cssi/SciSciGPT-SciSciNet huggingface dataset:
A New Model of Wage Determination and Wage Inequality

This paper proposes a new model of wage determination and wage inequality. In this model, wage-setters set workers' wages; they do so either directly, as when individuals vote in a salary committee, or indirectly, as when political parties, via the myriad of social, economic, fiscal, and other policies, generate wages. The recommendations made by wage-setters (or arising from their policies) form a distribution, and all the wage-setter-specific distributions are combined into a single final wage distribution. There may be any number of wage-setters; some wage-setters count more than others; and the wage-setters may differ among themselves on both the wage distribution and the amounts recommended for particular workers. We use probability theory to derive initial results, including both distribution-independent and distribution-specific results. Fortuitously, elements of the model correspond to basic democratic principles. Thus, the model yields implications for the effects of democracy on wage inequality....
The Home Mortgage Disclosure Act: A Synopsis and Recent Legislative History

This article describes the provisions of the federal Home Mortgage Disclosure Act (HMDA), tracing its legal evolution since 1989, when Congress expanded HMDA to require reporting of home mortgage lending by ethnicity and race. HMDA requires most lenders to report the demographic makeup and geographic distribution of home mortgages to the federal government. The 1989 amendments and later developments transformed HMDA from a law exclusively concerned with geographic disinvestment to one concerned with lending disparities by ethnicity and race. In the process, HMDA evolved from an obscure reporting statute to a flashpoint for debates over lending discrimination and subprime lending.
Oil and water: mixing individual mandates, fragmented markets, and health reform.

The 2010 federal health insurance reform act includes an individual mandate that will require Americans to carry health insurance. This article argues that even if the mandate were to catalyze universal health insurance coverage, it will fall short on some of the policy objectives many hope to achieve through a mandate if implemented in a fragmented insurance market. To uncover this problem, this article sets forth a novel framework that disentangles three different policy objectives the individual mandate can serve. Namely, supporters of the mandate might hope for it to: (1) facilitate greater health and financial security for the uninsured (“paternalism”); (2) eliminate inefficiencies in health care delivery and financing (“efficiency”); and/or (3) require the healthy to buy insurance to help fund medical care for the sick (“health redistribution”). Health redistribution — the primary focus of this article — is a shifting of wealth from the healthy to the sick through the mechanism of risk pooling. Many see health redistribution as a means to enable all Americans to more equitably access medical care on the basis of need, rather than on the basis of ability or willingness to pay. Drawing on evidence from the implementation of an individual mandate in Massachusetts's health reform in 2006, this article reveals that the fragmented American health insurance market will thwart the mandate's ability to achieve these objectives— in particular the goal of health redistribution. Fragmentation is an atomization of the insurance market into numerous risk pools that has been driven by market competition and regulation. It prevents Americans from sharing broadly in the risk of poor health and, in doing so, entrenches a system where access to medical care remains tied to ability to pay and individualized characteristics. The final section of this article examines how various policies, including some in the new law (e.g., insurance regulation and exchanges) and others not (e.g., expanded public insurance), can reduce fragmentation so that the mandate can successfully serve all desired objectives and in the process gain greater legitimacy over time.
Disclosure frequency and information asymmetry

The main purpose of this paper is to investigate whether more frequent disclosure by firms is associated with lower levels of information asymmetry among investors. Using a panel of 386 firms in the US retail sector, I find that the practice of regularly providing monthly revenue disclosures is not associated with reduced information asymmetry. In contrast, I find that more detailed (greater quantity) disclosure is associated with reduced information asymmetry. I provide preliminary evidence that the distinction between disclosure frequency and disclosure quantity is due to more frequent disclosure providing an incentive for increased private information acquisition by sophisticated investors. The results indicate that the relation between disclosure and information asymmetry is multi-dimensional and varies depending on the disclosure attribute being studied.
Market Reaction to Verbal Components of Earnings Press Releases: Event Study Using a Predictive Algorithm

Similar to a classic‐event study, this study examines market reaction to firmsa' earnings announcements. This study extends the examination to include a broad range of concurrent disclosure contained in earnings press releases: financial disclosure captured as accounting ratios; and verbal components of disclosure, both content and style, which are captured using elementary computer‐based content analysis. Extending the analysis to such a broad range of concurrent disclosures requires a methodology designed to utilize a large number of predictor variables, and predictive data mining algorithms are specifically designed to do so. Therefore, this study employs a widely used data‐mining algorithm—classification and regression trees (CART). Results of the study show that inclusion of predictor variables capturing verbal content and writing style of earnings‐press releases results in more accurate predictions of market response.
Slaying Contingent Beneficiaries

