How Has the Portuguese Innovation Capability Evolved? Estimating a Time Series of the Stock of Technological Knowledge, 1960-2001

The importance of promoting innovation has been elevated up to a status of official standard since the Lisbon European Summit in 2000. Here research and development (R&D) was singled out as an essential element of the foundation on which innovation could be built. R&D has been a growing area of investigation namely at level of firms micro studies aimed at uncovering firms’ innovation capability. At the macro level, the relevance of R&D for countries’ innovation capability has been, in a dynamic perspective, more often presumed rather than effectively tested. This latter limitation is, to a large extent, explained by the paucity of aggregated continuous time series on innovation indicators specifically those based on R&D expenditures. This paper aims at filling this gap by providing an estimate of the Portuguese innovation capability over the two last four decades based on the accumulated R&D efforts. Such indicator, albeit preliminary, will desirably endorse new investigation on the Portuguese catching-up process and, in this way, might inform present and future public programs related to R&D policies in particular and innovation policies in general.Innovation; R&D expenditures; measurement, economic growth

An empirical analysis of structural models of corporate debt pricing

This paper tests empirically the performance of three structural models of corporate bond pricing, namely Merton (1974), Leland (1994) and Fan and Sundaresan (2000). While the first two models overestimate bond prices, the Fan and Sundaresan model reveals an extremely good performance. When considering the prediction of credit spreads, the three models under-estimate market spreads but, again, Fan and Sundaresan has a better performance. We find rating, maturity and asset volatility effects in the prediction power, as the models under-estimate less the spreads of riskier firms and of bonds with better rating quality and longer maturity. Moreover, our results reveal the existence of a new industry effect. Spread errors are systematically related to some bond- and firm-specific variables, as well as term structure variables.structural models, corporate debt valuation, empirical credit spreads

Universality of trap models in the ergodic time scale

Consider a sequence of possibly random graphs $G_N=(V_N, E_N)$, $N\ge 1$, whose vertices's have i.i.d. weights $\{W^N_x : x\in V_N\}$ with a distribution belonging to the basin of attraction of an $\alpha$-stable law, $0<\alpha<1$. Let $X^N_t$, $t \ge 0$, be a continuous time simple random walk on $G_N$ which waits a \emph{mean} $W^N_x$ exponential time at each vertex $x$. Under considerably general hypotheses, we prove that in the ergodic time scale this trap model converges in an appropriate topology to a $K$-process. We apply this result to a class of graphs which includes the hypercube, the $d$-dimensional torus, $d\ge 2$, random $d$-regular graphs and the largest component of super-critical Erd\"os-R\'enyi random graphs

What are the benefits of the Portuguese public investment projects?

The aim of this paper is to provide a deeper understanding about the effective benefits of public investment projects carried out in Portugal, since their entry into the European Union, in 1986, so far and, additionally, to know the main causes for cost Project deviations. Since the entry of Portugal in European Union, the country image has changed, where public investment in infrastructure played a critical role. However one question remains unanswered which are frequently asked by Portuguese people, namely: • What are the Benefits of the Portuguese Public Investment Projects? In addition to the above question, the present study will try as well to answer the following question: • What were the main causes for the project deviations? This research allowed conclude that, although cost/investment deviations have been observed in the majority of projects, and reported through public audits, the benefits deviation analysis between the estimated values to society and what their realization was, are in the most cases, unknown. Portuguese national authorities are concerned to measure the deviation of costs/investment, but nobody has analyzed so far the benefits deviation for society and community.info:eu-repo/semantics/publishedVersio

FDI, income inequality and poverty : a time series analysis of Portugal, 1973–2016

Using time series data for Portugal between 1973 and 2016, this paper examines to what extent, inward FDI contributes to income inequality and poverty in the long-run. It was found that increased flows of inward FDI are associated with a less unequal income distribution and lower poverty rates. The results further suggest that, in the Portuguese case there is mutual causality between inward FDI and poverty in the long run, i.e., FDI significantly reduces poverty, and lower levels of poverty lead to higher inward FDI flows. In the case of inequality, the evidence shows that FDI does not contribute to higher (or lower) income inequality. Instead, more unequal income distributions significantly and negatively impact on inward FDI in the long run. Finally, human capital emerged as a key determinant to mitigate income inequality and circumvent poverty, contributing, indirectly, to fostering additional FDI inflows. Such results call for integrated public policy interventions that emphasize social and institu- tional dimensions.info:eu-repo/semantics/publishedVersio

Spontaneous CP Violation in the Next-to-Minimal Supersymmetric Standard Model Revisited

We re-examine spontaneous CP violation at the tree level in the context of the next-to-minimal supersymmetric standard model (NMSSM) with two Higgs doublets and a gauge singlet field. We analyse the most general Higgs potential without a discrete Z_3 symmetry, and derive an upper bound on the mass of the lightest neutral Higgs boson consistent with present experimental data. We investigate, in particular, its dependence on the admixture and CP-violating phase of the gauge singlet field, as well as on tan(beta). To assess the viability of the spontaneous CP violation scenario, we estimate epsilon_K by applying the mass insertion approximation. We find that a non-trivial flavour structure in the soft-breaking A terms is required to account for the observed CP violation in the neutral kaon sector. Furthermore, combining the minimisation conditions for spontaneous CP violation with the constraints coming from K0-K0bar mixing, we find that the upper bound on the lightest Higgs-boson mass becomes stronger. We also point out that the electric dipole moments of electron and neutron are a serious challenge for SUSY models with spontaneous CP violation.Comment: 19 pages, LaTeX2e, 5 figures; matches the published versio

Lepton masses and mixings in orbifold models with three Higgs families

We analyse the phenomenological viability of heterotic Z(3) orbifolds with two Wilson lines, which naturally predict three supersymmetric families of matter and Higgs fields. Given that these models can accommodate realistic scenarios for the quark sector avoiding potentially dangerous flavour-changing neutral currents, we now address the leptonic sector, finding that viable orbifold configurations can in principle be obtained. In particular,it is possible to accomodate present data on charged lepton masses, while avoiding conflict with lepton flavour-violating decays. Concerning the generation of neutrino masses and mixings, we find that Z(3) orbifolds offer several interesting possibilities.Comment: 28 pages, 11 figures. References adde