the effects of flexible specialization on industrial politics and the labor market the motion picture industry the authors citing historical and statistical evidence spanning three decades examine how the transition to flexibly specialized production organization in the motion picture industry has changed the distribution of work and wages and the definition of skills one important result of that process has been the emergence of a new form of intra occupational labor market segmentation based much less on differences in hourly wage rates than on differential access to hours of work also the reorganization of the production process has altered the relative bargaining power of employers and workers and of different groups within the industry work force resulting in increased conflict among segments of the work force and a strengthening of employers bargaining power vis a vis industry unions

drawn into violence evidence on what makes a criminal from the vietnam draft lotteries draft lottery number assignment during the vietnam era provides a natural experiment to examine the effects of military service on crime using exact dates of birth for inmates in state and federal prisons in 1979 1986 and 1991 we find that draft eligibility increases incarceration for violent crimes but decreases incarceration for nonviolent crimes among whites this is particularly evident in 1979 where two sample instrumental variable estimates indicate that military service increases the probability of incarceration for a violent crime by 0 34 percentage points and decreases the probability of incarceration for a nonviolent crime by 0 30 percentage points we conduct two falsification tests one that applies each of the three binding lotteries to unaffected cohorts and another that considers the effects of lotteries that were not used to draft servicemen jel k42 h56

understanding the evolution and performance of water markets and allocation policy a transaction costs analysis framework abstract water markets and associated allocation policy reforms have struggled to achieve their intended goals in many water stressed rivers in part due to the institutional friction imposed by transition and transaction costs this paper elaborates a transaction costs analysis framework to examine the evolution and performance of water markets and allocation policy reforms this analysis rests on three pillars i a synthesis of three theoretical traditions of institutional analysis williamson north and ostrom often considered independently ii a framework to examine the types and interactions of transaction costs in market based water allocation over time and iii an illustrative analysis of three large river basins the colorado columbia and murray darling with varying levels of success in market based water policy reforms the resulting framework accounts for water s complexity as an economic good this framework and the case studies lead to the identification of several policy implications including the need for a multiphase sequencing of reform strategic investment in institutional transition costs and institutional choices that preserve future flexibility to adjust water rights and diversion limits to manage social and environmental externalities

cartoon planet worlds of production and global production networks in the animation industry as more animated films are produced new worlds of production have emerged the animation production system is distinct from film production relying on different technologies and labor skills its globalization therefore has taken place differently although both are structured by the global production networks of the media conglomerates we present a framework for understanding the animation industry its international division of labor and its diverse markets enabled by pools of artistic labor growing demand and the diffusion of production skills copyright 2010 the author 2009 published by oxford university press on behalf of associazione icc all rights reserved oxford university press

building criminal capital behind bars peer effects in juvenile corrections this paper analyzes the influence that juvenile offenders serving time in the same correctional facility have on each other s subsequent criminal behavior the analysis is based on data on over 8 000 individuals serving time in 169 juvenile correctional facilities during a two year period in florida these data provide a complete record of past crimes facility assignments and arrests and adjudications in the year following release for each individual to control for the non random assignment to facilities we include facility fixed effects thereby estimating peer effects using only within facility variation over time we find strong evidence of peer effects for various categories of theft burglary and felony drug and weapon crimes the influence of peers primarily affects individuals who already have some experience in a particular crime category we also find evidence that peer effects are stronger in smaller facilities and that the predominant types of peer effects differ in residential versus non residential facilities effects in the latter are consistent with network formation among youth serving time close to home

the long term impact of military service on health evidence from world war ii and korean war veterans during the world war ii and korean war era the u s military freely distributed cigarettes to overseas personnel and provided low cost tobacco products on domestic military bases in fact even today the military continues to sell subsidized tobacco products on its bases using a variety of instrumental variables approaches to deal with nonrandom selection into the military and into smoking we provide substantial evidence that cohorts with higher military participation rates subsequently suffered more premature mortality more importantly we show that a large fraction 35 to 79 percent of the excess veteran deaths due to heart disease and lung cancer are attributable to military induced smoking

power in firm networks what it means for regional innovation systems christopherson s clark j 2007 power in firm networks what it means for regional innovation systems regional studies 41 1223 1236 the role of power within regional firm networks is noted in empirical studies but insufficiently theorized it is suggested that network functioning is conflictual and that more powerful network members particularly transnational corporations tncs leverage regional resources to advance their sustainable competitive advantage the agendas and power exercised by tncs within regionalized firm networks have significant implications for regional policy and the uneven allocation of resources and capacities within and among regions the findings indicate that transnational firm access to resources that are critical to innovation including university research and skilled labour negatively affects the potential for innovation by small and medium size firms christopherson s et clark j 2007 le pouvoir au sein des reseaux d entreprise son importance pour les systemes d