This Article analyzes what impact, if any, the slaying of one beneficiary by another should have on distribution of a decedent’s property. This issue could arise in a variety of conveyances, such as intestate succession, wills, pay-on-death bank accounts, transfer-on-death securities, or life insurance proceeds. Based on equity, the Restatement (Third) of Restitution takes the position that a beneficiary may never move forward in the line of succession as the result of a slaying. This result is thought to be an extension of the traditional “slayer rule,” which disallows a slayer from inheriting from her victim.The Article argues for the opposite conclusion: the slaying of a higher-priority beneficiary by a contingent beneficiary does not result in unjust enrichment because it does not result in a transfer of a property interest to the slayer. Although the slayer advances in the line of succession as a result of the slaying, the slayer still only possesses a defeasible expectancy, not a property interest. Because an expectancy is the legal equivalent of nothing, the slayer has not profited as a result of the killing.Thus, the property distribution should be governed by the likely intent of the owner of the estate rather than by the Restatement’s misguided notion of equity. When there is no governing instrument, the best approach is to presume that the owner of the estate would neither wish to totally disinherit the slayer nor permit the slayer’s share to increase as a result of the slaying. Thus, the slayer’s distribution should be calculated as if the victim of the slaying did not predecease the owner of the estate. But when there is a governing instrument that was either republished after the slaying or went unchanged for a reasonable time after the slaying, the law should simply carry out the property distribution as directed in the instrument even if it results in a larger share for the slayer than the slayer would have received if the slayer’s victim was still alive. This result is most likely in keeping with the intent of the estate’s owner.
Police Racial Violence: Lessons from Social Psychology

POLICE RACIAL VIOLENCE: LESSONS FROM SOCIAL PSYCHOLOGY L. Song Richardson* I NTRODUCTION The recent rash of police killing unarmed black men has brought national attention to the persistent problem of policing and racial violence. These cases include the well-known and highly controversial death of Michael Brown in Ferguson, Missouri, 1 as well as the deaths of twelve-year-old Tamir Rice in Cleveland, Ohio; 2 Eric Garner in Staten Island, New York; 3 John Crawford III in Beavercreek, Ohio; 4 Ezell Ford in Los Angeles, California; 5 Dante Parker in San Bernardino County, California; 6 and Vonderrit D. Myers Jr. in St. Louis, Missouri. 7 Data reported to the FBI indicate that white police officers killed black citizens almost twice a week * Professor, The University of California, Irvine School of Law. J.D., Yale Law School; A.B., Harvard College. I wish to thank Professors Kimani Paul-Emile and Robin Lenhardt for the opportunity to participate in this symposium entitled Critical Race Theory and Empirical Methods Conference held at Fordham University School of Law. I am also appreciative of the excellent research assistance provided by Sierra Nelson and Ariela Rutkin-Becker. For an overview of the symposium, see Kimani Paul-Emile, Foreword: Critical Race Theory and Empirical Methods Conference, 83 F ORDHAM L. R EV . 2953 (2015). 1. See, e.g., Jonathan Cohn, Darren Wilson Walks: No Indictment for Michael Brown’s Killer, N EW R EPUBLIC (Nov. 24, 2014), http://www.newrepublic.com/article/120395/ ferguson-grand-jury-makes-issues-no-charges-officer-wilson. 2. See, e.g., Emma G. Fitzsimmons, Video Shows Cleveland Officer Shot Boy in 2 Seconds, N.Y. T IMES , Nov. 27, 2014, at A25, available at http://www.nytimes.com/2014/ 11/27/us/video-shows-cleveland-officer-shot-tamir-rice-2-seconds-after-pulling-up-next-to- him.html. 3. See, e.g., J. David Goodman & Al Baker, Wave of Protests After Grand Jury Doesn’t Indict Officer in Eric Garner Chokehold Case, N.Y. T IMES (Dec. 3, 2014), http://www.nytimes.com/2014/12/04/nyregion/grand-jury-said-to-bring-no-charges-in- staten-island-chokehold-death-of-eric-garner.html. 4. Catherine E. Shoichet & Nick Valencia, Cops Killed Man at Walmart, Then Interrogated Girlfriend, CNN (Dec. 16, 2014, 10:28 PM), http://www.cnn.com/ 2014/12/16/justice/walmart-shooting-john-crawford/. 5. Jennifer Medina, Man Is Shot and Killed by the Police in California, N.Y. T IMES , Aug. 14, 2014, at A16. 6. Philip Caulfield, Father of 5 Dies After Getting Tased by Police During Attempted Burglary Arrest, N.Y. D AILY N EWS (Aug. 15, 2014), http://www.nydailynews.com/ news/national/father-5-dies-tased-police-arrest-article-1.1904577. 7. Alan Blinder, New Outcry Unfolds After St. Louis Officer Kills Black Teenager, N.Y. T IMES , Oct. 10, 2014, at A18.
Idolatry and Faith: The Jurisprudence of Sanford Levinson

