Industry size and regulation: Evidence from US states

Public Choice - What explains variation in the extent of regulation across US states and industries? We examine cross-sectional variation in state government regulations facing 81 three-digit North...     

An analysis of the relationship between various redistributive programs and poverty

This paper utilizes multivariate exogeneity (causality) tests to analyze the relationship between various income policy programs and the poverty rate. The framework we develop allows us to make a distinction between intended poverty reduction objectives and automatic stabilizing behavior. Since we find that the poverty in a given year affects the funding of social programs in later years, we conclude that these programs are primarily acting as automatic stabilizers (i.e., the poverty reduction instruments do not appear to have been implemented with a relentless intent to reduce poverty, a result consistent with Tullock's [1983, 1986] theorem).     

Controlling federal expenditures in the national school lunch program: The relationship between changes in household eligibility and federal policy

Under the assumption of widespread fraud and abuse, procedures were implemented in the National School Lunch Program (NSLP) in 1981 to detect and deter misreporting by applicants for subsidized meal benefits. We, however, find that the incidence of fraud is actually small relative to normal temporal variation in income and household composition that leads to legitimate changes in eligibility for benefits. It is estimated that each month about 3 percent of all households approved for meal benefits have changes sufficiently large to alter their benefit status. Further, the amount of misreporting at the time of application, estimated to be 4.8 percent, is far smaller than previously assumed. Instead of focusing on the static problem of deterring initial applicant misreporting, the policy problem is now a dynamic one that includes how (or whether) to deal with normal changes in income and household size.     

On the distribution of federal taxes and expenditures,and the new war between the states

As federal government expenditures have grown, there has been an increasing awareness of the distribution of taxes and expenditures across states. States in the Northeast have claimed that sunbelt states have been getting more than their fair share of federal spending, with the sunbelt states denying the charge. A theory of political coalitions is developed to explain why the sunbelt should be unable to receive differentially high expenditures, although the sunbelt may pay less than a proportional amount in taxes because of its relatively low income. An empirical test shows that the data are in agreement with this theory.     

多民族国家与民主关系的复杂性

多民族国家与民主之间是否相互反对,从19世纪自由主义思想家密尔提出民主与多民族不兼容命题以来成为学界所关心的问题。从上世纪苏联东欧国家巨变,民族问题愈演愈烈的条件下,近年来中国学界对此进行了热烈讨论,提出了不同的看法。本文通过对世界上诸多多民族国家的历史与现实比较发现,多民族国家与民主政治之间存在着复杂的关系,它们之间既存在着相互反对的方面,也存在着互动的方面。不同国家或地区由于历史与现实状况限制,呈现出复杂多样的情况。在对多民族国家与民主关系的认识上应该从实际出发,客观地理解它们之间的关系,从多民族国家民主建设的经验中吸取有益的成份。     

Tolerance and growth: modeling the empirical relationship

We showed, in Berggren and Elinder (2012), that tolerance toward homosexuals is negatively and quite robustly related to economic growth. In a comment, Bornhoff and Lee (this issue) question this finding on model-specification grounds. By undertaking three changes, they purport to show that our main result does not hold. In this article, we demonstrate that one of these changes is inconsequential (replacing GDP per capita by its logarithm in controlling for conditional convergence) and argue that two of them are questionable. First, the removal of certain central control variable risks introducing omitted variable bias and inconsistent estimates. Second, regional dummy variables are added on arbitrary grounds. For example, by using regional dummy variables that are just as reasonable as the Baltic dummy used by Bornhoff and Lee, we find that significance for tolerance toward homosexuals reappears in our empirical model. In all, this implies that there are good grounds for considering the negative relationship between tolerance towards homosexuals and growth valid, Bornhoff and Lee??s claims notwithstanding.     

An examination of the causal relationship between government spending and revenue: A cointegration analysis

This paper tests the validity of the proposition that there is a causal relationship between government expenditure and government revenue for Greece over the period 1957–1993. The empirical analysis employs tests of cointegration as pre-tests for Granger tests of causality. The empirical evidence suggests that there is a long-run relationship between government spending and government revenue and expenditures cause revenues.     

Committee characteristics and re-election margins: An empirical investigation of the US House

Models of legislative organization frequently begin with the premise that the committee system serves the re-election interests of incumbent legislators. Attempts to substantiate this notion empirically have been unsuccessful. Nevertheless, the notion lives on, nourished by a stylized characterization of the committee system. In the standard model committees have jurisdictional monopolies over specialized policy areas and legislators gravitate toward those committees that deal most closely with the policy concerns of their constituents. Contrary to this simplifying characterization, the degree of monopoly control and policy specialization varies across standing committees in the us congress. Some committees have wide jurisdictions and attract members with diverse policy preferences. Jurisdictional overlap and resulting turf battles are common aspects of congressional sessions. We suggest here that these realities warrant a re-opening of the empirical investigation into the link between electoral success and committee characteristics. Our findings indicate that assignment to a committee with a relatively high degree of monopoly control increases a member's vote share, and that assignment to a narrowly focused (specialized) committee does not.     

