cssi/SciSciGPT-SciSciNet huggingface dataset:
Optimal Portfolio Choice in Retirement With Participating Life Annuities

This article derives optimal consumption, investment, and annuitization patterns for retired households that have access to German-style participating payout life annuities (PLAs), allowing for cap...
Bounded Rationality, Indeterminacy, and the Theory of the Firm

Two issues have become increasingly apparent in attempts to apply the prevailing notions of' economic rationality' to the theory of the organisation of business firms. The first goes under the rubric of bounded rationality. This is hardly a new idea, and has been forcefully brought to our attention in the work of Simon and others, although awareness of the problem (in economics) goes back at least to Clark (I9I8). I shall try to provide a more detailed taxonomy of bounded rationality than is usually done. In particular, it is important to distinguish between (i) costly rationality, like the costs of observation, communication, and even computation, that require only an extension of the standard 'Savage Paradigm', and (2) truly bounded rationality, like not knowing the implications of everything that one knows, which as far as I know goes far beyond the Savage paradigm. The second issue, which I shall call indeterminacy, arises in attempts to apply the theory of strategic games to models of organisations, namely, one often faces a very large multiplicity of solutions, which significantly weakens or even destroys the predictive power of the theory. By 'solution' I mean here the socalled non-cooperative equilibrium, usually associated with the names of Auguste Cournot and John Nash (and extended and refined byJohn Harsanyi, Reinhard Selten and others to cover games in which the players have incomplete information). Although indeterminacy can arise even in static games with complete information, it seems to be especially prevalent in dynamic games and/or games with incomplete information. Both of these issues have profound implications for the organisation of the firm. In discussions of this topic, it has become commonplace to set up the straw figure of the firm as a black box, mysteriously choosing production and investment plans to maximise profits. It is true that there are still undergraduate price theory textbooks that present this picture, but economists have long been familiar with the phenomenon of the separation of ownership and management, at least since the publication of the book by Berle and Means (I932), if not before; in fact, Adam Smith had some trenchant comments on it (I776, pp. 264-5). This phenomenon is also referred to as the separation of ownership and control (see Fama and Jensen, I983). Today, one is likely to see this analysed in terms of the 'principal-agent' model, with the owner(s) cast as the principal, and the manager(s) as the agent.
Heuristics, Biases, and Criminal Defendants

Cognitive science teaches us that most people, much of the time, act in ways that systematically depart from the behavior of a purely rational actor. In the past fifteen years, scholars have used this core insight not only as the basis for critique of law and economics-based analyses, but also as the foundation of its own distinct approach to legal problems. The resulting literature is robust and stimulating, and “behavioral law and economics” has contributed to virtually every field of legal inquiry. I am in favor of drawing on psychology’s insights to enrich legal scholarship and practice, and generally applaud the effort to strengthen the connection between reality and critique. My purpose here is simply to use this symposium’s discussion of plea bargaining to introduce a note of caution with respect to the application of this research to the workings of the criminal justice system, and in particular with respect to the behavior of criminal defendants. As most of the commentators who have applied behavioral law and economics to the plea bargaining process have pointed out, what results appears to present something of a puzzle. A straightforward application of the heuristics and biases literature leads to the conclusion that plea bargaining should occur only rarely. That, of course, does not accord
New Principles for Corporate Law

The fundamental assumptions of corporate law have changed little in decades. Accepted as truth are the notions that corporations are voluntary, private, contractual entities, that they have broad powers to make money in whatever ways and in whatever locations they see fit. The primary obligation of management is to shareholders, and shareholders alone. Corporations have broad powers but only a limited role: they exist to make money. Those who maintain these principles - a group that includes most of the legal scholars who teach and write in the area - have derived the narrow role of corporations in one of two ways. A few traditionalists take it as an article of faith, developed from a rights-based view of the private nature of corporations. Such view holds that shareholders are owners, and the corporation is their individual property. An argument that corporate governance operates in the realm of natural rights is a difficult, unpersuasive, and increasingly undefended contention: few of even the most vehement proponents of shareholder primacy make it anymore. Instead, the best and most thoughtful argument for shareholder primacy is not a rights-based claim, but an instrumental one. The claim is that maintaining the narrow role of corporations and of corporate governance is the best way to benefit society as a whole. The problem with the instrumental claim is that it is largely unsupported by empirical data and untested by rigorous counterargument. Absent both, the instrumental claim for shareholder primacy reveals itself to be as founded on faith as the traditionalists' rights-based arguments. The instrumentalist justification is often merely a post-hoc explanation for the status quo rather than a serious examination of what society's "best interest" would require in corporate governance. This article takes a novel approach to developing a set of principles and policies for corporate law, starting with a focus on society's well being. With society's interest as the explicit foundational principle, other principles for the regulation of corporations emerge that are strikingly different from the status quo. The principles derived here, five in all, begin at a high level of generality and become more particular and presumably more controversial. Nevertheless, all of them are rational, practical, and rooted in the protection of the public good. If adopted, these new principles and proposals would provide the basis for significant change in the way we govern corporations in this country. Of course, the foundational assumption that society's interest should be pursued will not satisfy those who see corporate law as governed by the realm of rights. Indeed, this article will not convince anyone who starts with the assumption that businesses can be run by their shareholder-owners as they see fit. For most people honestly wrestling with issues of corporate governance, however, shareholder primacy is not the foundational assumption but rather one of the potential conclusions. What this article makes clear is that other potential conclusions exist as well.
Antitrust and the Supremacy Clause

