KyklosPub Date : 2023-12-15DOI: 10.1111/kykl.12366
Matthias Busse, Tim Vogel
{"title":"Trade Liberalization, IMF Conditionality, and Policy Substitution in Developing Countries","authors":"Matthias Busse, Tim Vogel","doi":"10.1111/kykl.12366","DOIUrl":"https://doi.org/10.1111/kykl.12366","url":null,"abstract":"<p>Substantial tariff reductions and increased usage of non-tariff measures (NTMs) have been key dynamics of global trade policy in recent decades. We use highly disaggregated data on applied most favored nation tariffs, NTMs, and trade to investigate how International Monetary Fund (IMF) conditionality as a form of external pressure to reduce tariffs contributed to this dynamic in developing countries. Our results show that structural adjustment programs (SAPs) effectively lowered tariffs without increasing the usage of NTMs. A typical three-year program containing tariff conditionality decreased tariff rates in the range of 2.0 to 3.8 percentage points in total. Furthermore, IMF programs reduced NTM initializations significantly. We also show that tariff conditionality was more effective in initiating tariff cuts for countries without previous greater globalization efforts than being a “catalyst” for ongoing liberalization efforts.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 2","pages":"256-284"},"PeriodicalIF":1.9,"publicationDate":"2023-12-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12366","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140333301","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-12-06DOI: 10.1111/kykl.12365
Walter E. Block
{"title":"Economics is beautiful!","authors":"Walter E. Block","doi":"10.1111/kykl.12365","DOIUrl":"10.1111/kykl.12365","url":null,"abstract":"<p>Economics is beautiful, and all undergraduates who love and revere beauty should major in this dismal science. Beauty is defined, for present purposes as cooperation, coordination, teamwork, togetherness, inclusiveness, and assists in sports. The greater the number of people participating in the “team,” the more gorgeous is the cooperation. The less central direction, whether implicit or explicit, other things equal, the greater is the loveliness of the coordination. The economy, that which economists study, beats all the competition, as, at least ideally, it encompasses the most people on the “team” (all of us!) with the least outside direction. Well, none at all, given full free enterprise with no central planning whatsoever. That, at least, would be the extreme degree of economic freedom.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 2","pages":"251-255"},"PeriodicalIF":1.9,"publicationDate":"2023-12-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138546965","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-12-04DOI: 10.1111/kykl.12364
Mauro Lanati, Rainer Thiele
{"title":"The link between economic growth and emigration from developing countries: Does migrants' skill composition matter?","authors":"Mauro Lanati, Rainer Thiele","doi":"10.1111/kykl.12364","DOIUrl":"10.1111/kykl.12364","url":null,"abstract":"<p>Tackling the root causes of migration from developing countries through development cooperation has been suggested as an essential part of the policy mix in OECD migrant destinations. This is even though the evidence on whether economic development leads to more or less people emigrating is so far inconclusive. We investigate the relationship between income per capita and emigration to OECD countries separately for three different skill groups—low-skilled, medium-skilled and high-skilled emigrants—being the first to employ panel regression approaches that account for cross-country heterogeneity and cover a policy-relevant time frame of about 5 years. Our findings reveal a universal negative association between income per capita and emigration for all three skill groups and for different income thresholds. This implies that policy makers should not be too concerned about potential trade-offs between (successful) development cooperation and immigration management, at least in the short to medium run that our analysis covers. At the same time, the scope for using development cooperation as a migration policy instrument can be considered to be limited given the modest size of the estimated income effect: Taking our point estimates at face value, a 10% rise in GDP per capita would on average lead to about 3600 fewer immigrants per destination.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"213-248"},"PeriodicalIF":1.9,"publicationDate":"2023-12-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12364","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138602458","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-11-13DOI: 10.1111/kykl.12363
Sophia Gaenssle
