wheat from chaff meta analysis as quantitative literature review abstract this paper presents and develops a quantitative method of literature reviewing and evaluating empirical research meta regression analysis or mra economics is theory driven yet we must learn empirically if economics is to advance mra offers a more objective statistical method to summarize our empirical knowledge and to explain the wide study to study variation in economic research mra is used to assess the evidence for ricardian equivalence and its findings are contrasted to those of conventional narrative review furthermore mra establishes a platform from which to distinguish genuine empirical effect from the exploitable specification error that infests applied econometrics

crowding in of complementary contributions to public goods firm investment into open source software abstract we present a fairly general model in which firms are competitors in a commercial market segment and can invest into a complementary public good like open source software we show that contrary to standard predictions additional contribution to the public good by the government or a new market entrant can lead to higher investments of all incumbent firms that is a crowding in effect this result occurs if the investment cost function is superadditive we find that government contribution leads to larger crowding in effects than subsidizing market entry if the price elasticity of demand with respect to the private good is large relative to the one with respect to the public good our results are robust to extensions in the timing and the mode of competition

alternative approaches to money and growth this paper reexamines the issue of money and growth in an economy with both endogenous labor supply and endogenous capital stock using three recently developed approaches the money in the utility function approach the cash in advance approach and the transactions costs approach by establishing a qualitative equivalence between alternative setups the authors find economically justifiable conditions such that all comparative statics results derived from the aforementioned approaches are identical copyright 1992 by ohio state university press

internal and external effects of r d subsidies and fiscal incentives empirical evidence using spatial dynamic panel models abstract most studies evaluating the macroeconomic effects of financial support policies on business funded r d use econometric methods that do not consider the existence of spatial effects and generate biased estimates in this paper we discus and address this problem using spatial dynamic panel data methods this allow us to provide new insights on the internal in country and external out of country effects of both research and development r d subsidies and fiscal incentives we use a database of 25 oecd countries for the period 1990 2009 in relation to internal effects for both instruments we find a non linear relationship between their effect on private r d and their level suggesting the possibility of leveraging and crowding out effects we also find a substitution effect between the r d subsidies and fiscal incentives implemented within a country concerning the spatial component we find evidence of positive spatial spillovers among private r d investments however our results suggest the existence of competition substitution effects between national r d policies

academic research underlying industrial innovations there has been no systematic study of the characteristics of the universities and academic researchers that seem to have contributed most to industrial innovation nor do we know how such academic research has been funded this paper based on data obtained from sixty six firms in seven major manufacturing industries and from over two hundred academic researchers sheds new light on the sources characteristics and financing of academic research underlying industrial innovation the findings should be of interest to economists concerned with technological change and to policymakers attempting to increase the economic payoff from the nation s academic research copyright 1995 by mit press

ownership concentration and firm performance in emerging markets a meta analysis the literature concerned with relations between ownership concentration and corporate performance in emerging markets presents conflicting theoretical predications and inconclusive empirical results we use meta analytical techniques to integrate the diverse empirical findings and investigate factors contribute to the inconsistencies in the empirical evidence using 419 correlations collected from 42 primary studies of listed corporations in 18 emerging markets heterogeneity tests show that only a small proportion of the variation in reported ownership concentration performance relations can be attributed to sampling error our meta regressions reveal how population differences researchers modeling choices and inadequate treatment of endogeneity explain a large portion of the true heterogeneity after adjusting for these effects we find ownership concentration has negative relation with firm performance across countries our results emphasize the importance of model specification and methods of addressing endogeneity and support further comparative study of the ownership concentration corporate performance relation between countries with seemingly similar corporate governance environments

financial development and economic growth a meta analysis we analyze 1334 estimates from 67 studies that examine the effect of financial development on economic growth taken together the studies imply a positive and statistically significant effect but the individual estimates vary widely we find that both research design and heterogeneity in the underlying effect play a role in explaining the differences in results studies that do not address endogeneity tend to overstate the effect of finance on growth while the effect seems to be weaker in less developed countries the effect decreases worldwide after the 1980s our results also suggest that stock markets support faster economic growth than other financial intermediaries