It is a great pleasure to be able to honor Sandy Levinson, my very dear friend, who has done so many things for me in the course of my academic life. He discovered me, when I was an assistant professor toiling in the vineyards at the University of MissouriKansas City, and he and Scot Powe persuaded the members of the faculty at the University of Texas School of Law to bring me there, and give me a job, perhaps against their better judgment. He was incredibly generous to me during my years there, and since then. He took me under his wing, and I learned an enormous amount from him, so much so, that as I describe the themes of his work to you in this essay, it strikes me how much these same themes have also become central to my own work as well. That is the depth and significance of his influence. Of the many things he has done for me in the course of my academic career, one of the most valuable is allowing me the opportunity to collaborate with him. We have now written eleven articles, two books, and we are currently working on a third. But the greatest treasure he has given me is the gift of his friendship, which surpasses all, and I am deeply honored to be able to tell you about the work of this wonderful man, who I respect and admire greatly, and who I feel privileged every day of my life to be able to work with. This essay is about the themes of Sandy’s work, and what they mean to me. Anyone who reads Sandy’s work knows that his interests are wide-ranging indeed. He has written about a large number of different topics, including constitutional law, professional responsibility, political theory, law and religion, multiculturalism, the study of public monuments, jurisprudence, interpretive theory, law and literature, and law and music, just to name a few. I cannot do justice to all of these themes in this essay. Rather, I will pick and choose among them, emphasizing the ones that have had the most influence on my own thought, and no doubt, I will end up articulating and embellishing them in ways that differ from the way Sandy would present them. But that, of course, is both the bounty and the price of influence. Influence means that what you think and say
Gain, Loss, and Two-State Modeling

Gain and loss, calculated from the upside and downside portions of return distributions, play a pivotal role in the two-state model. A two-state economy possesses a universal gain-loss ratio (G/L) for all assets that is related to the ratio of state prices and to the familiar risk-neutral probabilities. This paper derives many asset pricing properties in a two-state context and shows the role of gain and loss. Applied to bonds, for example, risky debt yields depend directly on both G/L and a bond's potential loss. Using S&P 500 data over a 72-year period, the market has priced an Arrow-Debreu security in the gain state at approximately $0.36, while the Arrow-Debreu security in the loss state has been priced at $0.61. Historically, the S&P 500's expected gain is about three times its expected loss.
A Fiscal Price Tag for International Reserves

This paper examines the (quasi-)fiscal impact of the (opportunity) cost of international reserves. It proposes a conceptual framework, with particular emphasis on two hitherto somewhat neglected aspects: a more appropriate measure of gross opportunity cost, and potential savings from lower external debt spreads that countries ‘buy’ by holding reserves. The framework is then applied to 100 countries over 1990–2004. The results suggest that a turning point has been reached in recent years: while most countries made money on their reserves during 1990–2001, most have been losing money during 2002–04.
A Bayesian framework for combining valuation estimates

Discounted cash flow, method of comparables, and fundamental analysis typically yield discrepant valuation estimates. Moreover, the valuation estimates typically disagree with market price. Can one form a superior valuation estimate by averaging over the individual estimates, including market price? This article suggests a Bayesian framework for combining two or more estimates into a superior valuation estimate. The framework justifies the common practice of averaging over several estimates to arrive at a final point estimate.
Stare Decisis in the Second-Best World

The doctrine of stare decisis weighs the value of legal continuity against the value of legal accuracy. But that analysis is complicated by pervasive disputes over the implications of legal error. Likewise, the scope of a precedent’s impact in future cases depends on underlying assumptions about the ends and means of legal interpretation. When those assumptions vary among judges, so too will applications of stare decisis.
Households and the Fiscal System

One of the most vexed issues in income tax policy is how family or household status should affect tax liability. This article suggests a general approach for thinking about the treatment of households in the fiscal system generally under a utilitarian social welfare norm. The United States fiscal rules considered include those not only in the income tax but under Social Security, Medicare, and safety net programs. Among the recommendations that emerge from the analysis are (1) recognizing couples for tax and transfer purposes without limitation to those that are married, (2) reducing the fiscal system's current distributional bias in favor of one-earner couples and its discouraging work by secondary earners, and (3) providing significantly more favorable treatment of households with children than of those with similar resources but no or fewer children, without limiting this more favorable treatment, in the manner of present U.S. law, to relatively poor households.
Equalizing Superstars: The Internet and the Democratization of Education

