Courses Outline
|
Geographical
Economics
>> |
 |
16-19 July
4 classes= 12 hours
All classes start at 9H00.
ROOM 211 - Francesinhas I Building
Course leader:
Charles van Marrewijk
Erasmus University, Rotterdam
Purpose: The aim of course is to introduce the students to the new
geographical economics, based in the book: An Introduction to Geographical
Economics by Steve Brakman; Harry Garretsen and Charles van Marrewijk. Cambridge
University Press, 2001.
Background: A basic understanding of microeconomics, econometrics will be
assumed as a prerequisite.
More information: summerlisbon@iseg.utl.pt
An Introduction to Geographical Economics
by Steve Brakman; Harry Garretsen and Charles van Marrewijk.
Cambridge University Press, 2001
[ Sessions : a selection of the topics of the book;index bellow]
1
A first look at geography, trade, and development
1
1.1
Introduction
1
l.2
Clusters in the world economy
2
l.3
Economy interaction
9
l.4
Rapid change in the distribution of population and production
15
l.5
Overview of the book
l 6
Appendix
l 8
Exercises
2 l
2
Geography and economic theory
22
2.l Introduction
22
2.2
Geography in regional and urban economics
23
2.3
Trade theory
37
2.4
Economic growth and development
50
2.5
Conclusions
56
Exercises
57
3
The core model of geographical economics
59
3.1 Introduction
59
3.2 An example of geographical economics 60
3.3 The structure of the model
63
3.4 Demand
66
3.5
Supply
76
3.6
Transport costs: icebergs in geography
80
3.7
Multiple locations
83
3.8
Equilibrium
85
3.9 A few remarks on dynamics
93
3.
l0 The simple example and the core model
94
Exercises
97
4
Solutions and speculations
100
4.
l Introduction
100
4.2 Short-run equilibrium
100
4.3 Some first results
103
4.4 Structural change I:
transport costs 105
4.5 Structural change II:
other parameters
106
4.6 Normalization
analysis
108
4
.7 Sustain and break
analysis
110
4.8 Welfare
115
4.9 Stability and welfare
in the limit 118
4.l0 The racetrack economy: many locations in neutral space
119
4.ll
Conclusions 123
.Appendix
124
Exercises
126
5
Geographical economics and empirical evidence
128
5.l Introduction
128
5.2 The spatial distribution of economic activity
129
5.3 The facts and economic theory
138
5.4 The relevance of geographical economics I: the
home-market effect
141
5.5 The relevance of
geographical economics II : a spatial wage structure
145
5.6
A case study: the spatial wage structure of Germany
154
5.7
Conclusions 164
Exercises
165
6
Refinements and extensions
167
6.1
Introduction 167
6.2
Type I extensions: non-neutral space and transport costs
168
6.3
Type II extensions: production structure and geography
177
6.4
Type III extensions: the
burden of history and the role
of expectations 182
6.5
Conclusions 185
Exercises 186
7
Cities and congestion: the economics of Zipf’s Law 187
7.1
Introduction
187
7.2
Congestion as an additional
spreading force 190
7.3
Zipf’ s Law: definition , data, and estimation results
198
7.4
Explanations
for Zipf’ s Law: the congestion anodal and other approaches 208
7.5
Conclusions
219
Appendix
220
Exercises
221
8 Agglomeration
and international business 222
8.1
Introduction 222
8.2
Multinational production: stylized facts
223
8.3
Explaining multinational production
224
8.4
Multinationals in geographical economics
230
8.5
Empirical evidence
237
8.6
Conclusions
243
Exercises
244
9
The
structure of international trade
245
9.1
Introduction
245
9.2
Two manufacturing sectors
248
9.3
Comparative advantage: Ricardo
249
9.4 Comparative advantage: factor abundance
9.5 Migration
9.6
Gravity
9.7
Conclusions
Appendix
Exercises
10 Dynamics and economic growth
10.1 Introduction
10.2
Adjustment dynamics
10.3 Some stylized facts of economic growth
10.4 Explaining the facts endogenous growth and simulation dynamics I
10.5 Simulation dynamics II: an experiment
10.6 Economic growth
10.7 Conclusions
Appendix
Exercises
11 The policy implications and value-added of geographical economics
11.1 Introduction
11.2 Building a bridge: a simple policy experiment in non-neutral space
11.3 Policy relevance of geographical economics
11.4 Al1 assessment of geographical economics
11.5 Geographical ecol-loll-tics in 2020
Appendix 1
Appendix 2
List of figures
List of tables
List of technical notes
List of symbols
List of parameters
Preface
Suggested course outline
|
Overlapping Generation Models with Production and Capital Accumulation: Theory and Simulation |
16-18 July
3 classes=12 hours
All classes start at 14H00
ROOM 211 - Francesinhas I Building
Course leader: Karl
Farmer
University of
Graz, Graz-Austria
Purpose: The aim of the course is to teach overlapping
generation models(OLG) starting with the basic one-sector OLG model with production
and capital accumulation; continuing with natural resources in the basic
one-sector OLG model ; with two sector OLG model with homogenous and
heterogenous capital and finishing with taxa policy in computable two sector OLG
model with and without capital aggregation.