the use and abuse of meta analysis in environmental and natural resource economics an assessment motivated by the 2006 report of a work group appointed by the environmental protection agency epa this paper examines the present state of meta analysis in environmental economics and offers recommendations for its future use to this end we summarize and assess 140 meta analyses from 125 published and unpublished studies covering 17 topical categories in environmental and resource economics first we provide several generic meta analysis models as reference points and discuss major estimation issues five econometric issues are identified as part of a complete analysis 1 sample selection criteria 2 basic data summary 3 primary data heterogeneity 4 heteroskedasticity and 5 non independence of multiple observations from primary studies second a tabular summary is presented for the 140 meta analyses with respect to estimation methods third a narrative summary is presented for 19 meta analyses including the three value of statistical life studies examined by the epa work group and one analysis from each of 16 other categories fourth we offer a set of best practice guidelines for future meta analyses in this and other areas of economics last the paper comments on the use of meta analytic methods for benefit transfers of environmental values

interest rates and currency prices in a two country world abstract this paper is a theoretical study of the determination of prices interest rates and currency exchange rates set in an infinitely lived two country world which is subject both to stochastic endowment shocks and to monetary instability formulas are obtained for pricing all equity claims nominally denominated bonds and currencies and these formulas are related to earlier closely related results in the theories of money finance international trade

specialization the terms of trade and the international transmission of monetary policies the ricardian model with a continuum of goods is extended to a cash in advance environment with variable labor supply which allows domestic monetary policy to influence real activity through an inflation tax channel and to be internationally transmitted to real activity abroad the continuum of goods feature of the model allows for the international transmission of monetary policies to occur at both intensive and extensive margins at the intensive margin monetary policy is internationally transmitted via its impact on relative employment levels at home and abroad this in turn alters the terms of trade thereby affecting the range of commodities in which the home country has a comparative advantage monetary policies are thus transmitted at the extensive margin by influencing international patterns of trade and specialization

time series minimum wage studies a meta analysis time series minimum wage studies a meta analysis author s david card and alan b krueger reviewed work s source the american economic review vol 85 no 2 papers and proceedings of the hundredth and seventh annual meeting of the american economic association washington dc january 6 8 1995 may 1995 pp 238 243 published by american economic association stable url http www jstor org stable 2117925 accessed 04 11 2011 15 46

does government r d policy mainly benefit scientists and engineers conventional wisdom holds that the social rate of return to r d significantly exceeds the private rate of return and therefore r d should be subsidized in the u s the government has directly funded a large fraction of total r d spending this paper shows that there is a serious problem with such government efforts to increase inventive activity the majority of r d spending is actually just salary payments for r d workers their labor supply however is quite inelastic so when the government funds r d a significant fraction of the increased spending goes directly into higher wages using cps data on wages of scientific personnel this paper shows that government r d spending raises wages significantly particularly for scientists related to defense such as physicists and aeronautical engineers because of the higher wages conventional estimates of the effectiveness of r d policy may be 30 to 50 too high the results also imply that by altering the wages of scientists and engineers even for firms not receiving federal support government funding directly crowds out private inventive activity this abstract was borrowed from another version of this item

public investment and industry incentives in life science research life science research has shifted rapidly from the public to the private sector raising questions about government s remaining role we shed light on the issue by employing a dynamic investment response model to examine the public s impact on industry life science research effort and success we find that government expenditures in both basic biological research and agricultural and medical science create substantial spillovers for private firms the spillovers are unfortunately partly nullified by government competition for scarce research inputs yet even after accounting for such competition public investment has been strongly complementary to private investment indeed opportunities created through public research are the principal source of growth in industry life sciences copyright 2007 oxford university press

r d support programs in developing countries the turkish experience in this study the determinants of private r d investment are examined at the level of firms in the turkish manufacturing industry we focus our attention on the effect of public r d support programs our findings indicate that public r d support significantly and positively affects private r d investment there seems to be even an acceleration effect on firm financed r d expenditures smaller r d performers benefit more from r d support and perform more r d in addition technology transfer from abroad and domestic r d activity show up as complementary processes given the scarcity of studies on r d support in technologically weaker economies our hope is that the less developed countries can exploit these findings in constructing socially beneficial technology policies

