Optimal Central Bank Conservativeness in an Open Economy

This paper develops a graphical method to determinethe optimal degree of central bank conservativeness inan open economy. Unlike Rogoff (1985a), the upper andlower bounds of the interval containing the optimaldegree of conservativeness are expressed in terms ofthe structural parameters of the model. It is shownthat optimal central bank conservativeness is higher,the higher the natural rate of unemployment, thegreater the benefits of unanticipated inflation, theless inflation-averse society, the smaller thevariance of productivity shocks, the smaller realexchange rate variability and the smaller the opennessof the economy. These propositions are tested fornineteen industrial countries for the period1960–1993. In testing the model we employ a latentvariables method (LISREL) in order to distinguishbetween actual and optimal monetary regimes.     

Versto? gegen § 17 TierSchG durch Lebendh?lterung von K?derfischen? Anmerkungen zu: AG Hannover 204 Ds 1252 Js 7381107 (42107) vom 29. Oktober 2007

Mit Urteil vom 29. Oktober 2007 hat das Amtsgericht Hannover einen Angler wegen Versto?es gegen § 17 Nr. 2 b des Tierschutzgesetz (TierSchG) zu einer Geldstrafe in H?he von 15 Tagess?tzen verurteilt. Nach den Feststellungen des Gerichts hatte der Angeklagte am 16.11.2007 sechzig Rotfedern zum Zwecke der Verwendung als K?derfische in einem insgesamt zehn Liter fassenden, jedoch zeitweise lediglich mit sieben Litern Wasser gefüllten ovalf?rmigen Eimer zur weiteren Verwendung zwischengeh?ltert. Im Verlauf der H?lterung schwammen einige der Fische an die Oberfl?che, woraus das Gericht auf einen zwischenzeitlichen Sauerstoffmangel im Beh?ltnis schloss. Nach Auffassung des AG Hannover stellt das Verhalten des Anglers insgesamt einen Versto? gegen § 17 TierSchG in der Modalit?t des Zufügens von l?nger anhaltenden erheblichen Leiden nach Nr. 2 b dar.     

Toga Party: The Political Basis of Judicial Investigations against MPs in Italy (1983–2013)

Scholars agree that ideology affects judicial decision-making. We demonstrate that this proposition holds true even when the judiciary is independent of political control. Focusing on Italy (1983–2013), where the politicisation of the judiciary was an issue well before the entry of Berlusconi into politics, we estimate judicial orientations according to the support for factions within the National Judiciary Association. The results show that ideology affects trial court activity against deputies. As the support for left-wing factions increases, prosecutors are more likely to investigate right-wing parties. Conversely, as the share of right-leaning factions grows, investigations of moderate or rightist parties decrease.     

Out of Sight,Out of Mind? External Voting and the Political Representation of Portuguese Emigrants

Over recent decades, emigrants have gained expanded voting rights on a global scale. Despite the normative debates about this issue, there are few empirical studies on why states decide to implement external voting and how electoral systems perform. This article seeks to fill this gap by looking at the Portuguese case. Our study suggests that a combination of political and socio-economic factors explains the implementation of external voting. On the other hand, the interests of political parties and the low level of civil society engagement are key to determining the failure of electoral reforms and the attempts to overcome the shortcomings of external voting.     

Optimal contest design, closeness and the contest success function

This paper considers the optimal design of an asymmetric two-player contest when the designer’s payoff depends not only on performance of the contestants, but also on the closeness of the contest measured by the difference in winning probabilities. In contrast to previous studies, the impact of closeness on the optimal prize depends on the shape of the contest success function. Furthermore, including closeness in the designer’s objective may induce the designer to uniformly increase the contestants’ effort costs. A similar result is obtained in case the designer may handicap the stronger contestant, but an even contest is never optimal.     

Water as a political good: implications for investments

There is an urgent need for investments in the water sector. Still about a billion people lack access to drinking water services, and the double amount lacks proper sanitation services. To reach the Millennium Development Goals (MDGs) substantial additional funding needs to be accessed. In view of the low priority given to the water sector by all prospective investors, the perspective of failure to reach the MDGs is eminent. The main argument made in this paper is that a formidable obstacle in accessing and using funds in the water sector is the omission to include explicitly the political nature of water in investment decisions. Due to its multifaceted and internally conflicting character, politics are a fact of life in the water sector. The menu of (suitable) investment options for a given locality is very much dependent on the political environment in which these water services are to be provided. While the impact of the political realm on water services is often acknowledged (most frequently in negative terms as it is seen as one of the main causes of poor performance of public utilities), few professionals really take the political environment explicitly into account when taking decisions relating to the provision of water services. In this paper it is propagated that the political dimension of water should be made explicit in an attempt to increase access and sustainability of investments in the water sector. Sound and sustainable investment in water services can only be achieved by taking into account the existing political environment in which those water services are to be delivered.     

The Internationalization of Network Industries: A Comparative Policy Analysis of Italian Railways and Utilities

Internationalization constitutes a dominant strategy for former public enterprises, as they enter emerging markets in other countries. This article provides a firm-level analysis of the drivers of (and obstacles to) internationalization. It focuses primarily on the experience of Italian companies in the railway and utility sectors by comparing and contrasting them with major European companies as well as among themselves. The article shows the diverse degrees of internationalization of Italian companies and takes into account possible explanations, showing how the policy and regulatory environment do interact with the configurations of actors’ preferences in shaping companies’ strategies.     

Science and technology parks in Italy: main features and analysis of their effects on the firms hosted

We analyse the results of a survey conducted by the Bank of Italy in the spring of 2012 on Italian science and technology parks. First we describe the main features of science parks in Italy. Then we investigate whether they have been effective in improving the economic performance and innovative capacity of the firms located within them. We find a pronounced heterogeneity between science and technology parks, whose cooperation with public research institutions is characterized by physical proximity. Although the business situation of firms located in science and technology parks tends on average to be better than that of similar “non-park” firms, a difference-in-differences estimation shows that entering a science and technology park did not generally improve firms’ business performance and their propensity to innovate compared with external counterparts.