Background: A basic understanding of microeconomics and general
equilibrium is required.
Course Outline:
Section
1
The
basic one-sector OLG model with production and capital accumulation
Section
2
Natural
resources in the basic one-sector OLG model
Section
3
Two-sector
OLG models with homogeneous and heterogeneous capital
Section
4
Tax
policy in computable two-sector OLG models with and without capital aggregation
Literature
Basic
literature
C.
Azariadis (1993) , Intertemporal Macroeconomics, Basil Blackwell: Oxford
1993, chap. 1, 4, 6, 7, 13.1, 15.5, 20
D.
de la Croix (2003), A Theory of Economic Growth: Dynamics and Policy in
Overlapping Generations, Cambridge: C. U. P, to appear
K.
Farmer, R. Wendner (1999), Wachstum und Außenhandel (Eine Einführung in
die Gleichgewichtstheorie der Wachstums- und Außenhandelsdynamik), 2. Aufl.,
Physica: Heidelberg, Kap. 3, 4, 5.
Specific
Literature
Section
1
P.
Diamond (1965), National debt in a neoclassical growth model, A.E.R. 55,
1135 - 1150
K.
Farmer (2003), Public debt dynamics in a parametric OLG model, Research
Memorandum, Department of Economics, Graz University, to appear
K.
Farmer, R. Wendner (1999), Wachstum und Außenhandel, Kap.3, 4 and 5
Galor,
O, H. Ryder (1989), Existence, uniqueness, and stability in an
overlapping-generations model with productive capital, Journal of Economic
Theory 49, 360 – 375
Section
2
K.
Farmer (2000), Intergenerational natural-capital equality in an
overlapping-generations model with logistic regeneration, Journal of
Economics 72 (2), 520 – 542
E.
Koskela, M. Ollikainen, M. Puhakka (2002), Renewable resources in an overlapping
generations economy without capital, Journal of Environmental Economics and
Management 43, 497 – 517
A.
Mourmouras (1991), Competitive equilibria and sustainable growth in a life-cycle
growth model with natural resources, Scandinavian Journal of Economics 93
(4), 585 – 591
Section
3
K.
Farmer (1997), Heterogeneous capital in a two-sector OLG model, Metroeconomica
48, 36 – 54.
K.
Farmer, R. Wendner (2003), A two-sector model with heterogeneous capital, Economic
Theory, to appear
O.
Galor (1992), A two-sector overlapping generations model: A global
characterization, Econometrica 60, 1351 – 1386
Section
4
K.
Farmer, K. Steininger (1999), Reducing CO2-emissions under fiscal retrenchment:
A multi-cohort CGE model for Austria, Resource &Environmental Economics
13, 309 - 340
K.
Farmer, R. Wendner (2003), Dynamic multi-sector CGE modeling and the
specification of capital, under review with Structural Change and Economic
Dynamics
More information: summerlisbon@iseg.utl.pt
22-24 July
3 classes=12 hours.
All classes start at 10H00
Course Leader: Geoffrey J.D. Hewings
University of Illinois, USA
Purpose: To teach new developments in input-output modeling, namely structural decomposition and input-output analysis in enlarged frameworks: Miyazawa systems with households endenous; Social accounting matrix; Computable general equilibrium models; econometric-input-output models and linear programming input-output models.
Background: A basic understanding of microeconomics and classical input-output modeling is assumed.
More information: summerlisbon@iseg.utl.pt
Basics – from two sector to multi-sector modeling, a review
The input-output framework
Issues in estimation, multipliers, applications
[exercise – construction of regional input-output table from national data]
Key sector analysis
Hirschman-Rasmussen
Pure Linkage
Economic landscapes
Analytical importance
Sherman-Robinson, Bullard and Sebald
Fields of influence of change
[exercise: – calculation of key sectors, field of influence and economic landscapes]
Structural decomposition – using in input-output analysis to interpret structure and structural change
Simple decompositions
Push-Pull analysis
Feedback loops
Cluster analysis
[exercise: - decomposition of structural change in a series of matrices]
Input-output analysis in Enlarged Frameworks
Miyazawa systems with households endogenous
Social Accounting Matrices
Computable General Equilibrium models
Econometric-Input-output models
Linear Programming-Input-Output models
References
[numbers indicate section of relevance]
[2]
Bullard, C.W., and A.V. Sebald (1977) "Effects of parametric uncertainty
and technological change in input-output models." Review of Economics and Statistics 59, 75-81.
