Why have poverty and income inequality increased so much? Argentina 1991-2002

This paper analyzes the sources of changes in poverty and income inequality among Argentine households during the 1991-2001 period. We assess the eect of changes in labor market participation, unemployment, education levels, and returns to human capital on income inequality and poverty by using a micro-simulation approach. This procedure allows us to evaluate the impact of each one of those changes on several measures of income inequality and poverty during the nineties. We found that unemployment accounts for a large part of the increase in income inequality and poverty that this country experienced in the last decade. In January 2002, Argentina declared the default on its external debt and devaluated the peso 40% ending the convertibility period. Since then, a growing inflation is aecting the purchasing power of Argentine households for the first time in more than ten years. Using our methodology we estimate the eect of the emerging inflation on poverty among households. Our findings indicate that inflation increases poverty significantly at least in the short run.

Inference and estimation in small sample dynamic panel data models

We study the finite sample properties of the most important methods of estimation of dynamic panel data models in a special class of small samples: a two-sided small sample (i.e., a sample in which the time dimension is not that short but the cross-section dimension is not that large). This case is encountered increasingly in applied work. Our main results are the following: the estimator proposed by Kiviet (1995) outperforms all other estimators considered in the literature. However, standard statistical inference is not valid for any of them. Thus, to assess the true sample variability of the parameter estimates, bootstrap standard errors have to be computed. We find that standard bootstrapping techniques work well except when the autoregressive parameter is close to one. In this last case, the best available solution is to estimate standard errors by means of the Grid-t bootstrap estimator due to Hansen (1999).

A New Test for the Success of Inflation Targeting

We propose a new test, derived from a set of variance decompositions of a structural VAR, for the success of inflation targeting. In contrast to standard sacrifice ratios this test considers changes in the structure of real and nominal shocks; second moment effects. We find strong support for IT with 7 of the 9 countries in our sample having negative “sacrifices” and many countries with “benefits”. However, we also find very different performances across IT countries. We find that “IT success” depends on the size of the real shocks suffered but controlling for this there are differences in country performance.

A new test for the success of inflation targeting

We propose a new test, derived from a set of variance decompositions of a structural VAR, for the success of inflation targeting. In contrast to standard sacrifice ratios this test considers changes in the structure of real and nominal shocks; second moment effects. We find strong support for IT with 7 of the 9 countries in our sample having negative “sacrifices” and many countries with “benefits”. However, we also find very different performances across IT countries.

Substrate translocation involves specific lysine residues of the central channel of the conjugative coupling protein TrwB

Conjugative transfer of plasmid R388 requires the coupling protein TrwB for protein and DNA transport, but their molecular role in transport has not been deciphered. We investigated the role of residues protruding into the central channel of the TrwB hexamer by a mutational analysis. Mutations affecting lysine residues K275, K398, and K421, and residue S441, all facing the internal channel, affected transport of both DNA and the relaxase protein in vivo. The ATPase activity of the purified soluble variants was affected significantly in the presence of accessory protein TrwA or DNA, correlating with their behaviour in vivo. Alteration of residues located at the cytoplasmic or the inner membrane interface resulted in lower activity in vivo and in vitro, while variants affecting residues in the central region of the channel showed increased DNA and protein transfer efficiency and higher ATPase activity, especially in the absence of TrwA. In fact, these variants could catalyze DNA transfer in the absence of TrwA under conditions in which the wild-type system was transfer deficient. Our results suggest that protein and DNA molecules have the same molecular requirements for translocation by Type IV secretion systems, with residues at both ends of the TrwB channel controlling the opening?closing mechanism, while residues embedded in the channel would set the pace for substrate translocation (both protein and DNA) in concert with TrwA

Comentario al trabajo Apertura, reestructuración productiva y gestión ambiental. Las industrias básicas en la Argentina

Área de Economí

Implications of raising cigarette excise taxes in Peru

ABSTRACT Objective To assess how raising cigarette excise taxes in Peru might impact cigarette consumption, and to determine if higher taxes would be regressive. Methods Total demand price elasticity was estimated by income groups using two datasets: quarterly time-series data from 1993 – 2012 and data from a cross-sectional survey of income and expenses conducted in 2008 – 2009 . A functional form of the cigarette demand in Peru was specified using the quarterly data set, and the demand price elasticity was estimated for the short and long run. Using the second data set and Deaton methodology, the implementation of elasticity estimation and by groups’ elasticity was done in a two-step procedure. Results Demand price elasticity was −0.7, implying that a 10% price increase via a new tax would reduce consumption by 7%. Demand price elasticity estimations by income group suggested that poorer families are not more price sensitive than richer ones, which implies that increasing cigarette taxes could be regressive. Conclusions Increasing cigarette taxes is the most efficient policy for inducing a reduction in smoking. However, in the case of Peru, an increase in cigarette taxes could be regressive