Language nuances, trust and economic growth

Language serves two key functions. It enables communication between agents, which allows the set-up and functioning of formal and informal institutions. It also serves a less obvious function, as it provides a reassuring quality more closely related with issues linked with trust, social capital, and cultural identification. While research on the role of language as a learning process is widespread, there is no evidence on the role of language as a signal of cultural affinity. We pursue this latter avenue of research and show that subtle language affinity is positively linked with change in earnings when using English-speaking data for cities in the Golden Horseshoe area in Southern Ontario during the period 1991 to 2001. The results are robust to changes in specification, and a broad number of empirical tests.     

Political and institutional environment and privatization prices

We study the link between the political and institutional context and privatization sales prices. The latter serves as a measure for assessing the extent to which privatization goals have been met. Whereas this link has been studied theoretically, there are very few, if any, empirical papers on this relationship. We use data from 308 privatizations around the world and apply a cross-country approach, including instrumental variables. We find that while the overall political regime does not matter much for prices, the political processes beyond the basic regime do matter. Institutional context also produces a significant impact on prices. Both results are robust to changes in specification.     

The Impact of Natural Disasters on Remittances to Low- and Middle-Income Countries

In this paper, we offer novel empirical evidence on the impact of natural disasters on remittance flows towards low- and middle-income countries. We consider a panel of 98 countries over the period 1990–2010. Our findings show that remittances increase after a disaster, thus contributing ex post to the reconstruction process. At the same time, we find that remittances play a key role in terms of ex ante risk preparedness for those countries that experienced more disruptive events in the past. Finally, when taking into account the interaction with the level of development of the local financial sector, remittances seem to substitute for less efficient financial systems both in terms of ex post response to disasters and in terms of ex ante risk management strategy.     

The ‘tenure guidelines’ as a tool for democratising land and resource control in Latin America

Abstract

The current configuration of global land politics – who gets what land, how, how much, why and with what implications in urban and rural spaces in the Global South and North – brings disparate social groups, governments and social movements with different sectoral and class interests into the issue of natural resource politics. Governance instruments must be able to capture the ‘political moment’ marked by the increasing intersection of issues and state and social forces that mobilise around these. This paper looks at whether and how the Voluntary Guidelines on Responsible Governance of Tenure of Land, Fisheries and Forests in the Context of National Food Security (also known as the TGs) passed in 2012 in the United Nations Committee for Food Security (CFS) can contribute to democratising resource politics today. This work puts forward some initial ideas about how systematic research into the TGs can be done more meaningfully.     

The Persistence of Home Bias for Important R&D in Wireless Telecom and Automobiles

We argue that in this age of globalization, important R&D—in automobiles and wireless telecommunication—exhibits a decisive home bias. This contrasts with findings on the rate and extent of globalization of the aggregate of activities classified as R&D. Sorting out R&D was deemed important at the outset by the firm, and comparing that to "regular" R&D by the same firms enables the argument. We take our findings on location a step further by examining, for this category of R&D, the reasons for nonglobalization.     

Impact of Long Run Exposure to Television on Homicides: Some Evidence from Brazil

This paper focuses on the link between television coverage and violent crime, in particular, homicides in Brazil, a country where crime has grown dramatically in recent decades. Using Census data for the period 1980–2000, the paper finds that people living in areas covered by television signal have significantly lower rates of homicides. The effect is strongest for men of lower socioeconomic status.     

Increasing the Human Capital of Children in Latin American Countries: The Role of Parents’ Time in Childcare

In this paper, we focus on the relationship between parents’ education and activities aimed at increasing the human capital of children (for example, educational childcare). Using time use surveys from Mexico, Peru, Ecuador, and Colombia we find that in Mexico, Peru, and Colombia the level of education of both father and mother has a positive association with the time devoted to educational childcare, while in Ecuador only fathers’ level of education has a positive association with father’s time devoted to educational childcare. Furthermore, we find that the time devoted to educational childcare by parents is positively related in all four countries.     

Large firms as political actors: A comparative analysis of the chemical industry in Britain,Italy and West Germany

Large firms as political actors are compared in the chemical industry in three countries. In West Germany, co‐ordinated action through the industry associations is important, but firms are developing their own political capabilities. In Italy links with political parties are important, but the operating environment of firms has become less politicised. Britain conforms more to a ‘company state’ model, with the government relations divisions of firms playing a key role. The greatest divergence between the three countries is in terms of relationships with political parties. In general, there is a trend towards greater convergence in government‐business relations in the industry in the three countries, internationalisation being a key factor.     

Privatised Firms and Labour Outcomes in Emerging Markets

A recent large firm-level dataset is analysed to compare labour indicators of privatised, private, and public firms around the world, in particular differences relating to wages, benefits, labour composition, education and training, unionisation, and quality of management. We find that labour productivity and the ratio of permanent to temporary workers increase after privatisation.