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Data ownership, privacy concerns, and consumer welfare Economic and Political Studies (IF 1.5) Pub Date : 2024-08-01 Yuhan Wang, Shuanping Dai
We model the relationship between privacy concerns and consumer welfare in data provision under three types of data ownership. Data firms and intermediaries collect and process the data provided by...
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Global supply chain resilience: Facts, rationales and responses Economic and Political Studies (IF 1.5) Pub Date : 2024-07-02 Zhiyuan Li, Mingyao Xu
Increasing uncertainties in international trade policies have raised concerns about the possible break of global supply chains. This paper reviews relevant studies shedding light on global supply c...
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Central bank swaps and foreign reserves: From the perspective of a global network Economic and Political Studies (IF 1.5) Pub Date : 2024-04-25 Ying Li, Ting Li
Central bank swaps have flourished since the 2008 financial crisis and the intertwining swap lines have formed a typically complex network, in which bilateral swap relationships have been deeply em...
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Why can some countries perform better in resolving some social problems: A comparative study Economic and Political Studies (IF 1.5) Pub Date : 2024-02-07 Wilson X. B. Li, Tina T. He
This study explores the rationale why some countries fare better in resolving social problems such as poverty and the COVID-19 pandemic. The simple model introduces the term of resident viability a...
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Predicting new firm survival and growth: The power of alternative data Economic and Political Studies (IF 1.5) Pub Date : 2024-02-07 Su Wang
This paper demonstrates that the alternative data of manager turnover can provide investors and policymakers with a more timely and available predictor of new firm performance beyond the traditiona...
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Financial inclusion and carbon emissions in Asia: Implications for environmental sustainability Economic and Political Studies (IF 1.5) Pub Date : 2024-02-07 Shahzad Hussain, Tanveer Ahmad, Sabeeh Ullah, Ajid Ur Rehman, Syed Jawad Hussain Shahzad
This study explores how carbon emissions are affected by financial inclusion. Using a balanced panel data set of 26 Asian countries, we compute a composite index, through the principal component an...
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Can ChatGPT reduce human financial analysts’ optimistic biases? Economic and Political Studies (IF 1.5) Pub Date : 2024-02-07 Xiaoyang Li, Haoming Feng, Hailong Yang, Jiyuan Huang
This paper examines the potential of ChatGPT, a large language model, as a financial advisor for listed firm performance forecasts. We focus on the constituent stocks of the China Securities Index ...
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Impact of the Belt and Road Initiative: The case of Pakistan Economic and Political Studies (IF 1.5) Pub Date : 2023-12-18 Zhanming Chen, Yasir Amin, Ruiping Jiang, Shan Guo, Yuyuan Wen, Xinye Zheng
This study investigates the macroeconomic impact of the Belt and Road Initiative (BRI) on Pakistan using the synthetic control method. Based on the panel data of 42 non-BRI countries, we construct ...
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Optimal privatisation, and optimum-welfare and maximum-revenue tariffs Economic and Political Studies (IF 1.5) Pub Date : 2023-11-23 Tien-Der Han, Ruochen Li
We examine the effect of privatisation on the priority of the maximum-revenue tariff and the optimum-welfare tariff in an international mixed oligopoly with foreign competition and optimal privatis...
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Youth voting and institutional change in the post-Arab Spring MENA region Economic and Political Studies (IF 1.5) Pub Date : 2023-08-10 Ali Fakih, Mohammad Hammoud, Nagham Sayour
Using a unique and novel dataset on the youth, the SAHWA Youth Survey (2016), we apply probit and ordered probit models to study the determinants of voting behaviour change among the youth in the M...
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No more free lunch: The increasing popularity of machine learning and financial market efficiency Economic and Political Studies (IF 1.5) Pub Date : 2023-08-03 Jian Feng, Xin Liu
In this paper, we show that the increasing popularity of machine learning improves market efficiency. By analysing the performance of a set of popular machine learning-based investment strategies, ...
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Introduction Economic and Political Studies (IF 1.5) Pub Date : 2023-06-22 James Alm, Yongzheng Liu
Published in Economic and Political Studies (Vol. 11, No. 3, 2023)
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Cultural tightness, trust, and power in enforcing tax compliance Economic and Political Studies (IF 1.5) Pub Date : 2023-06-08 Aloys Prinz
The so-called Cultural Tightness–Looseness (CTL) concept intends to describe the socio-cultural foundation of societies by the strictness of social norms. In this paper, CTL is used to investigate ...