urban poverty and juvenile crime evidence from a randomized housing mobility experiment this paper uses data from a randomized housing mobility experiment to study the effects of relocating families from high to low poverty neighborhoods on juvenile crime outcome measures come from juvenile arrest records taken from government administrative data our e ndings seem to suggest that providing families with the opportunity to move to lower poverty neighborhoods reduces violent criminal behavior by teens

going to college to avoid the draft the unintended legacy of the vietnam war between 1965 and 1975 the enrollment rate of college age men in the united states rose and then fell abruptly many contemporary observers e g james davis and kenneth dolbeare 1968 attributed the surge in college attendance to draft avoidance behavior under a policy first introduced in the korean war the selective service issued college deferments to enrolled men that delayed their eligibility for conscription these deferments provided a strong incentive to remain in school for men who wanted to avoid the draft for example the college entry rate of young men rose from 54 percent in 1963 to 62 percent in 1968 the peak year of the draft moreover both the college entry rate and the number of inductions dropped sharply between 1968 and 1973 as the draft was being phased out although these parallel trends are suggestive they do not necessarily prove that draft avoidance raised the education of men who were at risk of service during the vietnam war such an inference requires an explicit specification of the counterfactual what would have happened to schooling outcomes in the absence of the draft in this paper we use trends in enrollment and completed schooling of men relative to those of women to measure the effects of draftavoidance behavior during the vietnam war our maintained hypothesis is that in the absence of gender specific factors such as the draft the relative schooling outcomes of men and women from the same cohort would follow a smooth trend in light of the sharp discontinuity in military induction rates between 1965 and 1970 we look for similar patterns in the relative enrollment rate of men and in the relative college graduation rate of men from cohorts that were at risk of induction during this period

increasingly contested property rights and trading in environmental amenities evolving environmental laws have expanded the number of agents with legitimate environmental property rights injunctive reme dies to increasingly contested exchanges affect the value of the right itself and therefore the be havior of potential traders recent amendments to new mexico water law provide an excellent op portunity to explore these effects we explore the behavior of traders given a decrease in the proba bility of successfully completing a transaction our experiments show traders have a propensity to over respond to the threat of injunctive reme dies and consequently reduce their volume of trades below the privately optimal volume of trades jel k11 q25

the long run consequences of living in a poor neighborhood author s oreopoulos philip abstract many social scientists presume that the quality of the neigborhood to which children are exposed affects a variety of long run social outcomes i examine the effect on the long run labor market outcomes of adults who were assigned when young to substantially different public housing projects in toronto administrative data are matched to public housing addresses to track children from the program for over 15 years the main finding is that neighborhood quality plays little role in determining a youth s adult earnings education attainment or welfare participation but does affect exposure to crime while living in contrasting housing projects cannot explain large variances in labor market outcomes family differences as measured by sibling outcome correlations account for up to 30 percent of the total variance in the data

inequality and crime this paper considers the relationship between inequality and crime using data from urban counties the behavior of property and violent crime are quite different inequality has no effect on property crime but a strong and robust impact on violent crime with an elasticity above 0 5 by contrast poverty and police activity have significant effects on property crime but little on violent crime property crime is well explained by the economic theory of crime while violent crime is better explained by strain and social disorganization theories

does movie violence increase violent crime laboratory experiments in psychology find that media violence increases aggression in the short run we analyze whether media violence affects violent crime in the field we exploit variation in the violence of blockbuster movies from 1995 to 2004 and study the effect on same day assaults we find that violent crime decreases on days with larger theater audiences for violent movies the effect is partly due to voluntary incapacitation between 6 p m and 12 a m a one million increase in the audience for violent movies reduces violent crime by 1 1 to 1 3 after exposure to the movie between 12 a m and 6 a m violent crime is reduced by an even larger percent this finding is explained by the self selection of violent individuals into violent movie attendance leading to a substitution away from more volatile activities in particular movie attendance appears to reduce alcohol consumption the results emphasize that media exposure affects behavior not only via content but also because it changes time spent in alternative activities the substitution away from more dangerous activities in the field can explain the differences with the laboratory findings our estimates suggest that in the short run violent movies deter almost 1 000 assaults on an average weekend although our design does not allow us to estimate long run effects we find no evidence of medium run effects up to three weeks after initial exposure

