Taxation and the Stock Market Valuation of Capital Gains and Dividends: Theory and Empirical Results (Rev)

Dividends seem to be more heavily taxed than capital gains. Why then do corporations pay dividends rather than repurchasing shares or retaining earnings? Either corporations are not acting in the interests of shareholders, or else shareholders desire dividends sufficiently for nontax reasons to offset the tax effect. In this paper, we measure the relative valuation of dividends and capital gains in the stock market, using a variant of the capital asset pricing model. We find that dividends are not valued differently systematically from capital gains. This finding is consistent with share price maximization by firms but inconsistent with the fact that most shareholders pay a heavier tax on dividends. We also show that the relative value of dividends provides an indirect measure of a marginal Tobin's q. The measured value of dividends relative to capital gains tends to be higher during prosperous periods, as is consistent with this interpretation. We hope that this time series on a marginal Tobin's q will prove to be useful in forecasting the rate of investment.

The China Shock: Learning from Labor Market Adjustment to Large Changes in Trade

China’s emergence as a great economic power has brought an epochal shift in patterns of world trade. This shift has toppled much of the received empirical wisdom about how labor markets adjust to trade shocks. Alongside its heralded consumer benefits, trade has both significant distributional costs, which theory has long recognized, and substantial adjustment costs, which the literature has tended to downplay. These adjustment costs mean that trade impacts are most visible not in national-level outcomes for broad skill types, as canonical theory would suggest, but in the local labor markets in which the industries most exposed to foreign competition are concentrated. Adjustment in local labor markets is remarkably slow, with wages and local laborforce participation rates remaining depressed, local unemployment rates remaining elevated, and public transfer benefits take-up rising across a spectrum of programs for at least a full decade after trade shocks commence. Within impacted localities, the workers who are most affected by rising trade exposure are those initially employed in firms that compete most directly with China. These workers, and in particular those in lower earnings deciles, experience greater job churning and reduced lifetime income. Recent literature also addresses the aggregation of local-level impacts of trade shocks into national-level outcomes. Employment has fallen in U.S. industries more exposed to import competition, as expected. So too has overall employment in the local labor markets in which these industries were concentrated. Offsetting employment gains in non-tradables, export-oriented tradables, or imported-input-using industries have yet to materialize. Better understanding when and where trade is costly, and how and why it may be beneficial, are key items on the research agenda for trade and labor economists

Sipping Fuel and Saving Lives: Increasing Fuel Economy without Sacrificing Safety

Demonstrates how new fuel-efficiency technologies make it possible, and advisable, to significantly increase the fuel economy of motor vehicles without compromising their safety

Productivity of Florida Springs: first semi-annual report to Biology Division, Office of Naval Research, progress from June 1, 1952 to January 31, 1953

Work has begun on studying the factors responsible for productivity in the Florida springs, which are nearly constant temperature, constant chemical, steady state giant laboratories. Progress has been made on five aspects: qualitative description, quantitative description, completion of knowledge of chemical factors, measurement of productivity , development of productivity theory. Measurement of the primary productivity in Silver Springs and Green Cove Springs by two new methods: the raising of organisms in cages, and the measurement of night & day differences in oxygen downstream agree roughly. Production in these springs is greater than previous production figures reported for marine, fresh water, and land areas. Instantaneous measures of production show large variations with season, time of day, cloud cover. Production estimates range from 11,000 lbs per acre per year to 70,000 lbs. glucose per acre per year during daylight hours. Essential stability of the springs environment has been shown with respect to temperature, phosphorus, and plant cover. A correlation of species number with lack of stability has been shown with insects. Quantitative studies have shown very large plant base to pyramids of mass. Correlation of marine invasion with chlorinity has been shown. The essential aspects of pH regulated phosphorus geochemistry in Florida have been outlined. Some theoretical ideas on productivity have been evolved. Mapping of sessile organisms in springs and taxonomic identification of dominants are half completed. Plans for second six months include measurement of herbivore and carnivore production rates and completion of food chain efficiency determinations in Silver Springs as a preparation for subsequent comparisons between springs. (34pp.

A user evaluation of hierarchical phrase browsing

Phrase browsing interfaces based on hierarchies of phrases extracted automatically from document collections offer a useful compromise between automatic full-text searching and manually-created subject indexes. The literature contains descriptions of such systems that many find compelling and persuasive. However, evaluation studies have either been anecdotal, or focused on objective measures of the quality of automatically-extracted index terms, or restricted to questions of computational efficiency and feasibility. This paper reports on an empirical, controlled user study that compares hierarchical phrase browsing with full-text searching over a range of information seeking tasks. Users found the results located via phrase browsing to be relevant and useful but preferred keyword searching for certain types of queries. Users experiences were marred by interface details, including inconsistencies between the phrase browser and the surrounding digital library interface

Trade Adjustment: Worker Level Evidence

In the past two decades, China’s manufacturing exports have grown spectacularly, U.S. imports from China have surged, but U.S. exports to China have increased only modestly. Using representative, longitudinal data on individual earnings by employer, we analyze the effect of exposure to import competition on earnings and employment of U.S. workers over 1992 through 2007. Individuals who in 1991 worked in manufacturing industries that experienced high subsequent import growth garner lower cumulative earnings and are at elevated risk of exiting the labor force and obtaining public disability benefits. They spend less time working for their initial employers, less time in their initial two-digit manufacturing industries, and more time working elsewhere in manufacturing and outside of manufacturing. Earnings losses are larger for individuals with low initial wages, low initial tenure, low attachment to the labor force, and those employed at large firms with low wage levels. Import competition also induces substantial job churning among high-wage workers, but they are better able than low-wage workers to move across employers with minimal earnings losses, and are less likely to leave their initial firm during a mass layoff. These findings, which are robust to a large set of worker, firm and industry controls, and various alternative measures of trade exposure, reveal that there are significant worker-level adjustment costs to import shocks, and that adjustment is highly uneven across workers according to their conditions of employment in the pre-shock period

An integrated capacitance bridge for high-resolution, wide temperature range quantum capacitance measurements

We have developed a highly-sensitive integrated capacitance bridge for quantum capacitance measurements. Our bridge, based on a GaAs HEMT amplifier, delivers attofarad (aF) resolution using a small AC excitation at or below kT over a broad temperature range (4K-300K). We have achieved a resolution at room temperature of 10aF per root Hz for a 10mV AC excitation at 17.5 kHz, with improved resolution at cryogenic temperatures, for the same excitation amplitude. We demonstrate the performance of our capacitance bridge by measuring the quantum capacitance of top-gated graphene devices and comparing against results obtained with the highest resolution commercially-available capacitance measurement bridge. Under identical test conditions, our bridge exceeds the resolution of the commercial tool by up to several orders of magnitude.Comment: (1)AH and JAS contributed equally to this work. 6 pages, 5 figure

Science-based restoration monitoring of coastal habitats, Volume Two: Tools for monitoring coastal habitats

Healthy coastal habitats are not only important ecologically; they also support healthy coastal communities and improve the quality of people’s lives. Despite their many benefits and values, coastal habitats have been systematically modified, degraded, and destroyed throughout the United States and its protectorates beginning with European colonization in the 1600’s (Dahl 1990). As a result, many coastal habitats around the United States are in desperate need of restoration. The monitoring of restoration projects, the focus of this document, is necessary to ensure that restoration efforts are successful, to further the science, and to increase the efficiency of future restoration efforts