The duality of poverty: a replication of Mani et al. (2013) in Colombia

Theory and Decision - Scarcity acts as a mental burden that disrupts how people process information and make decisions (Mullainathan and Shafir in Scarcity: Why having too little means so much....     

Beyond Self‐Reports: Changes in Biomarkers as Predictors of Mortality

The proliferation of biosocial surveys has increased the importance of weighing the costs and benefits of adding biomarker collection to population‐based surveys. A crucial question is whether biomarkers offer incremental value beyond self‐reported measures, which are easier to collect and impose less respondent burden. We use longitudinal data from a nationally representative sample of older Taiwanese (aged 54+ in 2000, examined in 2000 and 2006 with mortality follow‐up through 2011) to address that question with respect to predicting all‐cause mortality. A summary measure of biomarkers improves mortality prediction (as measured by the area under the receiver operating characteristic curve) compared with self‐reports alone, but individual biomarkers perform better than the summary score. We find that incorporating change in biomarkers over a six‐year period yields a small improvement in mortality prediction compared with one‐time measurement. But, is the incremental value worth the costs?     

Perceptions of Migration and Diversity by Local Public Administrators

This article contributes to the recent debate on the perception of migration and diversity; it empirically examines whether public decision-makers and public administrators perceive migration and diversity as related or if they distinguish between them. It also seeks to identify the most important characteristics of respondents with positive attitudes to migration and diversity. The sample of the respondents covers Turkey, Greece, Hungary and Slovakia; those located on the “Balkan migration route” into Europe. Due to different experiences, respondents from countries with large-scale migration perceive migration and diversity differently from those in countries directly threatened by migration or countries without any direct impact of migration. Gender appears to be a statistically significant predictor in the need for high managerial skills to manage migration and diversity. Some size categories of municipalities where a respondent works appear to be statistically significant when ranking the local impacts and local economic benefits of migration.     

Marginal Contributions and Externalities in the Value

Our concern is the extension of the theory of the Shapley value to problems involving externalities. Using the standard axiom systems behind the Shapley value leads to the identification of bounds on players' payoffs around an “externality‐free” value. The approach determines the direction and maximum size of Pigouvian‐like transfers among players, transfers based on the specific nature of externalities that are compatible with basic normative principles. Examples are provided to illustrate the approach and to draw comparisons with previous literature.     

Equilibrium in Continuous‐Time Financial Markets: Endogenously Dynamically Complete Markets

We prove existence of equilibrium in a continuous‐time securities market in which the securities are potentially dynamically complete: the number of securities is at least one more than the number of independent sources of uncertainty. We prove that dynamic completeness of the candidate equilibrium price process follows from mild exogenous assumptions on the economic primitives of the model. Our result is universal, rather than generic: dynamic completeness of the candidate equilibrium price process and existence of equilibrium follow from the way information is revealed in a Brownian filtration, and from a mild exogenous nondegeneracy condition on the terminal security dividends. The nondegeneracy condition, which requires that finding one point at which a determinant of a Jacobian matrix of dividends is nonzero, is very easy to check. We find that the equilibrium prices, consumptions, and trading strategies are well‐behaved functions of the stochastic process describing the evolution of information. We prove that equilibria of discrete approximations converge to equilibria of the continuous‐time economy.     

Robust inference in an heteroscedastic measurement error model

In this paper we deal with robust inference in heteroscedastic measurement error models. Rather than the normal distribution, we postulate a Student t distribution for the observed variables. Maximum likelihood estimates are computed numerically. Consistent estimation of the asymptotic covariance matrices of the maximum likelihood and generalized least squares estimators is also discussed. Three test statistics are proposed for testing hypotheses of interest with the asymptotic chi-square distribution which guarantees correct asymptotic significance levels. Results of simulations and an application to a real data set are also reported.     

A nonparametric symmetry test for absolutely continuous bivariate copulas

Based on the works by Klement and Mesiar (Comment Math Univ Carolinae 47:141–148, 2006) and Nelsen (Stat Pap 48:329–336, 2007) on maximal asymmetry of copulas, we define and study the concept of tri-symmetry and we propose a simple statistic to test symmetry of a bivariate copula, given a random sample of an absolutely continuous bivariate random vector. We also make a power comparison against some other well known nonparametric symmetry tests.