In the course of damning the market giant Standard Oil, the Supreme Court declared that the purpose of the Sherman Antitrust Act is to prevent monopoly and the acts which produce the same result as monopoly. The Constitution's Supremacy Clause, in turn, requires preemption - that is, non-enforcement - of state laws that conflict with a federal statute. Put together, these propositions suggest that state laws which create monopolies should be prime candidates for preemption via the Sherman Act. But despite the syllogistic logic bearing down on them, monopoly-creating state laws have easily weathered most federal antitrust challenges, even when the state does not regulate the price the monopolist charges. The reason is that the Supreme Court's antitrust decisions on state economic regulation have consistently confused two distinct questions: whether market conduct encouraged by state law violates the Sherman Act, and whether state law conflicts with the Sherman Act and thus is preempted. This confusion explains other problems in the Court's antitrust jurisprudence, including the Court's inability to make sense of antitrust claims against municipalities acting as lawmakers rather than market participants. In this Article, I describe the sources and consequences of the Court's confusion, and then I propose how to resolve it.
On the determinants of firm leverage: evidence from a structural estimation

Purpose – The purpose of this paper is to investigate the phenomena of convergence and stability of leverage reported by Lemmon et al. (2008). Design/methodology/approach – A dynamic trade-off model of the firm was used to simulate investment, leverage, and payout decisions for different types of firms. From an econometric standpoint, the Efficient Method of Moments was used to recover the structural parameters. Findings – The structural model generates a leverage ratio that oscillates around a long-run, time-invariant level and consistently reproduces the convergence and stability of leverage reported by Lemmon et al. (2008). The model also suggests the causes of those observed properties of the data. That is, convergence is due to the mean-reversion of profits while stability is due to the different fundamental characteristics (e.g. capital elasticity, volatility of profits, etc.) of the firm. Practical implications – Determining the optimal capital structure of a firm is a complex problem that has chal...
Universal Extra Dimensions at the e- e- Colliders

Universal Extra Dimensions (UEDs) with compactification radius near the TeV scale provide interesting phenomenology at future colliders. The collider signals of the first Kaluza-Klein (KK) level are very similar to those of a supersymmetric model with a nearly degenerate superpartner spectrum. The heavier first level KK states cascade decay to the lightest KK particles (LKP), which is neutral and stable because of KK-parity. The signatures involve missing energy and relatively soft jets and leptons which can be difficult for detection. The KK electron signal in e-e- collisions is free from the problematic two photon background therefore provides a unique opportunity for a detailed studies of the KK electrons in the Universal Extra Dimension scenario.
First Time International College Students’ Level of Anxiety in Relationship to Awareness of Their Learning-Style Preferences

Given the receptivity of American colleges to international students, administrators and professors must recognize the diversity such registrants bring to campus in the form of achievement, age, gender, language, and national differences. The purpose of this study was to compare learning style preferences of international first year college students and to analyze the effects of accommodating learning-style preferences of first year international college students on achievement and anxiety levels over one semester. This paper focused on the identification of learning style profiles of first time visiting Japanese, Korean, and Chinese college student populations. It also assessed the anxiety and acculturation levels of these international students when they were first introduced to the American educational system which incorporated teacher facilitation and promoted student directed studies. Finally, student learning styles were assessed after a six-week summer session to see if learning styles remained the same after students were introduced to the American educational system. After the six-week summer session and two semesters, a focus group meeting with a sample population of students and a separate focus group meeting with instructors were held to confirm quantitative findings. American colleges and universities welcome international students for the economic and humanistic cornerstone they provide, and studies suggested that cultural diversity on college campuses produced favor
The Economics of Natural Disasters: A Survey