Educational resources distributed via the Internet are rapidly proliferating. One prominent concern associated with these potentially transformative developments is that, as many of the leading technologies of the last several decades have been, these new sweeping technological changes will be highly disequalizing, creating superstar teachers, a wider gulf between dierent groups of students and potentially a winner-take-all educational system. In this paper, we argue that, these important concerns notwithstanding, a major impact of the superstars created by web-based educational technologies will be the democratization of education: not only will educational resources be more equally distributed, but also lower-skilled teachers will be winners from this technology. At the root of our results is the observation that for web-based technologies to exploit the comparative advantage of skilled lecturers, they will need to be complemented with opportunities for face-to-face discussions with instructors, and web-based lectures will increase the quantity and quality of teaching services complementary to such instruction, potentially increasing the marginal product and wages of lower-skill teachers.
Bidding strategies and takeover premiums: A review ☆

Abstract I review recent empirical research documenting offer premiums and bidding strategies in corporate takeovers. The discussion ranges from optimal auction bidding to the choice of deal payment form and premium effects of poison pills. The evidence describes the takeover process at a detailed level, from initial premiums to bid jumps, entry of rival bidders, and toehold strategies. Cross-sectional tests illuminate whether bidders properly adjust for winner's curse, whether target stock price runups force offer price markups, and whether auctions of bankrupt firms result in fire-sale discounts. The evidence is suggestive of rational strategic bidding behavior in specific contexts.
Criminal Rehabilitation, Incapacitation, and Aging

In April 1993, Georgia instituted new parole guidelines that led to longer prison terms for parole-eligible offenders. This paper shows that an extra year of prison reduces the three-year recidivism rate by 6 percentage points (14%) and that the benefits of preventing this crime are likely outweighed by the costs of this additional incarceration. I develop a new econometric framework to jointly estimate the effects of rehabilitation, incapacitation, and aging in reducing crime. Estimates of incapacitation effects using existing methodologies are biased upward by at least a factor of 2 because they focus on a short time horizon. Copyright 2012, Oxford University Press.
Building the Federal Judiciary (Literally and Legally): the Monuments of Chief Justices Taft, Warren and Rehnquist

The “federal courts” took on their now familiar contours over the course of the twentieth century. Three chief justices — William Howard Taft, Earl Warren, and William Rehnquist — played pivotal roles in shaping the institutional, jurisprudential, and physical premises. Taft is well known for promoting a building to house the U.S. Supreme Court and for launching the administrative infrastructure that came to govern the federal courts. Earl Warren’s name has become the shorthand for a jurisprudential shift from state toward federal authority; the Warren Court offered an expansive understanding of the role federal courts could play in enabling access for a host of new claimants seeking an array of rights. William Rehnquist is identified with limiting both rights and access in favor of state court and of executive authority. He has been less well appreciated for his role in changing the institutional capacity of the federal courts. During the Rehnquist era, the budget of the federal courts doubled as staff and facilities expanded, in part by way of the largest federal building program since the New Deal. Over the course of the twentieth century and under the leadership of all three chief justices, the judiciary gained an increasingly robust corporate persona. Judges shifted their sights from “court quarters” to custom-designed courthouses and, during Chief Justice Rehnquist’s tenure, obtained billions of dollars to fund new construction. The Administrative Office of the United States Courts came into close contact with two other federal bureaucracies — the General Services Administration and the National Endowment for the Humanities — and developed a program of construction that made massive federal courthouses signature buildings of the federal government. Changes of the last decades, however, interrupt the narrative of federal judicial growth spiraling ever upward. Flattening rates of filings, vanishing trials, and limitations imposed both by Congress and the Supreme Court on federal court authority make fragile both the monumental aspirations for federal adjudication and the continuing investment of resources in federal judges and in their courts. The cultural capital of the federal courts overshadows that of state and administrative adjudication, but, as federal jurisprudence continues to constrict access, the state courts — with jurists pressing for “Civil Gideon” — are advancing the very agendas that the Warren Court once made “federal” imperatives.
The option market’s anticipation of information content in earnings announcements

We exploit information in option prices in order to study whether the ex post responsiveness of stock prices to earnings information is reflected from an ex ante, firm- and quarter-specific perspective. Specifically, we develop a measure of anticipated information content (AIC) that isolates the forecasted magnitude of the stock market’s reaction to earnings information. We find that the AIC positively correlates with the ex post magnitude of the stock market sensitivity to unexpected earnings, increases with earnings persistence, firm growth prospects, the richness of firms’ information environments and the presence of (and changes in) sophisticated ownership, and decreases with discount rates. Our paper sheds light on the role that earnings information plays in shaping option-market behavior and offers researchers an option-market approach to studying the responsiveness of stock prices to earnings information.
An alternate approach to modeling the slack season provision of guided tours to tourists