Perceptional inequality and preferential judgements: An empirical examination of distributional axioms

There are two categories of income distribution evaluations: first, the more-or-less “value-free” perception of income inequality as a statistical dispersion; and second, the valuation of income distributions according to an explicit social welfare function which is meant to capture all of society's value judgements. These societal value judgements can be expressed in the form of preferences. Whereas the inequality perception of income distributions appeals to an observer's sober judgement, the revelation of preferences with respect to specific income distributions appeals to his or her sentiments. This paper is an empirical analysis which investigates the juxtaposition of preferences with respect to income distributions and corresponding perceptions of distributional inequality. We do this through a questionnaire in which attitudes towards various distributional axioms are tested. The source of our data is 1773 completed questionnaires collected from five German universities. Based on our data, we observe that individuals' preference orderings over the set of income distributionssubstantially deviate from their perceptions of distributional inequality. In fact, our test responses showed that even when some income distribution is judged to be more unequal than another, that distribution might be preferred, as it accords higher incomes to each individual. We hold that the preference for these greater incomes expresses a compensation for the increased degree of inequality. This explanation applies both to equiproportional and to equal fixed-sum increases in incomes, which implies a support of Paretian ethics.     

Corruption and the shadow economy: an empirical analysis

This paper analyzes the influence of the shadow economy on corruption and vice versa. We hypothesize that corruption and the shadow economy are substitutes in high income countries while they are complements in low income countries. The hypotheses are tested for a cross-section of 98 countries. Our results show that there is no robust relationship between corruption and the size of the shadow economy when perceptions-based indices of corruption are used. Employing an index of corruption based on a structural model, however, corruption and the shadow economy are complements in countries with low income, but not in high income countries.     

The varieties of banking regulation in the EU: An empirical analysis

The EU strives to harmonize banking regulation, while its member states continue to insist on a degree of differentiation to accommodate national specifics. A new data set of national options and discretions (O&Ds) embedded in EU banking legislation facilitates systematic analysis of member states' policy preferences across multiple policy cycles. Its results suggest that states' O&D choices are related to their respective variety of banking capitalism. Coordinated and liberal market economies choose O&Ds to protect distinct subsets of regulatory parameters delaying full harmonization. Dependent market economies on the Eastern periphery use O&Ds to prevent the outflow of capital from foreign‐owned subsidiaries under their jurisdiction. These deep institutional roots suggest that many O&Ds will be carried over to the upcoming generation of EU banking legislation, despite the increased harmonization pressures in the banking union.     

Regulation and regime: the comparative politics of adaptive regulation in synthetic biology

Policy Sciences - Regulation of rapidly developing changing policy areas is a well-known challenge for any government. It can involve balancing factors from elite factional politics to development...     

Technology,behavior, and safety: An empirical study of automobile occupant-protection regulation

Technology and human behavior can influence the effectiveness of safety policies. In the field of traffic safety, rational-choice theorists postulate that automobile safety devices induce increased driver risk taking. Such behavioral responses could partly or totally nullify the lifesaving potential of governmental safety rules for new cars, such as the crashworthiness standards adopted by the United States in the late 1960s and early 1970s. This study explores the behavioral-response hypothesis in the context of a car-vintage model of U.S. car occupant death rates. Results from the model imply that U.S. standards have reduced the occupant death rate by roughly 30 percent, a finding consistent with minimal driver response to safety devices. The study provides support for the technological approach to safety policy and suggests that policymakers might consider adopting additional crashworthiness regulations, such as some form of passive-restraint program.Financial support was provided by the Economic Studies Program, Brookings Institution. I thank Robert W. Crandall, Steven Garber, Lawrence Summers, and the editors for comments. All views and residual errors are solely my responsibility.     

Choosing between the government and the regions: An empirical analysis of the Italian constitutional court decisions

In this article the extent to which political variables can explain the behaviour of constitutional judges in Italy when dealing with conflicts between the central government and regions is explored. Two competing hypotheses are tested. One hypothesis argues that one should expect some alignment between the political preferences of the judges and the success of the central government primarily due to the appointment mechanism. The other hypothesis suggests that there should be no systematic alignment between the political preferences of the judges and the success of the central government. Unlike previous literature, the empirical results presented in this article seem to confirm that when the Rapporteur and the court's majority are allegedly affiliated with the Prime Minister's coalition, the odds of success of the Prime Minister go up.     

Responsive regulation at the Dutch Food and Consumer Product Safety Authority: An empirical assessment of assumptions underlying the theory

Responsive regulation usually boils down to the assumption that enforcers should not shift to coercing before it has become clear that persuading does not work. This presupposes that it is possible to determine what the correct enforcement style is, that enforcers can apply the most suitable style, and that enforcers control the negative unintended consequences of their conduct. We have studied the applicability of these presuppositions at the Dutch Food and Consumer Product Safety Authority by way of observations, interviews, and a survey. The applicability of all three presuppositions has proven problematic; enforcement agents apply different styles in comparable cases; they are impeded in applying the most appropriate style; and they do not control the perverse consequences of their conduct because regulatees tend to perceive it as more coercive than intended by inspectors. Our findings are not unique to this inspectorate and hence raise questions about the applicability of the theory of responsive regulation.     

The relationship between corruption and income inequality in U.S. states: evidence from a panel cointegration and error correction model

We investigate the causality between corruption and income inequality within a multivariate framework using a panel data set of all 50 U.S. states over the period 1980 to 2004. The heterogeneous panel cointegration test by Pedroni (Oxf. Bull. Econ. Stat. 61:653–670, 1999; Econom. Theory 20:597–627, 2004) indicates that in the long run corruption and the unemployment rate have a positive and statistically significant impact on income inequality while a negative impact is found for real personal income per capita, education, and unionization rate. The Granger-causality results associated with a panel vector error correction model indicate both short-run and long-run bidirectional causality between corruption and income inequality.     

民主:在信任与不信任之间——兼论民主与信任的关系

民主总是处于"信任"与"不信任"之间。本文从政治社会学的视角出发,探究了民主何以总是处于信任与不信任之间,并提出并不是所有类型的信任都有益于民主,信任与民主之间存在着一个悖论。