{"title":"Income distribution and nudity on social media: Attention economics of Instagram stars","authors":"Sophia Gaenssle","doi":"10.1111/kykl.12363","DOIUrl":"10.1111/kykl.12363","url":null,"abstract":"<p>Social media stars gain star-status with uploads on social media pages like YouTube, TikTok, or Instagram. One of the most popular platforms is “Instagram” owned by Meta/Facebook. The growing social, cultural, and economic power of so-called influencers raises questions about key drivers of success and, moreover, distribution of income on social media platforms. Instagram has been accused of strategically favoring images with nude content. In order to shed light on this socio-critical aspect, this paper examines the following research questions: Does body exposure drive income success on Instagram? Is there a difference between male and female content in this regard? This paper empirically analyzes 500 top Instagram stars within the categories (1) fashion and beauty, (2) fitness and sports, (3) music, (4) photo and arts, and (5) food and vegan. The data provide information on popularity, posting behavior, and price estimates per post. Using hybrid regression models, the results show indeed positive impact of body exposure on monetary success. Accounts with high level of body exposure achieve higher prices and advertising revenues than accounts with less nudity, regardless of the gender. Regarding gender differences, male content achieves on average higher advertising prices, whereas female accounts provide more branded content and eventually achieve higher advertising revenues.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"184-212"},"PeriodicalIF":1.9,"publicationDate":"2023-11-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12363","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"136348695","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-10-25DOI: 10.1111/kykl.12362
Yixin Chen, Bingyang Lyu, Guangrong Ma
{"title":"Revenue sharing, fiscal incentives, and economic growth: Evidence from China","authors":"Yixin Chen, Bingyang Lyu, Guangrong Ma","doi":"10.1111/kykl.12362","DOIUrl":"10.1111/kykl.12362","url":null,"abstract":"<p>This study revisited the impact of fiscal decentralization on China's economic growth, focusing on the role of the revenue-sharing system in providing local fiscal incentives. Using city-level data from 2003 to 2016, we construct the revenue retention rate at the sub-provincial level to test the impacts of fiscal incentives on economic growth. The results show that the sub-provincial revenue retention rate is significantly and positively associated with the local economic growth rate. Further, we find that a higher revenue retention rate encourages sub-provincial governments to spend more on infrastructure, borrow more debt, distort land price, and relax environmental regulatory standards. Our findings indicate that the positive economic effect of fiscal decentralization is accompanied by a social cost and increased financial risk.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"149-183"},"PeriodicalIF":1.9,"publicationDate":"2023-10-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135112853","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-10-25DOI: 10.1111/kykl.12361
Hiep Ngoc Luu, Tram Anh Nguyen, Ngoc Minh Nguyen, Dam Duc Le, Khoi Trong Dao
{"title":"The impact of recentralization reform on corruption: evidence from a quasi-natural experiment","authors":"Hiep Ngoc Luu, Tram Anh Nguyen, Ngoc Minh Nguyen, Dam Duc Le, Khoi Trong Dao","doi":"10.1111/kykl.12361","DOIUrl":"10.1111/kykl.12361","url":null,"abstract":"<p>How does government recentralization reform affect corruption? We utilize the pilot recentralization reform that transforms the legislative function, power, and responsibility of the district-level authorities to the higher level of the government organ in Vietnam as a quasi-natural experiment to address the aforementioned question. We find strong evidence that recentralization reform leads to lower corruption. The result illustrates that, among the firms which have the highest probability of making a bribe payment, those incorporated in jurisdictions experiencing the recentralization reform are 4.3% less likely to pay a bribe. In addition, the perception that bribery is a common and necessary practice is also significantly lowered in the post-recentralization period. We further show that the impact of recentralization is stronger for firms which lack a political connection. Overall, these results shed light on the real impact of the government recentralization reform and also the determinants of corruption, thereby providing important policy implications for policymakers to create a more conducive business environment.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"118-148"},"PeriodicalIF":1.9,"publicationDate":"2023-10-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12361","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135112824","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-09-24DOI: 10.1111/kykl.12360
Ennio E. Piano
{"title":"A theory of the city-state: The rise and decline of the rule of law in Medieval Italy","authors":"Ennio E. Piano","doi":"10.1111/kykl.12360","DOIUrl":"10.1111/kykl.12360","url":null,"abstract":"<p>We leverage theoretical insights from political economy to study several aspects of the institutional development of the Italian city-states during the High Middle Ages (1000–1350). A society's regime type depends on its domestic balance of power. When the ruled can credibly threaten to punish a rogue ruler, the rule of law prevails. If the ruler can easily overpower the ruled, despotism results instead. The transition from one regime to the other results when exogenous shocks and endogenous dynamics disturb the prevailing balance of power. This framework accounts for the rise and eventual decline of rule of law regimes in the towns of central and northern Italy between the 10th and 14th centuries.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"97-117"},"PeriodicalIF":1.9,"publicationDate":"2023-09-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135924830","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-09-18DOI: 10.1111/kykl.12359
