Developing Universal Postal Services in Latin America – an Economic Perspective

The paper first analyzes if there is a need to develop universal postal services in developing countries. We conclude that postal services serve vital functions in economies now and for the foreseeable future. We then discuss regulatory remedies that will foster the evolution of universal postal services in developing countries.Developing Countries, Universal Postal Services

Liberalization and Regulation of the Swiss Letter Market

The paper analyzes the impact of different regulatory models on competition and welfare in the Swiss letter market. We conclude that the US system worksharing yields the best results.Regulation, Liberalization, Universal Service, Worksharing

Executive Pay Regulation: What Regulators, Shareholders, and Managers Can Learn from Major Sports Leagues

Executive pay regulation is widely discussed as a measure to reduce financial mismanagement in corporations. We show that the professional team sports industry, the only industry with substantial experience in the regulation of compensation arrangements, provides valuable insights for the regulation of executive pay. Based on the experience from professional sports leagues, we develop implications for the corporate sector regarding the establishment and enforcement of executive pay regulation as well as the level, structure, and rigidity of such regulatory measure

The Effect of Salary Caps in Professional Team Sports on Social Welfare

This paper provides a theoretical model of a team sports league and studies the welfare effect of salary caps. It shows that salary caps will increase competitive balance and decrease overall salary payments within the league. The resulting effect on social welfare is counter-intuitive and depends on the preference of fans for aggregate talent and for competitive balance. A salary cap that binds only for large-market clubs will increase social welfare if fans prefer aggregate talent despite the fact that the salary cap will result in lower aggregate talent. If fans prefer competitive balance, on the other hand, any binding salary cap will reduce social welfar

The importance of high performing team members in complex team work: results from quasi-experiments in professional team sports

This paper empirically assesses peer effects of high performing team members in reciprocally interdependent team production. Using data from the National Basketball Association (NBA), we identify peer effects by exploiting unforeseen in-game injuries of high performing players. Results indicate that without a high performing player, other team members maintain efficiency and the division of tasks among each other. However, they slightly increase risk taking and decrease their individual output, resulting in an inferior overall outcome. These effects depend on whether a high performing player has a team-oriented or a self-oriented role in the team. Additionally, we observe that relatively skilled players try to step in for the absent high performing player

A Dynamic Contest Model of Platform Competition in Two-Sided Markets

This paper examines the dynamic competition between platform firms in two-sided markets with network externalities. In our model, two platforms compete with each other via a contest to dominate a certain market. If one platform wins the contest, it can serve the market for a certain duration as a monopolistic platform. Our paper shows that platform firms can compensate for cost disadvantages with network effects. A head start (e.g., technological advantage) does not guarantee future success for platform firms. Network effects and cost efficiency are decisive for future success. Interestingly, higher costs of a platform can induce higher platform profits in our dynamic model. Moreover, we find that a platform’s size and profit are not necessarily positively correlated. Our model also provides new insights with respect to the underlying causes for the emergence of market dominance. The combination of technological carry-over and network effects can explain a long-lasting dominance of a platform that benefits from a head start. The necessary preconditions for this emergence are convex costs, small network effects and high carry-over

Competition and Welfare Effects of VAT Exemptions

Distortions under the value-added tax (VAT) arise partly from the exemption of specific services and sectors. This paper develops an analytical model that is applicable to any sector characterized by asymmetric VAT exemptions of services and activities. We analyze the effects of such asymmetric tax regimes on market shares, optimal prices, tax receipts, and social welfare. The analytical model shows how asymmetric VAT exemptions distort competition by strengthening the competitive position of non-rated firms. The net effect of such tax exemptions depends on the fraction of VAT-rated inputs versus the fraction of non-rated customers. We further elucidate main competitive impacts of VAT policies, while showing their consequences on overall welfare by presenting simulation results based on a calibrated quantitative model of a selected sector. Our paper provides guidance on how to resolve the policy trade-off between a level playing field in the market, consumer surplus, and government tax revenu

Changes in healthcare seeking and lifestyle in old aged individuals during COVID-19 lockdown in Germany: the population-based AugUR study

Background Containment measures in the COVID-19 pandemic protected individuals at high risk, particularly individuals at old age, but little is known about how these measures affected health-related behavior of old aged individuals. We aimed to investigate the impact of the spring 2020 lockdown in Germany on healthcare-seeking and health-related lifestyle in the old aged and to identify susceptible subgroups. Methods We conducted a follow-up survey among the pre-pandemically well-characterized participants of our AugUR cohort study, residents in/around Regensburg aged 70+ years and relatively mobile. A self-completion questionnaire on current behavior, perceived changes, and SARS-Cov-2 infection was mailed in May 2020, shortly before contact restrictions ended. Pre-pandemic lifestyle and medical conditions were derived from previous study center visits. Results Among 1850 survey participants (73–98 years; net-response 89%), 74% were at increased risk for severe COVID-19 according to medical conditions; four participants reported SARS-CoV-2 infection (0.2%). Participants reported changes in behavior: 29% refrained from medical appointments, 14% increased TV consumption, 26% reported less physical activity, but no systematic increase of smoking or alcohol consumption. When comparing during- and pre-lockdown reports of lifestyle within participant, we found the same pattern as for the reported perceived changes. Women and the more educated were more susceptible to changes. Worse QOL was perceived by 38%. Conclusions Our data suggest that the spring 2020 lockdown did not affect the lifestyle of a majority of the mobile old aged individuals, but the substantial proportions with decreased physical activity and healthcare-seeking are markers of collateral damage

Features of informatization of education in Poland and Ukraine

У тезах описуються пріоритети політики ЄС у сфері інформатизації освіти в контексті реалізації програми «Освіта та професійна підготовка 2020» за прикладом Польщі. Розглядаються стратегічні європейські документи щодо інформатизації освіти, розвитку цифрових компетентностей і переходу до відкритої освіти. Окреслено інфраструктуру розвитку дистанційної освіти у Республіці Польща.The theses describe the priorities of EU policy in the field of informatization of education in the context of the implementation of the program "Education and Training 2020", for example in Poland. The strategic European documents concerning informatization of education, development of digital competences and transition to open education are considered. The infrastructure of development of distance education in the Republic of Poland is outlined