Natural disasters are by no means new, yet the evolving understanding of their relevance to economic development and growth is still in its infancy. This paper summarizes the state of the economic literature examining the aggregate impact of disasters. The paper reviews the main disaster data sources available, discusses the determinants of the direct effects of disasters, and distinguishes between short- and long-run indirect effects. The paper then examines some of the relevant policy questions and follows up with projections about the likelihood of future disasters. The paper ends by identifying several significant gaps in the literature.
The impact of internal control weaknesses on firms' cash policies

We study the association between firms' Section 302 and Section 404 internal control weaknesses and these firms' cash-to-cash flow sensitivities. We also examine whether the presence of the internal control weaknesses affects the relationship between firms' asset liquidity and stock liquidity. We find that the presence of Section 404 internal control weaknesses is associated with stronger cash-to-cash flow sensitivities and with weaker impact of higher asset liquidity on stock liquidity. Our results suggest that internal control weaknesses increase firms' reliance on internal, as opposed to external, financing. Also, internal control weaknesses increase uncertainty over future uses of cash, thereby reducing the positive impact of higher relative cash balances on stock liquidity. Thus, our study provides additional evidence on the potential costs of internal control weaknesses.
Comparing policies to confront permit over-allocation

Abstract Instability in cap-and-trade markets, particularly with respect to permit price collapses, has been an area of concern for regulators. To that end, several policies, including hybrid price-quantity mechanisms and the newly introduced “market stability reserve” (MSR) systems, have been introduced and even implemented in some cases. I develop a stochastic dynamic model of a cap-and-trade system, parameterized to values relevant to the European Union׳s Emission Trading System (EU ETS) to analyze the performance of these policies aimed at adding stability to the system or at least at reducing perceived over-allocations of permits. Results suggest that adaptive-allocation mechanisms such as a price collar or MSR can reduce permit over-allocations and permit price volatility in a more cost-effective manner than simply reducing scheduled permit allocations. However, it is also found that the performance of these adaptive allocation policies, and in particular the MSR, are greatly affected by assumed discount rates and policy parameters.
Protecting River Flows for Fun and Profit: Colorado's Unique Water Rights for Whitewater Parks

Since 2001, Colorado has recognized a special type of water right for whitewater parks, which are designed and constructed within a river channel to provide play features for kayakers and other boaters. These water rights, called recreational in-channel diversions or RICDs, are unique to Colorado, even though whitewater parks exist in several western states. This article addresses some of the underlying reasons why RICDs got established in Colorado, and traces the controversy surrounding their recognition by that state’s courts and legislature. Over the last decade, however, the controversy has largely died away, and whitewater park rights have now become an accepted part of Colorado water law. This article reviews these developments, examines the policy choices made by the legislature in enacting two different statutes on RICDs, and offers concluding observations regarding Colorado’s experience with whitewater park water rights.
FHA/VA Financing and Price Discounts

This study examines the effects of FHA and VA mortgage financing on home prices. Using a database of nearly 9,000 homes sales in the San Antonio, Texas area, hedonic analyses reveal that both types...
Five easy pieces: motifs of health law.

The film Five Easy Pieces is named for a selection of five piano compositions that the Jack Nicholson character played in a childhood recital. Here, its namesake refers to five motifs of teaching and practicing health law. Like playing the piano pieces, some of these motifs sound difficult to teach but are quite easy, and others sound easy but are quite difficult. First, whether it is the lawyers shaking their heads about the doctors or the doctors stunned by the ignorance of the lawyers, these two professions have difficulty reaching common understandings. Health law’s defining characteristic is that it attempts to bridge gaps in culture and understanding between law and medicine. As a field, health law is committed to gaining insight into the medical culture and context in which it operates. Second, sometimes the best answer a health lawyer can give is "I don’t know." It is critical to be aware and honest about whether there is law that determines the course to be followed, or whether the course is the result of an educated guess. Where the state of the law is uncertain, the lawyer who begins with "I don’t know" can provide the health care client with the most valuable professional advice.Third, health law has a robust replay function. The continual reemergence of issues such as what constitutes brain death or how to handle malpractice crises evinces the cyclical nature of health law. Health lawyers should not be surprised when issues tied up with a ribbon explode onto the scene several years later. Fourth, health law is the house that Medicare built. Health law as a field would not have developed as it has without the robust growth of the industry that the federal Medicare statute kindled. Finally, the field of health law has been created and enriched by brilliant and generous teachers. From the professors in the classrooms to the patients sharing their stories, teachers of health law defy the sentiment that "those who can, do; those who can’t, teach."
Political Conformity: Event-Study Evidence from the United States