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Bullard, C.W., and A.V. Sebald (1988). "Monte Carlo sensitivity analysis of
input-output models." Review of
Economics and Statistics 70, 705-12.
[2]
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Linkages," Oxford Bulletin of
Economics and Statistics. 46:73-84.
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structure of production," Econometrica
26, 487-521
[2]
Clements, B.J. and J.W. Rossi (1991). "Interindustry Linkages and Economic
Development: The Case of Brazil Reconsidered," The Developing Economies, 29:166-187.
[2]
Clements, B.J. and J.W. Rossi (1992). "Ligações Interindustriais e
Setores-Chave na Economia Brasileira," Pesquisa
e Planejamento Econômico. 22:101-124.
[4]
Cole, Sam. 1999. “In the Spirit of Miyazawa: Multipliers and the
Metropolis,” in Geoffrey J.D. Hewings, Michael Sonis, Moss Madden, and Yoshio
Kimura (eds.)
Understanding and Interpreting Economic
Structure. New York: Springer-Verlag, pp. 263-286
[4]
Defourny, J. and E. Thorbecke. 1984. "Structural path analysis and
multiplier decomposition within a social accounting framework," Economic
Journal, 94:111-136
[3]
Dewhurst, J.H.Ll. (1993) “Decomposition of changes in input-output tables,” Economic
Systems Research 5:41-53
[3]
Domingues, Eduardo A. Haddad, Geoffrey J.D. Hewings and Fernando Perobelli,
“Structural changes in the Brazilian interregional economic system, 1985-1997:
holistic matrix interpretation.” Australian Journal of Regional Studies
(forthcoming, 2002)
[3]
Dridi and Geoffrey J.D. Hewings, “An Investigation of Industry Associations,
Association Loops, and Economic Complexity: Application to Canada and the United
States, Economic Systems Research 14, 275-296 (2002)
[3]
Feldman, S.J., D. McClain, and K. Palmer, (1987) "Sources of structural
change in the United States 1963-1978: an input-output perspective," Review
of Economics and Statistics 69:503-510
[3]
Fossell, O. (1989) "The input-output framework for analyzing the
transmission of industrial progress between industries," Economic Systems Research 1, 429-445
[4]
Fritz, Michael Sonis and Geoffrey J.D. Hewings, “A Miyazawa Analysis of
Industrial Emission Interdependencies between Polluting and Non-Polluting
Sectors,” Structural Change and Economic
Dynamics 9, 289-305 (1998)
[2] Fritz, Michael Sonis and
Geoffrey J.D. Hewings. “Direct and Indirect Industrial Pollution Generation: A
Field of Influence Approach.” In Geoffrey J.D. Hewings, Michael Sonis and
David E. Boyce (eds.) Trade, Networks and Hierarchies, Advances in
Spatial Sciences, Springer-Verlag, Heidelberg, Germany (2002)
[2]
Guilhoto, Joaquim J.M., Geoffrey J.D. Hewings and Michael Sonis, “Productive
Relations in the Northeast and the Rest of Brazil Regions in 1995: Decomposition
& Synergy in Input-Output Systems,” Geographical Analysis 34, 62-75
(2002)
[3]
Guilhoto, Joaquim J.M., Geoffrey J.D. Hewings, Michael Sonis and Jiemin Guo,
“Research Note: Economic structural change over time: Brazil and the United
States compared.” Journal of Policy
Modeling, 23, 703-711 (2001)
[2]
Guilhoto, Joaquim J.M., Michael Sonis, Geoffrey J.D. Hewings and Eduardo B.
Martins, “Índices de ligações e sectores chave na economia Brasileira:
1959-1980,” Pesquisa Planejamento Econômico 24:287-314 ( 1994)
[3]
Guo, Jiemin, Michael Sonis and Geoffrey J.D. Hewings “Internal and external
linkages of manufacturing and non-manufacturing industries: applications to Chinese metropolitan economies,” in
Geoffrey J.D. Hewings, Michael Sonis, Moss Madden and Yoshio Kimura (eds), Understanding
and Interpreting Economic Structure, Advances in Spatial Sciences,
Springer-Verlag, Heidelberg, Germany (1999)
[4]
Haddad, Eduardo A. and Geoffrey J.D. Hewings, “The short-run regional effects
of new investments and technological upgrade in the Brazilian automobile
industry: an interregional computable general equilibrium analysis,” Oxford
Development Studies, 27, 359-383 (1999)
[4] Haddad, Eduardo A. and
Geoffrey J.D. Hewings. “Trade and Regional Development:
International and Interregional Competitiveness in Brazil.” In B.
Johansson, Ch. Karlsson and R.R. Stough (eds.). Theories of Endogenous
Regional Growth. (Heidelberg, Springer-Verlag, 2001). 181-208.