real exchange rates under alternative nominal exchange rate systems abstract the paper develops an equilibrium model of the determination of exchange rates the relative price of nontraded goods and the current account the focus is on the effects of various real and nominal disturbances and the conditions under which the nominal exchange rate system is neutral with respect to real variables in the economy the model demonstrates an assymetry in the roles of trade and nontraded goods in affecting exchange rates an econometric investigation of the raltion between the exchange rate system and the variability of real exchange rates provides some evidence against the neutrality hypothesis

international transmission of anticipated inflation under alternative exchange rate regimes this paper studies the international transmission of anticipated inflation a two country two good two currency cash in advance model is used to examine analytically and numerically the consequences of changes in a country s inflation rate domestic monetary policy influences real activity at home through an inflation tax channel these real effects are transmitted to the foreign country via fluctuations in the real exchange rate under a flexible nominal exchange rate inflation is a beggar thy neighbor policy under a fixed nominal exchange rate each country suffers a welfare loss when one country inflates the quantitative results are fairly insensitive to variations in the cash credit mix used to finance investment expenditures 2001 elsevier science ltd all rights reserved

picture this a simple graph that reveals much ado about research funnel graphs provide a simple yet highly effective means to identify key features of an empirical literature this paper illustrates the use of funnel graphs to detect publication selection bias identify the existence of genuine empirical effects and discover potential moderator variables that can help to explain the wide variation routinely found among reported research findings applications include union productivity effects water price elasticities common currency trade effects minimum wage employment effects efficiency wages and the price elasticity of prescription drugs

the explicit economics of knowledge codification and tacitness this paper attempts a greater precision and clarity of understanding concerning the nature and economic significance of knowledge and its variegated forms by presenting the skeptical economist s guide to tacit knowledge it critically reconsiders the ways in which the concepts of tacitness and codification have come to be employed by economists and develops a more coherent re conceptualization of these aspects of knowledge production and distribution activities it seeks also to show that a proposed alternative framework for the study of knowledge codification activities offers a more useful guide for further research directed to informing public policies for science technological innovation and long run economic growth copyright 2000 by oxford university press

is public r d a complement or substitute for private r d a review of the econometric evidence is public r d spending complementary and thus additional to private r d spending or does it substitute for and tend to crowd out private r d conflicting answers are given to this question we survey the body of available econometric evidence accumulated over the past 35 years a framework for analysis of the problem is developed to help organize and summarize the findings of econometric studies based on time series and cross section data from various levels of aggregation laboratory firm industry country the findings overall are ambivalent and the existing literature as a whole is subject to the criticism that the nature of the experiment s that the investigators envisage is not adequately specified we conclude by offering suggestions for improving future empirical research on this issue

beyond publication bias abstract this review considers several meta regression and graphical methods that can differentiate genuine empirical effect from publication bias publication selection exists when editors reviewers or researchers have a preference for statistically significant results because all areas of empirical research are susceptible to publication selection any average or tally of significant insignificant studies is likely to be biased and potentially misleading meta regression analysis can see through the murk of random sampling error and selected misspecification bias to identify the underlying statistical structures that characterize genuine empirical effect meta significance testing and precision effect testing pet are offered as a means to identify empirical effect beyond publication bias and are applied to four areas of empirical economics research minimum wage effects union productivity effects price elasticities and tests of the natural rate hypothesis

does public scientific research complement private investment in research and development in the pharmaceutical industry abstract this paper analyzes how pharmaceutical research and development r d investment responds to publicly supported biomedical research performed mainly at universities and nonprofit institutions new microlevel data on investment by the u s national institutes of health allow measures of public basic and clinical research in seven medical classes to be included in a distributed lag model explaining pharmaceutical r d investment using a panel of medical classes observed over 18 years the analysis found strong evidence that public basic and clinical research are complementary to pharmaceutical r d investment and thereby stimulate private industry investment however differences in the relevance and degree of scientific and market uncertainty between basic and clinical research lead to differences in the magnitude and timing of the pharmaceutical investment response

meta analysis of economics research reporting guidelines meta regression analysis mra can provide objective and comprehensive summaries of economics research their use has grown rapidly over the last few decades to improve transparency and to raise the quality of mra the meta analysis of economics research network maer net has created the below reporting guidelines future meta analyses in economics will be expected to follow these guidelines or give valid reasons why a meta analysis must deviate from them

