Sampling the Variance-Covariance Matrix in the Bayesian Multivariate Probit Model

This paper is concerned with the Bayesian estimation of a Multivariate Probit model. In particular, this paper provides a method to sample the restricted variancecovariance matrix directly from its conditional posterior density. The method allows the application of a standard Gibbs sampling algorithm to sample from the posterior density of the parameters, and hence it avoids the use of a Metropolis step. The method uses a decomposition of the Inverted Wishart density and alternative identification restrictions

On the Chern-Simons topological term at finite temperature

The parity-violating topological term in the effective action for 2+1 massive fermions is computed at finite temperature in the presence of a constant background field strength tensor. Gauge invariance of the finite-temperature effective action is also discussed.Comment: 8 pages, standard LaTe

Automorphisms of p-local compact groups

Peer reviewedPostprin

The Frisch elasticity in the Mercosur countries: A pseudo-panel approach

Copyright @ 2011 Brunel UniversityThis paper provides estimates for the Mercosur countries of the Frisch elasticity —i.e., the elasticity of substitution between worked hours and real wages holding constant the marginal utility of wealth—. We find a strong heterogeneity, with estimated elasticities ranging from 12.8 in Argentina to -13.1 in Paraguay. Brazil and Uruguay are in between, both with negative values of -1.9 and -1.4, respectively. We argue that the existence of severe liquidity constraints is the main reason behind the negative estimates found in Brazil, Paraguay and Uruguay. The heterogeneity of these estimates is the outcome of differences in many relevant economic dimensions —ranging from sectorial specialization to welfare state provisions and labor market specificities— all of them crucially affecting the socioeconomic situation of individuals. The diversity of Frisch elasticities calls for the development of a cross-country (rather than a within-country) policy approach, since they crucially affect the dynamics of the business cycle and business cycle synchronization is a step prior to the design of macroconvergence policies in the Mercosur context

Estimating the Demand for Health Care with Panel Data: A Semiparametric Bayesian Approach

This paper is concerned with the problem of estimating the demand for health care with panel data. A random effects model is specifed in a semiparametric Bayesian fashion using a Dirichlet process prior. This results in a very exible mixture distribution with an in nite number of components for the random effects. Therefore, the model can be seen as a natural extension of prevailing latent class models. A full Bayesian analysis using Markov chain Monte Carlo (MCMC)simulation methods is discussed. The methodology is illustrated with an application using data from Germany