[4] Haddad, Eduardo A. and
Geoffrey J.D. Hewings. “Transportation Costs and Regional Development: An
Interregional CGE Analysis.” In P. Friedrich and S. Jutila, eds. Policies
of Regional Competition. (Baden-Baden, Nomos Verlag, 2001).83-101
[3]
Haddad, Eduardo A. Geoffrey J.D. Hewings and Michael Sonis
“Trade and interdependence in the economic growth process: a multiplier
analysis for Latin America” Economia
Aplicada, 3, 205-237 (1999)
[2]
Hewings, Geoffrey J.D. and M.C. Romanos, (1981) "Simulating less developed
regional economies under conditions of limited information," Geographical Analysis 13:373-390
[2]
Hewings, Geoffrey J.D., Manuel A.R. da Fonseca, Joaquim J.M. Guilhoto, and
Michael Sonis. 1989. "Key Sectors and Structural Change in the Brazilian
Economy: a Comparison of Alternative Approaches and their Policy
Implications," Journal of Policy Modeling, 11, 67-90.
[4]
Hewings, Geoffrey J.D., Michael Sonis, Jiemin Guo, Philip R. Israilevich, and
Graham R. Schindler. 1998. “The Hollowing-Out Process in the Chicago Economy,
1975-2011,” Geographical Analysis, 30,
217-233.
[1]
Hewings, Geoffrey J.D., Michael Sonis, Moss Madden, and Yoshio Kimura, eds.
1999. Understanding and Interpreting Economic Structure. New York:
Springer-Verlag.
[3]
Hewings, Geoffrey J.D., Philip R. Israilevich, Graham R. Schindler and Michael
Sonis, “Agglomeration, Clustering and Structural Change: Interpreting Changes
in the Chicago Regional Economy,” in M. Steiner and R. Cappellin (eds.) From Agglomeration Economies to Innovative Clusters. (Pion, 1998)
[3]
Hewings, Geoffrey J.D., Philip R. Israilevich, Michael Sonis and Graham R.
Schindler, “Structural change in a metropolitan economy: the Chicago region,
1975-2010,” in S. Bertuglia, S. Lombardo and P. Nijkamp (eds) Spatial
Effects of Innovative Behaviour (Springer-Verlag, 1997)
[3]
Hewings, Geoffrey J.D., Yasuhide Okuyama and Michael Sonis, “Creating and
Expanding Trade Partnerships within the Chicago Metropolitan Area: Applications
using a Miyazawa Accounting System.” In G. Clarke and M. Madden (eds.) Regional
Science in Business Springer-Verlag, (2001)
[3]
Hewings, Geoffrey J.D., Yasuhide
Okuyama, and Michael Sonis, “Economic Interdependence within the
Chicago Metropolitan Region: A Miyazawa Analysis,” Journal of Regional
Science, 41, 195-217 (2001)
[3]
Hitomi, Kazumi, Yasuhide Okuyama, Geoffrey J.D. Hewings, and Michael Sonis
“The Role of Interregional Trade in Generating Change in the Interregional
Leontief Inverse in Japan, 1980-1990,” Economic
Systems Research, 12, 515-537 (2000)
[3]
Hulu, Edison and Geoffrey J.D. Hewings. 1993. "The development and use of
interregional input-output models for Indonesia under conditions of limited
information," Review of Regional Development Studies, 5: 135-153
[4]
Khan, Haider A. and Eric Thorbecke. 1988. Macroeconomic Effects and Diffusion
of Alternative Technologies within a Social Accounting Matrix Framework,
Aldershot, Gower.
[3]
Israilevich, Philip R., Geoffrey J.D. Hewings and Graham R. Schindler,
“Three-dimensional analysis of change,” Regional
Studies, 31: 131-138 (1997)
[4]
Israilevich, Philip R., Geoffrey J.D. Hewings, G.R. Schindler and R. Mahidhara,
"The choice of input-output table embedded in regional econometric
input-output models," Papers in
Regional Science,
75: 103-119 (1996)
[4]
Israilevich, Philip R., Geoffrey J.D. Hewings, Michael Sonis and Graham R.
Schindler, “Forecasting Structural Change with a Regional Econometric
Input-Output Model,” Journal of Regional
Science 37: 565-90 (1997)
[3]
Miyazawa, Ken’ichi. (1966) "Internal and external matrix multipliers in
the input-output model." Hitotsubashi
Journal of Economics 7, 38-55
[1]
Miyazawa, Ken'ichi. 1976. Input-output
Analysis and the Structure of Income Distribution. New York, NY:
Springer-Verlag.