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Tax enforcement activities: Evidence on the impact of a threat-of-audit letter Economic and Political Studies (IF 1.5) Pub Date : 2023-04-18 Carlo V. Fiorio, Alessandro Santoro
As part of their ordinary enforcement activities, tax authorities around the world use letters and other forms of personalised communications to elicit tax compliance at a low cost. The literature ...
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The slippery slope framework: A comprehensive evaluation of factors affecting trust and power Economic and Political Studies (IF 1.5) Pub Date : 2023-04-10 Mardhiah Mardhiah, Riyana Miranti, Robert Tanton
Abstract Many empirical studies have been conducted to test the assumptions of the slippery slope framework (SSF). However, although the SSF theory has introduced several tax compliance factors that are believed to have associations with trust in tax authorities and power of tax authorities, most studies tend to include only the two main domains of trust and power in the analysis. None of these studies
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Tax evasion and debt in a dynamic general equilibrium model Economic and Political Studies (IF 1.5) Pub Date : 2023-04-06 Rosella Levaggi, Francesco Menoncin
The literature has long analysed optimal taxation policies in economies where tax evasion is widespread. Nevertheless, very little has been produced on the relationship between public debt, tax eva...
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Managing capital flow reversals Economic and Political Studies (IF 1.5) Pub Date : 2023-02-19 Chokri Zehri, Latifa Saleh Iben Ammar
Abstract The study identifies the events of sudden stops (SS) for a sample of 250 countries in the period from 1980 to 2018. Moreover, through a logit model, the predictive power of three policies – international reserves, external debts, and capital controls – in determining SS events is highlighted. These policies are utilised to undertake a spill-over risk analysis. It is revealed that before the
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Relative trust and tax morale Economic and Political Studies (IF 1.5) Pub Date : 2023-02-02 Eva Matthaei, Ho Fai Chan, Charlotte Schmidt, Benno Torgler
Abstract This paper investigates the importance of trust in international institutions for the development of tax morale by focussing on interactions between trust in the national government and trust in the European Union (EU) or trust in the United Nations (UN). Using large-scale survey data from European countries, we provide evidence that all three trust variables are significantly related to the
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Introduction Economic and Political Studies (IF 1.5) Pub Date : 2022-12-06 Yin-Wong Cheung, Iikka Korhonen
Published in Economic and Political Studies (Vol. 11, No. 1, 2023)
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My enemy’s enemies are my friends: Alternative sources of support in multi-party races Economic and Political Studies (IF 1.5) Pub Date : 2022-11-22 Carlos Costa
The research on redistributive strategies to secure support has been dominated by a core and swing voter model, which pits two parties against each other in a costly race for support. What are othe...
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Whistleblowing and tax evasion: Experimental evidence Economic and Political Studies (IF 1.5) Pub Date : 2022-11-08 Michele Bernasconi, Luca Corazzini, Tiziana Medda
Abstract In a tax compliance experiment we manipulate various dimensions to isolate the effects of whistleblowing: whether incomes are homogeneous or heterogeneous; whether whistleblowing is permitted or not; and whether subjects have complete or incomplete information about others’ tax evasion. Under complete information, we find that whistleblowing has a strong impact on compliance, reducing the
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Perceptions of trust and power are associated with tax compliance: A cross-cultural study Economic and Political Studies (IF 1.5) Pub Date : 2022-10-26 Christoph Kogler, Jerome Olsen, Erich Kirchler, Larissa M. Batrancea, Anca Nichita
Abstract The slippery slope framework (SSF) of tax compliance postulates that taxpayers’ compliance behaviour depends on the two dimensions: trust in authorities and power of authorities. In an attempt to overcome common-method biases, the present study tests the main assumptions of the SSF with a sample of 44 countries/regions. Country/region-level trust and power indices are calculated based on experimental
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Declaring income versus declaring taxes in tax compliance experiments: Does the design of laboratory experiments affect the results? Economic and Political Studies (IF 1.5) Pub Date : 2022-09-22 Stephan Muehlbacher, Andre Hartmann, Erich Kirchler, James Alm
Abstract Laboratory experiments are frequently criticised, in part because of the sensitivity of the results to specific features of the design. This paper addresses an important question regarding the key aspect of the experimental environment: How should the dependent variable – participants’ choices – be operationalised? For the specific context of laboratory research on income tax compliance, we
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Using behavioural economics to understand tax compliance Economic and Political Studies (IF 1.5) Pub Date : 2022-09-14 James Alm, Matthias Kasper