the persistence of profits a european comparison this paper is concerned with modeling the movements in profits of firms over time at the heart of the emp irical model is a latent variables problem which arises from the fact that entry and imitation do not actually have to occur to have an ef fect on profits a solution to this problem is explored and then emp irical results are presented comparing a sample of firms from the uni ted kingdom france and west germany copyright 1988 by royal economic society

successful in the long run a meta regression analysis of persistent firm profits we study the profit persistence literature by applying meta regression analysis mra to a set of 36 empirical papers which analyze the persistence of abnormal firm profits over time the analyzed literature provides evidence for a mediocre degree of persistence in abnormal profits an initial analysis of the distribution of reported profit persistence estimates reveals some degree of excess variation this points toward publication bias that favors significant results independent of their algebraic sign the mra however reveals that publication bias is particularly favoring results that indicate profit persistence and thus contradict the neoclassical model of perfect competition moreover the mra enables to control for heterogeneity driven by the study design we find that the analyzed country developing vs developed the applied econometric approach as well as the analyzed period of time are significant drivers of heterogeneity in reported persistence estimates

do wage subsidies increase employment in subsidized firms this paper examines whether subsidized jobs have contributed to employment in subsidized firms or have merely substituted for non subsidized ones the data set is an unbalanced panel of some 31 000 firms that are followed annually between 1995 and 2002 the analysis is based on difference in differences which is adjusted by regression and matching methods the results indicate that wage subsidies stimulate employment and that the magnitude of the effect is as aimed i also found that subsidies have no sizeable effects on non subsidized firms

is there a relationship between public expenditures in energy r d and carbon emissions per gdp an empirical investigation abstract energy innovation plays a crucial role in the reduction of carbon emissions in order to design climate and energy policies that promote the development deployment and diffusion of new energy technologies policy makers not only require a theoretical understanding of the energy innovation system but also empirical evidence of the effects that policy actions have had this paper focuses on public energy r d a traditional and controversial option among the various climate technology policies and empirically analyses its relationship with carbon emissions per gdp i e carbon intensity and its two components energy intensity and the carbon factor evidence of the causality links that have prevailed in 13 advanced economies over the 1980 2004 period has been obtained through dynamic panel models our findings confirm that government r d spending is not sufficient by itself to boost the energy innovation process public energy r d has been successful in improving energy efficiency at country level but it has failed to have a significant impact on the carbon factor and carbon intensity at the same time the formation of energy r d budgets is found to be significantly affected by carbon trends

international business cycles the authors estimate a dynamic two country model in which economic fluctuations are driven by a worldwide supply shock country specific supply shocks and relative fiscal money and preference shocks identification is achieved using only long run restrictions based on a theoretical model the main results are 1 supply shocks particularly country specific ones are very important in generating international business cycles and 2 although the post 1973 flexible exchange rate period has been inherently more volatile there are no differences in transmission properties of economic disturbances across exchange rate regimes for the endogenous variables they focus on copyright 1993 by american economic association

a meta analysis of the union nonunion wage gap the authors use meta regression analysis a new method for synthesizing empirical results reported in the economic literature to corroborate and extend h gregg lewis s landmark 1986 research on t

meta regression analysis a quantitative method of literature surveys abstract pedagogically literature reviews are instrumental they summarize the large literature written on a particular topic give coherence to the complex often disparate views expressed about an issue and serve as a springboard for new ideas however literature surveys rarely establish anything approximating unanimous consensus ironically this is just as true for the empirical economic literature to harmonize this dissonance we offer a quantitative methodology for reviewing the empirical economic literature meta regression analysis mra is the regression analysis of regression analyses mra tends to objectify the review process it studies the processes that produce empirical economic results as though they were any other social scientific phenomenon mra provides a framework for replication and offers a sensitivity analysis for model specification in this brief essay we propose a new method of reviewing economic literature mra and discuss its potential

