Contemporary Economic Policy

Articles from Vol. 31, No. 2, April

Can Secret Intervention Be Compatible with a Non-Profitmaking Central Bank and a Fundamental-Consistent Target?
I. INTRODUCTION One unique characteristic of a foreign exchange market is its official manipulation. As the IMF (2009, 37) points out, "A member should intervene in the exchange market if necessary to counter disorderly conditions, which may be...
Cross-Market Trading in China's Large State-Owned Commercial Banks. 2006-2011
I. INTRODUCTION While there are a number of newly established banks, such as joint equity banks and city commercial banks, traditional state-owned commercial banks (SOCBs) have always played a crucial role in the Chinese banking system. The long-established...
Do Gamblers Think That Teams Tank? Evidence from the NBA
I. INTRODUCTION Prediction markets, like sports betting markets, efficiently aggregate information in order to provide highly accurate forecasts of future outcomes. In betting markets, prices--point spreads or money line odds--take into account...
Doubling U.S. Exports under the President's National Export Initiative: Implications of Successful Implementation
I. INTRODUCTION In his State of the Union address in January 2010, President Obama set the goal of doubling U.S. exports in 5 years. Subsequently he announced a group of export promotion policies titled the National Export Initiative (NEI). To administer...
Effectiveness of State Pollution Prevention Programs and Policies
I. INTRODUCTION Environmental policies in the United States have evolved from command and control to market-based incentives, and more recently to voluntary programs and information disclosure mechanisms. The evolution largely stems from the growing...
Estimating the Incidences of the Recent Pension Reform in China: Evidence from 100,000 Manufacturers
1. INTRODUCTION China launched an ambitious pension reform during the late 1990s, extending the coverage of the pension system to non-state enterprises. (1) Firms were instructed to contribute the equivalent of 20% of their total wage bills to pension...
Has International Capital Mobility Increased in Asia? Evidence from the Post-1997 Financial Crisis Period
I. INTRODUCTION The purpose of this paper is to examine a changing trend of international capital mobility and the extent of financial market integration in Asia in recent years. We give a specific focus on the ten selected Asian countries with...
Income Redistribution in Urban China by Social Security System-An Empirical Analysis Based on Annual and Lifetime Income
1. INTRODUCTION Following 30 years of economic growth since 1978, China has made significant progress in raising the living standards of urban and rural residents and decreasing the number of people living below the poverty line. The poverty rate...
International Evidence on Recovery from Recessions
1. INTRODUCTION The objective of this article is to present a series of stylized facts on how countries recover from recessions. (1) Recent literature demonstrates that negative shocks, particularly financial crises, can generate a sizeable permanent...
Job Displacement and the Inter-Temporal Movement of Workers through the Earnings and Income Distributions
I. INTRODUCTION Researchers and policy makers are aware of the negative, long-term effects job displacement has on workers' earnings (Couch and Placzek 2010; Jacobson, LaLonde, and Sullivan 1993a, 1993b; Ruhm 1991; Stevens 1997). One area that has...
Tribal Casino Impacts on American Indians Well-Being: Evidence from Reservation-Level Census Data
I. INTRODUCTION This study adds to the literature that examines whether tribal casinos improve the well-being of American Indians (AI). During the 1990s, gaming changed the economic landscape for American Indian tribes dramatically, but it has been...
Trough to Peak: A Note on Risk-Taking in the Pacific Northwest's Banking Sector, 2001-2007
I. INTRODUCTION The U.S. recession that started in December 2007 ushered in the worst banking crisis since the 1930s. However, because the focus has been on "too-big-to-fail" (TBTF) financial institutions (e.g., Adrian and Shin 2008), much less...
Water Quality Trading in the Presence of Abatement-Cost Sharing
1. INTRODUCTION The efficacy of incentives contracts for resolving asymmetric information problems is by now well understood. Generally speaking, the principal (or regulator) pays the agent(s) an informational rent in order to procure a desired...