[4]
Okuyama, Yasuhide, Geoffrey J.D. Hewings and Michael Sonis, “Economic Impacts
of an Unscheduled, Disruptive Event: A Miyazawa Multiplier Analysis,” in
Geoffrey J.D. Hewings, Michael Sonis, Moss Madden and Yoshio Kimura (eds), Understanding and Interpreting Economic Structure, Advances in
Spatial Sciences, Springer-Verlag, Heidelberg, Germany (1999)
[4]
Okuyama, Yasuhide, Geoffrey J.D. Hewings, Michael Sonis and Philip R.
Israilevich, “An Econometric Analysis of Bi-Proportional Properties in an
Econometric-Input-Output Modeling System,” Journal of Regional Science
42, 361-388 (2002)
[2] Okuyama, Yasuhide,
Geoffrey J.D. Hewings, Michael Sonis, and Philip Israilevich “Structural
Changes in the Chicago Economy: A Field of Influence Analysis.” In Geoffrey
J.D. Hewings, Michael Sonis and David E. Boyce (eds.) Trade, Networks and
Hierarchies, Advances in Spatial Sciences, Springer-Verlag, Heidelberg,
Germany (2002)
[4] Pyatt, Graham.
1991. “Fundamentals of
social accounting.” Economic
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[4] Pyatt, Graham and J.I.
Round (eds), (1985), Social
Accounting Matrices: a Basis for Planning.
Washington, DC: The World Bank.
[4] Pyatt, Graham and
Jeffrey I. Round 1979. “Accounting and fixed price multipliers in a social
accounting matrix framework,”
Economic Journal 89, 850-73.
[4]
Resosudarmo, Budi, Lucky Eko Wuryanto, Geoffrey J.D. Hewings, and Lindsay
Saunders, “Decentralization and income distribution in the interregional
Indonesian economy,” in Geoffrey J.D. Hewings, Michael Sonis, Moss Madden and
Yoshio Kimura (eds), Understanding and
Interpreting Economic Structure, Advances
in Spatial Sciences, Springer-Verlag, Heidelberg, Germany (1999)
[4] Round, Jeffrey I. 1985.
“Decomposing multipliers for economic systems involving regional and world
trade,” Economic Journal 95:383-99
[4] Round, Jeffrey I. 1988.
"Incorporating the International, Regional and Spatial Dimension into a
SAM: Some Methods and
Applications." in F.J. Harrigan and P.G. McGregor (eds.)
Recent Advances in Regional Economic Modeling London, Pion.
[2]
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[2]
Sherman, J., and W.J. Morrison (1949) "Adjustment of an inverse matrix
corresponding to changes in the elements of a given column or a given row of the
original matrix," Annals of
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[3]
Simpson, David, and J. Tsukui (1965) "The fundamental structure of
input-output tables: an international comparison." Review
of Economics and Statistics 47, 434-46.
[3]
Skolka, Jiri. (1989) "Input-output structural decomposition analysis for
Austria," Journal of Policy Modeling
11, 45-66
[1]
Sohn, Ira. (1986). Readings in
Input-Output Analysis. New York. Oxford University Press.
[1]
Sonis, Michael, and G.J.D. Hewings, (1993) "Hierarchies of Regional
Sub-Structures and their Multipliers within Input-Output Systems: Miyazawa
Revisited," Hitotsubashi Journal of
Economics 34, 33-44.
[2]
Sonis, Michael, and G.J.D. Hewings, (1995) “Matrix sensitivity, error analysis
and internal/external multiregional multipliers,” Hitotsubashi Journal of Economics (forthcoming,)
[4]
Sonis, Michael, and Geoffrey J.D. Hewings, “Economic complexity as network
complication: multiregional input-output structural path analysis,” Annals of Regional Science 32: 407-436 (1998)
[2]
Sonis, Michael, and Geoffrey J.D. Hewings, “Economic Landscapes: Multiplier
Product Matrix Analysis for Multiregional Input-Output Systems,” Hitotsubashi
Journal of Economics 40, 59-74 (1999).
[3] Sonis, Michael, and
Geoffrey J.D. Hewings, “Feedbacks in
Input-Output Systems: Impacts, Loops and Hierarchies.” In Michael Lahr and
Eric Dietzenbacher (eds). Input-Output Analysis: Frontiers and Extensions,
London, Palgrave (2001)
[4]
Sonis, Michael, and Geoffrey J.D. Hewings, “LDU-factorization of Miyazawa
Income Multipliers in Multiregional Systems,” Annals of Regional Science
34, 569-589 (2000)
[3]
Sonis, Michael, and Geoffrey J.D. Hewings, “Matrix sensitivity, error analysis
and internal/external multiregional multipliers,” Hitotsubashi Journal of Economics
36:61-70 (1995)
[1]
Sonis, Michael, and Geoffrey J.D. Hewings, “Miyazawa’s contributions to
understanding economic structure: interpretation, evaluation and extensions,”
in Geoffrey J.D. Hewings, Michael Sonis, Moss Madden and Yoshio Kimura (eds), Understanding
and Interpreting Economic Structure, Advances in Spatial Sciences,
Springer-Verlag, Heidelberg, Germany (1999)
[4]
Sonis, Michael, and Geoffrey J.D. Hewings, “The temporal Leontief inverse,” Macroeconomic Dynamics 2:
89-114 (1998)
[1]
Sonis M., and Geoffrey J.D. Hewings, “Theoretical and applied input-output
analysis: a new synthesis. Part I,
structure and structural change in input-output systems,” Studies
in Regional Science, 27, 233-256 (1998).