Abstract We discuss an approach to modeling the slack season provision of guided tours to tourists that accounts for the twin phenomena of stochastic demand and tourist heterogeneity but is different from the way in which this problem has been modeled in the extant tourism literature. Our discussion uses the theory of discrete-time Markov chains and it models the slack season from a tourist demand perspective. Specifically, we first study a case in which the wait plus tour or the excursion time of an arriving tourist is exponentially distributed with a fixed mean. Next, we focus on a scenario in which the excursion time is exponentially distributed with one of two possible fixed means and these two means arise with specific probabilities.
Exploring the Boundaries of Compassion Organizing

Management theory and practice are facing unprecedented challenges posed by the amount of suffering induced and caused by the recent financial crisis, increasing social inequity, the worldwide spread of terrorism, and the consequences of climate change (Hart 2005, p. 61; Prahalad 2005; Senge 2008). Spiritual figures such as the Dalai Lama and Pope Benedict XVI have repeatedly highlighted the central role of compassion to alleviate the pain caused by these crises. Drawing on ancient spiritual teaching about empathy and the more recent insights regarding the relevance of emotions (e.g. emotional intelligence), emotion-centric perspectives of management have been advocated more strongly in the very recent past (Brockner and Higgins Organizational Behavior and Human Decision Processes 86(1):35-66 2001; Cooper and Sawaf 1996; Mayer et al. Annual Review of Psychology 59:507-536 2008). So far, however, compassion related concepts have played a marginal role within management research. Dutton et al.’s Administrative Science Quarterly 51(1):59-96(2006) seminal paper offers a much needed perspective as it allows to conceptualize compassion as an organizational focal point. In this paper, I set out to examine boundaries to the general applicability of compassion organizing theory. Istart by examining the assumptions regarding the human capacity for compassion presented by Dutton et al. Administrative Science Quarterly 51(1):59-96(2006). I further develop a set of boundary conditions of individual level compassion capability, a precondition for compassion organizing. I then develop a typology of compassion capability proposing four archetypes of individual level compassion capability, and transpose the insights generated onto a typology of organizing modes. This typology allows distinguishing the various modes of compassion organizing, and helps identifying the structures and mechanisms that undermine compassion organizing. As such, Ihope to contribute to a better understanding of the potential for compassion organizing in theory and practice.
FIRST NATURE, SECOND NATURE, AND METROPOLITAN LOCATION

ABSTRACT. Economies of scale, transportation costs, and factor mobility can interact to produce agglomerations even in the absence of any pure external economies. This paper offers a monopolistic competition model of a city that serves an agricultural hinterland; unlike most analyses in location theory, the model is fully general equilibrium, but it has strong links to older concepts in geography, notably the idea of “market potential.” The analysis shows that the forward and backward linkages that hold a population concentration together also allow that concentration to occur in a variety of possible sites—that is, there are multiple equilibria (indeed a continuum) for metropolitan location.
Government decision-making and the incidence of federal mandates

Abstract This paper analyzes the effects of federally-mandated program changes on state spending and revenues, incorporating and evaluating the predictive value of several common theories of the state decision-making process. Using several sources of exogenous increases in public medical spending, I estimate that the entire state portion of the burden of mandated spending is borne by decreases in other public welfare spending. While federal mandates may influence the composition of benefits at the state level, it is much more difficult for them to change the total level of state transfers. Comparison of state reactions to different shocks suggests that these reductions are due in part to the substitutability of programs in the voter utility function but also in part to the “stickiness” of spending within budget categories. States with greater racial differences between recipients and voters and states with less generous neighbors reduce other public welfare spending by even more, alleviating the burden the medical expansions imposed on their taxpayers. Mandates may thus serve only to increase inequality across states.
Parochialism in the Evolution of a Research Community: The Case of Organization Studies

abstract The organizations research community is a multidisciplinary, multinational and multilingual association of scholars with all the paraphernalia of international exchange. Nevertheless, it is a community that is organized in a geographically fragmented way, with linguistic, national, cultural and regional boundaries separating relatively autonomous scholarly communities. Although this fragmentation limits the integration of organization studies, it serves an adaptive role in making the resistance of deviant ideas to the homogenizing tendencies of dominant scholarly groups easier. The effective use of such differentiation, however, requires linkages among the fragmented parts of the field. We consider some ways of thinking about how research boundaries can be both sustained and violated, with particular attention to the emergence of Chinese scholarship in the study of organizations.
Modularity and Commonality Research: Past Developments and Future Opportunities

Research on modularity and commonality has grown substantially over the past 15 years. Searching 36 journals over more than the past 35 years, over 160 references are identified in the engineering ...
Neuroscientists in court

Neuroscientific evidence is increasingly being offered in court cases. Consequently, the legal system needs neuroscientists to act as expert witnesses who can explain the limitations and interpretations of neuroscientific findings so that judges and jurors can make informed and appropriate inferences. The growing role of neuroscientists in court means that neuroscientists should be aware of important differences between the scientific and legal fields, and, especially, how scientific facts can be easily misunderstood by non-scientists, including judges and jurors.
Richard Goodwin's Keynesian cobweb: theme and variations