some costs of incomplete property rights with regard to federal grazing permits public land uses other than raising livestock have gained greater importance in pol icy proposals recently under the current prop erty rights regime the market solution of trading grazing permits is restricted political action is used to allocate public land use the effect of in creased political pressure to emphasize non commercial uses on grazing permits values is es timated if the rights to grazing permits were secure and transferable then the grazing permits values would not decrease in value as non commercial uses become more desired results indicate the opposite effect occurs in that as non commercial uses become more dear grazing per mit values have declined jel q15

taxes and the timing of births because the tax savings of having a child are a realized only if the birth takes place before midnight january 1 the incentives for the marginal birth are substantial using a sample of children from the national longitudinal survey of youth we find that the probability that a child is born in the last week of december rather than the first week of january is positively correlated with tax benefits we estimate that increasing the tax benefit of having a child by 500 raises the probability of having the child in the last week of december by 26 9 percent

part time work and the hiring of older workers this research uses german establishment data to examine the relationship between back loading compensation the hiring of older workers and their part time status we confirm that establishments that defer compensation are less likely to hire older workers we demonstrate for the first time that establishments that defer compensation are more likely to limit older workers to part time jobs when they do hire them thus deferred compensation plays a larger role in reducing the chances of older workers being hired into full time jobs than would be inferred from past estimates simply examining their odds of being hired at all

internal labor markets contrary to the popular image of change and turnover most americans spend the majority of their working lives employed in a single firm the original essays in this book discuss the origins and importance of these internal labor markets providing new insights into their changing power and influence they also explore the more varied and dynamic employment practices that have evolved in large companies in response to new government regulations increased competition for managerial talent the difficult economy of the 1970s and to the threat of unions contents introduction the nature and importance of internal labor markets paul osterman the development of internal labor markets in american manufacturing firms sanford m jacoby the making and shaping of job and pay structures in the iron and steel industry bernard elbaum variations in managerial career structures in high technology firms the impact of organizational characteristics on internal labor markets rosabeth moss kanter the transformation of the industrial relations and personnel function thomas a kochan and peter cappelli white collar internal labor markets paul osterman job training employment practices and the large enterprise the case of costly transferable skills paul ryan the search for a societal effect in the production of company hierarchy a comparison of france and germany marc maurice francois sellier and jean jacques silvestre internal labor markets and paternalism in rural areas peter b doeringer

poverty and witch killing many observers have noted that poverty and violence go hand in hand there is a strong negative relationship between economic growth and crime across countries as well as across districts in india and a link between low income and the occurrence of civil war 1 yet existing studies are typically unable to resolve the key econometric identification issues of omitted variable bias and endogeneity to illustrate the unobserved quality of local government institutions may affect both income growth and crime rates and poverty could lead to violence if desperate people with nothing to lose commit more crimes but violence itself may in turn affect economic productivity this paper uses local rainfall variation to identify the impact of income shocks on murder in a rural tanzanian district 2 extreme rainfall resulting in drought or floods is exogenous and is associated with poor harvests and near famine conditions in the region and a large increase in the murder of witches there are twice as many witch murders in years of extreme rainfall as in other years the victims are nearly all elderly women typically killed by relatives these econometric results across 11 years in 67 villages provide novel evidence on the role of income shocks in causing violent crime and religious violence in particular and also provide insights into witchcraft an important social phenomenon in africa rarely studied by economists the view that economic conditions are a driving force behind witch murders is bolstered by the fact that most witch killing in tanzania takes place in poor rural areas largely dependent on rain fed agriculture and that most victims in our sample are from poor households however it is difficult to definitively disentangle this income shock theory from alternative socio cultural explanations the concentration of tanzanian witch murders in a region dominated by one particular ethnic group the sukuma and the especially high number of witch murders in villages where indigenous religious beliefs are strong both point to the important role of non economic factors economic theories and cultural theories are perhaps best viewed as complements the empirical findings demonstrate the power of economics to rationalize a phenomenon that has previously been understood almost solely through a socio cultural lens 3

flexible production and the transformation of industrial relations in the motion picture and television industry the authors trace the development of the motion picture and television production industry s three tier compensation scheme showing how incremental solutions to unanticipated problems broadly transformed labor relations by changing key institutional relationships this example they argue demonstrates that a fundamental transformation in the unionemployer relationship need not originate in high level strategic planning and may represent hope for the survival of collective bargaining in other industries