[3]
Sonis, Michael, Geoffrey J.D. Hewings and Eduardo Haddad, “A typology of
propagation of changes on the structure of a multiregional economic system: the
case of the European Union, 1975-1985,” Annals
of Regional Science 30: 391-408 (1996)
[3]
Sonis, Michael, Geoffrey J.D. Hewings and Eduardo Haddad, “The region versus
the rest of the economy: the extraction method,” in H. Kohno, J. Poot, P.
Nijkamp (eds) Regional Cohesion and
Competition in the Process of Globalization (Elgar, 2000)
[2]
Sonis, Michael, Geoffrey J.D. Hewings and Jiemin Guo, "Sources of
structural change in input-output systems: a field of influence approach," Economic Systems Research, 8:15-32 (1996)
[2]
Sonis, Michael, Geoffrey J.D. Hewings and Jiemin Guo, “A New Image of
Classical Key Sector Analysis: Minimum Information Decomposition of the Leontief
Inverse,” Economic Systems Research
12, 401-423 (2000)
[2]
Sonis, Michael, Geoffrey J.D. Hewings and Ken’ichi Miyazawa, “Synergetic
interactions within pair-wise hierarchy of economic linkages sub-systems,” Hitotsubashi Journal of Economics 38: 183-199 (1997)
[3]
Sonis, Michael, Geoffrey J.D. Hewings and Ricardo Gazel, "An examination of
multi-regional structure: hierarchy, feedbacks and spatial linkages," Annals
of Regional Science 29:409-430
(1995)
[3]
Sonis, Michael, Geoffrey J.D. Hewings and Sri Sulistyowati “The Structure of
the Indonesian Economy: A Generalized Structural Path Analysis” Economic
Systems Research 9:265-280 (1997)
[3] Sonis, Michael, Geoffrey
J.D. Hewings and Yasuhide Okuyama. “Vertical Specialization and Spatial
Production Cycles in Interregional Trade: Feedback Loops Analysis of the Midwest
Economy.” In Geoffrey J.D. Hewings, Michael Sonis and David E. Boyce (eds.) Trade,
Networks and Hierarchies, Advances in Spatial Sciences, Springer-Verlag,
Heidelberg, Germany (2002)
[3]
Sonis, Michael, Geoffrey J.D. Hewings, Yasuhide Okuyama and Jiemin Guo,
“Japanese Regional Economic Structure Interpreted through The Multiplier
Product Matrix,” Studies in Regional
Science 26: 1-20 (1996)
[3]
Sonis, Michael, Jiemin Guo, Geoffrey J.D. Hewings, and Edison Hulu,
“Interpreting spatial economic structure:
feedback loops in the Indonesian economy, 1980, 1985” Regional
Science and Urban Economics 27: 325-342 (1997)
[3]
Sonis, Michael, Joaquim J.M. Guilhoto and Geoffrey J.D. Hewings, “The Asian
economy: trade structure interpreted by feedback loop analysis,” Journal
of Applied Input-Output Analysis 2:24-40 (1995)
[2]
Sonis, Michael, Joaquim J.M. Guilhoto, Geoffrey J.D. Hewings and Eduardo B.
Martins, “Linkages, key sectors and structural change: some new
perspectives,” The Developing Economies, 33:233-270 (1995)
[3]
Sonis, Michael, and G.J.D. Hewings, (1988) "Superposition and decomposition
principles in hierarchical social accounting and input-output analysis," in
Recent Advances in Regional Economic
Modeling, edited by F. Harrigan and P.G. McGregor, pp. 46-65, London: Pion.
[2]
Sonis, Michael, and G.J.D. Hewings, (1989) "Error and sensitivity
input-output analysis: a new approach," in Frontiers
of Input-Output Analysis, edited by R.E. Miller, K.R. Polenske, and A.Z.
Rose, pp. 232-244, New York: Oxford University Press.
[3]
Sonis, Michael, and G.J.D. Hewings, (1991a) "The 'Matrioshka' principle in
the hierarchical decomposition of multiregional social accounting systems,"
in New Directions in Regional Analysis:
Integrated and Multiregional Approaches, edited by L. Anselin, and M.
