energy consumption and gdp causality relationship in g 7 countries and emerging markets abstract the causality relationship between energy consumption and income is a well studied topic in energy economics this paper studies the time series properties of energy consumption and gdp and reexamines the causality relationship between the two series in the top 10 emerging markets excluding china due to lack of data and g 7 countries we discover bi directional causality in argentina causality running from gdp to energy consumption in italy and korea and from energy consumption to gdp in turkey france germany and japan hence energy conservation may harm economic growth in the last four countries

energy and national income in korea further evidence on the role of omitted variables abstract results of this paper indicate that the real oil price is a major determinant of real national income and energy consumption the combined effects of real money and real government expenditure on real income and energy consumption are also substantial a lack of causality or the causality between energy and real income in prior studies is due to the omitted variables results also confirm that the two oil price shocks combined adversely affected real national income

the causes of hours constraints evidence from canada over half of workers are dissatisfied with the number of hours they work and of these the vast majority desire more rather than fewer hours using the canadian survey of work reduction we examine two potential explanations for hours constraints long term contracts due to worker moral hazard or specific capital and implicit contracts in which wages are insured but hours fluctuate our results contradict the moral hazard and insurance models and weakly support the specific capital model les causes des contraintes sur les heures de travail le cas canadien plus de la moitie des travailleurs ne sont pas satisfaits du nombre d heures qu ils travaillent et de ceux ci la grande majorite veut travailler plus et non pas moins d heures a l aide des donnees de l enquete canadienne sur la reduction des heures de travail les auteurs examinent deux sources potentielles d explication pour ce genre de phenomene les contrats a long terme attribuables au probl eme du capital humain specifique des travailleurs et au hasard moral et les contrats implicites par lesquels le niveau de salaire horaire est assure mais le nombre d heures travaillees fluctue les resultats presentes contredisent les modeles fondes sur le hasard moral et l assurance et supportent faiblement le modele de capital humain specifique surveys conducted in the united states consistently show that a substantial fraction of workers wish to work a different number of hours from those that they actually work of those who would like to change their hours the vast majority would prefer to work more hours shank 1986 in previous work kahn and lang 1992 we tested whether u s hours constraints could be explained by lifetime contract agency models in which the earnings profile is structured so as to deter worker cheating or

identification of supplier induced demand in the health care sector this paper explores the issues and pitfalls encountered when attempting to test empirically the hypothesis that physician hospital or any other input supply level induces increasing demand for health services in the strict sense of demand shift and through that increased demand for the input in question evidence is presented which suggests that an empirical test of the supplier induced demand sid hypothesis of the type traditionally performed may not in fact be feasible with cross sectional aggregate data such as is usually used

a theory of physician behavior with supplier induced demand the health care crisis of the 1960 s and 1970 s fueled unprecedented efforts by the congress to control costs and at the same time improve access to care as a basis for policy the economics literature offers confusing direction consisting of alternative theories of demand 9 13 theories of market structure 12 5 11 10 and theories of physician behavior and supply response 4 1 at the most fundamental levels of controversy economists have not resolved the issues of demand creation satisficing behavior and targeted income in the modelling of the physician firm the notion that health care markets may be dominated by the health care provider s ability to create demand was introduced formally in newhouse 12 evans parish and sully 4 green 8 and fuchs 6 all offer further refinement of the supplier induced model however as yet no formal presentation of such a theory exists to a large extent an analytical framework that incorporates the physician s decision making processes is absent and remains implicit in the empirical results found in the literature this paper presents a theoretical framework for a supplier induced model of physician behavior whereby we may compare and contrast its implications with those of the standard neoclassical model 1 the acknowledged strength of the supplier induced theory is its ability to explain empirical evidence which stands at odds with more traditional approaches in particular a number of studies have reported a direct association between physician density and physicians fees 12 7 2 that is as the stock of physicians increases the price of medi

a new test for supplier inducement and application to the canadian market for dental care abstract the hypothesis that dentists do not induce demand for their services is tested using reduced form estimates of the price elasticity of demand if demand is autonomous shifts in supply for whatever reason should generate equivalent estimates provided access costs change proportionately with shifts in supply if demand inducement is present demand can appear to be very elastic or very inelastic depending on what is causing the shift in supply each of three applications of this test conducted in the context of jointly estimated fee and quantity equations using annual canadian data for 1956 1989 rejects the no inducement hypothesis

