Labor and product market regulations affect the unemployment rate of a country without doubt. Econometricians, however, have yet to establish an unequivocal significance of this impact. Model mis-specification, one of the main underlying problems, is overcome by adopting a Bayesian Model Averaging approach. I apply this method to a panel data set that covers 17 OECD countries for the time perio...

This paper empirically explores the R&D promotion policy effects on SME performance measured by value-added productivity. We use a unique large panel data set on public R&D subsidy for Korean manufacturing firms. Econometrically, we control for counter-factual outcomes employing the DID (difference in differences) estimation procedure as well as for endogeneity of the R&D subsidy using the 2-st...

Is There Rent Sharing In Developing Countries? Matched-Panel Evidence from Brazil We provide evidence about the determinants of the wage structures of developing countries by examining the case of Brazil. Our specific question is whether Brazil’s dramatic income and wage differentials can be explained by the division of rents between firms and their employees, unlike in competitive labour marke...

This paper uses a gravity model to assess ex-post regional trade agreements. The model includes 130 countries and is estimated with panel data over the period 1962–1996. The introduction of the correct number of dummy variables allows for identification of Vinerian trade creation and trade diversion effects, while the estimation method takes into account the unobservable characteristics of each...

This paper focusses on the insurance role of religion in buffering the well-being impact of stressful life events, and the ensuing economic and social implications. Using two large-scale European data sets, we show that the religious enjoy higher levels of life satisfaction, and that religion does insure against some adverse life events. All denominations suffer less psychological harm from une...

This paper evaluates the effectiveness of California anti-smoking media campaign in changing smoking behavior of adults and adolescents, in the short run as well as in the long run, through individual self-reported exposure to the media message. We construct pseudo panel data using repeated cross sections, and employ instrumental variables method to address the endogeneity problem. Overall, the...

We examine how information technology (IT) contributes to organizational change, labor demand, and improved productivity in the public sector using a new panel data set of police departments covering 1987-2003. While IT adoption is associated with increased administrative and organizational complexity and use of more highly educated officers, IT itself does not appear to enhance crimefighting e...

This paper provides an impressive, yet compact and easily accessible review of the econometric literature on panel data analysis. Professor Cheng Hsiao has succeeded in surveying, in a coherent manner, classic results as well as more challenging recent developments on nonlinear models, crosssectional dependence, and long time-series panels. The coverage of topics in the article reflects the bre...

We review the changes in modelling strategy and econometric methodology when estimating a firm-level investment equation on panel data during the past twenty years, in order to assess which of these changes result from new estimation methods and changes in the practice of panel data econometrics, and which are ”real” and due to the evolution of the economy. Thus our paper consists of a series o...

The marketing literature has addressed the issues of heterogeneity and erKlogeneity when estimating a choice model with household-level panel data. When using these data at the stockkeeping unit or the Universal Product Code level, choices for each Item in each of the time periods under consideration cannot be observed. Without such information, it is difficult to control for itemand time perio...