Legalization and human capital accumulation

This paper presents new evidence regarding the effects of legalization on the training of immigrants who were granted legal status through the US Immigration Reform and Control Act (IRCA) of 1986. Our findings point to a large increase in the immigrants’ incidence of training relative to comparable groups of natives following legalization. While training gains are higher for males, wage gains are higher for females. We also show that an important part of these changes in labor market outcomes occurs through occupation changes by newly legalized immigrants.     

Where are we when we litigiously judge? Politics and aesthetics in Hannah Arendt and Jacques Rancière

ABSTRACT

In contrast to the scenario depicted by Carl Schmitt, contemporary theory has contradicted the “thesis of differentiation” between aesthetics and “the political.” Critical theorists claimed aesthetic analysis’ relevance for grasping aspects of the political realm. And political thought took an “aesthetic turn.” Hannah Arendt and Jacques Rancière have been influential figures in this turn. Their thought offers a clear response to the challenges to the aesthetico-political Schmitt poses. To approach Arendt and Rancière’s responses, this essay proceeds in three parts. The first section analyses Arendt’s reading of the connection between aesthetics and politics. Focusing on a major shift in her perspective on judgement, I argue that her account is influenced by the ungrounded character of politics. The second section thematises the role that the relationship of aesthetics and politics has in Rancière’s work. I claim that his writings might be read as a challenge to Arendt’s attempt to “stabilise” politics by distinguishing it from the social question. Finally, the third section explicitly contrasts Arendt and Rancière’s accounts of the aesthetic-political. I conclude by arguing that their projects are crucial resources for formulating a critical theory that should resist the exceptionalist temptation to conceive “the political” as an incontestable nature.     

INCOME AND WEALTH CONCENTRATION IN SPAIN FROM A HISTORICAL AND FISCAL PERSPECTIVE

This paper presents series on top shares of income and wealth in Spain using personal income and wealth tax return statistics. Top income shares are highest in the 1930s, fall sharply during the first decade of the Franco dictatorship, then remain stable and low till the 1980s, and have increased since the mid 1990s. The top 0.01% income share in Spain estimated from income tax data is comparable to estimates for the United States and France over the period 1933–1971. Those findings, along with a careful analysis of all published tax statistics, suggest that income tax evasion and avoidance among top income earners in Spain was much less prevalent than previously thought. Wealth concentration has been about stable from 1982 to 2005 as surging real estate prices have benefited the middle class and compensated for a slight increase in financial wealth concentration in the 1990s. We use our wealth series and a simple model to analyze the effects of the wealth tax exemption of stocks for owners‐managers introduced in 1994. We show that the reform induced substantial shifting from the taxable to tax exempt status, hence creating efficiency costs. (JEL D31, H31, O15)     

Alibaba’s discourse for the digital Silk Road: the electronic World Trade Platform and ‘inclusive globalization’

The digital Silk Road, which involves the internationalization of Chinese internet firms across countries that are party to the Belt and Road Initiative (BRI), has remained underexplored in the literature. This paper employs a poststructuralist discourse theory to analyze one of the most important Chinese internet firms, Alibaba, and its initiative for global trade: the electronic World Trade Platform (eWTP). The article argues that the eWTP is a counter-hegemonic discourse that, based on the economic and technological power of Alibaba and its support of the BRI, attempts to globalize a China-centered and privately led global digital trade order to challenge the previous wave of US-led globalization. However, the eWTP has at least five contradictions. First, despite its criticisms of globalization, the initiative remains essentially neoliberal. Secondly, it sidelines inherent tensions with the Chinese state-centric internet governance model. Thirdly, it excludes some social identities and makes utopian promises. Fourthly, it is unclear to what extent it really will be inclusive. Finally, unless carefully hedged, it might entrap partner countries in new types of problematic digital dependence.     

MARKET DISTORTIONS AND GOVERNMENT TRANSPARENCY

In this paper, we investigate how government transparency depends on economic distortions. We first consider an abstract class of economies in which a benevolent policy maker is privately informed about the exogenous state of the economy and contemplates whether to release this information. Our key result is that distortions limit communication: even if transparency is ex ante Pareto superior to opaqueness, it cannot constitute an equilibrium when distortions are sufficiently high. We next confirm this broad insight in two applied contexts, in which monopoly power and income taxes are the specific sources of distortions.