Abstract Variations of Richard Goodwin's graphical model for explaining the rudiments of Keynes' real/monetary business cycle theory are presented that can also be explicated graphically, but which possess more plausible dynamic properties, namely, the generic possibility of irregular, asymmetric fluctuations.
Geographic and Network Neighbors: Spillover Effects of Telecommunications Infrastructure

This paper tests for spatial spillover effects of state-level telecommunica- tions infrastructure investment on state output, using panel data for 48 U.S. states from 1970 through 1997. As information and communication technologies support more indus- trial locational freedom, states may use telecommunications infrastructure investment as a competitive tool for attracting factors of production. In a production-function framework, this effect would manifest itself as a negative output spillover effect from telecommunica- tions infrastructure investment. Findings indicate that a state benefits from its own telecommunications infrastructure, but telecommunications investment by other states has a negative impact on its output growth path, and proximity amplifies this negative spillover effect.
Estimating Multiple Precision Matrices With Cluster Fusion Regularization

We propose a penalized likelihood framework for estimating multiple precision matrices from different classes. Most existing methods either incorporate no information on relationships between the p...
RUSSIAN RAILWAYS REFORM AND THE PROBLEM OF NON-DISCRIMINATORY ACCESS TO INFRASTRUCTURE

Restructuring of the Russian railways system is well under way. Among the policies just now coming into practice are two that are standard in railways restructuring in other countries: the provision of access to the infrastructure by independent train operating companies, and assurances of non-discriminatory access terms for such companies. However, 'discrimination' - in the traditional economic sense - is a standard and often welfare-enhancing pricing strategy for the recovery of fixed costs in a sector, like railways, with declining average costs. If competition regulators are unable to distinguish between discrimination that harms competition and discrimination designed only to recover fixed costs, policy makers in Russia and elsewhere will face a choice between large government subsidies and large welfare losses. In these circumstances, other restructuring models should be considered.
Greater epithelial ridge cells are the principal organoid-forming progenitors of the mouse cochlea

In mammals, hearing loss is irreversible due to the lack of regenerative potential of non-sensory cochlear cells. Neonatal cochlear cells, however, can grow into organoids that harbor sensory epithelial cells, including hair cells and supporting cells. Here, we purify different cochlear cell types from neonatal mice, validate the composition of the different groups with single-cell RNA sequencing (RNA-seq), and assess the various groups' potential to grow into inner ear organoids. We find that the greater epithelial ridge (GER), a transient cell population that disappears during post-natal cochlear maturation, harbors the most potent organoid-forming cells. We identified three distinct GER cell groups that correlate with a specific spatial distribution of marker genes. Organoid formation was synergistically enhanced when the cells were cultured at increasing density. This effect is not due to diffusible signals but requires direct cell-to-cell contact. Our findings improve the development of cell-based assays to study culture-generated inner ear cell types.
Discontinuities and Earnings Management: Evidence from Restatements Related to Securities Litigation*

A heated debate exists as to whether discontinuities in earnings distributions are indicative of earnings management. While many studies attribute discontinuities in earnings distributions to earnings management, other studies argue that earnings discontinuities are artifacts of sample selection and research design. Overall, there is limited direct evidence of a connection between earnings discontinuities and earnings management. In this study, we provide direct evidence linking earnings management to earnings discontinuities for a sample of firms that settle securities class action lawsuits and restate earnings from the alleged GAAP violation period. We compare the distribution of restated (“unmanaged”) earnings to originally reported (“managed”) earnings. We find that discontinuities are not present in the distribution of analyst forecast errors and earnings changes using unmanaged earnings but are present using managed earnings. The discontinuity in the earnings level distribution is attenuated, but not eliminated, on an unmanaged basis. These shifts among our sample of firms are caused by earnings management and cannot be explained by sample selection or research design issues. Our findings are important because many studies use earnings discontinuities as a proxy for intentional earnings manipulations and we provide the first direct evidence of a link between these two phenomena.
Sheltering Lawyers: The Organized Tax Bar and the Tax Shelter Industry

This Article considers the role of tax lawyers in the corporate tax shelter controversy. In the mid-1990s, a large market emerged in abusive tax shelters, which cost the treasury tens of billions of dollars in lost tax revenue a year. Although individual tax lawyers were deeply involved in abusive tax shelters, the organized tax bar supported law reforms intended to rein in the tax shelter market. The bar's initiatives included due diligence obligations for opinion letters issued in connection with tax shelters and other proposals intended to strengthen practice standards. The tax bar's positions in the tax shelter debate cannot be adequately explained by conventional accounts of the organized bar, which assume that bar groups act to further lawyers' or clients' economic interests or to improve the reputation of the bar. Nor, however, should the bar's positions be taken as pure expressions of public-mindedness. A more nuanced conception of professionalism is required to account for the bar's initiatives. This Article argues that the bar's positions reflect a specific professional ideology of tax practice in which tax lawyers, by virtue of their expertise, serve as gatekeepers for the tax system. While not conferring immediate economic benefits to tax lawyers, the bar's reforms further tax lawyers' long-term reputational and other interests, even as they serve to bind lawyers to higher practice standards and protect the integrity of the tax system.
Prescriptions sans frontières (or how I stopped worrying about Viagra on the Web but grew concerned about the future of healthcare delivery).