identification of physician induced demand whether market failure exists in the health care sector because physicians induce demand in their own self interest has not been clearly addressed because of identification problems a model is developed which includes the patient s financial burden as a limiting factor on demand inducement new data from a national survey are used to test the demand inducement hypothesis and identify physician initiated expenditures when individual health insurance and other factors are held constant additional corroboration of the physician induced demand hypothesis is found but the magnitude of the effect is very small and is statistically significant only for more discretionary expenditures

a further analysis of the physician inducement controversy this article extends several recent contributions that have compared the physician induced demand hypothesis to the theory of a monopoly where advertising is included as a decision variable by introducing a standard profit maximizing model with inducement it derives the conditions for the optimum level of inducement to show that the controversy over inducement is directly related to the elasticity of demand for the physician s services in particular inducement is likely to be prevalent only where the individual physician has a high degree of monopoly power as measured by its elasticity of demand it will disappear entirely as competitive conditions are approached furthermore the article argues that a physician s level of induced output is likely to diminish and not increase as others have suggested following increases in physician supply

work hour mismatch and job mobility adjustment channels and resolution rates this paper analyses the role of job changes in overcoming work hour constraints and the work hour mismatches resulting from these constraints i e differences between actual and desired work hours building on previous findings that job change increases the flexibility of actual work hours the study addresses two as yet neglected questions in the context i how do changes in desired work hours in addition to changes in actual work hours contribute to the resolution of these mismatches ii does the increased flexibility help actually to resolve work hour mismatches we exploit information about the magnitude of the prevailing mismatch to improve both the credibility and interpretation of the results we find that job change increases the probability of resolving work hour mismatches but far less than expected with free choice of hours across jobs instead large fractions of workers either stay or switch into overemployment we thoroughly investigate the robustness and heterogeneity of our results

electricity consumption and economic growth in china abstract this paper applies the error correction model to examine the causal relationship between electricity consumption and real gdp for china during 1971 2000 our estimation results indicate that real gdp and electricity consumption for china are cointegrated and there is unidirectional granger causality running from electricity consumption to real gdp but not vice versa in order to overcome the constraints on electricity consumption the chinese government has to speed up the nation wide interconnection of power networks to upgrade urban and rural distribution grids and to accelerate rural electrification

a clarification of theories and evidence on supplier induced demand for physicians services this article both simplifies and extends the literature on physician induced demand it shows that inducement should be expected in all imperfectly competitive markets that are also characterized by incomplete agency relationships more important it argues that confusion over the extent of the inducement phenomenon has been created by several contributions that fail to distinguish between the effects of changes in physician population ratios on changes in the individual physician s output and the effects on per capita utilization in particular it demonstrates that by confounding units of analysis the major empirical results found in recent articles by rossiter and wilensky are contradicted by their model their evidence however together with findings from other studies are reinterpreted to suggest that physicians are even more constrained than is generally believed in being able to induce increases in demand

a note on the causal relationship between energy and gdp in taiwan abstract this paper re examines the causality between energy consumption and gdp by using updated taiwan data for the period 1954 1997 as a secondary contribution we investigate the causal relationship between gdp and the aggregate as well as several disaggregate categories of energy consumption including coal oil natural gas and electricity applying granger s technique we find bidirectional causality between total energy consumption and gdp we find further that different directions of cause exist between gdp and various kinds of energy consumption

working part time by choice or by constraint the selection of workers into part time jobs and the wages they earn are analysed using the 1989 labour market activity survey we focus on the distinction between voluntary and involuntary part time workers since involuntary part time workers earn substantially lower wages than other workers we find that the selection of individuals into involuntary part time work is more closely tied to job characteristics than personal or human capital characteristics the lower wage earned by involuntary part time workers is largely due to differences in returns and selection effects rather than differences in endowments

fixed costs and hours constraints hours constraints are typically identified by worker responses to questions asking whether they would prefer a job with more hours and more pay or fewer hours and less pay because jobs with different hours but the same rate of pay may be infeasible when there are fixed costs of employment or mandatory overtime premia the constraint in those cases may be illusory cross section estimates of reported hours constraints are consistent with this model implying that the overall level of hours constraints may exaggerate the extent to which the labor market is characterized by frictions and imperfections