federal funding and the rate and direction of inventive activity abstract leveraging a new measure of patent citation trees corredoira and banerjee 2015 we demonstrate that research funded by the federal government is associated with more active and diverse technological trajectories our findings tie government funding to breakthrough inventions the differences are especially evident at the upper percentiles of the distribution of long term patent influence and stem primarily from research conducted outside the federal government and sponsored by the dod hhs and nsf government funded patents are inputs into a broader range of technologies additional analyses indicate that federal programs invest in some technological areas that private corporations eschew and federally funded university patents are in different technological classes than non federally funded university patents in this sense the government may play an irreplaceable role in the rate and direction of inventive activity generally speaking the scientific agencies of government are not so concerned with immediate practical objectives as are the laboratories of industry nor on the other hand are they as free to explore any natural phenomena without regard to possible economic applications as are the educational and private research institutions vannevar bush science the endless frontier 1945

liquidity loanable funds and real activity abstract this paper develops a general equilibrium model of two traditional explanations of the monetary black box linking money and real activity the liquidity effect and the loanable funds effect these effects are modeled with a monetary production economy in which central bank injections of cash are funnelled into the economy through the credit market since only borrowers have direct access to the newly injected cash monetary injections cause nominal interest rates to fall if firms are borrowers then monetary injections also increase current and future real activity

open economy macroeconomics under imperfect competition a two country model abstract this paper constructs a two country macroeconomic model where prices are set by imperfectly competitive firms and wages by trade unions unemployment benefit is nominally rigid in at least one country the effects of monetary expansion under both fixed and flexible exchange rates and exchange rate changes under fixed rates are considered the results change significantly if it is assumed that in one country unemployment benefit is fully indexed

bank competition and financial stability much ado about nothing the theoretical literature gives conflicting predictions on how bank competition should affect financial stability and dozens of researchers have attempted to evaluate the relationship empirically we collect 598 estimates of the competition stability nexus reported in 31 studies and analyze the literature using meta analysis methods we control for 35 aspects of study design and employ bayesian model averaging to tackle the resulting model uncertainty our findings suggest that the definition of financial stability and bank competition used by researchers influences their results in a systematic way the choice of data estimation methodology and control variables also affects the reported coefficient we find evidence for moderate publication bias taken together the estimates reported in the literature suggest little interplay between competition and stability even when corrected for publication bias and potential misspecifications this abstract was borrowed from another version of this item

persistence of profitability and competition in emerging markets abstract this paper reports on time series analyses of the persistence of profitability of firms in emerging markets its central result is that there is less persistence in developing than in advanced economies the implications for the intensity of competition in emerging markets are examined

the persistence of shocks to profitability in this study we use data for 1981 through 1994 on a large sample of u s companies to examine the persistence of incremental industry corporate parent and business specific effects on profitability our results indicate that the incremental effects of industry on profitability persist longer than the incremental effects of the corporate parent and of the specific business changes in industry structure have a more persistent impact on profitability than do changes in firm structure

real exchange rate effects of monetary disturbances under different degrees of exchange rate flexibility an empirical analysis abstract we examine the effects of monetary policy on the real exchange rate in a cross country analysis we find that the variability of money shocks and the degree of informativeness of the exchange rate are important determinants of the magnitude of the real exchange rate effects of domestic money shocks our results are consistent with previous cross country evidence on the output effects of money shocks but also highlight the role of the exchange rate regime

does government funding complement or substitute private research funding to universities abstract there is growing political pressure on universities to intensify their interaction with industry and to enlarge their own research funding options in a context characterised by increasing constraints on public spending however whether the successful achievement of such a political desired outcome is consistent with a restriction of government funding is not clear and requires further investigation as a matter of fact there is scant empirical evidence on whether and to what extent government funding affects the external funding options available to universities in particular those related to research and consulting activities by using a set of probit and tobit panel data models estimated on financial data for the whole population of italian university departments engaged in research in the engineering and physical sciences this paper provides evidence that government funding to universities complements funding from research contracts and consulting contributing to increasing universities collaboration with industry and activating knowledge transfer processes

anticipated inflation and the capital stock in a cash in advance economy abstract an economy is constructed in which the steady state capital stock is inversely related to the rate of inflation as a result that is directly opposite the usual conclusion

