained in the U.S. studies, suggesting that U.S. welfare policies and analyses are not entirely irrelevant for European discussions of welfare policies.     

Resource Dependence In Non-profit Organizations: Is It Harder To Fundraise If You Diversify Your Revenue Structure?

This article explores how fundraising efficiency is affected by changes in diversification of revenues in non-profit organizations. It uses random effect regression and Arellano–Bond models to study this phenomenon in a sample of 10358 US non-profits during the 1997–2007 period. We find a negative impact on fundraising efficiency when NPOs alter their locus of dependence and change their pattern of diversification. This effect is impacted by organizational size and industry. Previous studies have suggested that income heterogeneity is associated with organizational stability and financial strength. Using a change (versus level) model of funding diversity, our work shows that increased diversification leads to a higher operational inefficiency that could be penalized by potential donors.     

The Features of Development in the Pacific Countries of the African,Caribbean and Pacific Group

In this article we present a new proposal for the measurement of development, applied to the Pacific Countries of the African, Caribbean and Pacific Group (ACP), conditional on their insularity, and with privileged relations with the European Union. Our index has been constructed attending to the criteria defined in the Goals of the Millennium Declaration. For this purpose we will use the P₂ distance method for the year 2007, the last year for which data are available. This index integrates socio-economic variables that permit a territorial ordering of the Pacific ACPs, in terms of those partial indicators.     

Locally and maximin optimal designs for multi-factor nonlinear models

This paper considers the search for locally and maximin optimal designs for multi-factor nonlinear models from optimal designs for sub-models of a lower dimension. In particular, sufficient conditions are given so that maximin D-optimal designs for additive multi-factor nonlinear models can be built from maximin D-optimal designs for their sub-models with a single factor. Some examples of application are models involving exponential decay in several variables.     

A Delphi Method Expert Survey to Derive Standards for Flood Damage Data Collection

For the purpose of flood damage analyses reliable, comparable, comprehensive, consistent, and up-to-date data are an indispensable need. Like in many other countries a database with this kind of datasets does not exist in Germany. To establish it, standards have to be set for flood damage data collection. We approached this problem by questioning experts about their information needs for flood damage analysis. This survey is done by applying a Delphi survey approach. The aptitude of the Delphi approach to assess, structure, and standardize expert knowledge is evaluated in this article. In the survey a panel of 55 experts working in the field of flood damage analysis for insurances, engineering companies/consultancy, public water management, and universities and other scientific institutions helped to identify common information needs. The multi-step Delphi method proved to reduce the deviation of answers thereby enabling consensual results and also enhanced the quality by modifying group answers in the direction of experience based answers. There was also a high level of congruence in information needs between experts from different fields of employment that allowed the derivation of common standards.     

Infants’ Style of Emotion Regulation with Their Mothers and Fathers: Concordance between Parents and the Contribution of Father–Infant Interaction Quality

The concordance between infants’ emotion regulation styles with different partners has not been consistently analysed nor have the relational correlates of such potential across‐partners similarities. We explored these issues by assessing 10‐month‐olds’ (59.6 percent boys) emotion regulation styles separately with mother and father and by evaluating mother–infant and father–infant interaction quality. The sample consisted of 50 low‐risk families. Two home visits were conducted and similar procedures were adopted for each visit. Parent–infant interaction quality was assessed during daily routines and during free play; both parents independently completed a temperament questionnaire. Infant emotion regulation was assessed in a semi‐structured problem‐solving task: adaptive vs. maladaptive (under and over‐regulation) styles. As predicted, infants’ emotion regulation with their mothers and fathers were related. However, only father–infant interaction quality predicted infants’ emotion regulation concordance: lower interaction quality was associated with maladaptive concordance compared with non‐concordance and higher interaction quality was associated with adaptive concordance compared with non‐concordance. Our results support the claim that by the end of the first year of life, infants use similar emotion regulation styles with mother and father and point to father–infant interaction as an important correlate of emotion regulation across‐parents.     

The impact of external,internal, and dual relational embeddedness on the innovation performance of foreign subsidiaries: Evidence from a developing country

As parts of a global network, foreign-owned subsidiaries enjoy privileged access to knowledge sources both internal (within their multinational group) and external (involving other organizations in the host location), and this has proven especially relevant in their assumption of greater creative responsibilities that increase the technological capabilities of their multinational group. This study investigates whether external and internal relational embeddedness are mutually reinforcing (complementary) or whether they act separately in explaining superior innovation performance of foreign-owned subsidiaries in terms of a greater propensity to obtain radical innovations. The empirical analysis uses both direct and indirect tests to evaluate the complementarity, as well as a rich firm-level panel data on foreign subsidiaries, extracted from a census of Colombian manufacturing firms for the period 2008–2014. Our findings reveal that external relational embeddedness in isolation (without internal embeddedness) has a positive impact on performance only in terms of incremental innovation, while internal embeddedness alone (without external embeddedness) has no effect on the innovation performance of subsidiaries. However, we find that a complementary and dynamic relationship exists between external and internal linkages to spur radical innovation outcomes, which in turn are related to the competence-creating roles in foreign subsidiaries as prior literature has shown.     

Overeducation of Young Workers in Spain: How Much Does the First Job Matter? Social Indicators Research

This article contributes to recent overeducation literature on the impact of an initial education mismatch on workers’ future careers. Specifically, using the 2009 ad-hoc module of the Spanish Labour Force Survey, we quantify the differences in the probability of overeducation depending on the quality of individuals’ first match. To do this, we apply an extension of the recursive bivariate probit model, which allows potential endogeneity problems to be taken into account, as well as a dissimilar impact of the initial match for workers with different educational attainment. The results indicate that overeducation is a trap, since young workers who were mismatched in their first job are 40.2 percentage points more likely to be overeducated in a later one than those who were not. When decomposing this difference in two parts, one related to the pure effect of the initial mismatch and another one related to workers’ characteristics, we conclude that the pure effect is more important, and it depends on educational attainment.