This paper studies the distribution of output per worker between the years 1980 and 2000 in different country groups. The study uses data envelopment analysis (DEA) to decompose the changes in the distribution of labour productivity into changes in productive efficiency, changes in best practice technology, accumulation of physical capital, and accumulation of human capital. The study focuses on low-income countries and within them on highly indebted poor countries (HIPCs), which has not been possible in earlier studies.
Topic:
Civil Society, Development, Economics, and Science and Technology
The Arellano-Bond (1991) and Arellano-Bover (1995)/Blundell-Bond (1998) linear generalized method of moments (GMM) estimators are increasingly popular. Both are general estimators designed for situations with “small T, large N” panels, meaning few time periods and many individuals; with independent variables that are not strictly exogenous, meaning correlated with past and possibly current realizations of the error; with fixed effects; and with heteroskedasticity and autocorrelation within individuals. This pedagogic paper first introduces linear GMM. Then it shows how limited time span and the potential for fixed effects and endogenous regressors drive the design of the estimators of interest, offering Stata-based examples along the way. Next it shows how to apply these estimators with xtabond2. It also explains how to perform the Arellano-Bond test for autocorrelation in a panel after other Stata commands, using abar.
Topic:
Development, Economics, and Science and Technology
A survey of market-liberal or libertarian publications and websites
finds a large and growing literature on the issue of global warming.
Almost without exception, this literature conveys a comforting message: Our planet is in good health. The markets that regulate resource
use are working well. The only real dangers come from ill-considered
policy initiatives that, if implemented, would do more harm than
good. It would seem that the message is well received by its audience—it is repeated, embellished, and applauded with little variation.
In this article, I take a contrarian position, not so much with respect
to the science of climate change as with respect to the arguments
used by market liberals in support of their message of comfort and
complacency. One problem area concerns the proper use of scientific
evidence in reaching conclusions regarding public policy. It seems to
me that market liberals are often reckless in the degree of certainty
they professes regarding climatological hypotheses that are, in fact,
still controversial and in early stages of development. A second problem concerns the use of cost-benefit analysis. Market-liberal writers
are prone to make cost-benefit arguments regarding climate policy
that they would never accept in other contexts. Third, the literature
on global warming is often weakly rooted, if rooted at all, in the core
principles of classical liberalism from which modern market liberalism has evolved. Instead, it is, for the most part, indistinguishable
from what is said by conservatives. It might even be said that there is no market-liberal position on this issue—only an echo of arguments
made by Republican patriots and the carbon lobby.
In short, the whole issue of global warming policy, as viewed by
market liberals, needs to be revisited. This can best be done by going
back to some of the classical liberal sources, particularly Friedrich
Hayek and John Locke, from which modern market-liberal thought is
derived.
Topic:
Climate Change, Markets, Science and Technology, Public Policy, and Libertarianism
Shoulder-fired anti-aircraft missiles, or MANPADS (man-portable air defense systems), have proliferated throughout the world. They can be purchased on the military arms black market for as little as $5,000. More than two dozen terrorist groups, including Al Qaeda, are believed to possess such weapons. The FBI estimates that there have been 29 MANPADS attacks against civilian aircraft resulting in 550 deaths. At least 25 of the reported attacks have been attributed to nonstate actors.
Topic:
Defense Policy, Science and Technology, and Terrorism
The term “peer to peer” (P2P) refers generally to software that enables a computer to locate a content file on another networked device and copy the encoded data to its own hard drive. P2P technology often attracts people who use it to reproduce or distribute copyrighted music and movies without authorization of rights owners. For that reason, the short history of P2P technology has been one of constant controversy and calls by many in the content industry to regulate or even ban P2P-based networks or software.
Topic:
Development, Government, and Science and Technology
In the mid-1990s as it seemed that lawmakers were about to abandon much of the regulatory apparatus that had hampered the telecommunications industry since the 1930s, the telecom equipment industry began to boom, helped in part by the rise of the Internet. The deregulatory trend led ultimately to the 1996 Telecom Act, and soon the architects and implementers of that act were congratulating themselves on a job well done. We were supposedly building a new telecom infrastructure fit for the information age.
Topic:
Development, Industrial Policy, and Science and Technology
The 1968 Nuclear Non-Proliferation Treaty (NPT) is meant to be underpinned by a three-part bargain: states without weapons were to foreswear them and the wherewithal to build them; states with such weapons were to get rid of them, gradually and as part of general nuclear disarmament; and all parties were to cooperate in the peaceful uses of nuclear energy.
Topic:
Arms Control and Proliferation, Energy Policy, Nuclear Weapons, and Science and Technology
Peterson Institute for International Economics (PIIE)
Abstract:
It is great to be in Washington again and a privilege to be invited to speak here for the first time. You asked me to talk about energy security, and I think the basic question is whether, to use the words of one of your recent papers, there is "a gathering storm" around energy supply, and what, if anything, should and could be done to avert that storm.
Topic:
Economics, Energy Policy, and Science and Technology
Peterson Institute for International Economics (PIIE)
Abstract:
Globalization, always a contentious issue, has become even more so with media reports of U.S. service-sector jobs being outsourced to emerging-market economies, such as call center operations to Ireland or programming jobs to India. Traditionally, these jobs have been considered “nontradable” and therefore safe from the competitive forces of international trade and investment. But increasingly, technological advances are making it easier to buy services from other companies, even those in developing countries, where savings in the cost of labor or the opportunity to use the 24- hour clock to speed product develop- ment can be irresistible.
Topic:
Economics, Globalization, International Trade and Finance, and Science and Technology
Minda de Gunzburg Center for European Studies, Harvard University
Abstract:
The paper discusses the condition and perspective of the European Union in the knowledge economy and the feasibility of the goal given by the European Council at the Summits held in Lisbon (March 2000) and Barcelona (March 2002), that is, to increase European R expenditure up to 3 percent of GDP by 2010. The paper focuses on two aspects: comparative performance with its direct counterparts, in particular the US..; and intra-European distribution of resources and capabilities. A set of technological indicators is presented to show that Europe is still in a consistent delay when compared to Japan and the U.S., especially in R investment and in the generation of innovations. A small convergence occurs in the diffusion of Information and Communication Technologies (ICTs), the sector most directly linked to the concept of the "new economy." In the field of knowledge collaboration, Europe reveals opposing paths in the business and in the academic worlds. Within Europe, the level of investment in scientific and technological activities is so different across countries that it does not merge into a single continental innovation system.
Topic:
International Relations, Economics, and Science and Technology