profit margins and business cycles in the brazilian industry a panel data study the paper investigates the relationship between profit margins and business cycle in the brazilian industry during the 1992 1998 period taking as reference a dynamic panel data model founded around a conjectural variation framework the empirical results indicate procyclical behaviour of profit margins for the aggregate business cycle but is less clear in the case of sector specific business cycle variables among the most robust results one can highlight the roles of lagged profitability and import intensity and the negligible role of union density schmalensee in 1985 american economic review 75 pp 341 51 outlined three theoretical interpretations associated with the empirical model classical revisionist and managerial econometric tests on the related restrictions do not allow one to exclusively legitimate any of the three interpretations

from market magic to calypso science policy a review of terence kealey s the economic laws of scientific research the current reconsideration of public research funding policies in the u s and u k and other industrialized economies makes it important that policy makers and the public understand the valid economic grounds for government support of science this review article of a book that which argues for the ending of all government support of non military r d provides an occasion to take stock of what is known about the subject the review concludes that the extreme laissez faire science policy arguments adroitly advanced by terrance kealey s book are analytically without foundation and are based upon distortions and misinterpretations of the evidence of economic history as well as on the misuse of econometric methods the problem is that mr kealey is an engaging writer and there still is in some policy circles an audience for his message hence to undo the damage will call for concerted and persistent efforts on the part of economists specializing in the economics of science and technology this abstract was borrowed from another version of this item

intangible resources tobin s q and sustainability of performance differences this paper tests empirically the hypothesis that the greater the intangibility of a firm s resources the greater the sustainability of its competitive advantage resource intangibility is measured by 1 tobin s q and 2 the predicted value from a hedonic regression of q on several accounting measures of intangibles sustainability is measured by the persistence of firm specific profits using a dynamic panel data regression model i find that intangibles play an effective role in sustaining a firm s competitive advantage as predicted by the resource based view of the firm however the results suggest that intangibles can also lock firms into persistent disadvantages

wine prices and quality ratings a meta regression analysis this article examines the empirical support for the hypothesized hedonic theoretical relation between the price of wine and its quality the examination considers over 180 hedonic wine price models developed over 20 years covering many countries the research identifies that the relation between the price of wine and its sensory quality rating is a moderate partial correlation of 0 30 this correlation exists despite the lack of information held by consumers about a wine s quality and the inconsistency of expert tasters when evaluating wines the results identify a moderate price quality correlation which suggests the existence of strategic buying opportunities for better informed consumers strategic price setting possibilities may also exist for wine producers given the incomplete quality information held by consumers the results from the meta regression analysis point to the absence of any publication bias and attribute the observed asymmetry in estimates to study heterogeneity the analysis suggests the observed heterogeneity is explained by the importance of a wine s reputation the use of the 100 point quality rating scale the analysis of a single wine variety style and the employed functional form the most important implication from the analysis is the relative importance of a wine s reputation over its sensory quality inferring that producers need to sustain the sensory quality of a wine over time to extract appropriate returns the reputation of the wine producer is found not to influence the strength of the price quality relationship this finding does not contradict the importance of wine producer reputation in directly influencing prices

the dynamics of corporate profits abstract industrial economics research has devoted little attention to long run considerations of market structure and performance relationships this paper provides several insights into the dynamics of corporate performance a dynamic duopoly model is provided in which new firm entry causes a convergence of profits toward a new equilibrium this process has been examined empirically and both the speed of profit adjustment and the level to which this process converged in the long run has been studied for germany it has been found that entry and mobility of firms led to a relatively quick profit convergence which is an indicator for the functioning of competition however the convergence process was not complete since it did not result in an equalization of profit rates across firms

the short run tobin effect in a monetary optimizing model in an economy in which households face a cash in advance constraint the nominal interest rate acts like a tax on consumption to the extent that investment is financed from current earnings and so escapes the interest rate tax households will defer their consumption when the nominal interest rate is high a short run tobin effect results capital accumulates most rapidly when the interest rate is thought to be high relative to its past and future values

why are governmental r d and private r d complements it is well known that government r d and private r d have a complementary relationship however no previous study has provided an explanation for why that complementary relationship exists this paper argues that infratechnology is the critical link between governmental and private r d and that the observed complementarity is the result of technical complementarity at the production level between funding infratechnology and knowledge sharing a theoritical framework based on this argument is developed and examined empirically for supporting evidence evidence of technical complementary is found as well as evidence that governmental r d stimulates the sharing of knowledge