Madden, pp. 101-111, London: Pinter.
[2]
Sonis, Michael, and G.J.D. Hewings, (1991b) "Fields of influence and
extended input-output analysis: a theoretical account," in Regional Input-Output Modeling: New Developments and Interpretations,
edited by J.J. Ll. Dewhurst, G.J.D. Hewings and R.C. Jensen, pp. 141-158.
Aldershot: Avebury.
[2]
Sonis, Michael, and G.J.D. Hewings, (1992) "Coefficient change in
input-output models: theory and applications." Economic
Systems Research 4, 143-57 1992.
[3]
Sonis, Michael, G.J.D. Hewings and J.K. Lee (1994a). "Spatial economic
structure and spatial multipliers: three perspectives," Geographical Analysis 26:124-151
[3]
Sonis, Michael, J. Oosterhaven and G.J.D. Hewings (1993b) “Spatial economic
structure and structural changes in the EC: Feedback loop input-output
analysis,” Economic Systems Research
5:173-184
[3]
Sonis, Michael, Yasuhide Okuyama and Geoffrey J.D. Hewings, “Feedback Loops
Analysis of Interregional Trade: Case study of the Japanese Economy,
1980-85-90,” Journal of Economic Geography 1, 341-362 (2001)
[2]
Van der Linden, Jan, Jan Oosterhaven, Federico Cuello, Geoffrey J.D. Hewings and
Michael Sonis, "Fields of influence of technological change in EC
intercountry input-output tables, 1970-80," Environment
and Planning A 32, 1287-1305
(2000)
[1]
West, G.R. (1981) "An efficient approach to the estimation of input-output
multipliers." Environment and
Planning A 13, 857-67.
21-23 July
3 classes=12 hours
All classes start at: 14H00.
Course Leader: Leopold Simar
Université
Catholique de Louvain, Louvain-la-Neuve, Belgique
Purpose: To teach different types of frontier models theoretical and applied, namely the parametric and non-parametric frontier models, boostrapping, etc.
Background: A basic understanding of econometrics and linear
programming is assumed.
More information: summerlisbon@iseg.utl.pt
Sessions: a selection of the Lecture Notes:
1.1.
The Frontier Model, E ciency and the Statistical Paradigm
1.1.1.
The Frontier Model: Economic Theory
1.1.2.
Output and Input e ciencies
1.1.3.
Why is statistical inference needed?
1.2.
The Di erent Approaches
1.2.1.
Parametric vs. Nonparametric .
1.2.2.
Deterministic vs. Stochastic
1.2.3.
Cross-sections vs. Panel data
1.2.4.
Conclusions
1.2.5.
Examples of application
2.
Deterministic Parametric Models
2.1.
The Model
2.2.
Programming Estimators
2.3.
Least-squares Methods
2.3.1.
OLS
2.3.2.
Shifted-OLS
2.3.3.
Modi ed OLS
2.4.
Maximum Likelihood Methods
2.4.1
MLE in deterministic frontiers
2.4.2
Various deterministic models
2.5
E ciency Scores
2.5.1
Estimation of the e ciencies
2.5.2
Applications
2.6
Parametric Approximation of Nonparametric Frontiers
2.6.1
The framework
2.6.2
Two-stage approaches
2.7
Multi-output and Multi-input Case
2.7.1
The idea
2.7.2
Estimation
2.7.3
E ciencies
3
Stochastic Parametric Models
3.1
The Model
3.2
Estimators: MLE and MOLS
3.2.1
Likelihood function
3.2.2
Estimation in various stochastic models
3.2.3
Applications
3.3
E ciency Estimation
3.3.1
E ciency measures in various models
3.3.2
Bayesian approaches
4
Panel Data
4.1
Introduction: The Basic Model
4.2
Within Estimator
4.3
GLS Estimator
4.4
Semiparametric E cient Estimator
4.4.1 The Problem
4.4.2 Semiparametric e ciency bounds
4.4.3 Semiparametric e cient estimation in Stochastic Panel Frontiers
4.4.4 Applications
5
Sensitivity Analysis of Parametric E ciency Measures
5.1
The Problem and Parametric Approaches
5.1.1
Point estimators
5.1.2
Parametric con dence intervals for e ciency scores?
5.1.3
More robust procedure: the Bootstrap
5.2
The Bootstrap Principle
5.2.1
The aim of statistical inference
5.2.2
The Bootstrap as a Plug-in principle
5.2.3
Computational aspects: Monte-Carlo
5.2.4
Bootstrap Estimation of Bias and Standard error
5.2.5
Construction of Con dence Intervals
5.2.6
When the bootstrap works ?