the health effects of military service evidence from the vietnam draft i introduction the impact of military service on long term health is reemerging as a vital policy question as the united states conducts major military operations in iraq and afghanistan health professionals have raised concerns that significant numbers of the veterans of these conflicts are experiencing psychological and physical health problems the department of veterans affairs estimates that anywhere from 12 to 20 of servicemen returning from iraq suffer from posttraumatic stress disorder which the medical literature suggests can have a long term adverse effect on an individual s health in the 2005 fiscal year the department of veterans affairs spent about 32 billion dollars on medical care for veterans a substantial liability for the american taxpayer thus understanding the long term health impacts of military service is important both for allocating treatment resources and for correctly estimating the cost of waging these two wars comparing the health of veterans with that of nonveterans may not give us credible estimates of the effect of military service people voluntarily enlisting in the military differ in their observable characteristics from those who do not these observable differences between veterans and nonveterans leave us concerned that cross sectional estimates of the long term health consequences of military service will be biased by systematic differences in the unobservable characteristics of the two groups for this reason we use the draft lottery implemented during the vietnam war as an instrument for military service the draft lottery required randomly selected men born between 1944 and 1952 to report for possible induction into the military we use confidential versions of the 19742004 national health interview surveys nhis 1 to examine the impact of military service on veterans health we focus on the 67 608 men who were born between 1950 and 1952 because as we document this is the cohort most affected by the vietnam draft lottery we begin with a cross sectional comparison of veterans and nonveterans which reveals that veterans are in systematically worse health than nonveterans and that these health disparities increase with age these estimates probably overstate the causal effect of military service because veterans differ systematically from nonveterans on dimensions such as education that are strongly associated with adverse health when we correct for this problem using draft status to instrument for military service we find that despite a very strong first stage relationship between draft eligibility and military service the 2 stage least squares 2sls estimates of the impact of military service on health are fairly imprecise for most of the outcomes we examine the confidence intervals from the 2sls regressions containing both zero and the point estimate from the cross sectional regression this paper makes two contributions to the literature first unlike the cross sectional literature on the impact of military service on health the instrumental variables approach used in this paper provides unbiased estimates second this paper documents that though the vietnam lottery very significantly increased military service it led to only a modest increase in combat exposure 2 in the following section we discuss the existing literature on veterans health and on the impact of the vietnam era draft in section iii we describe our primary data source the nhis in section iv we discuss the research methodology and some of the issues that complicate the use of draft eligibility as an instrument section v discusses our results and section vi concludes ii previous literature there is a significant literature documenting the disproportionate prevalence of health problems among military veterans hoge et al 2004 find that mental health problems are common in veterans who served in iraq and afghanistan

labour market segmentation and workers careers the case of the italian knitwear industry this paper reports on empirical research into the labour market in the knitwear and ready to wear industry in the province of jvjodena emilia in particular it looks at the careers of three categories of workers homeworkers those employed on the production lines of larger firms and artisans 1 italy in common with many other industrialised capitalist countries has witnessed a growing decentralisation of production this tendency has been differently interpreted but a consensus is emerging that such developments are not evidence of economic backward ness 2 on the contrary an industrial structure consisting of firms of different size but with a large number of small and even microscopic enterprises is increasingly being recog nised as one possible avenue of economic development taking this for granted the aim of these notes is to investigate the structure of the labour market in a prosperous area typified by economic growth which has the small firm as its base element

casinos crime and community costs we examine the relationship between casinos and crime using county level data for the united states between 1977 and 1996 casinos were nonexistent outside nevada before 1978 and expanded to many other states during our sample period most factors that reduce crime occur before or shortly after a casino opens whereas those that increase crime including problem and pathological gambling occur over time the results suggest that the effect on crime is low shortly after a casino opens and grows over time roughly 8 of crime in casino counties in 1996 was attributable to casinos costing the average adult 75 per year

neighborhood effects on crime for female and male youth evidence from a randomized housing voucher experiment the moving to opportunity mto demonstration assigned housing vouchers via random lottery to public housing residents in five cities we use the exogenous variation in residential locations generated by mto to estimate neighborhood effects on youth crime and delinquency the offer to relocate to lower poverty areas reduces arrests among female youth for violent and property crimes relative to a control group for males the offer to relocate reduces arrests for violent crime at least in the short run but increases problem behaviors and property crime arrests the gender difference in treatment effects seems to reflect differences in how male and female youths from disadvantaged backgrounds adapt and respond to similar new neighborhood environments

different trajectories in the social divisions of labour the cutlery industry in sheffield england and tsubame japan to contribute to the growing debate on the social division of labour and its implications for local development this paper comparatively analyses recent trends in the industrial organisation of the cutlery industry in sheffield and tsubame both industries evolved as flexibly specialised export oriented production systems based on a highly interdependent network of small firms in the past 20 years however the social division of labour underlying sheffield s cutlery industry has been much reduced in size and complexity while tsubame has retained and used its social division of labour to adjust towards more value added production the different trajectories of the two systems reflect different approaches to competitiveness in tsubame the emphasis is on innovation while in sheffield the industry has been extremely conservative placing emphasis on minimising costs