Abstract ‘Behavioural economics’, or the application of methods and evidence from other social sciences to economics, has increased greatly in significance and use in the last two decades. In this paper, we discuss the basic elements of behavioural economics. We then assess the applications of behavioural economics to the analysis of tax compliance. Our central conclusion is that many, perhaps most
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Introduction Economic and Political Studies (IF 1.5) Pub Date : 2022-09-06 Iftekhar Hasan
Published in Economic and Political Studies (Vol. 10, No. 3, 2022)
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Is tax evasion macho? Testosterone, personality traits and evasion Economic and Political Studies (IF 1.5) Pub Date : 2022-09-01 Marcelo Arbex, Justin M. Carré, Shawn N. Geniole, Enlinson Mattos
Abstract This paper examines the potential effects of testosterone and personality traits on the decision to evade taxes. In a series of experiments, subjects completed behavioural tasks and made a one-shot tax evasion decision. We estimate a negative weakly significant treatment effect, which suggests that an exogenous increase in the testosterone level may inhibit the decision to evade taxes. Our
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Do experienced subjects bias experimental results? Evidence from 16 laboratories in six countries Economic and Political Studies (IF 1.5) Pub Date : 2022-08-25 Alice Guerra, Brooke Harrington, Sven Steinmo, John D’Attoma
Abstract This paper addresses an area of growing concerns for laboratory researchers: is subjects’ behaviour affected by prior experiences in laboratory experiments? We address the question with a large and highly diverse international dataset and an operationalisation strategy that allows our findings to cohere with previous work while shedding new light on future research. The findings presented
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Geopolitical risks, uncertainty, and stock market performance Economic and Political Studies (IF 1.5) Pub Date : 2022-08-22 Maria-Eleni K. Agoraki, Georgios P. Kouretas, Nikiforos T. Laopodis
Abstract This paper analyses the impact of geopolitical risks and economic policy uncertainty on stock returns. It uses an unbalanced panel dataset of monthly observations for 22 countries for the period 1985–2020. It controls for a set of macroeconomic and market structure variables while also taking into consideration the potential effects of the 2007–2009 financial crisis. This paper shows that
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Education, skill formation and inequality: An introduction Economic and Political Studies (IF 1.5) Pub Date : 2022-07-27 Xuezheng Qin, Po Yang
Published in Economic and Political Studies (Vol. 11, No. 2, 2023)
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Are transactional political connections more valuable to firms than relational political connections? Economic and Political Studies (IF 1.5) Pub Date : 2022-07-26 Taufiq Arifin, Rezaul Kabir, Katherin Marthon, Sutaryo Sutaryo
Abstract Political connections are an increasingly important part of firms’ strategies to develop relationships with the government and politicians. This study examines the impact of transactional and relational political connections on firm value. The results show that transactionally connected firms are more likely to exhibit greater firm value than their relationally connected and non-connected
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CEOs’ political ideologies and innovation: Evidence from US public firms Economic and Political Studies (IF 1.5) Pub Date : 2022-07-07 Qiang Wu, Li Zheng, Tanweer Hasan
Abstract Using both the number of patents and the number of citations that the patents receive as the measures of innovation and using political donations as an indicator of the chief executive officer (CEO)’s political preferences, we find that (1) firms led by CEOs with and without political partisanship show no differences in terms of innovation outputs; and (2) there are no differences between
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Upstream SOEs in the mixed-ownership reform Economic and Political Studies (IF 1.5) Pub Date : 2022-06-13 Qian Liu, Leonard F. S. Wang
Abstract This article explores possible options of the upstream mixed-ownership reform with imperfect substitute products in a vertically related market composed of one upstream SOE and two downstream profit-maximising retailers. Its focus is not only on incorporating the issue of privatisation into a vertical market structure, but also on extending the traditional upstream–downstream competition model
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The relationship between political connections and the mutual fund performance: Evidence from the US Economic and Political Studies (IF 1.5) Pub Date : 2022-05-19 Zhengkai Liu, Debao Hu, Zheng He
Abstract This paper examines the effect of political connections between mutual fund managers and politicians on the fund performance. Using the publicly available data of individual political donations, we regard the mutual funds as politically connected when their managers make financial contributions to politicians. First, we show that aggregated stock holding changes of politically connected funds
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Introduction Economic and Political Studies (IF 1.5) Pub Date : 2022-05-08 Donald Lien
(2022). Introduction. Economic and Political Studies: Vol. 10, A Special Issue on the Political Economy of Soft Power. Guest Editor: Donald Lien., pp. 127-128.