This Article argues that the threat posed by rogue Internet prescribing and dispensing does not justify the level, style, and mechanics of current regulation. Current and emerging regulation may chill the development of lawful, efficient, necessary, and patient-friendly services and recommends alternate approaches. Part I of the Article sets out the key distinguishing features of the aforementioned initiatives and suggests that simple confusion between different and emergent models seem to be misleading legislators and regulators and imperiling patient choice. Part II discusses current regulation of Internet prescribing and dispensing and addresses the areas that most concern regulators. In the process, it examines the regulation of Internet prescribing by state licensing boards and the controversy surrounding transnational prescription dispensing. Parts III and IV of the Article then look beyond the current forms of Internet prescribing and dispensing to identify the stakeholders and critically analyze the regulatory themes that populate the landscape. These themes, including those labeled as uneasy federalism, under-regulation, and over-regulation, help us better understand the ways our legal and regulatory systems create disincentives to the adoption of new technologies or business models. Part V of the Article describes the steps necessary to maintain rigorous control over healthcare quality while avoiding disincentives to the provision of the next generation of effective and efficient healthcare.
An Efficiency Enhancing Minimum Wage

We consider an economy with a tax on all labor earnings. We discover that a slightly binding minimum wage on one sector can enhance efficiency. The minimum wage attracts high‐reservation wage workers into the minimum‐wage sector. If the labor demand curve in the free sector is quite flat, the vast majority of workers displaced by the minimum wage find employment in the free sector, raising aggregate employment. This displacement of workers by the only slightly binding minimum wage has negligible effects on efficiency. So efficiency and tax revenue rise as the minimum wage pulls labor out of untaxed leisure, where too much of the labor force is lurking, into taxed work.
NSA Metadata Collection and the Fourth Amendment

The Snowden disclosures have sparked public controversy and provoked constitutional challenges in federal courts. This Note aims to contribute to that debate in two ways. First, it collects information scattered across numerous government documents — some of which Edward Snowden has disclosed, others of which the government has declassified — to tell the story of the NSA’s telephony metadata collection program since September 11, 2001. Second, it assesses the government’s argument that call record data lacks protection under the Fourth Amendment. In particular, this Note asks whether the NSA’s prolonged collection of telephony metadata is consistent with Fourth Amendment doctrine in light of the U.S. Supreme Court’s 2013 decision in United States v. Jones, in which the Court raised serious doubts about the constitutionality of unfettered metadata collection and analysis.
The level and sources of popular support for China's current political regime

Abstract This article assumes that whether the current Chinese authoritarian government can maintain socio-political stability during the potentially turbulent transition to the post-Deng Xiaoping era depends, at least in part, upon the level of popular support for the political regime (or regime legitimacy). Based on data derived from a sample survey of Beijing residents, this study seeks to address two fundamental questions: “To what extent does the current Chinese communist regime enjoy public support?” and “What are the possible sources of popular support for the political regime in contemporary China?” The findings in this study suggest that (1) the current communist regime still enjoys a moderately high level of popular support, and (2) popular support for the regime is most likely to be found among those who are optimistic about the country's economic and political futures, who are most satisfied with their life, who give high evaluations of incumbent policies, who often follow public affairs, and who are older. Based on these findings, the article concludes that the current communist regime seems to have a good chance of remaining legitimate among a majority of the Chinese people, while it is still facing serious challenges from its policy performance in some major public policy areas.
Volatility, employment and the patterns of FDI in emerging markets

Abstract The purpose of this paper is to explore the implications of the deepening presence of multinationals in emerging markets on the cost of macroeconomic volatility there. We find that macroeconomic volatility has a potentially large impact on employment and investment decisions of multinationals producing intermediate inputs in developing countries. This is the case even for risk neutral multinationals, as their profit function is non-linear due to price and productivity effects. For industries with costly capacity, the multinationals would tend to invest in the more stable emerging market/s. Higher volatility of productivity shocks in an emerging market producing the intermediate inputs reduces the multinationals' expected profits. High enough instability in such a market would induce the multinationals to diversify intermediate input production, investing in several emerging markets. This effect is stronger in lower margin industries. We identify circumstances where this diversification is costly to emerging markets. Such a diversification increases the responsiveness of the multinationals' employment in each country to productivity shocks, channeling the average employment from the more to the less volatile location, and reducing the multinationals' total expected employment in emerging markets.
Earnings Opacity and the Productivity of Nations

