A Simple Representation of the Bera-Jarque-Lee Test for Probit Models
Joachim Wilde
IWH Discussion Papers,
No. 13,
2007
Abstract
The inference in probit models relies on the assumption of normality. However, tests of this assumption are not implemented in standard econometric software. Therefore, the paper presents a simple representation of the Bera-Jarque-Lee test, that does not require any matrix algebra. Furthermore, the representation is used to compare the Bera-Jarque- Lee test with the RESET-type test proposed by Papke and Wooldridge (1996).
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The Role of the Human Capital and Managerial Skills in Explaining the Productivity Gaps between East and West
Wolfgang Steffen, Johannes Stephan
IWH Discussion Papers,
No. 11,
2007
Abstract
This paper assess determinants of productivity gaps between firms in the European transition countries and regions and firms in West Germany. The analysis is conducted at the firm level by use of a unique database constructed by field work. The determinants tested in a simple econometric regression model are focussed upon the issue of human capital and modern market-oriented management. The results are novel in as much as a solution was established for the puzzling results in related research with respect to a comparison of formal qualification between East and West. Furthermore, the analysis was able to establish that the kind of human capital and expertise mostly needed in the post-socialist firms are related to the particular requirements of a competitive marketbased economic environment. Finally, the analysis also finds empirical support for the role of capital deepening in productivity catch-up, as well as the case that the gaps in labour productivity are most importantly rooted in a more labour-intense production, which does not give rise to a competitive disadvantage.
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Transport Costs and the Size of Cities: The Case of Russia
Albrecht Kauffmann
Volkswirtschaftliche Diskussionsbeiträge der Wirtschafts- und Sozialwissenschaftlichen Fakultät, Universität Potsdam, Nr. 93,
No. 93,
2007
Abstract
Real costs of freight transportation have strong increased in Russia particularly during the period of price liberalization 1992–93. This paper investigates possible connections between rising transport costs and the evolution of the size structure of the system of cities in the Russian Federation and its federal subjects. Empirical findings suggest that under conditions of a closed system agglomeration processes according to the predictions of the model of Tabuchi et al. (2005) would have taken place especially in the periphere regions of the North and Far East.
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Does Qualification Drive Innovation? A Microeconometric Analysis Using Linked-employer-employee Data
Bianca Brandenburg, Jutta Günther, Lutz Schneider
IWH Discussion Papers,
No. 10,
2007
Abstract
Degree-level science and engineering skills as well as management and leadership skills are often referred to as a source of innovative activities within companies. Broken down by sectoral innovation patterns, this article examines the role of formal education and actual occupation for product innovation performance in manufacturing firms within a probit model. It uses unique micro data for Germany (LIAB) that contain detailed information about innovative activities and the qualification of employees. We find significant differences of the human capital endowment between sectors differentiated according to the Pavitt classification. Sectors with a high share of highly skilled employees engage in product innovation above average (specialized suppliers and science based industries). According to our hitherto estimation results, within these sectors the share of highly skilled employees does not, however, substantially increase the probability to be an innovative firm.
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The Euro and Cross-Border Banking: Evidence from Bilateral Data
S. Blank, Claudia M. Buch
Comparative Economic Studies,
No. 3,
2007
Abstract
Has the introduction of the Euro fostered financial integration in Europe? We answer this question using a data set of banks’ bilateral foreign assets and liabilities provided by the Bank for International Settlements. The data cover the pre-Euro period (1995–1998) and the post-Euro period (1999–2005). We use information from 10 OECD reporting countries and all OECD recipient countries. Gravity regressions show a positive and significant impact of the Euro on bilateral financial linkages. This effect is stronger and more robust for banks’ foreign assets than for their foreign liabilities.
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FDI and Domestic Investment: An Industry-level View
Claudia M. Buch
CEPR. Discussion Paper No. 6464,
2007
Abstract
Previous empirical work on the link between domestic and foreign investment provides mixed results which partly depend on the level of aggregation of the data. We argue that the aggregated home country implications of foreign direct investment (FDI) cannot be gauged using firm-level data. Aggregated data, in turn, miss channels through which domestic and foreign activities interact. Instead, industry-level data provide useful information on the link between domestic and foreign investment. We theoretically show that the effects of FDI on the domestic capital stock depend on the structure of industries and the relative importance of domestic and multinational firms. Our model allows distinguishing intra-sector competition from inter-sector linkage effects. We test the model using data on German FDI. Using panel cointegration methods, we find evidence for a positive long-run impact of FDI on the domestic capital stock and on the stock of inward FDI. Effects of FDI on the domestic capital stock are driven mainly by intra-sector effects. For inward FDI, inter-sector linkages matter as well.