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The role of intermediaries in US workforce and education innovation Economic and Political Studies (IF 1.5) Pub Date : 2022-04-07 Robert P. Giloth
Abstract Intermediaries are specialised organisations that perform bridging and integrative functions to achieve improved results of social policies. Intermediaries have been most effective in the United States (US) when aligned with education and workforce system improvements and redesign, not as parallel and separate efforts. Intermediaries operate in many US social policy domains, including workforce
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Mixed oligopoly, state-owned banks’ shareholding reform and foreign capital penetration Economic and Political Studies (IF 1.5) Pub Date : 2022-04-07 Di Gao, Yongsheng Chu, Hongjin Xiang
This paper examines the impact of the policy on eliminating the ratio of foreign shareholding in banks in a mixed oligopoly model. Its analytic results show that state-owned banks should encourage ...
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Specific vs. ad valorem taxation and social welfare in mixed duopoly with foreign ownership Economic and Political Studies (IF 1.5) Pub Date : 2022-04-06 Ming Sun, Leonard F. S. Wang, Qidi Zhang
In this paper, we set up a mixed duopoly competition model between state-owned and private firms in order to compare specific and ad valorem taxes. Assuming that the total output under specific and...
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Inequality and workforce development in the post-COVID-19 environment: The case of Maine Economic and Political Studies (IF 1.5) Pub Date : 2022-03-07 Thomas F. Remington
Abstract The article analyses the interaction between the COVID-19 pandemic and social inequality in the United States, taking the state of Maine as a case study. The pandemic has revealed the effects of high economic inequality on public health in the United States, where in comparison to most developed capitalist democracies, the health care system is expensive, inefficient, and highly skewed in
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Do governments and banks see eye to eye about the environment? Maybe not yet, but can they? Economic and Political Studies (IF 1.5) Pub Date : 2022-01-25 Steven Ongena
(2021). Do governments and banks see eye to eye about the environment? Maybe not yet, but can they? Economic and Political Studies: Vol. 9, No. 4, pp. 461-462.
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Measuring quality of life: A system of indicators Economic and Political Studies (IF 1.5) Pub Date : 2021-11-22 Aygun Guliyeva
Abstract In this day and age, improving quality of life (QOL) remains a necessary prerequisite for social progress and the central goal of state policy in many countries worldwide, regardless of their economic development. The aim of this work is to propose a system of indicators able to describe the QOL of the population to the fullest extent possible. The research methodology includes an analysis
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Climate policy and cross-border lending: evidence from the syndicated loan market Economic and Political Studies (IF 1.5) Pub Date : 2021-10-18 Emanuela Benincasa
Abstract Do cross-country differences in climate policy influence bank lending? This paper focusses on the period 2007–2017 and uses syndicated loan-level data to examine if the stringency of home-country climate policies increases cross-border bank lending. Loan fixed effects allow us to disentangle loan demand from supply and to control for unobserved and observed loan and firm characteristics. I
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Politics and banking: A survey of the recent literature Economic and Political Studies (IF 1.5) Pub Date : 2021-10-18 Laurent Weill
Abstract This survey aims at briefly summarising key findings of the recent literature dealing with politics and banking. The interplay between banks and politics has received increasing interest in recent years following Dinc (2005) on the influence of elections on bank lending. It focusses on two questions: the influence of elections on bank behaviour, and the interconnections between democracy and
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The impact of globalisation on the skill wage gap in Turkey: A quantile regression approach Economic and Political Studies (IF 1.5) Pub Date : 2021-09-29 Hayriye Özgül Özkan-Değirmenci
Abstract This study examines how increasing international trade affects the skill wage gap in Turkey. There has been a rapid increase in international trade in Turkey after 2000. As international trade increases, goods produced with higher technologies have a higher share in overall exported products. All these developments raise a question: how does the improvement of technology levels in the Turkish
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The emergence of the United Arab Emirates as a global soft power: current strategies and future challenges Economic and Political Studies (IF 1.5) Pub Date : 2021-08-12 Osman Antwi-Boateng, Amira Ali Alhashmi
Abstract Using the Soft Power 30 Index, this research focusses on assessing the soft power status of the United Arab Emirates (UAE) by examining the elements of its soft power and potential challenges it may face in the future. This study conducts in-depth interviews with foreign diplomats and academics based in the UAE and Emirati diplomats and academics. These data are supplemented with primary and
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Introduction Economic and Political Studies (IF 1.5) Pub Date : 2021-04-16 Marie Claire Villeval
(2021). Introduction. Economic and Political Studies: Vol. 9, A Special issue on Behavioral and Experimental Economics for Policy Making, pp. 1-3.
