Existence and Uniqueness of a Fixed Point for Local Contractions

This paper proves the existence and uniqueness of a fixed point for local contractions without assuming the family of contraction coefficients to be uniformly bounded away from 1. More importantly it shows how this fixed‐point result can apply to study the existence and uniqueness of solutions to some recursive equations that arise in economic dynamics.     

The educational (im)mobilities and status (il)legalities of Cape Verdean youth in Portugal

Education has played a fundamental role shaping Cape Verdean mobilities and recent increases in educational opportunities for poorer sections of the youth population have raised expectations for a better life. Through a discussion of how modern-day education has become a project of self-realisation, the article provides a detailed analysis of a regime of mobility that encouraged Cape Verdeans to study in vocational colleges in Portugal. It illustrates how the protocols signed between local councils in Cape Verde and the colleges created a responsibility vacuum that caused students to slip into illegality, perpetuating the inequalities which the pursuit of education is intended to redress. The ways in which Cape Verdean youth responded – navigating constraints to create the image of a successful life in Portugal against all odds – elucidate how the power of the moral expectation to succeed led them to work the system and to turn secondary education into a stepping stone for their mobility.     

Exercise can improve speed of behavior in older drivers

The main aim of this research was to study the effects of a specific exercise program on the speed of behavior of older adults during on-the-road driving. Twenty-six drivers (55-78 yr old) were randomly assigned to either an exercise group or a control group. The exercise program (3 sessions of 60 min/wk for 8 wk) incorporated tasks that induced the participants to respond quickly to challenging situations. On-the-road driving tasks (under single- and dual-task conditions) included measures of simple and choice reaction time, movement time, and response time. Significant positive effects were found at follow-up resulting from participation in the exercise program: Improvements were found for several measures in all driving tasks, and a composite score reflected a better general drivers' speed of behavior. These results show that exercise can enhance speed of behavior in older drivers and should therefore be promoted.     

The Multi-Sample Block-Scalar Sphericity Test: Exact and Near-Exact Distributions for Its Likelihood Ratio Test Statistic

In this article the authors show how by adequately decomposing the null hypothesis of the multi-sample block-scalar sphericity test it is possible to obtain the likelihood ratio test statistic as well as a different look over its exact distribution. This enables the construction of well-performing near-exact approximations for the distribution of the test statistic, whose exact distribution is quite elaborate and non-manageable. The near-exact distributions obtained are manageable and perform much better than the available asymptotic distributions, even for small sample sizes, and they show a good asymptotic behavior for increasing sample sizes as well as for increasing number of variables and/or populations involved.     

WHY IS FISCAL POLICY OFTEN PROCYCLICAL?

Fiscal policy is procyclical in many developing countries. We explain this policy failure with a political agency problem. Procyclicality is driven by voters who seek to “starve the Leviathan” to reduce political rents. Voters observe the state of the economy but not the rents appropriated by corrupt governments. When they observe a boom, voters optimally demand more public goods or lower taxes, and this induces a procyclical bias in fiscal policy. The empirical evidence is consistent with this explanation: Procyclicality of fiscal policy is more pronounced in more corrupt democracies. (JEL: E62, D73, D78)