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See detailFamily, Community and Long-Term Socioeconomic Inequality: Evidence from Siblings and Youth Peers
Bingley, Paul; Cappellari, Lorenzo; Tatsiramos, Konstantinos UL

in Economic Journal (2020)

Using administrative data for the population of Danish men and women, we develop an empirical model which accounts for the joint earnings dynamics of siblings and youth community peers. We provide the ... [more ▼]

Using administrative data for the population of Danish men and women, we develop an empirical model which accounts for the joint earnings dynamics of siblings and youth community peers. We provide the first decomposition of the sibling correlation of permanent earnings into family and community effects allowing for life-cycle dynamics, and extend the analysis to consider other outcomes. We find that family is the most important factor influencing sibling correlations of earnings, education and unemployment. Community background matters for shaping the sibling correlation of earnings and unemployment early in the working life, but its importance quickly diminishes. [less ▲]

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See detailDutch Disease and The Mitigation Effect of Migration: Evidence from Canadian Provinces
Beine, Michel UL; Coulombe, Serge; Vermeulen, Wessel

in Economic Journal (2015), 152(589), 1574-1615

This paper evaluates whether immigration can mitigate the Dutch disease effects associated with booms in natural resource sectors. We derive predicted changes in the size of the non-tradable sector from a ... [more ▼]

This paper evaluates whether immigration can mitigate the Dutch disease effects associated with booms in natural resource sectors. We derive predicted changes in the size of the non-tradable sector from a small general-equilibrium model `a la Obstfeld-Rogoff. Using data for Canadian provinces, we find evidence that aggregate immigration mitigates the increase in the size of the non-tradable sector in booming regions. The mitigation effect is due mostly to interprovincial migration and temporary foreign workers. There is no evidence of such an effect for permanent international immigration. Interprovincial migration also results in a spreading effect of Dutch disease from booming to non-booming provinces. JEL Classi [less ▲]

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See detailParty Formation and Minority Ideological Positions
Anesi, Vincent UL; De Donder, Philippe

in Economic Journal (2009), 119

We develop a model where voters differ in their exogenous income and in their ideological views, with racism as an illustration. Electoral competition takes place between an endogenous number of parties ... [more ▼]

We develop a model where voters differ in their exogenous income and in their ideological views, with racism as an illustration. Electoral competition takes place between an endogenous number of parties which propose platforms consisting of both an ideological and an economic dimension. Our objective is to explain the emergence of minority ideological positions and to understand the role played by political parties in this emergence. We first show that, in a pure citizen‐candidate model where parties are absent, the only equilibrium consists of the majority ideological position. We then show that allowance for the formation of political parties generates equilibria with minority ideological positions. [less ▲]

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See detailGovernment Outsourcing: Public Contracting with Private Monopoly
Auriol, Emmanuelle UL; Picard, Pierre M. UL

in Economic Journal (2009), 119

The article studies the impact of the government budget constraint on the regulation of natural monopolies in adverse selection contexts. The government maximises total surplus but incurs some cost of ... [more ▼]

The article studies the impact of the government budget constraint on the regulation of natural monopolies in adverse selection contexts. The government maximises total surplus but incurs some cost of public funds "à la" Laffont and Tirole (1993). Government outsourcing is proposed as an alternative to regulation in which firms freely enter the market and choose their prices and output levels. However the government can contract "ex post" with the private firms. This "ex post" contracting set-up allows more flexibility than regulation where governments commit to both investment and operation cash-flows. This is especially relevant in case of high technological uncertainties. Copyright � The Author(s). Journal compilation � Royal Economic Society 2009. [less ▲]

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See detailBrain Drain and LCD's Growth: Winners and Losers
Beine, Michel UL; Docquier, Frédéric; Rapoport, Hillel

in Economic Journal (2008), 118

Using new data on emigration rates by education level, we examine the impact of brain drain migration on human capital formation in developing countries. We find evidence of a positive effect of skilled ... [more ▼]

Using new data on emigration rates by education level, we examine the impact of brain drain migration on human capital formation in developing countries. We find evidence of a positive effect of skilled migration prospects on gross human capital formation in a cross-section of 127 countries. For each country of the sample we then estimate the net effect of the brain drain using counterfactual simulations. Countries combining relatively low levels of human capital and low emigration rates are shown to experience a beneficial brain drain , and conversely, there are more losers than winners, and the former tend to lose relatively more than what the latter gain. [less ▲]

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See detailBrain Drain and LDC's Growth: winners and losers
Beine, Michel UL; Docquier, Frédéric; Rapoport, Hillel

in Economic Journal (2007), 118

We present an empirical evaluation of the growth effects of the brain drain for the source countries of migrants. Using recent US data on migration rates by education levels (Carrington and Detragiache ... [more ▼]

We present an empirical evaluation of the growth effects of the brain drain for the source countries of migrants. Using recent US data on migration rates by education levels (Carrington and Detragiache, 1998), we find empirical support for the "beneficial brain drain hypothesis" in a cross-section of 50 developing countries. At the country-level, we find that most countries combining low levels of human capital and low migration rates of skilled workers tend to be positively affected by the brain drain. By contrast, the brain drain appears to have negative growth effects in countries where the migration rate of the highly educated is above 20% and/or where the proportion of people with higher education is above 5%. While the number of winners is smaller, these include nearly 80% of the total population of the sample. [less ▲]

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