union strategy and optimal direct taxation restrictions on work hours are more important in countries with a large welfare state we show that this empirical observation is consistent with the strategic effects of such restrictions in a welfare state in the context of optimal direct taxation in the tradition of mirrlees 1971 our results also apply to non welfarist states which have income redistribution but not in purely extortionary states

why was there mandatory retirement abstract lazear argues that hours constraints and mandatory retirement form part of an efficient contract which inhibits worker shirking he argues that initially workers earn less than their vmp and must work more than they want while later they earn more than their vmp and must work less however if bonding is costly incentive compatibility requires that workers can never exceed the contracted hours in addition hours will be set so that vmp exceeds the disutility of employment consequently being paid more than their vmp is only sufficient not necessary for workers to be constrained to work less than they wish

the causal relationship between electricity consumption and economic growth in the asean countries abstract this paper investigates the causal relationship between electricity consumption and economic growth among the association of south east asian nations asean 4 members namely indonesia malaysia singapore and thailand using modern time series techniques for the period 1971 2002 the results indicate that there is a bi directional causality between electricity consumption and economic growth in malaysia and singapore this means that an increase in electricity consumption directly affects economic growth and that economic growth also stimulates further electricity consumption in the two countries however uni directional causality runs from economic growth to electricity consumption in indonesia and thailand without any feedback effect thus electricity conservation policies can be initiated without deteriorating economic side effects in the two countries

the causality between energy consumption and economic growth in turkey abstract this paper applies the causality test to examine the causal relationship between primary energy consumption ec and real gross national product gnp for turkey during 1970 2006 we employ unit root tests the augmented dickey fuller adf and the philips perron pp johansen cointegration test and pair wise granger causality test to examine relation between ec and gnp our empirical results indicate that the two series are found to be non stationary however first differences of these series lead to stationarity further the results indicate that ec and gnp are cointegrated and there is bidirectional causality running from ec to gnp and vice versa this means that an increase in ec directly affects economic growth and that economic growth also stimulates further ec this bidirectional causality relationship between ec and gnp determined for turkey at 1970 2006 period is in accordance with the ones in literature reported for similar countries consequently we conclude that energy is a limiting factor to economic growth in turkey and hence shocks to energy supply will have a negative impact on economic growth

forward shifting of the personal income tax by self employed canadian dentists in this paper two tests are conducted of the null hypothesis that self employed canadian dentists do not shift the burden of their personal income tax forward to their patients by charging higher real dental fees the first test using ordinary least squares estimation of a reduced form dental fee equation is based on an exogenous tax variable the second test uses two stage least squares estimation of a reduced form dental fee equation with an endogenous tax variable both tests reject the null hypothesis of no forward shifting and fail to reject the hypothesis that self employed canadian dentists shift forward 100 percent of their personal income tax burden

electricity consumption and economic growth evidence from korea abstract this paper investigates the short and long run causality issues between electricity consumption and economic growth in korea by using the co integration and error correction models it employs annual data covering the period 1970 2002 the overall results show that there exists bi directional causality between electricity consumption and economic growth this means that an increase in electricity consumption directly affects economic growth and that economic growth also stimulates further electricity consumption

the effects of hours constraints on labor supply estimates almost all labor supply models are estimated under the assumption that workers are free to choose their hours however theory casual empiricism and survey data suggest that many workers are not free to vary the hours within a job consequently labor supply estimates based on actual hours of work may be biased using canadian data on desired hours of work the authors find that using actual hours causes labor supply estimates to be biased upwards copyright 1991 by mit press

