A Tale of Two Provinces: The Institutional Environment and Foreign Ownership in China

In this paper, we use a unique dataset covering joint ventures in two provinces of China, Jiangsu and Zhejiang, to test the effect of the institutional environment for domestic private firms on ownership structures of FDI projects. Unlike many studies on this subject, we approach the issue from the perspective of local firms seeking FDI rather than from the perspective of foreign firms seeking to invest in China. Applying the prevailing bargaining framework in studies on ownership structures of FDI projects, we find that a more liberal institutional environment for domestic private firms is associated with less foreign ownership of the joint ventures operating there. Several mechanisms can contribute to this outcome. One is that a more liberal institutional environment may enhance the bargaining power of those domestic firms negotiating with foreign firms to form alliances (the capability effect). The other mechanism is that a more liberal institutional environment may reduce some of the auxiliary benefits associated with FDI—such as greater property rights granted to foreign investors—and thereby attenuate incentive to form alliances with foreign firms (the incentive effect).http://deepblue.lib.umich.edu/bitstream/2027.42/40053/3/wp667.pd

A Tale of Two Provinces: The Institutional Environment and Foreign Ownership in China

In this paper, we use a unique dataset covering joint ventures in two provinces of China, Jiangsu and Zhejiang, to test the effect of the institutional environment for domestic private firms on ownership structures of FDI projects. Unlike many studies on this subject, we approach the issue from the perspective of local firms seeking FDI rather than from the perspective of foreign firms seeking to invest in China. Applying the prevailing bargaining framework in studies on ownership structures of FDI projects, we find that a more liberal institutional environment for domestic private firms is associated with less foreign ownership of the joint ventures operating there. Several mechanisms can contribute to this outcome. One is that a more liberal institutional environment may enhance the bargaining power of those domestic firms negotiating with foreign firms to form alliances (the capability effect). The other mechanism is that a more liberal institutional environment may reduce some of the auxiliary benefits associated with FDI—such as greater property rights granted to foreign investors—and thereby attenuate incentive to form alliances with foreign firms (the incentive effect).China, FDI, private sector, institutional environment, joint venture

Spotlight: Texas subprime mortgages: metros vary on risky loans--and delinquencies

The current financial crisis has brought a severe decline in subprime mortgage lending. Like the nation, Texas and its metros still have exposure to existing loans. Housing prices, unemployment and overall economic activity will play a significant part in determining how many of them run into trouble.Mortgage loans ; Subprime mortgage ; Economic conditions - Texas ; Metropolitan areas ; Foreclosure

The determinants of Government environmental performance - an empirical analysis of Chinese townships

This paper explores the determinants of government environmental performance at the local level. Chinese township governments, the lowest level in the hierarchical government structure, were selected for this exercise. The performance indicators used in the analyses include the efforts of enforcing government environmental regulations and of providing environmental services to polluting enterprises. The performance determinants identified include environmental performance of upper-level governments, local development status, industrial employment, income of workers in polluting enterprises, local environmental quality, and public pressure for environmental quality improvement. A survey of 85 townships and interviews of 151 township government leaders were conducted in three provinces of China. The statistical results show that: a) The environmental performance of upper-level governments in China strongly and positively influences the environmental efforts of the township governments. b) Public pressure has created incentives for the township governments to improve their efforts in both enforcing environmental regulations and providing environmental services, while the environmental quality did not show significant impacts. c) Higher employment in industries tends to have a negative influence on the regulatory enforcement, but a positive influence on environmental service provision. d) A higher enforcement effort and a lower service provision are associated with higher wages the workers received from industries. This implies that the industries offering higher wages to the workers are subject to more stringent environmental enforcement but receive less environmental services. 5) Richer townships tend to have less regulatory enforcement but better environmental services.Banks&Banking Reform,Decentralization,National Governance,Environmental Economics&Policies,Municipal Financial Management,Environmental Economics&Policies,National Governance,Environmental Governance,Banks&Banking Reform,Municipal Financial Management

The impact of LIHTC program on local schools

The low-income housing tax credit (LIHTC) program has developed over two million rental homes for low-income households since 1986. The perception of deterioration in school quality has been a main reason for community opposition to LIHTC projects in middle-and upper-income areas. In this paper, we examine the impact of LIHTC projects on the nearby school performance. The LIHTC projects tend to have positive and statistically significant impacts on school performance the year they are placed in service and this finding is robust to various specifications. Offsetting these, the one year lag effects are negative and of similar or smaller magnitude.Housing subsidies ; Housing policy ; Education ; Poverty

Spotlight: Educational opportunity: Does low-income housing tax credit hurt nearby schools?