We propose that individuals are more politically active in more like-minded social environments. To test this hypothesis, we combine administrative data from the Federal Election Commission and the United States Postal Service. We identify 45,000 individuals who contributed to Barack Obama's 2008 presidential campaign and who changed residences either before or after the 2012 election cycle. We examine whether living in an area with a higher share of Democrats causes higher contributions to Obama. We find that conformity effects are economically significant. Additionally, we conduct counter-factual analysis that show that these affects are important to understand geographic polarization. JEL Classification: D72, H41.
The illusions of dynamic replication

How well does options pricing theory really work, and how dependent is it on the notion of dynamic replication? In this note we describe what many practitioners know from long and practical experie...
Are State Tax Amnesty Programs Associated with Financial Reporting Irregularities

This article investigates the relation between state tax amnesties and financial reporting irregularities. State tax amnesty programs, which potentially signal a lax regulatory enforcement environm...
International Trade and the Value of Time

I discuss a generalized Heckscher-Ohlin-Vanek (HOV) model in which consump- tion requires time as well as money (as in Becker's theory of the allocation of time) and the amount of work that a worker can do per unit of time—her 'ability'—varies from country to country. High ability implies high income per hour, which implies a high value of time and, therefore, high consumption of the good that is more 'time-saving'. Therefore, if domestic production of this good is not commensurately high, it would have to be imported. In this way, I demonstrate that international dierences in worker ability constitute an indepen- dent source of gains from trade. The model is able to explain several observed features of North-South trade that are not explained by the HOV model. The theoretical possibility of a Leontief Paradox-type trade pattern is also demonstrated.
The Cycle of Violence? An Empirical Analysis of Fatalities in the Palestinian-Israeli Conflict

Thomas C. Schelling's The Strategy of Conflict (1960) laid the groundwork for thinking about conflicts as non-zero-sum games, in which each side may choose to exercise or threaten violence in order to deter or incapacitate the opponent, or simply to exact revenge. It has been difficult, however, to test many of the predictions formulated by Schelling and others because of the lack of data on the strategic choices of the two sides engaged in a conflict, observed at a high enough frequency for statistical tests to have any power. This paper uses daily-frequency data to analyze the dynamics of violence during four years of the Second Intifada, the most recent outburst of the Palestinian-Israeli conflict.
Up in the Air: The Conflict Surrounding the European Union's Aviation Directive and the Implications of a Judicial Resolution

Global climate change remains a formidable challenge, with the window for action quickly closing. While an international consensus has formed that global temperature increases must be limited to 2° Celsius to prevent “dangerous anthropogenic interference with the climate,” there still remains a significant gap between countries’ voluntary commitments and the reductions necessary to prevent global temperature increase above this threshold. While the EU’s Aviation Directive constitutes a step toward addressing this environmental challenge, it will ultimately serve as a setback in efforts to address global climate change.Enforcement of the Directive on non-EU airlines will exacerbate the already severe tensions surrounding the measure, driving the dispute into the WTO for judicial resolution. Instead of creating positive environmental norms, the Directive’s failure before the WTO would undermine the use of unilateral environmental measures with extraterritorial effects as a tool for climate policy, as well as other non-climate related environmental measures. Though the WTO has yet to use GATT Article XX to balance international trade with efforts to combat climate change, it is unwise to use the Directive as a means to define this relationship. A multilateral environmental agreement for aviation emissions is on the horizon, and even if the 38th ICAO Assembly fails to establish a market-based mechanism for these emissions, the EU should abstain from the extra-territorial application of the measure to preserve the climate negotiation process.
Land of addicts? An empirical investigation of habit-based asset pricing models

SUMMARY This paper studies the ability of a general class of habit-based asset pricing models to match the conditional moment restrictions implied by asset pricing theory. We treat the functional form of the habit as unknown, and estimate it along with the rest of the model’s finite dimensional parameters. Using quarterly data on consumption growth, assets returns and instruments, our empirical results indicate that the estimated habit function is nonlinear, that habit formation is better described as internal rather than external, and the estimated time-preference parameter and the power utility parameter are sensible. In addition, the estimated habit function generates a positive stochastic discount factor (SDF) proxy and performs well in explaining crosssectional stock return data. We find that an internal habit SDF proxy can explain a cross-section of size and book-market sorted portfolio equity returns better than (i) the Fama and French (1993) three-factor model, (ii) the Lettau and Ludvigson (2001b) scaled consumption CAPM model, (iii) an external habit SDF proxy, (iv) the classic CAPM, and (v) the classic consumption CAPM. Copyright  2009 John Wiley & Sons, Ltd.
Elastic Justification: How Tempting but Task-Irrelevant Factors Influence Decisions