a meta analytic assessment of the effect of immigration on wages in our increasingly interconnected and open world international migration is becoming an important socio economic phenomenon for many countries since the early 1980s many studies have been undertaken of the impact of immigration on host labour markets borjas 2003 noted that the estimated effect of immigration on the wage of native workers varies widely from study to study and sometimes even within the same study in addition these effects cluster around zero such a small effect is a rather surprising outcome given that in a closed competitive labour market an increase in labour supply may be expected to exert a downward pressure on wages we revisit this issue by applying meta analytic techniques to a set of eighteen papers which altogether generated 348 estimates of the percentage change in the wage of a native worker with respect to a one percentage point increase in the ratio of immigrants over native workers while many studies in our database employ us data estimates are also obtained from germany the netherlands france norway austria israel and australia our analysis shows that results vary across countries and are inter alia related to the type of modelling approach technical issues such as publication bias and quality of the estimates are addressed as well

active labor market policy evaluations a meta analysis this article presents a meta analysis of recent microeconometric evaluations of active labour market policies we categorise 199 programme impacts from 97 studies conducted between 1995 and 2007 job search assistance programmes yield relatively favourable programme impacts whereas public sector employment programmes are less effective training programmes are associated with positive medium term impacts although in the short term they often appear ineffective we also find that the outcome variable used to measure programme impact matters but neither the publication status of a study nor the use of a randomised design is related to the sign or significance of the programme estimate

does eva beat earnings evidence on associations with stock returns and firm values this study tests assertions that economic value added eva is more highly associated with stock returns and firm values than accrual earnings and evaluates which components of eva if any contribute to these associations relative information content tests reveal earnings to be more highly associated with returns and firm values than eva residual income or cash flow from operations incremental tests suggest that eva components add only marginally to information content beyond earnings considered together these results do not support claims that eva dominates earnings in relative information content and suggest rather that earnings generally outperforms eva

product innovation product market competition and persistent profitability in the u s pharmaceutical industry increasingly strategy scholars are exploring the relationships between innovation competition and the persistence of superior profits sustained high profitability may result when a firm repeatedly introduces valuable innovations that service previously unmet consumer demands while the returns to the firm from each innovation may erode over time innovation ensures that overall the firm maintains a high performance position at the same time sustained high profitability may also accrue to firms that innovate less often but effectively avoid the competition that otherwise erodes high returns this paper elaborates these relationships before presenting an empirical analysis of the effects of differential innovative propensities and differential rates of competition on pharmaceutical firms abilities to sustain profit outcomes that are above those earned by competing firms the analysis which is situated within the u s pharmaceutical industry finds support for the expected relationship between high innovative propensity and sustained superior profitability but no support for a link between persistence and the ability to avoid competition copyright 1999 john wiley sons ltd

persistence of profits in the long run a critical extension of some recent findings abstract recent discussions of the persistence of profits question have focussed on two econometric firm models which have been validated for several countries the paper gives a brief summary of the model concepts and of the most important findings for the countries in question both models are then applied to a data bank of german enterprises providing new results for one of them which has not been realized in germany yet finally the estimation results of the two models are examined by variance analysis this reveals that the convergence process is stronger than it has ever been perceived

profit sharing and the financial performance of companies evidence from u k panel data this paper examines the dynamic relationship between profit sharing and profitability in a sample of u k firms during the 1980s the estimates indicate a positive short run effect of the introduction of profit sharing schemes on the financial performance of companies this relationship is evident even if unobserved firm specific fixed effects and potential endogeneity of profit sharing are controlled for quite apart from its widely recognized influence on productivity and industrial relations profit sharing is arguably a financially attractive option for firms there is also evidence of the persistence of profitability in u k profit sharing firms copyright 1994 by royal economic society