The largest federal program designed to increase the rental housing supply for poor working families helps them find living space in decent neighborhoods with good schools. It also encounters frequent neighborhood opposition.Housing subsidies ; Education ; School choice

The loss of taste genes in cetaceans

Background: Five basic taste modalities, sour, sweet, bitter, salt and umami, can be distinguished by humans and are fundamental for physical and ecological adaptations in mammals. Molecular genetic studies of the receptor genes for these tastes have been conducted in terrestrial mammals; however, little is known about the evolution and adaptation of these genes in marine mammals. Results: Here, all five basic taste modalities, sour, sweet, bitter, salt and umami, were investigated in cetaceans. The sequence characteristics and evolutionary analyses of taste receptor genes suggested that nearly all cetaceans may have lost all taste modalities except for that of salt. Conclusions: This is the first study to comprehensively examine the five basic taste modalities in cetaceans with extensive taxa sampling. Our results suggest that cetaceans have lost four of the basic taste modalities including sour, sweet, umami, and most of the ability to sense bitter tastes. The integrity of the candidate salt taste receptor genes in all the cetaceans examined may be because of their function in Na+ reabsorption, which is key to osmoregulation and aquatic adaptation. Electronic supplementary material The online version of this article (doi:10.1186/s12862-014-0218-8) contains supplementary material, which is available to authorized users

Numerical modelling of twin-screw pumps based on computational fluid dynamics

Increasing demands for high-performance screw pumps in oil and gas as well as other applications require deep understanding of the fluid flow field inside the machine. Important effects on the performance such as dynamic losses, influence of the leakage gaps and presence and extent of cavitation are difficult to observe by experiments. However, it is possible to study such effects using well-validated computational fluid dynamics models. The novel-structured numerical mesh consisting of a single-computational domain for moving screw pump rotors was developed to allow three-dimensional computational fluid dynamics simulation of such machine possible. Based on finite volume method, the instantaneous mass flow rates, rotor torque, local pressure field, velocity field and other performance indicators including the indicated power were predicted. A calculation model for the bearing friction losses was introduced to account for mechanical losses. The geometry of the inlet and outlet passages and piping system are taken into consideration to evaluate their influences on the pressure distribution and shaft power. The paper also shows the influence of rotor clearances on the pump performance. The computational fluid dynamics model was validated by comparing the numerical results with the measured performance obtained in the experimental test rig through the comprehensive experiment performed for a set of discharge pressures and rotational speeds. Validation includes comparison of mass flow rates, shaft power and efficiency under variety of speeds and discharge pressure. It has been found that the predicted results match well with the measurements. The results also showed that the radial clearances have larger influence on the mass flow rate than the interlobe clearance. The correct design of the flow passages within the screw pump plays significant role in minimizing required power consumption. The analysis presented in this paper contributes to better understanding of the working process inside the screw pump and offers a good reference to improve design and optimize such machines in terms of clearance selection, shape of the ports, piping system, etc. In future, this model will be used for analysis of cavitating flows and determining performance of other multiphase screw pumps

Predictive value of SII and sd-LDL for contrast-induced acute kidney injury in STEMI patients undergoing percutaneous coronary intervention

Aim: To investigate the relationship between the incidence of contrast-induced acute kidney injury (CI-AKI) and the level of small dense low-density lipoprotein (sd-LDL) and systemic immune-inflammation index (SII) in patients with acute ST-segment elevation myocardial infarction (STEMI) undergoing emergency percutaneous coronary intervention (PCI), and to further compare the predictive values of SII, sd-LDL and their combination for CI-AKI. Methods: A total of 674 patients were assigned to a training and a validation cohort according to their chronological sequence. The baseline characteristics of the 450 patients in the training cohort were considered as candidate univariate predictors of CI-AKI. Multivariate logistic regression was then used to identify predictors of CI-AKI and develop a prediction model. The predictive values of SII, sd-LDL and their combination for CI-AKI were also evaluated. Results: Multivariate logistic regression analysis showed that age, left ventricular ejection fraction (LVEF), sd-LDL, uric acid, estimated glomerular filtration rate (eGFR) and SII were predictors of CI-AKI. The area under the curve (AUC) of the prediction model based on the above factors was 0.846 [95% confidence interval (CI) 0.808–0.884], and the Hosmer-Lemeshow test (P = 0.587, χ2 = 6.543) proved the goodness of fit of the model. The AUC combining SII with sd-LDL to predict CI-AKI was 0.785 (95% CI 0.735–0.836), with a sensitivity of 72.8% and a specificity of 79.8%, and was statistically significant when compared with SII and sd-LDL, respectively. The predictive efficiency of combining SII with sd-LDL and SII were evaluated by improved net reclassification improvement (NRI, 0.325, P < 0.001) and integrated discrimination improvement (IDI, 0.07, P < 0.001). Conclusions: Both SII and sd-LDL can be used as predictors of CI-AKI in STEMI patients undergoing emergency PCI, and their combination can provide more useful value for early assessment of CI-AKI