a test of dual labor market theory despite substantial differences in their views of the appropriate policy response to the existence of poverty neither the proponents of dual market theory nor its critics have proposed potentially conclusive tests of the dual market hypothesis this paper presents a test of the two central propositions of dual market theory 1 the existence of two distinct labor markets with different wage setting mechanisms and 2 the existence of barriers to mobility between the labor markets we find considerable support for both hypothesis estimation of a switching model of wage determination with unknown regimes yields two distinct wage equations the one which most workers are associated with closely resembles the standard human capital regression with significant returns to education and experience the other equation is flat with no returns to human capital these two equations resemble the predictions of dual market theory for the primary and secondary markets respectively further we present evidence that at least some non white workers are involuntarily confined to the secondary market this crowding of minority workers into the low wage labor market accounts for a substantial portion of white non white wage differences we interpret these results as providing empirical support for the dual market hypothesis and for recent theoretical work on efficiency wagemodels in addition combining the efficiency wage argument with the observation that much of the white non white wage difference is explained by the exclusion of non whites from the primary sector suggests an explanation for the persistance of wage differences this abstract was borrowed from another version of this item

decoupling factors on the energy output linkage the spanish case the recent increase of energy intensity in spain and the ratification of the kyoto protocol call for the implementation of energy policies in spain in this paper we investigate the relationship between gross domestic product gdp and energy consumption ec by taking into account several decoupling factors that can affect this linkage specifically we have considered the temporal aggregation of data and its seasonal adjustments the multivariate methodology the substitution between ec and other inputs and the technological changes empirical tests reveal a long run relationship between ec and gdp that can only be established in a complete way with a multivariate cointegration analysis furthermore a short run unidirectional causality from ec to economic growth is found therefore primary ec plays an important role as a limiting factor for economic growth in spain in the short run

wages effort and incentive compatibility in life cycle employment contracts existing models of incentive compatibility in life cycle employment contracts arrive at different predictions partly because of the different kinds of contract breaking behavior allowed in them this paper sets out and classifies the full range of such behaviors argues that no model has yet incorporated all of them and examines the consequences of doing so in the context of lazear s well known model in the extended model wages cannot rise faster than marginal products throughout the entire contract and the set of feasible contracts can often be empty even when both parties can commit to terminate the contract whenever it is broken by the other party

h ours constraints and the wage hours locus surveys in the united states and canada reveal that approximately half of all workers would like to work a different number of hours per week if they could continue to receive their usual hourly wage of these about two thirds would like to work more hours and one third would like to work fewer hours kahn and lang 1991 shank 1986 despite the apparent prevalence of hours constraints the reasons why they exist are poorly understood in previous research we showed that lazear s 1981 agency model of the return to seniority is inconsistent with the data and that the specific capital model and insurance based implicit contract models cannot account for important regularities kahn and lang 1992 1995 in this paper we examine whether hours constraints can be explained by the existence of a hedonic wage hours locus we find that the actual wage hours locus is reasonably consistent with the wage hours locus predicted by observed hours constraints when the hedonic model is augmented by considerations of long term contracting we conclude that despite data and estimation shortcomings hedonic choices are an important reason for hours constraints to exist

sectoral energy consumption by source and economic growth in turkey this paper provides a detailed analysis of the energy consumption in turkey during the last 40 years it investigates the causal relationships between income and energy consumption in two ways first the relationship is studied at the aggregate level then we focus on the industrial sector previous findings suggest that in the case of turkey there is a unidirectional causality running from energy consumption to growth however our findings suggest that in the long run income and energy consumption appear to be neutral with respect to each other both at the aggregate and at the industrial level we also find a strong evidence of instantaneous causality which means that contemporaneous values of energy consumption and income are correlated furthermore a descriptive analysis is conducted in order to reveal the differences in the use of energy resources we conclude that energy conservation policies are necessary for environmental concerns and our empirical results imply that such policies would not impede economic growth in the long term

labor supply preferences hours constraints and hours wage tradeoffs in a labor market with tied hours wage packages and wage dispersion for a particular type of job constrained workers may be willing to sacrifice wage gains for better hours when changing jobs likewise workers may accept jobs offering undesirable hours only if the associated wage gains are large we investigate this issue empirically by examining whether overemployment and underemployment on the initial and new job affects the relation between hours changes and wage changes for quitters our results generally support the view that an individual requires compensation to work in a job that given the individual s particular preferences offers unattractive hours