This research is concerned with task-oriented decision situations where the decision maker faces two options, one superior on a factor directly related to the given task (called the A factor) and the other superior on a factor not central to the accomplishment of the task but tempting to the decision maker (called the B factor). According to the elastic justification notion, the decision maker may find it unjustifiable to choose the B-superior option over the A-superior option if there is no uncertainty in the A values of the two options, but will construct a justification and become more likely to choose the B-superior option if there is uncertainty. In support of this proposition, two experiments employing a simulated decision situation found that subjects were indeed more likely to choose the B-superior option when there was uncertainty in the A factor than when there was not, no matter whether the uncertainty resided in one of the options (Experiment 1) or in both options (Experiment 2).
Diet Induces Reproducible Alterations in the Mouse and Human Gut Microbiome

The degree to which diet reproducibly alters the human and mouse gut microbiota remains unclear. Here, we focus on the consumption of a high-fat diet (HFD), one of the most frequently studied dietary interventions in mice. We employed a subject-level meta-analysis framework for unbiased collection and analysis of publicly available 16S rRNA gene and metagenomic sequencing data from studies examining HFD in rodent models. In total, we re-analyzed 27 studies, 1101 samples, and 106 million reads mapping to 16S rRNA gene sequences. We report reproducible changes in gut microbial community structure both within and between studies, including a signi cant increase in the Firmicutes phylum and decrease in the Bacteroidetes phylum; however, reduced alpha diversity is not a consistent feature of HFD. Finer taxonomic analysis revealed that the strongest signal of HFD on microbiota species composition is Lactococcus spp., which we demonstrate is a common dietary contaminant through the molecular testing of dietary ingredients, culturing, microscopy, and germfree mouse experiments. After in silico removal of Lactococcus spp., we employed machine learning to de ne a unique operational taxonomic unit (OTU)-based signature capable of predicting the dietary intake of mice and demonstrate that phylogenetic and gene-family transformations of this model are capable of accurately predicting human samples in controlled feeding settings (area under the receiver operator curve = 0.75 and 0.88 respectively). Together, these results demonstrate the utility of microbiome meta-analyses in identifying robust bacterial signals for mechanistic studies and creates a framework for the routine meta-analysis of microbiome studies in preclinical models.
Innovation and risk-taking in a transitional economy: A comparative study of chinese managers and entrepreneurs

Abstract This research was set in the People's Republic of China. As former socialist China moves from central planning toward a more market-driven economy, improved knowledge about the new environment and firm decisions within such an environment has significant implications. For organizational researchers, such a transition represents a genuine shift of paradigm, and thus offers a unique opportunity to test existing organizational theories and develop new ones. For multinational businesses seeking business opportunities, they have to compete or cooperate with these Chinese firms, whether state-owned or privately owned. Motivated by a deep curiosity in, using the language of Williamson (1996) , “What is going on there” behind the “bamboo curtain,” and underpinned by a strong conviction that organizational researchers have much to gain as well as to offer by focusing on transitional economies, I undertook this study to examine characteristics of a regulatory environment and the impact on innovation and risk-taking among Chinese managers and entrepreneurs. I collected original primary data that represents managers from large state-owned enterprises (SOEs) and entrepreneurs from small privately-owned enterprises (POEs) through personal interviews and a survey. Significant differences were found between managers and entrepreneurs in their reported environmental characteristics, strategic orientations, size, and firm performance, indicating that managers are not as innovative and are less willing to make risky decisions than entrepreneurs. Being smaller and faster than SOEs, entrepreneurial firms have adopted some strategies that distinguish them from their larger and more established competitors. Speed, stealth, and sound execution allow entrepreneurs to harvest first-mover advantages and thus increase their chances for survival in a turbulent environment.
Marriage as Punishment

