Found 1213 article(s) for author 'Economic Growth'

The Unofficial Economy and Economic Development

The Unofficial Economy and Economic Development. Andrei Shleifer, 2008, Paper. “In developing countries, informal firms account for up to about half of all economic activity. Using data from World Bank firm-level surveys, we find that informal firms are small and extremely unproductive compared with even the small formal firms in the sample, and especially relative to the larger formal firms. Formal firms are run by much better educated managers than informal ones and use more capital, have different customers, market their products, and use more external finance. Few formal firms have ever operated informally. This evidence...” Link

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Asset Prices & Monetary Policy

Asset Prices & Monetary Policy. John Campbell, 2008, Book. “Economic growth, low inflation, and financial stability are among the most important goals of policy makers, and central banks such as the Federal Reserve are key institutions for achieving these goals. In ‘Asset Prices and Monetary Policy,’ leading scholars and practitioners probe the interaction of central banks, asset markets, and the general economy to forge a new understanding of the challenges facing policy makers as they manage an increasingly complex economic systemThe contributors examine how central bankers determine their policy…” (May require user account or purchase) Link

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The Promise of Prediction Markets

The Promise of Prediction Markets. Cass Sunstein, January 1, 2008, Paper. “Prediction markets are markets for contracts that yield payments based on the outcome of an uncertain future event, such as a presidential election. Using these markets as forecasting tools could substantially improve decision making in the private and public sectors. We argue that U.S. regulators should lower barriers to the creation and design of prediction markets by creating a safe harbor for certain types of small stakes markets.We believe our proposed change has the potential to stimulate innovation in the design…” Link

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Repayment Frequency and Default in Micro-Finance: Evidence from India

Repayment Frequency and Default in Micro-Finance: Evidence from India, Erica Field, Rohini Pande, January 2008, Paper. “In stark contrast to bank debt contracts, most micro-finance con- tracts require that repayments start nearly immediately after loan disbursement and occur weekly thereafter. Even though economic theory suggests that a more flexible repayment schedule would benefit clients and potentially improve their repayment capacity, micro- finance practitioners argue that the fiscal discipline imposed by frequent repayment is critical to preventing loan default. In this paper we use data from a field experiment which randomized client assignment to a weekly or monthly repayment schedule and find no significant effect of type of repayment schedule on client delinquency or default.” Link

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Where Does It Go? Spending by the Financially Constrained

Where Does It Go? Spending by the Financially Constrained. Shawn Cole, 2008, Book Chapter, “Despite widespread interest by academics, businesspeople, and policymakers, little is known about the financial behavior of low-income individuals, particularly the unbanked and underbanked. We examine the spending patterns of low- and moderate-income (LMI) households using a new database and focus on differences in spending as a function of consumers’ credit constraints. Our work leverages a unique and proprietary data set of spending information on more than 1.5 million individuals to shed light on important questions at the intersection of consumer credit and consumer spending: Do credit-constrained consumers spend money more quickly than less constrained consumers?Link

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New Development Economics – We Shall Experiment, but How Shall We Learn?

New Development Economics – We Shall Experiment, but How Shall We Learn? Dani Rodrik, 2008, Book Chapter, “Development economics has long been split between the study of macro-development (economic growth, international trade, and fiscal/macro-policies) and microdevelopment (microfinance, education, health, and other social programs). Even though the central…Link

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Arbitrage in Housing Markets

Arbitrage in Housing Markets. Edward Glaeser, December 15, 2007, Paper. “Urban economists understand housing prices with a spatial equilibrium approach that assumes people must be indifferent across locations. Since the spatial no arbitrage condition is inherently imprecise, other economists have turned to different no arbitrage conditions, such as the prediction that individuals must be indifferent between owning and renting. This paper argues the predictions from these non-spatial, financial no arbitrage conditions are also quite imprecise. Owned homes are extremely different from rental units and owners are…” Link

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Did the Death of Distance Hurt Detroit and Help New York?

Did the Death of Distance Hurt Detroit and Help New York? Edward Glaeser, Giacomo Ponzetto, December 2007, Paper. “Urban proximity can reduce the costs of shipping goods and speed the flow of ideas. Improvements in communication technology might erode these advantages and allow people and firms to decentralize. However, improvements in transportation and communication technology can also increase the returns to new ideas, by allowing those ideas to be used throughout the world. This paper presents a model that illustrates these two rival effects that technological progress can have on cities…” Link

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Latin America and The World Economy

Latin America and The World Economy. Dale Jorgenson, October 29, 2007, Book Chapter. “This paper analyzes the impact of investment in information technology (IT) on the recent resurgence of growth in Latin America and the world economy. We describe the growth of the world economy, seven regions, including Latin America, and fourteen major economies during the period 1989-2005. We allocate the growth of world output between input growth and productivity and find, surprisingly, that input growth greatly predominates! Moreover, differences in per capita output levels are explained by differences in per capita input, rather than…” Link

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Slavery, Inequality, and Economic Development in the Americas: An Examination of the Engerman-Sokoloff Hypothesis

Slavery, Inequality, and Economic Development in the Americas: An Examination of the Engerman-Sokoloff Hypothesis, Nathan Nunn, October 2007, Book Chapter. “Recent research argues that among former New World colonies a nation’s past dependence on slave labor was important for its subsequent economic development (Engerman and Sokoloff, 1997, 2002). It is argued that specialization in plantation agriculture, with its use of slave labor, caused economic inequality, which concentrated power in the hands of a small elite, adversely affecting the development of domestic institutions needed for sustained economic growth…” Link

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