Short-Term Own-Price and Spillover Effects of Distressed Residential Properties: The Case of a Housing Crash

Most previous empirical studies of price spillover effects of foreclosure on no-default transactions are based on data from a stable housing-market period. In this paper, we use 2008 transactions from a housing market with a relatively large number of REO/foreclosures. Our overall results indicate that: (1) REO and in the process of foreclosure have the same spillover effects, but short sales do not produce a spillover effect; (2) models that control for the overall market trend produce smaller spillover effects; (3) the marginal effect of an REO is 1%; (4) the cumulative effects of multiple distressed neighbors can be as severe as 8%; and (5) excluding transactions of homes that were sold under distress from the sample increases the estimated marginal spillover effect to about 2% and the cumulative effects to about 21%.

MNEs and Export Spillovers : An Analysis of Indian Manufacturing Industries

In the present study, we try to provide some empirical evidence for the export spillover effect examining the case of an emerging economy, namely India using firm level data for the period 1994-2006. We disentangle different spillover channels, namely export spillover, R&D spillover and wage spillover. We also consider the heterogeneous technological behaviour of local firms considering how in-house R&D efforts and disembodied technological imports may affect the overall exporting performance. Our findings mainly confirm that the two most important channels for export spillover are mainly the demonstration effect and the R&D spillover effect The decision to export is influenced mainly by technological activities of local firms, confirming that R&D is a key variable that help firms to overcome fixed costs that are crucial to start exporting. Moreover, the findings of the analysis suggest that local firms R&D is highly relevant to internalize the positive spillover effect emanating from MNEs both with regard to decision to export and export propensity.exports, FDI spillover, MNEs

ANALISIS SPILLOVER EFFECT PERTUMBUHAN EKONOMI KABUPATEN/KOTA DI KORIDOR TIMUR PROVINSI JAWA TIMUR TAHUN 1993-2021

The spillover effect is an influence that arises because of the dependency relationship between regions, the influence given is the spread effect and the backwash effect. This study aims to determine the spillover effect of economic growth provided by one region to other regions and determine the causal relationship between economic growth between districts/cities. This research was conducted in the East Java Corridor. The data used is secondary data, namely data taken from the Central Bureau of Statistics (BPS). The data used is PDRB ADHK. The research method used is the VECM model and Granger Causality. The results show that the economic growth of a region to other regions between Regencies/Cities in the East Java Corridor has different effects, namely the spread effect and the backwash effect. The influence of the spread effect is smaller than the backwash effect. The relationship between economic growth between Regencies/Cities in the East Java Corridor is mostly one-way

Do Spatially Targeted Redevelopment Programs Spillover?

This paper estimates spillover effects from a spatially-targeted redevelopment program, the Federal Empowerment Zone (EZ), on neighboring and economically similar areas. EZs are a set of generous tax incentives and grants aimed at small, economically depressed areas of large U.S. cities. We find areas that border or are economically similar to EZ locations experience a decline in the number of establishments and employment compared to areas that border or are similar to rejected EZ applicants. We also demonstrate that using spillover prone areas to estimate program effects causes upward bias when the spillover is negative. We find that for many of our estimates, spillovers more than offset positive program effects, although there are instances when the net effect is small and positive

Price and Volatility Spillovers across North American, European and Asian Stock Markets: With Special Focus on Indian Stock Market

<div align=justify>This paper investigates interdependence of fifteen world indices including an Indian market index in terms of return and volatility spillover effect. Interdependence of Indian stock market with other fourteen world markets in terms of long run integration, short run dependence (return spillover) and volatility spillover are investigated. These markets are that of are Canada, China, France, Germany, Hong-Kong, Indonesia, Japan, Korea, Malaysia, Pakistan, Singapore, Taiwan, United Kingdom and United States. Long run and short run integration is examined through Johansen cointegration techniques and Granger causality test respectively. Vector autoregressive model (VAR 15) is used to estimate the conditional return spillover among these indices in which all fifteen indices are considered together. The effect of same day return in explaining the return spillover is also modeled using univariate models. Volatility spillover is estimated through AR-GARCH in which residuals from the index return is used as explanatory variable in GARCH equation. Return and volatility spillover between Indian and other markets are modeled through bivariate VAR and multivariate GARCH (BEKK) model respectively. It is found that there is greater regional influence among Asian markets in return and volatility than with European and US. Japanese market, which is first to open, is affected by US and European markets only and affects most of the Asian Markets. Also, high degree of correlation among European indices namely FTSE, CAC and DAX is observed. US market is influenced by both Asian and European markets. Specific to Indian context, it is found that Indian market is not cointegrated with rest of the world except Indonesia. This may provide diversification benefits for potential investors. However, strong short run interdependence is found between Indian markets and most of the other markets. Indian and other markets like US, Japan, Korea, and Canada positively affect each others conditional returns significantly. Indian market also has significant effect on Malaysia, Pakistan, and Singapore return. This study found that there is significant positive volatility spillover from other markets to Indian market, mainly from Hong Kong, Korea, Japan, and Singapore and US market. Indian market affects negatively the volatility of US and Pakistan. It is interesting to note that Chinese and Pakistan markets are less integrated with other Asian, European and US markets.</div>