Popular discourse portrays marriage as a source of innumerable public and private benefits, happiness, companionship, financial security, and even good health. Complementing this view, our legal discourse frames the right to marry as a right of access, the exercise of which is an act of autonomy and free will. However, a closer look at marriage’s past reveals a more complicated portrait. Marriage has been used - and importantly, continues to be used - as state-imposed sexual discipline. Until the mid-twentieth century, marriage played an important role in the crime of seduction. Enacted in a majority of U.S. jurisdictions in the nineteenth century, seduction statutes punished those who 'seduced and had sexual intercourse with an unmarried female of previously chaste character' under a 'promise of marriage.' Seduction statutes routinely prescribed a bar to prosecution for the offense: marriage. The defendant could simply marry the victim and avoid liability for the crime. However, marriage did more than serve as a bar to prosecution. It also was understood as a punishment for the crime. Just as incarceration promoted the internalization of discipline and reform of the inmate, marriage’s attendant legal and social obligations imposed upon defendant and victim a new disciplined identity, transforming them from sexual outlaws into in-laws. The history of marriage as punishment offers important insights for contemporary discussions of marriage. It reveals the way in which our current discourses of marriage are naive and incomplete, emphasizing marriage’s many attributes while downplaying its role as a vehicle of state-imposed sexual discipline. In view of this history, our contemporary jurisprudence on the right to marry can be reread to reveal the disciplinary strains that continue to undergird marriage and the right to marry. Most importantly, this history reveals that state regulation of sex and sexuality has been a totalizing endeavor, relying on marriage and criminal law as two essential domains for disciplining and regulating sexuality. With this in mind, the recent struggle for marriage equality seems unduly narrow. While achieving marriage equality is important, this history underscores an equally important interest in defining and preserving spaces for sexual liberty that exist beyond the disciplining domains of the state.
Electronic Trading in Stock Markets

Modern trading technology clashes with the traditional organization of a stock exchange, where transactions were consummated via face-to-face negotiation. The modern trading facility is no longer a place. Rather, it is a computer system over which transactions are entered, routed, executed and cleared electronically with little or no human intervention. In this article, I examine how electronic trading has altered stock markets. I begin with an overview of how the stock trading process works and then address a number of questions. How have the jobs of traditional stock market dealers on the NYSE and on Nasdaq been affected by electronic trading? How do electronic communications networks differ from traditional markets? How has electronic trading affected bid-ask spreads and commission costs? What subtle issues arise in electronic trading when dealer and customer interests diverge? Will computer programs replace human judgment? What is the effect of electronic trading on the number and types of securities markets? What is the role of regulation in electronic markets?
Outsourcing Through Purchase Contracts and Firm Capital Structure

We examine firm and industry characteristics associated with outsourcing and the relation between outsourcing and capital structure using a unique database of outsourcing purchase contracts. We fin...
Auditor Perceptions of Client Narcissism as a Fraud Attitude Risk Factor

SUMMARY: Auditing standards prescribe that the auditor should consider client management's attitude toward fraud when making fraud risk assessments. However, little guidance is provided in the auditing standards or the existing fraud literature on observable indicators of fraud attitude. We test whether observable indicators of narcissism, a personality trait linked to unethical and fraudulent behavior, is viewed by auditors as an indicator of increased fraud attitude risk. We administered an experiment to 101 practicing auditors from one international public accounting firm who assessed fraud risk based on a scenario in which client manager narcissism (attitude) and fraud motivation were each manipulated at two levels (low and high). Our results show that narcissistic client behavior and fraud motivation are significantly and positively related to auditors' overall fraud risk assessments. Implications of these findings for further research and the auditing profession are discussed. Data Availability: Co...
Roadblocks to Access to Justice: Reforming Ethical Rules to Meet the Special Needs of Low-Income Clients

The nation’s growing justice gap has left the poor with far too little access to legal representation, even in the most serious of civil matters. With poverty rates approaching their highest levels in the last fifty years, the poor struggle to hold on to their homes, their jobs, and their families, frequently overmatched by superior resources and an abundance of opposing lawyers representing corporations, government, and well-heeled interests. Non-profit lawyers struggle to provide limited assistance to the poor in high volume, community settings, or in courtroom corridors and on telephone hot lines. It is in these non-traditional settings that lawyers should ask whether the Model Rules of Professional Conduct promote or hinder access to justice? Or, stated differently, have the Model Rules kept pace with a rapidly changing legal environment that increasingly departs from the traditional lawyering paradigm upon which our ethical rules are largely based?Model Rule 6.5, one of the few new ethical rules adopted over the past fifteen years aimed directly at serving the poor, can be seen as proof that certain ethical restrictions on lawyers may be relaxed safely in non-profit settings, without doing any harm to the legal profession or the public. Still, this rule hardly goes far enough. Ethical restrictions on lawyers relating to document assistance, financial assistance to clients, and withdrawal of representation, to name just a few, are grounded on assumptions applicable to a profit-making paradigm. Rather than promoting legitimate interests, these limitations hinder access to justice for the poor. Comprehensive reform of our ethical rules is long overdue. The ABA should form a blue-ribbon commission designed to examine the Model Rules from the perspective of how legal services are increasing delivered to the poor and accessed by low-income communities. The members of a blue-ribbon commission should be drawn heavily from leaders of legal aid and pro bono organizations, along with state court judges, who have deep experience with the delivery of legal services to underserved communities.
German and U.S. Telecommunications Privacy Law: Legal Regulation of Domestic Law Enforcement Surveillance

