East is West? National feelings and anti-immigrant sentiment in Europe

This article challenges the conventional dichotomy between the civic-Western and ethnic-Eastern forms of national attachments and empirically explores the link between national feelings and anti-immigrant sentiment, as expressed by European publics. We use data from the 1995 and 2003 ISSP modules to: (1) expose the multidimensional nature of national feelings, and (2) investigate the cross-country variation in mean levels and inter-regional heterogeneity in the severity of effects on anti-immigrant sentiment for four dimensions of national feelings. The results show that there are important regional differences in the mean levels and effects exerted by the civic and ethnic national feelings at both points in time. Overall, these findings point to the limited relevance of the conceptual demarcation between the Western-civic and Eastern-ethnic types, as a trend of cross-regional convergence is rather strongly supported. We discuss the implications of the results within the broader context of post-communist transition and eastward enlargement of the European Union.     

Learning from your neighbor: tax-benefit systems swaps in Latin America

Over the last decades, Latin American countries have experienced a noticeable decrease in income inequality. While this trend is mainly associated with a decline in wage inequality, progressive reforms of the tax-benefit systems of the region may have played a role. While redistributive systems in Latin America are still in their infancy, they are constantly expanding and do so at different pace in the region. To investigate this point in a comparative way, the present study exploits newly developed tax-benefit microsimulation models for Ecuador and Colombia. These two neighboring countries show contrasted situations in terms of income distribution and we characterize the extent to which this difference is explained by different tax-benefit systems. The comparative nature of our microsimulation models allows us to swap tax-benefit systems between countries to produce counterfactual simulations whereby the system of a country is applied to the population of the other. In this way, we can decompose the total country difference in income distribution to extract the role of different tax-benefit policies. We confirm that the Ecuadorean system is more redistributive and quantify the difference: if the Ecuadorean system was applied to the Colombian population, the Gini coefficient would be reduced by 1.7 points in Colombia. Headcount poverty would decrease by around 10% and the intensity of poverty by up to 14.7%. This analysis contributes to the recent literature on the redistributive role of tax-benefit systems in Latin America and highlights the role of microsimulation techniques to show how countries in the region can learn from each other in order to improve social protection and reduce income inequality.     

COORDINATION FAILURES AND THE LENDER OF LAST RESORT: WAS BAGEHOT RIGHT AFTER ALL?

The classical doctrine of the Lender of Last Resort (LOLR), elaborated by Bagehot (1873), asserts that the central bank should lend to “illiquid but solvent” banks under certain conditions. Several authors have argued that this view is now obsolete: in modern interbank markets, a solvent bank cannot be illiquid. This paper provides a possible theoretical foundation for rescuing Bagehot's view. Our theory does not rely on the multiplicity of equilibria that arises in classical models of bank runs. We built a model of banks' liquidity crises that possesses a unique Bayesian equilibrium. In this equilibrium, there is a positive probability that a solvent bank cannot find liquidity assistance in the market. We derive policy implications about banking regulation (solvency and liquidity ratios) and interventions of the Lender of Last Resort. Furthermore, we find that public (bailout) and private (bail‐in) involvement are complementary in implementing the incentive efficient solution and that Bagehot's Lender of Last Resort facility must work together with institutions providing prompt corrective action and orderly failure resolution. Finally, we derive similar implications for an International Lender of Last Resort (ILOLR). (JEL: G21, G28)     

The cost–benefit analysis of food safety policies: is it useful?

This article investigates the usefulness of cost–benefit analysis for the assessment of food safety policies, drawing on the experience of professional economists at the UK Food Standards Agency (FSA). After reviewing the history of Impact Assessment at the FSA, the example of the review of the over-thirty-months (OTM) rule is used to illustrate the advantages of the approach. We also highlight issues of uncertainty and intangibility, which create particular difficulties in applying cost–benefit analysis in the area of food safety. The paper concludes, however, that given the limited number of practical alternatives, cost–benefit analysis currently represents the best available approach to the assessment of food safety policies.     

Test de différence de contrastes et somme pondérée de khi-deux

After recalling the framework of minimum-contrast estimation, its consistency and its asymptotic normality, we highlight the fact that these results do not require any stationarity or ergodicity assumptions. The asymptotic distribution of the underlying contrast difference test is a weighted sum of independent chi-square variables having one degree of freedom each. We illustrate these results in three contexts: (1) a nonhomogeneous Markov chain with likelihood contrast; (2) a Markov field with coding, pseudolikelihood or likelihood contrasts; (3) a not necessarily Gaussian time series with Whittle's contrast. In contexts (2) and (3), we compare experimentally the power of the likelihood-ratio test with those of other contrast-difference tests.     

The Catalonia survey: Personality and intelligence structure in a sample of compulsive gamblers

A sample of fifty-seven pathological gamblers and one hundred and fifteen controls (two per pathological gambler, matched as regards age and sex) was investigated. This sample received a complex battery of psychometric tests designed to evaluate two different axes: psychopathology and intelligence. The results obtained show that pathological gamblers have an unstable family and work background, that pathological gambling correlates with other addictions (alcohol, illness prone behavior, absenteeism, risk working, living alone and bereavement), that all the general and specific psychopathology vectors were significant in the addicts, and that the pathological gamblers' intelligence has characteristic factors.We thank Ricardo Cayuela (Line Staff, Barcelona) for his help in collecting the sample; Jordi Daura for data processing work; Mercedes Lemonier, psychologist, for her help in administering and correcting the tests; Consol Marina and Teresa Ruiz for their secretarial assistance and contact with the 172 study subjects.     

Identification of Nonseparable Triangular Models With Discrete Instruments

We study the identification through instruments of a nonseparable function that relates a continuous outcome to a continuous endogenous variable. Using group and dynamical systems theories, we show that full identification can be achieved under strong exogeneity of the instrument and a dual monotonicity condition, even if the instrument is discrete. When identified, the model is also testable. Our results therefore highlight the identifying power of strong exogeneity when combined with monotonicity restrictions.     

Constructing meaningful transitions in a vulnerable situation—The role of lifelong learning policies in European regions

This article draws on interviews with 164 young beneficiaries (of) and 128 professionals in charge of lifelong learning policies in eighteen regions located in nine member states of the European Union in 2017. Drawing on the concept of ‘opportunity structures’, we analyse variations between regional institutional arrangements and interactions between professionals and young adults. Our findings suggest that the crux of lifelong learning policies is the coordination between different policy areas so that they can respond to the multidimensional challenges that young adults face during their life transitions in diverse regional contexts.