Economics of Smash-Hit Papers: Spillover Evidence from the 'Male Organ Incident'

This study explores the short-run spillover effects of popular research papers. We consider the publicity of 'Male Organ and Economic Growth: Does Size Matter?' as an exogenous shock to economics discussion paper demand, a natural experiment of a sort. In particular, we analyze how the very substantial visibility influenced the downloads of Helsinki Center of Economic Research discussion papers. Difference in differences and regression discontinuity analysis are conducted to elicit the spillover patterns. This study finds that the spillover effect to average economics paper demand is positive and statistically significant. It seems that hit papers increase the exposure of previously less downloaded papers. We find that part of the spillover effect could be attributable to Internet search engines' influence on browsing behavior. Conforming to expected patterns, papers residing on the same web page as the hit paper evidence very significant increases in downloads which also supports the spillover thesis.scholarly spillover; media; blogs; downloads; natural experiment; difference in differences; regression discontinuity design

VOLATILITY AND SPILL OVER EFFECTS IN INDIAN COMMODITY MARKETS: A CASE OF PEPPER

Modeling of volatility has been felt one of the major academic contributions in Indian commodity futures market. We have selected black pepper as a commodity for estimating volatility and its spillover incorporating a series of models. We have employed models with their specifications, namely, GARCH (2, 2), EGARCH (2,2), EGARCH (3,3), CGARCH (1,1), MGARCH (Diagonal VECH and BEKK) for both the spot and futures return-series of the commodity. Study reveals that bidirectional spillover is captured under GARCH (2, 2) model whereas unidirectional spillover is found under EGARCH (2, 2) model and results obtained through EGARCH (3,3) are not impressive. News impact curve depicts the steeper movement on the logarithmic conditional variance of futures and spot-return series due to ‘positive shocks’ and rather than to ‘negative shock’. Conditional correlation is also found dynamic and the correlation between spot and futures returns of pepper changes temporally.volatility, spillover, asymmetric effect, news impact

Spillover effects of FDI inflows on the banking industry in China.

The study examines the magnitude of economic spillover and the impact of foreign direct investment (FDI) inflow on the efficiency of the bank management in China This study examines direct and indirect spillover in the short-run and their economic spillover in the long-run. Unit root tests, cointegration tests, vector error correction models, and Wald tests are employed in the empirical analysis using monthly time series data from January 2002 to September 2013 retrieved from the Bank of China database. In testing long-run economic spillover, this study finds that FDI inflows have a significant economic spillover, but the spillover is likely to be negative. In testing short-run economic spillover, this research finds that FDI inflows have a significant positive direct effect on the efficiency of the bank management in Chain

Let us pray: religious interactions in life satisfaction

We use recent pooled survey data on 90 000 individuals in 26 European countries to examine religious spillover effects on life satisfaction. Own religious behaviour is positively correlated with individual life satisfaction. More unusually, average religiosity in the region also has a positive impact: people are more satisfied in more religious regions. This spillover holds both for those who are religious and for those who are not. The flipside of the coin is that a greater proportion of "atheists" (those who say they do not currently belong to any religious denomination) has negative spillover effects, for the religious and atheists alike. We last show that both Protestants and Catholics like to live in regions where their own religion is dominant, while Protestants are also more satisfied when Catholics dominate. The generic positive spillover effect of others' religion is not explained by social capital, crime, or trust.life satisfaction ; religion ; externalities

Educational Spillovers: Does One Size Fit All?

In a search model of production, where agents accumulate heterogeneous amounts of human capital, an individual worker's wage depends on average human capital in the searching population. Following this model, the authors use a large American panel data set to estimate a Mincerian wage equation augmented with terms for average human capital. They find that there is a positive and significant spillover effect, but that the effect differs by gender and population group (whites, blacks, and Hispanics), as well as educational status. The differing spillover effects can only partially be explained by occupational choice.Labour markets