GMM Estimation of Autoregressive Roots Near Unity with Panel Data

This paper investigates a generalized method of moments (GMM) approach to the estimation of autoregressive roots near unity with panel data and incidental deterministic trends. Such models arise in empirical econometric studies of firm size and in dynamic panel data modeling with weak instruments. The two moment conditions in the GMM approach are obtained by constructing bias corrections to the score functions under OLS and GLS detrending, respectively. It is shown that the moment condition under GLS detrending corresponds to taking the projected score on the Bhattacharya basis, linking the approach to recent work on projected score methods for models with infinite numbers of nuisance parameters (Waterman and Lindsay (1998)). Assuming that the localizing parameter takes a nonpositive value, we establish consistency of the GMM estimator and find its limiting distribution. A notable new finding is that the GMM estimator has convergence rate , slower than , when the true localizing parameter is zero (i.e., when there is a panel unit root) and the deterministic trends in the panel are linear. These results, which rely on boundary point asymptotics, point to the continued difficulty of distinguishing unit roots from local alternatives, even when there is an infinity of additional data.     

Multifaceted Reality of Juvenile Delinquency: An Empirical Analysis of Structural Theories and Literature

The adolescent’s world of delinquent behaviors and risk and protective factors around each behavior is very complicated and articulating certain characteristics or contents of effective programs thus has been intricate. This paper reports the findings of a study examining an original model with the three problems of major juvenile delinquent behaviors: substance abuse, tobacco smoking and violent behavior, by testing their risk/protective factors derived from theories and past empirical studies. The satisfactory model fit was confirmed with the Structural Equation Modeling and structure of a multidimensional construct in the hypothesized model, which showed specified causal linkage, was validated. The authors also found 10 mediating effects among risk/protective factors either with theoretical/past literature result rationale or authors assumptions which led both to confirmatory and new findings.     

Crisis in leadership or failure to plan?

During the past ten years, succession planning and managing executive transitions have emerged as important issues in the nonprofit sector. Demographers and economists have speculated for years about the potential effects of the retirement of baby boomers. The time has finally arrived: the oldest of the baby boomers are now eligible for retirement. The question that remains is how this trend will affect the nonprofit sector and the communities they serve. This study examines the issues of turnover and succession planning at the executive level, along with career development among young nonprofit professionals in Charlotte, North Carolina. Not only do the findings suggest that the community may very well see a crisis in leadership, but they also illustrate a growing disconnect between executive leaders and young professionals in nonprofit organizations. In addition to struggling with the realities of working in the nonprofit sector (limited benefits, challenging workloads), most young professionals reported that they felt undervalued by older managers and staff, and very few aspire to the position of executive director. Taken together, these findings have important implications for the local community and the broader nonprofit sector.     

Government Program Usage and Political Voice*

Objectives. Despite the scope of U.S. social spending, we know little about cumulative program usage among individuals or how it may influence their political attitudes or behavior. This article examines program usage among citizens and probes the association of usage with program assessment and the likelihood of voting. Methods. We examine these issues using the 2005 Maxwell Poll, which uniquely asked respondents about both usage of 18 social programs as well as attitudes about such programs and rates of political involvement. Results. The data indicate that direct experience of social programs is fairly common and widespread across the population, but beneficiaries of programs differ in their assessments compared to nonbeneficiaries. Most significant, after controlling for various demographic factors, we find that the greater the number of universal programs citizens have used, the greater the likelihood that they vote; conversely, the greater the number of means‐tested programs they have used, the lower their likelihood of voting. Conclusion. Experiences of social programs may influence voter turnout and may help explain why young and less advantaged citizens vote less than older citizens. Trends in social provision may be fostering inequality of political voice, particularly among younger generations.     

Assessing adults' difficulty in coping with funerals

The death of a loved one requires many adults to make decisions about a variety of details regarding funeral arrangements. Based upon data collected from 348 adults (M age = 34.21) who had attended the funeral of a loved one within the last year, a scale consisting of 50 items regarding the difficulties each had experienced with regard to events prior to, during, and after the funeral, was developed. Cronbach's Alpha coefficient for this measure of difficulty was .96. Principal components analysis of these data indicated that difficulty in coping with funerals could be understood in light of six factors explaining 56% of the common variance among relationships between items: 1) protocol/mechanics of the funeral; 2) general personal and interpersonal difficulties related to the death/funeral; 3) trust in the funeral industry; 4) concerns regarding the cemetery; 5) issues pertaining to grief; and 6) post-funeral personal responsibilities. With regard to both overall difficulty and the above six factors, older adults experienced fewer difficulties, as did those who more actively participated in funeral rituals. In contrast, those who reported more personal and bereavement-related distress experienced more difficulties. Findings of the current study have value both in identifying persons for whom funerals may undermine bereavement adjustment and in identifying appropriate intervention and aftercare services for such individuals.     

LM Test of Neglected Correlated Random Effects and Its Application

This article aims at achieving two distinct goals. The first is to extend the existing LM test of overdispersion to the situation where the alternative hypothesis is characterized by the correlated random effects model. We obtain a result that the test against the random effects model has a certain max-min type optimality property. We will call such a test the LM test of overdispersion. The second goal of the article is to draw a connection between panel data analysis and the analysis of multiplicity of equilibrium in games. Because such multiplicity can be viewed as a particular form of neglected heterogeneity, we propose an intuitive specification test for a class of two-step game estimators.