5.2.7
Summary Table of the Bootstrap Ideas
5.3
The Bootstrap in Regression Models
5.4
Bootstrapping E ciencies in Parametric Frontier Model
5.4.1
General ideas
5.4.2
Cross-section: Deterministic frontier
5.4.3
Cross-section: Stochastic frontier
5.4.4
Panel-Data: Stochastic frontier
6
Nonparametric Deterministic Frontiers
6.1
General principles and basic ideas
6.1.1
Reminder of basic frontier concepts
6.1.2
Nonparametric Estimation
6.2
FDH Estimators
6.2.1
Free Disposability
6.2.2
E ciency estimators
6.2.3
Practical computations .
6.2.4
FDH as linear integer
programming .
6.3
DEA Estimators
6.3.1
Convexity of the attainable set
6.3.2
E ciency estimators
6.3.3
The dual programs
6.3.4
Returns to scale
6.3.5
DEA estimator and Returns to scale
6.3.6
LP-canonical forms
6.4
Applications of DEA/FDH
6.4.1
In the litterature
6.4.2
Some examples
6.5
Statistical Properties .
6.5.1
Statistical foundations of FDH-DEA: consistency
6.5.2
Theoretical results: convergence theorems
6.5.3
Sampling distribution of the e ciency estimators
6.5.4
Drawback of DEA-FDH type frontier estimators
6.6
Handling Noise in Frontier Estimation
6.6.1
The Problem
6.6.2
Basic Ideas in the univariate case: Hall-Simar (2002)
6.6.3
Stochastic FDH-DEA, Simar (2003)
6.6.4
Numerical Illustrations
7
Robust Nonparametric Frontiers Estimation
7.1
Order-m Frontiers (Cazals-Florens-simar, 2002)
7.1.1
Reparametrization of the E cient Frontier
7.1.2
The order-m frontiers of
7.1.3
Detection of outliers
7.2
Robust Semiparametric Deterministic Frontier
7.2.1
The Framework .
7.2.2
The Problem
7.2.3
Our Two-steps Estimators
7.2.4
Some Numerical Examples
7.3
Application
8
Nonparametric Stochastic Frontiers with Panel Data
8.1
Introduction
8.2
The General Model and the Kernel Method
8.2.1
The model
8.2.2
Estimation of hi (x)
8.2.3
Parametric estimates
8.2.4
Rates of convergence
8.2.5
Frontier Estimation
8.2.6
Stochastic versions of DEA and FDH with panels
8.3
Firm E ect Model
8.3.1
Estimation of h
8.3.2
Estimation of i and of the frontier
8.4
Measures of e ciencies
8.4.1
Application
9
Sensitivity Analysis of Nonparametric E ciency
Estimators
9.1
How to Bootstrap in DEA-FDH Framework
9.1.1
General principles and the Data Generating Process
9.1.2
The Bootstrap
9.1.3
Bootstrap con deuce intervals
9.1.4
Bootstrap correction for bias
9.1.5
Is the bootstrap consistent ?
9.2
Homogenous case
9.2.1
Basic ideas
9.2.2
The smoothed bootstrap
9.2.3
The Algorithm
9.3
Heterogenous case
9.3.1
Basic ideas
9.3.2
The smoothed bootstrap on pairs with unknown bounded support
9.3.3
The Algorithm
9.4
Application
10
Testing Productivity Changes: Inference on Malmquist
indices
10.1
Introduction
10.2
The Malmquist index and its decomposition
10.2.1
The Production set and its Convex Cone closure
10.2.2
Malmquist index
10.2.3
Decomposition into e ciency, scale and technology changes
10.3
Estimating Malmquist indices
10.3.1
Convex hull: varying returns to scale
10.3.2
Conical hull: constant returns to scale
10.3.3
Inference on the Mamquist indices
10.4
Bootstrapping the Malmquist indices
10.4.1
The principles
10.4.2
Smoothed bootstrap on correlated pairs
10.4.3
The bootstrap algorithm
10.4.4
Application
11
Nonparametric Tests of Returns to Scale
11.1
Introduction
11.2
Measuring Returns to Scale
11.2.1
Returns to scale: a reminder
11.2.2
Scale e ciency
11.3
Nonparametric tests on returns to scale
11.3.1
Estimating the scale e clenches
11.3.2
Testing returns to scale
11.3.3
Sampling distributions of the test statistics: the bootstrap
11.4
Application
12
Explaining E ciencies in Parametric and Nonparametric
Models
12.1
Introduction
12.2
Deterministic Parametric Frontiers
12.2.1
The setup
12.2.2 A general model
12.2.2
Estimation
12.3
Stochastic Parametric Frontiers
12.3.1
The approaches
12.3.2
The model
12.3.3
Estimation
12.4
Nonparametric Deterministic Frontiers
12.4.1
Continuous factors
12.4.2
Categorical factors
12.4.3
Two-stage procedures