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Spillover Effects of Spatial Growth Poles - a Reconciliation of Conflicting Policy Targets?
Alexander Kubis, Mirko Titze, Joachim Ragnitz
IWH Discussion Papers,
No. 8,
2007
Abstract
Regional economic policy faces the challenge of two competing policy goals - reducing regional economic disparities vs. promoting economic growth. The allocation of public funds has to weigh these goals particularly under the restriction of scarce financial re- sources. If, however, some region turns out to be a regional growth pole with positive spillovers to its disadvantaged periphery, regional policies could be designed to recon- cile the conflicting targets. In this case, peripheral regions could indirectly participate in the economic development of their growing cores. We start our investigation by defining and identifying such growth poles among German regions on the NUTS 3 administrative level based on spatial and sectoral effects. Using cluster analysis, we determine significant characteristics for the general identification of growth poles. Patterns in the sectoral change are identified by means of the change in the employment. Finally, we analyze whether and to what extent these growth poles ex- ert spatial spillover effects on neighbouring regions and thus mitigate contradictory in- terests in regional public policy. For this purpose, we apply a Spatial-Cross-Regressive- Model (SCR-Model) including the change in the secondary sector which allows to con- sider functional economic relations on the administrative level chosen (NUTS 3).
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Armutsbekämpfung durch Einkommensumverteilung. Zu den Zielen und Finanzierungsproblemen eines Grundeinkommens
Ingmar Kumpmann
Berliner Debatte Initial Bd. 18 (2),
2007
Abstract
Das Grundeinkommen wird als ein Konzept vorgestellt, das Unzulänglichkeiten der bestehenden Armutsbekämpfung überwindet, insbesondere die staatlichen Kontrollen der Arbeitsfähigkeit und -bereitschaft beseitigt. Das System der sozialen Sicherung wird von lohnbezogenen Beiträgen unabhängiger. Hauptproblem des Modells ist die Finanzierung. Kern dieses Problems ist aber nicht die Frage, wie es gelingen kann, einen hohen Geldbetrag aufzubringen, sondern die Folgen für Leistungsanreize und Produktion. Diese setzen dem Grundeinkommen Grenzen.
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The East German Cement Cartel: Cartel Efficiency and Policy after Economic Transformation
Ulrich Blum
Eastern Economic Review,
2007
Abstract
Im Jahr 2003 wurde von der deutschen Kartellbehörde ein Zementkartell aufgedeckt. Eines der Hauptzentren des Kartells war Ostdeutschland, wo das ostdeutsche Zementkombinat Anfang der 1990er Jahre von der Treuhand im Rahmen der Privatisierung der ehemals volkseigenen Betriebe an vier große Zementproduzenten verkauft wurden.
In diesem Aufsatz stellen wir die Behauptung der Kartellbehörde in Frage, dass durch das Kartell Überschussgewinne auf dem ostdeutschen Markt erziehlt wurden. Wir behaupten, dass die juristischen Anzeichen eines Kartells nicht zwangsläufig den wirtschaftlichen Hinweisen entsprechen. Zu diesem Zweck versuchen wir nachzuweisen, dass die Zementnachfrage regional begrenzt ist und nur in einem sehr kleinen Umfang von der Produktpalette abhängt. Wenn das Zementkartell einen Einfluss auf die Wirtschaft hatte, dann müsste sich seine Zerschlagung in der Veränderung der individuellen Nachfragefunktion der Unternehmen widerspiegeln. Allerdings konnten mit dem verwendeten ökonometrischen Modell keine strukturellen Nachfrageänderungen beobachtet werden. Dies kann unter anderem damit begründet werden, dass Billigimporte aus Polen und der Tschechei sowie mittelständische Unternehmen dafür gesorgt haben, dass das Zementkartell seine Wirkung nie voll entfalten konnte.
Der Aufsatz zeigt, dass selbst in etablierten Marktwirtschaften wie Westdeutschland die Schwierigkeit besteht, Wettbewerb in bestimmten Industriebereichen zu generieren und dass hierfür die Offenheit der Wirtschaft entscheidend ist.
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