Gunther Schnabl
{"title":"Seventy-five years West German currency reform: Crisis as catalyst for the erosion of the market order","authors":"Gunther Schnabl","doi":"10.1111/kykl.12359","DOIUrl":"10.1111/kykl.12359","url":null,"abstract":"<p>The paper analyzes the role of the 1948 currency and economic reform in West Germany for growth and social cohesion in Germany and Europe. It describes the theoretical foundation by Walter Eucken and the implementation and defense of the new economic order by Ludwig Erhard. The paper stresses the positive impact of the market economy on growth and welfare in Germany and Europe. Then, it is shown that Eucken's constituting principles of the market economy were gradually eroded after euro introduction in course of crises, with the negative repercussions on growth and equality being explained. The policy conclusion is that only the reconstitution of price stability in the euro area can prevent a further decline of welfare in Europe. The 1948 economic reforms provide an important blueprint for the necessary reform process.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"77-96"},"PeriodicalIF":1.9,"publicationDate":"2023-09-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12359","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135208090","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-09-11DOI: 10.1111/kykl.12358
Benny Geys, Rune J. Sørensen
{"title":"A post-politics earnings penalty? Evidence from politicians' lifetime income trajectories (1970–2019)","authors":"Benny Geys, Rune J. Sørensen","doi":"10.1111/kykl.12358","DOIUrl":"10.1111/kykl.12358","url":null,"abstract":"<p>Politicians are commonly believed to gain financially from holding and/or having held office. We argue that there may often also be economic downsides to pursuing a political career and investigate whether and when politicians can (not) capitalize on their political experience. We thereby study <i>both</i> entry into <i>and</i> exit from political office and directly compare the returns to politics across government levels and types of politicians. Empirically, we build on detailed information from Norwegian administrative register data over the period 1970–2019 to study individual-level income developments before, during <i>and</i> after a political career at the national and local levels (covering nearly 22,000 individuals and 700,000 person-years). Using an event-study methodology, we show that politicians on average witness a significant income boost during their time in office. In sharp contrast, leaving political office is on average associated with a substantial drop in income, which generally <i>outweighs</i> the income gain from entry into office. These findings suggest that most politicians face a net present value loss from holding office.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"57-76"},"PeriodicalIF":1.9,"publicationDate":"2023-09-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/kykl.12358","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135982001","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
KyklosPub Date : 2023-09-04DOI: 10.1111/kykl.12357
Gábor Hajdu, Tamás Hajdu
{"title":"Does the unemployment rate moderate the well-being disadvantage of the unemployed? Within-region estimates from the European Social Survey","authors":"Gábor Hajdu, Tamás Hajdu","doi":"10.1111/kykl.12357","DOIUrl":"10.1111/kykl.12357","url":null,"abstract":"<p>Using pooled cross-sectional data (eight waves of the European Social Survey), this work analysed how the regional unemployment rate influences the well-being disadvantages of the unemployed. We estimate region fixed effects and slopes models that, unlike the standard region fixed effects approach, provide an unbiased estimate of the cross-level interaction term (between being unemployed and the unemployment rate) in the absence of unobserved time-variant confounders. The results show that the satisfaction disadvantage of the unemployed (relative to the employed) is larger when the regional unemployment rate is higher. Smaller and insignificant differences were found regarding happiness. These results are in line with the argument that worse re-employment perspectives in high-unemployment regions may be particularly harmful to unemployed people. These results do not contradict the claim that, in regions with a weaker social norm to work, unemployed people may be more satisfied. Instead, they suggest that the unemployment rate does not reflect the social norm to work.</p>","PeriodicalId":47739,"journal":{"name":"Kyklos","volume":"77 1","pages":"40-56"},"PeriodicalIF":1.9,"publicationDate":"2023-09-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"89196438","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}