The Propensity to Consume Income from Different Sources and Implications for Saving: An Application to Norwegian Farm Households

Traditionally, farm households have relatively high saving and low marginal propensity to consume (MPC). In the last decades, this seems to have changed. To investigate these matters, a dynamic consumption model is estimated using a GMM-system estimator and a panel of 258 Norwegian farm households followed from 1976-1997. The main findings are that the MPC of farm income is lower than for off-farm income and that average MPC is low but increasing over time in these households. This may imply that some of the observed reduction in farm saving is explained by reduced need for precautionary saving.saving, consumption, dynamic panel model, Consumer/Household Economics,

Towards a New International Law of the Atmosphere?

Inclusion of the topic ‘protection of the atmosphere’ in the current work programme of the UN International Law Commission (ILC) reflects the long overdue recognition of the fact that the scope of contemporary international law for the Earth’s atmosphere extends far beyond the traditional discipline of ‘air law’ as a synonym for airspace and air navigation law. Instead, the atmospheric commons are regulated by a ‘regime complex’ comprising a multitude of economic uses including global communications, pollutant emissions and diffusion, in different geographical sectors and vertical zones, in the face of different categories of risks, and addressed by a wide range of different transnational institutions. Following several earlier attempts at identifying crosscutting legal rules and principles in this field (by, inter alia, the International Law Association, the UN Environment Programme, and the Institut de Droit International), the ILC has now embarked on a new codification/restatement project led by Special Rapporteur Shinya Murase – albeit hamstrung by a highly restrictive ‘understanding’ imposed by the Commission in 2013. This article assesses the prospects and limitations of the initial ILC reports and debates in 2014 and 2015, and potential avenues for progress in the years to come

A preliminary study of the statistical analyses and sampling strategies associated with the integration of remote sensing capabilities into the current agricultural crop forecasting system

Extending the crop survey application of remote sensing from small experimental regions to state and national levels requires that a sample of agricultural fields be chosen for remote sensing of crop acreage, and that a statistical estimate be formulated with measurable characteristics. The critical requirements for the success of the application are reviewed in this report. The problem of sampling in the presence of cloud cover is discussed. Integration of remotely sensed information about crops into current agricultural crop forecasting systems is treated on the basis of the USDA multiple frame survey concepts, with an assumed addition of a new frame derived from remote sensing. Evolution of a crop forecasting system which utilizes LANDSAT and future remote sensing systems is projected for the 1975-1990 time frame

Migration-Regime Liberalization and Social Security: Political-Economy Effect

The pay-as-you-go social security system, which suffers from dwindling labor force, can benefit from immigrants with birth rates that exceed the native-born birth rates in the host country. Thus, a social security system provides effectively an incentive to liberalize migration policy. The paper examines a political- economy, inter-generational, mechanism through which the social security system influences voter attitudes in favor of more liberal immigration regime. We demonstrate that the Markov equilibrium, with social security, consists of more liberal migration policies, than the corresponding Markov equilibrium with no social security.

The Political-Economy Positive Role of the Social Security System in Sustaining Immigration (But Not Vice Versa)

In the political-economy debate people express the idea that immigrants are good because they can help pay for the old, thus help sustaining the social security system. In addition, the median voter whose income derives from wages will wish to keep out the immigrants who will depress his/her wage. Therefore the decisive voter will keep migrants out. The paper addresses these two accepted propositions. For this purpose we develop an OLG political economy model of social security and migration to explore how migration policy and a pay-as-you-go (PAYG) social security system are jointly determined. The sub-game perfect Markov , depends on the different patterns of fertility rates among native born and migrants. Our analysis demonstrates that a social security system may change the first proposition significantly because the median voter may opt to bring in migrants to help him/her during retirement. As for the second proposition we get a significantly nuanced version. Not always immigration helps sustain the social security.

The Role of Immigration in Sustaining the Social Security System: A Political Economy Approach

In the political debate people express the idea that immigrants are good because they can help pay for the old. The paper explores this idea in a dynamic political-economy setup. We characterize sub-game perfect Markov equilibria where immigration policy and pay-as-you-go (PAYG) social security system are jointly determined through a majority voting process. The main feature of the model is that immigrants are desirable for the sustainability of the social security system, because the political system is able to manipulate the ratio of old to young and thereby the coalition which supports future high social security benefits. We demonstrate that the older is the native born population the more likely is that the immigration policy is liberalized; which in turn has a positive effect on the sustainability of the social security system.