A brief introduction to marginal analysis for the micro-economics principles course

This brief note provides a simple, yet powerful example of how the marginal cost/marginal benefit principle can be used in everyday life. Using the decision of the optimal choice of speed on the highway, this note was developed for use as one of the first readings in an introductory microeconomics course. It is clear in this demonstration that marginal cost is increasing, while marginal benefit is decreasing, and how the intersection of these two curves shows the optimal choice. In addition, shifts in the curves can easily be demonstrated as an introduction to supply and demand.marginal analysis; economic education

A response to unfounded criticisms of Burkey and Obeng (2004) made by the IIHS (2005)

Abstract: The Insurance Institute for Highway Safety mailed an essay written by Richard Retting and Sergey Kyrychenko (IIHS, 2005) to many universities and individuals where they accused my coauthor and me of being Junk Scientists. This has become a typical pattern for the IIHS, attacking every study that fails to find a benefit of Red Light Cameras, but never criticizing work that supports their beliefs. In this paper I defend my work against their claims, and pose the question: Who are the real junk scientists?Red Light Camera; Intersection Safety;

Crash Risk Reduction at Signalized Intersections Using Longitudinal Data

This study extends the previous work of Burkey and Obeng (2004) that examined the impact of red light cameras on the type and severity of crashes at signalized intersections in Greensboro, NC. The extension takes the following form. First, we extend the data to cover 57 months, and to include demographics, technology variables, the condition of a driver at the time of the crash, vehicle characteristics, land use and visual obstruction. Second, instead of examining the impact of red light cameras, we focus on identifying the determinants of crash severity, two-vehicle crashes, and property damage costs. The major findings are that the safety impacts of seatbelt use outweigh the impacts of airbags deploying because the latter tends to increase evident injuries and property damage costs, while the former reduces these injuries. We also find that head-on collisions and under rides increase evident injuries. For two-vehicle crashes, we find that the risk of severe injuries increases in pickup-pickup crashes and SUV-pickup crashes, while the risk of possible injuries increases in car-truck crashes. For property damage costs, we found the condition of the driver at the time of the crash (i.e., illness, impaired, medical condition, driver falling asleep, driver apparently normal) to be important determinants in increasing these costs. The types of accidents that we found to increase property damage costs are running into a fixed object and under rides. Finally, we found that property damage costs of crashes are low where the land uses are commercial and institutional suggesting that the accidents that occur in these areas are minor.longitudinal data; accidents; intersections

A preliminary investigation of welfare migration induced by time limits

Studies on welfare programs in the United States have identified three types of welfare migration (employment, benefit, and amenity-related). This paper introduces a fourth type of migration induced by welfare time limits. After a welfare-dependent family runs out of benefits, it is possible for them to reset the Temporary Assistance for Needy Families time clock by crossing state lines to extend their benefits. Our theoretical results suggest that the likelihood of migration increases if the migration distance is small or the gain from the move is large. We hypothesize that, ceteris paribus, families migrating in order to extend their benefits will minimize the distance they migrate, and will be likely to move into the nearest state, especially into counties just across the state border. We utilize macro data at the county level to look for evidence of time-limit induced migration. Estimates indicate that time limits may be associated with an increase in welfare migration.welfare reform; migration

Factors affecting the location of payday lending and traditional banking services in North Carolina

Payday lending is a relatively new and fast growing segment of the “fringe banking” industry. This paper offers a comparative, descriptive analysis of the location patterns of traditional banks and payday lenders. Utilizing a dataset at the Zip Code Tabulation Area level in North Carolina, we perform negative binomial regressions and find evidence supporting some, but not all common assertions about the location patterns of both types of institutions. A key finding is that after controlling for many covariates, race is still a powerful predictor of the locations of both banks and payday lenders.payday lending, fringe banking, location analysis

Making Educational and Scholarly Videos with Screen Capture Software

This resource describes several options for making educational videos using “screencasting”, or “screen capture” software. The author (who has over 300 screencasted videos on YouTube and indexed on his website, www.burkeyacademy.com) describes the software and hardware tools needed, including some open source and free-to-use tools. Links to some “how to” videos are included, as well as some links to other example videos demonstrating novel professional uses for screencasting

Unintended Migration Consequences of US Welfare Reform

Researchers have analyzed whether US welfare reform has induced interstate migration. Empirical results are inconclusive because methodologies are based on pre-reform thinking. This paper presents a post-reform migration model. We find that recipients move to avoid harsh sanction policies, seek lenient work requirements, and extend time limits. Unlike the first two behavioral responses, the latter is controversial. Critics will argue that such moves are illegal, and violators can be prosecuted because states share data. However, only active cases are being shared, meaning violators cannot be caught. Our model produces testable hypotheses which are consistent with (and reconcile) previous empirical results.Migration, Welfare reform

Crash Risk Reduction at Signalized Intersections Using Longitudinal Data

This study extends the previous work of Burkey and Obeng (2004) that examined the impact of red light cameras on the type and severity of crashes at signalized intersections in Greensboro, NC. The extension takes the following form. First, we extend the data to cover 57 months, and to include demographics, technology variables, the condition of a driver at the time of the crash, vehicle characteristics, land use and visual obstruction. Second, instead of examining the impact of red light cameras, we focus on identifying the determinants of crash severity, two-vehicle crashes, and property damage costs. The major findings are that the safety impacts of seatbelt use outweigh the impacts of airbags deploying because the latter tends to increase evident injuries and property damage costs, while the former reduces these injuries. We also find that head-on collisions and under rides increase evident injuries. For two-vehicle crashes, we find that the risk of severe injuries increases in pickup-pickup crashes and SUV-pickup crashes, while the risk of possible injuries increases in car-truck crashes. For property damage costs, we found the condition of the driver at the time of the crash (i.e., illness, impaired, medical condition, driver falling asleep, driver apparently normal) to be important determinants in increasing these costs. The types of accidents that we found to increase property damage costs are running into a fixed object and under rides. Finally, we found that property damage costs of crashes are low where the land uses are commercial and institutional suggesting that the accidents that occur in these areas are minor

Gini Coefficients for the 2000 Census

This note documents the method for calculating Gini Coefficients in R using 2000 Census data. Many people have use this method for computing Ginis for ZCTA’s for example. You can find these estimates for both the 50 states, as well as all US counties and additional information about Gini coefficients at https://sites.google.com/a/burkeyacademy.com/main/home/gini-coefficient

A brief introduction to marginal analysis for the micro-economics principles course

This brief note provides a simple, yet powerful example of how the marginal cost/marginal benefit principle can be used in everyday life. Using the decision of the optimal choice of speed on the highway, this note was developed for use as one of the first readings in an introductory microeconomics course. It is clear in this demonstration that marginal cost is increasing, while marginal benefit is decreasing, and how the intersection of these two curves shows the optimal choice. In addition, shifts in the curves can easily be demonstrated as an introduction to supply and demand