Berkeley Law Berkeley Law Scholarship Repository Faculty Scholarship German and U.S. Telecommunications Privacy Law: Legal Regulation of Domestic Law Enforcement Surveillance Paul M. Schwartz Berkeley Law Follow this and additional works at: http://scholarship.law.berkeley.edu/facpubs Part of the Law Commons Recommended Citation Paul M. Schwartz, German and U.S. Telecommunications Privacy Law: Legal Regulation of Domestic Law Enforcement Surveillance, 54 Hastings L.J. 751 (2002), Available at: http://scholarship.law.berkeley.edu/facpubs/1184 This Article is brought to you for free and open access by Berkeley Law Scholarship Repository. It has been accepted for inclusion in Faculty Scholarship by an authorized administrator of Berkeley Law Scholarship Repository. For more information, please contact jcera@law.berkeley.edu.
The European Court of Justice and the judicialization of EU governance

This Living Reviews article evaluates the most important strains of social science research on the impact of the European Court of Justice (ECJ) on integration, EU-level policymaking, and national legal orders. Section 2 defines the concepts of judicialization and governance, and discusses how they are related. As the article demonstrates, the “constitutionalization of the EU,” and its effect on EU governance, is one of the most complex and dramatic examples of judicialization in world history. Section 3 discusses the institutional determinants of judicial authority in the EU in light of delegation theory. The European Court, a Trustee of the Treaty system rather than a simple Agent of the Member States, operates in an unusually broad zone of discretion, a situation the Court has exploited in its efforts to enhance the effectiveness of EU law. Section 4 focuses on the extraordinary impact of the European Court of Justice, and of the legal system it manages, on the overall course of market and political integration. Section 5 provides an overview of the process through which the ECJ’s case law – its jurisprudence – influences the decision-making of non-judicial EU organs and officials. Section 6 considers the role of the ECJ and the national courts in monitoring and enforcing Member State compliance with EU law, a task that has provoked a steady Europeanization of national law and policymaking.
The Politics of “Fracking”: Regulating Natural Gas Drilling Practices in Colorado and Texas

This article focuses on the politics of regulating natural gas fracking operations in Colorado and Texas. Between-state differences in the economic importance of natural gas production, political traditions, environmental impacts of drilling activities, and local governmental responses to risk reduction, and entrepreneurial activities are discussed in relation to policy-making initiatives. In the concluding section, I suggest that Colorado’s regulatory approach offers a greater degree of environmental protection than Texas. Key reforms adopted in 2007–8 can be largely attributed to electoral victories that ensured unified party control over state government and the determined efforts of the proenvironmental governor to make changes in both the regulatory commission and in the substance of natural gas drilling policies.
Understanding college application decisions: why college sports success matters.

Using a unique, national data set that indicates where students choose to send their SAT scores, the authors find that college sports success has a large impact on student application decisions. Fo...
Immigration Reform and the Democratic Will

The character of the American immigration regime has remained remarkably stable over many decades. It changes, to be sure, sometimes granting migrants benefits and at other moments cracking down. However, the broad trend is unmistakable: immigration law and the way it is implemented is increasingly harsh and inhumane. This article argues that this long-term trend is likely to continue — even in the event of comprehensive immigration reform — unless the immigration reform agenda reconciles itself with the structural elements responsible for this trend and imagines ways to counteract them. In particular I urge a reconsideration of the relationship between the immigration reform agenda and the democratic will. Rather than focus on finding ways to quash anti-migrant policies that are responsive to the democratic will, reformers should develop creative, democratically legitimate ways to alter the demands that citizens make.
Why Governments Should Invest More to Educate Girls

Abstract Women and men often receive the same percentage increase in their wage rates with advances in schooling. Because these returns decline with more schooling, the marginal returns for women will tend to exceed those for men, especially in countries where women are much less educated. The health and schooling of children are more closely related to their mother's education than father's. More educated women work more hours in the market labor force, broadening the tax base and thereby potentially reducing tax distortions. These three conditions, it is argued, justify the disproportionate allocation of public expenditures toward women's education.
Desertion as theft

