Has Trade Openness Increased all Portuguese Public Expenditures? A Detailed Time-Series Study

This work aims at identifying the public outlays that has been influenced by the growth of Portuguese trade openness since the end of World War II. For the Portuguese reality, it is one of the first attempts to discuss a large set of simultaneously tested control variables. For this purpose, the methodology started from a model that tries to the public expenditures to a system of simultaneous macroeconomic forces and, for testing, it followed the steps associated with cointegration analysis. Using the most convenient techniques, a restrictive set of four expenditures (subsidies, interest payments, other current expenditures, and total public expenditures as a proportion of GDP) was found among the wider set suggested by the Literature. The nature of these expenditures supports the claim that, for the Portuguese case, a particular validity of the compensation hypothesis has been observed. The achieved evidence promotes an important rule: in addition to there being a long-term relation between (some) public expenditures and trade openness, short-term relations may also appear.globalization, economic policy, government expenditure composition

Towards a Puviani’s Fiscal Illusion Index

This paper presents an index of Fiscal Illusion for 68 democratic countries from 1960 to 2006. The theory of Fiscal Illusion studied relates to a wrong perception of government budget aggregates from the voters’ and taxpayers’ perspectives. In the construction of the index, methodological issues were carefully taken into account. The results obtained reveal that Fiscal Illusion varies greatly around the world. Countries such as Mali, Pakistan, Russia, and Sri Lanka have the highest average values over the time period considered, while Austria, Luxembourg, Netherlands, and New Zealand have the lowest. Regarding the time dimension, between 1980 and 1995 there was a significant decrease in the average value of the index across countries, suggesting a reduction in the adoption of Fiscal Illusion practices during this period. After 1995, the index remained stable in most countries.Fiscal Illusion; Indexes/Indicators; Democracy.

Sins of the elder: Fiscal illusion in democracies.

This work discusses the implications of democratic maturity on levels of Fiscal Illusion. Its main contribution is to identify the relevance of good-governance institutions that prevent incumbents in established democracies from degenerating into electoral rent-seekers. This work develops a model that converges with a Gordon (1989) type theorem. This theorem predicts that some countries ruled by incumbents are more likely to revert to FI practices as the electorate’s maturity increases and if there are no strong restrictions on the social acceptance of political rents. Our empirical results show that democratic maturity tends to diminish fiscal illusion.Democratic maturity; Fiscal Illusion; rent-seeking.

Using Kernel Perceptrons to Learn Action Effects for Planning

Abstract — We investigate the problem of learning action effects in STRIPS and ADL planning domains. Our approach is based on a kernel perceptron learning model, where action and state information is encoded in a compact vector representation as input to the learning mechanism, and resulting state changes are produced as output. Empirical results of our approach indicate efficient training and prediction times, with low average error rates (< 3%) when tested on STRIPS and ADL versions of an object manipulation scenario. This work is part of a project to integrate machine learning techniques with a planning system, as part of a larger cognitive architecture linking a highlevel reasoning component with a low-level robot/vision system. I

On complexified analytic Hamiltonian flows and geodesics on the space of Kahler metrics

In the case of a compact real analytic symplectic manifold M we describe an approach to the complexification of Hamiltonian flows [Se, Do1, Th1] and corresponding geodesics on the space of Kahler metrics. In this approach, motivated by recent work on quantization, the complexified Hamiltonian flows act, through the Grobner theory of Lie series, on the sheaf of complex valued real analytic functions, changing the sheaves of holomorphic functions. This defines an action on the space of (equivalent) complex structures on M and also a direct action on M. This description is related to the approach of [BLU] where one has an action on a complexification M_C of M followed by projection to M. Our approach allows for the study of some Hamiltonian functions which are not real analytic. It also leads naturally to the consideration of continuous degenerations of diffeomorphisms and of Kahler structures of M. Hence, one can link continuously (geometric quantization) real, and more general non-Kahler, polarizations with Kahler polarizations. This corresponds to the extension of the geodesics to the boundary of the space of Kahler metrics. Three illustrative examples are considered. We find an explicit formula for the complex time evolution of the Kahler potential under the flow. For integral symplectic forms, this formula corresponds to the complexification of the prequantization of Hamiltonian symplectomorphisms. We verify that certain families of Kahler structures, which have been studied in geometric quantization, are geodesic families.Comment: final versio