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Exposure to conspiracy theories in the lab Economic and Political Studies (IF 1.5) Pub Date : 2021-02-11 Loukas Balafoutas, Alexander Libman, Vasileios Selamis, Björn Vollan
Abstract Conspiracy theories are widespread in the modern information era. Being exposed to conspiracy theories may affect behaviour, for example, by spreading mistrust among people and within organisations, even if it does not necessarily generate widespread beliefs in the conspiracy narrative. Our paper investigates the effect of exposure to conspiracy theories on strategic sophistication. We present
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The intention of banks to adopt green banking in an emerging market: the employees’ perspective Economic and Political Studies (IF 1.5) Pub Date : 2021-03-30 Eugene Okyere-Kwakye, Khalil Md Nor
Abstract Green banking is a comparatively new development in the financial world. It is a form of banking that considers the social and environmental impacts of banking activities. Most studies on green banking focussed on customers, management, and other stakeholders without considering the perspective of employees, whose daily work is normally affected. To fill in the gap, the primary aim of this
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The political economy of city diplomacy Economic and Political Studies (IF 1.5) Pub Date : 2021-03-26 Juan Luis Manfredi-Sánchez
Abstract City diplomacy is a major trend in the soft power development. As cities face daily political issues deriving from globalisation (such as mass tourism, migration, climate change, and commodification of culture), they demand for, rather than contesting with a nationstate, an operational reinterpretation of sovereignty oriented to solve problems. Political economy approach is a useful method
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Roles of commodity futures derivatives and financial crises in global food security Economic and Political Studies (IF 1.5) Pub Date : 2021-02-10 Victor Edem Sosoo, David Iheke Okorie, Haiqiang Chen
Abstract Commodity futures have been largely blamed for the price hikes in 2007/mid-2008 and 2010/2011 and the decreased food security around the world, especially in less developed countries. There still exist serious disagreements between most economists and policymakers as to whether this is the case. We run time-series regressions for all samples and subsamples for lower-income, middle-income,
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The multi-dimensional effects of reciprocity on worker effort: evidence from a hybrid field-laboratory labour market experiment Economic and Political Studies (IF 1.5) Pub Date : 2020-12-23 Min-Taec Kim, Robert Slonim
Abstract We examine the gift exchange hypothesis on both the quantity and quality of work using a hybrid field-laboratory labour market experiment. We recruited participants to enter survey data for a well-known charitable organisation. Workers were paid either a high or low wage. We find that although the total number of surveys entered did not vary in terms of wages, high wage workers made fewer
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Clientelism and identity Economic and Political Studies (IF 1.5) Pub Date : 2020-12-03 James Habyarimana, Daniel Houser, Stuti Khemani, Viktor Brech, Ginny Seung Choi, Moumita Roy
Abstract Electoral clientelism or vote buying has been regarded as undermining democratic institutions and weakening the accountability of the state towards its citizens, especially the poor. Social identity as a form of political mobilisation may contribute to this, enabling support to be won with clientelist transfers. This paper reports data from a novel laboratory experiment designed to examine
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Bubbles and incentives: an experiment on asset markets Economic and Political Studies (IF 1.5) Pub Date : 2020-11-30 Stéphane Robin, Kateřina Strážnická, Marie Claire Villeval
Abstract We explore the effects of competitive incentives and of their time horizon on the evolution of both asset prices and trading activity in experimental asset markets. We compare (i) a no-bonus treatment; (ii) a short-term bonus treatment in which bonuses are assigned to the best performers at the end of each trading period; (iii) a long-term bonus treatment in which bonuses are assigned to the
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The impact of COVID-19 on ASEAN Economic and Political Studies (IF 1.5) Pub Date : 2020-11-16 Terence Tai Leung Chong, Xiaoyang Li, Cornelia Yip