unemployment and liquidity constraints summary we present a dynamic framework for the interaction between borrowing liquidity constraints and deviations of actual hours from desired hours both measured by discrete valued indicators and estimate it as a system of dynamic binary and ordered probit models with panel data from the panel study of income dynamics we analyze a household s propensity to be liquidity constrained by means of a dynamic binary probit model we analyze qualitative aspects of the conditions of employment namely whether the household head is involuntarily overemployed voluntarily employed or involuntarily underemployed or unemployed by means of a dynamic ordered probit model we focus on the possible interaction between the two types of constraints we estimate these models jointly using maximum simulated likelihood where we allow for individual random effects along with an autoregressive process for the general error term in each equation a novel feature of our method is that it allows for the random effects to be correlated with regressors in a time invariant fashion our results provide strong support for the basic theory of constrained behavior and the interaction between liquidity constraints and exogenous constraints on labor supply copyright 2007 john wiley sons ltd

structural break unit root and the causality between energy consumption and gdp in turkey abstract this paper tries to investigate a series of unit root and causality tests to detect causality between the gdp and energy consumption in turkey employing hsiao s version of granger causality method for the 1950 2000 period the conventional unit root tests indicate the series are i 1 whereas the endogenous break unit root tests proposed by zivot and andrews zivot e and andrews d w k 1992 further evidence on the great crash the oil price shock and the unit root hypothesis journal of business and economics statistics 10 251 270 and perron perron p 1997 further evidence on breaking trend functions in macroeconomic variables journal of econometrics 80 355 385 reveal that the series are trend stationary with a structural break therefore it is inappropriate to take the first difference of the data to achieve stationarity the main conclusion of this study is that there is no evidence of causality between energy consumption and gdp in turkey based on the detrended data

technological diffusion in primary health care the paper contains a theoretical and empirical analysis of the driving forces behind the diffusion of dry chemical laboratory equipment in norwegian primary health care the empirical analysis is embedded in a theoretical model of a dynamic investment problem focusing on heterogeneity in the potential adopters profit functions the empirical analysis indicates that most adopters are too late in adopting the new technology a logit analysis of the diffusion process lends some support to the notion that profit function heterogeneity influences the diffusion process an offspin of the empirical analysis is information on the reimbursement system indicating that this system does not promote efficient resource allocation in the sector

constraints on the choice of work hours agency versus specific capital lifetime contracts imply that at a given time wages and value of marginal product vmp will diverge the contract will specify hours as well as wages since firms will desire to prevent workers from working more when the wage is greater than vmp and from working less when the wage is less than vmp if hours are set efficiently workers will face binding hours constraints the agency model and the firm specific capital models make opposite predictions regarding the relation between work hours constraints and job tenure we test these predictions our results indicate that neither model explains the observed pattern of hours constraints

energy consumption and gdp in turkey is there a co integration relationship energy consumption and gdp are expected to grow by 5 9 and 7 annually until 2025 in turkey this paper tries to unfold the linkage between energy consumption and gdp by undertaking a co integration analysis for turkey with annual data over the period 1970 2003 the analysis shows that energy consumption and gdp are co integrated this means that there is a possibly bi directional causality relationship between the two we establish that there is a unidirectional causality running from gdp to energy consumption indicating that energy saving would not harm economic growth in turkey in addition we find that energy consumption keeps on growing as long as the economy grows in turkey

estimation of a labour supply model with censoring due to unemployment and underemployment this study proposes and implements a method of labour supply estimation which is appropriate when the sample contains unemployed and underemployed workers the estimation method consists of excluding unemployed and underemployed workers from the sample and then using to avoid selection bias an extension of heckman s approach to the case where two correlated selection rules generate the sample hausman s specification test is then used to determine whether ignoring constrained workers has led to biases in traditional labour supply estimates and the empirical results suggest that previous estimates of several important parameters are biased since the biases go in the direction that would be predicted by the hypothesis that the unemployed and underemployed are constrained the results support this hypothesis

quality incentives for gps in a regulated market abstract this paper analyses whether gps in a capitation system have incentives to provide quality even though health is a credence good a model is developed where the quality of the service varies due to inherent differences between the gps and rational patients make choices based on the outcome of treamtent we find that it is difficult to provide appropriate incentives since the search activity of patients offsets direct effects of a change in reimbursement variation in the inherent ability of the gps is good since it increases the search activity of the patients and the optimal reimbursement scheme is inversely proportional to the dispersion in types finally we find that offering a menu of contracts can potentially increase social welfare above the level of a simple capitation regime but it tends to lead to a higher variation in quality levels