Output per worker varies significantly from one country to another. Why? Our analysis shows that differences in earnings opacity are important sources of this variation. Earnings opacity is a measure that reflects how little information there is in a firm's earnings number about its true, but unobservable, economic performance. According to our results, a high‐productivity country has the accounting quality associated with low earnings opacity. Results further suggest that the quality of accounting in general, and low earnings opacity in particular helps a country by stimulating the accumulation of human and physical capital and by raising its total factor productivity.
Firms Gone Dark

The securities laws have permitted hundreds of firms to exit the mandatory disclo sure system even though these firms' shares continue to be publicly traded and may be held by thousands of investors. Such exiting firms are said to "go dark" because they subsequently tend to provide little information to public investors. This Article describes the going-dark phenomenon and considers its implications for the longstanding debate over the desirability of mandatory disclosure. The Article also puts forward a new ap proach to regulating firms seeking to go dark: giving public shareholders a veto right over exit from mandatory disclosure.
A Variance Decomposition for Stock Returns

This paper shows that unexpected stock returns must be associated with changes in expected future dividends or expected future returns. A vector autoregressive method is used to break unexpected stock returns into these two components. In U.S. monthly data in 1927-88, one-third of the variance of unexpected returns is attributed to the variance of changing expected dividends, one-third to the variance of changing expected returns, and one-third to the covariance of the two components. Changing expected returns have a large effect on stock prices because they are persistent: a 1 percent innovation in the expected return is associated with a 4 or 5 percent capital loss. Changes in expected returns are negatively correlated with changes in expected dividends, increasing the stock market reaction to dividend news. In the period 1952-88, changing expected returns account for larger fraction of stock return variation than they do in the period 1927-51. Copyright 1991 by Royal Economic Society.
Parental Leave and Child Health

This study investigates whether rights to parental leave improve pediatric health. Aggregate data are used for 16 European countries over the 1969 through 1994 period. More generous paid leave is found to reduce deaths of infants and young children. The magnitudes of the estimated effects are substantial, especially where a causal effect of leave is most plausible. In particular, there is a much stronger negative relationship between leave durations and post-neonatal or child fatalities than for perinatal mortality, neonatal deaths, or low birth weight. The evidence further suggests that parental leave may be a cost-effective method of bettering child health.
Quality of the Firm’s Training and Stock Returns

This article examines whether firms in the United States that have quality training programs can enjoy above-the-market-average benefits and performance. We analyze risk premiums and risk-adjusted excess returns of a portfolio of public firms in the United States that are ranked in the top 50 of the Training Top 125 consecutively from 2006 to 2011, in order to determine if the portfolio risk premiums are higher than the market risk premiums, and whether the portfolio can generate positive risk-adjusted excess returns. The portfolio average risk premiums are all positive and economically greater than the market risk premiums for the five-year holding period intervals. All of the portfolio average risk-adjusted excess returns from the single-index and four-factor models are positive (some are statistically significant) for the three-year and five-year holding period intervals. The study shows that on average, firms in the United States that have quality training programs should be able to enjoy above-the-market-average benefits and performance in the long run.
Insurance Law as Public Interest Law

Introduction 985 I. The Contested Meaning of Public Interest Law 988 II. The Multi-Faceted Ways Through Which Insurance Law Serves the Public Interest 993 A. How Liability Insurance Laws Serve the Public Interest 993 B. How Workers’ Compensation Insurance Laws Serve the Public Interest 998 C. How Health Insurance Laws Serve the Public Interest 1001 D. How Insurance Regulations Serve the Public Interest 1005 Conclusion 1008
Comparative Constitutionalism and the Making of A New World Order

This paper integrates the phenomenon of comparative constitutionalism within the larger disaggregation of sovereignty as presented in Anne-Marie Slaughter's book, A New World Order. It shows how the advent of comparative - and global - constitutionalism - fits within the confines of traditional comparative law. The paper also includes a discussion of judicial networks are both similar and dissimilar to other networks that Slaughter analyzes in her book. The paper shows why normative considerations must supplement sociological analysis of legal phenomena.
Selling package tours to tourists: a contract theory perspective

We provide the first contract-theoretic analysis of how best to sell package tours to heterogeneous tourists in an environment with asymmetrically held information. Our analysis has three practical implications. First, asymmetric information tends to hamper package tour sales. Second, some tourists (high-type) will benefit from asymmetric information but others (low-type) will not. Third, low-type tourists tend to buy package tours with inefficiently low quality and they may also be unable to buy a package tour.