To be effective, an army must contain the extent of desertion among its ranks. This phenomenon rose to particular prominence in Europe during the 18th and 19th centuries, with the appearance of the figure of the “citizen-soldier” on the battlefield. This paper offers the first theoretical treatment of the issue of desertion from an economic perspective. Building on the work of Yoram Barzel on the “economic analysis of property rights,” we develop a “desertion as theft” framework. We then test the empirical implications of the framework against qualitative and quantitative evidence from Napoleonic France.
Chiari type 1 malformation presents with extensive periodic breathing pattern in a 3‐year‐old child

Periodic breathing is indicative of immaturity of respiratory control and is well recognized within the normal limits in both full term and premature infants but unusual beyond infancy and at high altitude. We would like to focus on the importance of recognizing and scoring the pattern of periodic breathing in older children both clinically and in the sleep laboratory as an abnormal breathing pattern that should draw the attention of the treating physician into the possibility of hindbrain malformation or other significant pathology. Despite that sleep disordered breathing including central and obstructive apneas with or without hypoventilation are well reported as a manifestation of Chiari type I malformation, scoring periodic breathing pattern beyond infancy has not been an area of focus.
CEO Preferences and Acquisitions

This paper explores the impact of target CEOs’ retirement preferences on takeovers. Using retirement age as a proxy for CEOs’ private merger costs, we find strong evidence that target CEOs’ preferences affect merger activity. The likelihood of receiving a successful takeover bid is sharply higher when target CEOs are close to age 65. Takeover premiums and target announcement returns are similar for retirement-age and younger CEOs, implying that retirement-age CEOs increase firm sales without sacrificing premiums. Better corporate governance is associated with more acquisitions of firms led by young CEOs, and with a smaller increase in deals at retirement age.
Knowledge, Adaptivity, and Performance in Tax Research

The ability to adapt decision making to the features of decision tasks and contexts is likely an important component of professional decision making, but not all professionals will exhibit this adaptivity. One explanation for decision makers' failure to adapt when adaptivity is appropriate is that they do not possess relevant knowledge of the features of decision tasks and contexts, or institutional knowledge. In this study, I examine the relations between institutional knowledge, information search adaptivity, and performance using an experimental research design in the tax decision‐making setting. The results of the study are consistent with predictions. Tax professionals with relevant institutional knowledge responded to the differential features of the taxplanning and compliance contexts by conducting broader and more extensive information search in planning than in compliance; professionals lacking institutional knowledge did not exhibit such information search adaptivity. In addition, tax research p...
Index option returns and generalized entropy bounds

Abstract I develop a new spectrum of moment bounds on the pricing kernel. They stem from the solution of an optimization problem that is complementary to Hansen and Jagannathan (1991) approach. Economically, they measure the discrepancy between what an optimizing agent could achieve if all assets (that are priced by the pricing kernel) were tradable and what she can actually achieve in the real-world market. Through the lens of these bounds, I examine leading macro-finance models using index option returns. I show, in a model-free fashion, the difficulty of several classes of models in meeting option-implied bounds. I highlight the unique information that my bounds provide compared with existing approaches.
The Quest for Uniformity in Mediation Confidentiality: Foolish Consistency or Crucial Predictability?

This article explores the importance of confidentiality in mediation, the need for uniformity in parties' expectations for that confidentiality, and the confidentiality protections of the Uniform Mediation Act (UMA) adopted by the National Conference of Commissioners on Uniform State Laws in August 2001. Professor Deason argues that confidentiality is important for three separate reasons: to promote communication with the mediator and the adversary party; to maintain the neutrality of the mediator; and, in litigation, to keep mediation and judicial functions separate. She maintains that in order for confidentiality to have its desired effects during mediation, parties must be able to anticipate the protections that would apply in later litigation. The current variability in confidentiality protection among jurisdictions, the multiple forum options that are frequently available, and the overwhelming uncertainties in applicable law-in terms of both choice of law and courts' interpretations of poorly drafted and ambiguous provisions-combine to make predicting confidentiality difficult and unrealistic. Uniformity in state confidentiality provisions would largely bypass these problems and is the only practical approach for improving predictability. Professor Deason closes by discussing the close, and sometimes controversial, policy calls embodied in the UMA privilege, in particular the exceptions that call for judicial balancing. She concludes that states should look beyond their current individual policy choices to the contribution uniformity would make in the overall climate for mediation.