do markets differ much this essay reports the results of a crosssection study of differences in accounting profitability that sheds light on some basic controversies in industrial economics most previous cross section studies in this field have been concerned with testing hypotheses about structural coefficients in models meant to apply to essentially all markets as we have learned more about the difficulties of constructing such general models and of performing tests on their structural parameters properly structural cross section analysis has fallen out of fashion in contrast to most of the cross section literature the analysis reported here is fundamentally descriptive it does not attempt directly to estimate or to test hypotheses about structural parameters i hope to show by example that one can perform illuminating analysis of cross section data without a host of controversial maintained hypotheses cross section data can yield interesting stylized facts to guide both general theorizing and empirical analysis of specific industries even if they cannot easily support full blown structural estimation one can view the sort of search for stylized facts conducted here as either a replacement for or an input to interindustry structural estimation depending on one s feeling about the long run potential of that research approach this study also departs from much of the cross section literature by being fundamentally concerned with the importance of various effects not just with coefficient signs and t statistics in particular this essay provides estimates of the relative importance of firm market and market share differences in the determination of business unit divisional profitability in u s manufacturing using 1975 data from the line of business program of the u s federal trade commission ftc i find support neither for the existence of firm effects nor for the importance of market share effects moreover while industry effects apparently exist and are important they appear to be negatively correlated with seller concentration in these data section i relates firm market and share effects to current issues and controversies in industrial economics and thus supplies the motivation for our empirical analysis the remainder of the essay treats the data and

heart of darkness modeling public private funding interactions inside the r d black box abstract this paper is a first step toward closing the analytical gap in the extensive literature on the results of interactions between public and private r d expenditures and their joint effects on the economy a survey focusing on econometric studies in this area reveals a plethora of sometimes confusing and frequently contradictory estimates of the response of company financed r d to changes in the level and nature of this category of public expenditures yet a theoretical framework seldom is provided within which the empirical results are to be interpreted some such structure is necessary in view of the multiple channels through which public research can affect private r d performance especially as not all the effects flow in the same direction a major cause of inconsistencies in the empirical literature is the failure to recognize key differences among the various policy experiments being considered depending upon the economy in which they are embedded and the type of public sector r d spending that is contemplated using a simple stylized structural model we identify the main channels of impact of public r d we thus can characterize the various effects distinguishing between short and long run impacts that would show up in simple regression analyses of nominal public and private r d expenditure variables within the context of our simple model it is possible to offer interpretations that shed light on recent cross section and panel data findings at both high i e national and low specific technology area levels of aggregation

persistence of firm level profitability in turkey the dynamics of company profits for 172 of the largest manufacturing firms in turkey are studied a time series analysis is used to estimate the long run projected profits and firm specific speed of adjustment parameters that measures the rate at which short run rents are eroded while persistent profitability differences across firms are observed there is also a moderately quick erosion of rents except for the most highly profitable firms firm characteristics rather than industry effects account for the differences in permanent profits contrary to the widespread view that developing countries suffer from uncompetitive markets the results in this paper suggest that the intensity of competition in turkey is no less than in developed countries and similar to other developing countries

public agricultural r d design and technological spill ins a dynamic model the paper presents a dynamic model for the analysis of the national agricultural research systems narss strategy in a context of increasing globalisation both intersectoral and international technology spill ins may greatly affect the nars design and this paper proposes an analytical framework for its study when major spill ins are present these spill ins are calculated by applying the yale technology concordance ytc methodology a var vec model is then specified to detect empirically given the calculated spill ins what nars design prevails in a dynamic framework the model is estimated for the italian agriculture data and provides evidence of close dependency on external r d sources

exchange rate dynamics and international effects of monetary shocks in monetary equilibrium models abstract this paper analyzes the ability of open economy extensions of lucas s 1990 liquidity model to explain features of observed nominal and real exchange rate dynamics and responses of key variables to monetary shocks the two country models that we consider are inhabited by multi member households who face cash in advance constraints on goods purchases and shocks to each country s technology and money growth rate countries are linked by trades in goods and currencies qualitative and quantitative implications of the model economies for exchange rate dynamics and behaviors of other key variables are examined

r d subsidy and self financed r d the case of japanese high technology start ups this paper examines whether public r d subsidies constitute a substitute or complement for private financed r d the empirical analysis is based on a panel data of 223 japanese high technology start ups our evidence is consistent with the complement hypothesis i e that publicly funded r d does promote private r d the complement effects are stronger for more mature firms this is because such firms in the growth phase might have greater demands for r d funds