Abstract Starting in December 2019, COVID-19 had been spreading across the world on a limited scale for a quarter until March 2020 when the death toll in the countries comprising the Association of Southeast Asian Nations (ASEAN) finally started to mount. However, despite the relatively late outbreak in the region, the ASEAN market had already plunged along with other regional markets across the world
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Willingness to pay to reduce future risk: a fundamental issue to invest in prevention behaviour Economic and Political Studies (IF 1.5) Pub Date : 2020-10-19 Jim Engle-Warnick, Julie Héroux, Claude Montmarquette
Abstract At the core of the decision to invest in prevention are individuals who face immediate real costs against future and uncertain benefits. In this paper, we elicit subjects’ willingness to pay to reduce future risk. In our experiments, subjects are given a cash endowment and a risky lottery. They report their willingness to pay to exchange the risky lottery for a safe one. Subjects play the
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How an All-or-Nothing insurance behaviour challenges economic policies: an experimental approach Economic and Political Studies (IF 1.5) Pub Date : 2020-09-16 Anne Corcos, François Pannequin, Claude Montmarquette
Abstract Based on experimental data, this paper confirms, in a controlled environment, converging theoretical and empirical results that, when individuals insure, they choose to insure themselves with a full cover. This insurance behaviour creates an opportunity for the public authority to drive people to enter the insurance market where they would buy full insurance. This paper also sheds light on
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Whistleblowing behaviours and anti-corruption approaches in public administration in Kenya Economic and Political Studies (IF 1.5) Pub Date : 2020-08-07 Gedion Onyango
Abstract This article demonstrates that whistleblowing often receives little attention in public administration due to ambivalence regarding administrative roles held by public administrators, the fluid scalar chain and horizontal linkages, and competitive and intricate public, organisational and private interests. Drawing on comparative analysis to elucidate the broader scope of anti-corruption reforms
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The impact of COVID-19 on stock markets Economic and Political Studies (IF 1.5) Pub Date : 2020-05-19 Qing He, Junyi Liu, Sizhu Wang, Jishuang Yu
Abstract This paper attempts to explore the direct effects and spill-overs of COVID-19 on stock markets. Using conventional -tests and non-parametric Mann–Whitney tests, we empirically analyse daily return data from stock markets in the People’s Republic of China, Italy, South Korea, France, Spain, Germany, Japan and the United States of America. Our empirical results show that (i) COVID-19 has a negative
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Do consumer internet behaviours provide incremental information to predict credit default risk? Economic and Political Studies (IF 1.5) Pub Date : 2020-05-15 Wuqing Wu, Dongliang Xu, Yue Zhao, Xinhai Liu
Abstract The peer-to-peer lending industry has experienced recent turmoil, posing risks to fintech companies and banks. Based on a random sample of 33,669 borrowers who had downloaded peer-to-peer lending platforms prior to submitting loan applications to a well-known fintech company, Du Xiaoman Financial (formerly Baidu Finance), this article evaluates the predictive power of borrowers’ internet behaviours
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Fiscal illusion and progressive taxation with retrospective voting Economic and Political Studies (IF 1.5) Pub Date : 2020-03-23 Antonio Abatemarco, Roberto Dell’Anno
Abstract This article addresses the tax progressivity decision of a rent-maximising government under the circumstances that voters’ perceptions of the tax price of public goods are biased by cognitive anomalies (i.e. fiscal illusion) and that the electorate opts for re-appointing or for dismissing the incumbent according to a retrospective voting logic. Given electoral and constitutional constraints
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A model of optimising political expenditures to buy government power Economic and Political Studies (IF 1.5) Pub Date : 2019-10-02 Austin Murphy
Abstract This research develops a model of optimal political expenditures and shows how money inevitably controls government leaders, subject only to a single constraint relating to negative public reaction. The paper demonstrates theoretically why many businesses do not make such investments despite abnormally high returns from the expended political capital. In particular, firms with less economic