Evaluating the impact of innovation incentives: evidence from an unexpected shortage of funds

To evaluate the effect of an R&D subsidy one needs to know what the subsidized firms would have done without the incentive. This paper studies an Italian programme of subsidies for the applied development of innovations, exploiting a discontinuity in programme financing due to an unexpected shortage of public money. To identify the effect of the programme, the study implements a regression discontinuity design and compares firms that applied for funding before and after the shortage occurred. The results indicate that the programme was not effective in stimulating innovative investment.R&D, public policy, evaluation

PRODUCTION OR CONSUMPTION? DISENTANGLING THE SKILL-AGGLOMERATION CONNECTION

To explain the concentration of human capital in cities, urban theory conjectures that the metropolitan scale provides two sources of returns for the more educated: production benefits, both in terms of wages and non-monetary gains, and consumption benefits. By exploiting a unique survey on Italian workers that records information for the two sources of returns, this paper quantifies their respective roles. The findings show that skilled workers enjoy higher consumption amenities in larger cities. They benefit from the local public goods, such as transportation, health and schooling services, the shopping possibilities, and the cultural consumption potentials made possible by the urban location of cinemas, theaters, and museums. On the other hand, the more educated do not receive benefits on the production side. Their wages do not reflect a premium, and the returns to education and experience are not higher than elsewhere. Moreover, urban skilled workers do not change jobs more readily than elsewhere and do not appear to be more satisfied of their jobs. The estimates imply that in the largest metropolitan areas the value of the consumption amenities can be as high as 50% of the rents or 16-17% of the wages.

Does the Internet Kill the Distance? Evidence From Navigation, E-Commerce, and E-Banking.

By diminishing the cost of performing isolated economic activities in isolated areas, information technology might serve as a substitute for urban agglomeration. This paper assesses this hypothesis by using Italian household level data on internet navigation, e-commerce, and e-banking. Empirically, I find no support for the argument that the internet reduces the role of distance. My results suggest that: (1) Internet navigation is more frequent for urban consumers than their non-urban counterparts. (2) The use of e-commerce is basically not affected by the size of the city where the household lives. Remote consumers are discouraged by the fact that they cannot see the goods before buying them. Leisure activities and cultural items are the only goods and services for which e-commerce is used more intensively in isolated areas. (3) E-banking bears no relationship with city size. In choosing a bank, non-urban customers evaluate personal acquaintances as an important factor more intensively than urban clients. This also depends on the fact that banking account holders in remote areas are more frequently supplied with a loan by their bank.

Production or consumption? Disentangling the skill-agglomeration connection

To explain the concentration of human capital in cities, urban theory conjectures that the metropolitan scale provides two sources of returns for the more educated; production benefits, both in terms of wages and non-monetary gains, and consumption benefits. By exploiting a unique survey on Italian workers that records information for the two sources of returns, this paper quantifies their respective roles. The findings show that skilled workers enjoy higher consumption amenities in larger cities. They benefit from the local public goods, such as transportation, health and schooling services, the shopping possibilities, and the cultural consumption potentials made possible by the urban location of cinemas, theaters, and museums. On the other hand, the more educated do not receive benefits on the production side. Their wages do not reflect a premium, and the returns to education and experience are not higher than elsewhere. Moreover, urban skilled workers do not change jobs more readily than elsewhere and do not appear to be more satisfied of their jobs. The estimates imply that in the largest metropolitan areas the value of the consumption amenities can be as high as 50% of the rents or 16-17% of the wages.cities, human capital

Spectral inequalities in quantitative form

We review some results about quantitative improvements of sharp inequalities for eigenvalues of the Laplacian.Comment: 71 pages, 4 figures, 6 open problems, 76 references. This is a chapter of the forthcoming book "Shape Optimization and Spectral Theory", edited by Antoine Henrot and published by De Gruyte

The extinction law inside the 30 Doradus nebula

We have studied the interstellar extinction in a field of ~3' x 3' at the core of the 30 Doradus nebula, including the central R136 cluster, in the Large Magellanic Cloud. Observations at optical and near-infrared wavelengths, obtained with the WFC3 camera on board the Hubble Space Telescope, show that the stars belonging to the red giant clump are spread across the colour-magnitude diagrams because of the considerable and uneven levels of extinction in this region. Since these stars share very similar physical properties and are all at the same distance, they allow us to derive the absolute extinction in a straightforward and reliable way. Thus we have measured the extinction towards about 180 objects and the extinction law in the range 0.3 - 1.6 micron. At optical wavelengths, the extinction curve is almost parallel to that of the diffuse Galactic interstellar medium. Taking the latter as a template, the value of Rv = 4.5 +/- 0.2 that we measure indicates that in the optical there is an extra grey component due to a larger fraction of large grains. At wavelengths longer than ~1 micron, the contribution of this additional component tapers off as lambda^-1.5, like in the Milky Way, suggesting that the nature of the grains is otherwise similar to those in our Galaxy, but with a ~2.2 times higher fraction of large grains. These results are consistent with the addition of "fresh" large grains by supernova explosions, as recently revealed by Herschel and ALMA observations of SN 1987A.Comment: 14 pages, 11 figures, accepted for publication in MNRAS. Updated reference