A comparative analysis of the demand for higher education: results from a meta-analysis of elasticities

Studies of the demand for higher education have produced numerous estimates of the tuition and income elasticities. Because of widespread variation in the models estimated, this paper performs a meta-analysis of the literature to uncover the extent to which study characteristics influence elasticities. In addition to being more inelastic in the short-run, the results reveal that demand is least responsive to tuition and income in the United States. Also, the measure of quantity and price, coupled with the method of estimation, have important effects on the tuition elasticity. Nonetheless, there are many study characteristics that have little impact on elasticity estimates.

The demand for alcohol: a meta-analysis of elasticities

Numerous studies have estimated elasticities of alcohol demand using different procedures. Because of widespread differences in demand estimates, however, it is difficult to synthesise the literature into coherent meaning. This study improves our understanding of alcohol demand by reporting results from a meta-analysis of 132 studies. Specifically, regressing estimated price, income and advertising elasticities of alcohol on variables accounting for study characteristics, we find alcohol elasticities to be particularly sensitive to demand specification, data issues and various estimation methods. Furthermore, compared to other alcoholic beverages, beer elasticities tend to be more inelastic.alcohol demand, elasticity, meta-analysis, Demand and Price Analysis,

The effects of anticipated and unanticipated demand movements on oligopoly conduct

Recent game-theoretic studies of the effects of demand movements on oligopoly coordination differ primarily in terms of whether demand shifts are anticipated or unanticipated. An empirical model is developed in this dissertation to test for the effects of anticipated and unanticipated demand movements. The model is estimated using rayon industry data from the 1930s, where the results suggest that coordination in the rayon industry was most difficult during periods when future demand was anticipated to be low and rising. Moreover, the results also suggest that the degree of coordination among rayon producers increased following significantly negative unanticipated decreases in demand;An extension of the basic model is developed by assuming that the degree of coordination is also dependent upon the present discounted value of expected future collusive profits. The estimation results from this extension suggest that coordination was most difficult when future rayon industry profits were expected to fall;Finally, according to several authors, it is likely that rayon producers used inventories to smooth production through-out the 1930s. Consequently, a simple stock-adjustment model is estimated, where the results support the production-smoothing role of inventories

Convergence Of Market Shares In The U.S. Cigarette Industry

Many studies examine the degree of rivalry in an industry by utilizing measures of market share instability, with greater (lesser) volatility of market shares coinciding with greater (lesser) rivalry. This short paper extends this line of research by addressing long run instability of market shares. In particular, we test for the convergence of market shares in the U.S. cigarette industry using unit root procedures. Our finding that market shares for pairs of firms rarely converge suggests that market shares are unstable in the long run. Hence, rivalry has remained quite intact in the cigarette industry

Cyclicality and the Labor Market for Economists

A multimarket theory of optimal search suggests that job seekers will respond to a weakening market by adjusting their search strategies at the extensive margin (which markets to enter) and the intensive margin (how many applications to submit per market). Meanwhile, employers respond to the weakening market by raising their hiring standards. The equilibrium suggestst that high quality applicants will obtain an increased share of academic interviews in weak markets while applicants from weaker schools will increasingly secure interviews outside of the academic market. Empirical results show that in the bust market, graduates of elite schools shifted their search strategies to include weaker academic institutions, while graduates of lower ranked schools shifted their applications away from academia and toward the business sector. In bust conditions, academic institutions increasingly concentrate their interviews on elite school graduates, women and U.S. residents.

The Business Cycle And Competition In The U.S. Brewing Industry

Recent game-theoretic models of cartel behavior assess the sustainability of cooperation in the presence of demand fluctuations.  Depending on the stochastic assumptions of demand, different outcomes are predicted.  Accordingly, this paper investigates the effects of demand fluctuations on competition in the U.S. brewing industry.  The results show that competition among brewers is greater during periods associated with significant negative shocks to demand, lower observed demand, lower expected future industry profit, and lower advertising

Cyclicality and the Labor Market for Economists

Using a unique sample of new Ph.D. economists in 1987 and 1997, we examine how job seekers and their employers alter their search strategies in strong versus weak markets. The 1987 academic market was strong while the 1997 market was much weaker. A multimarket theory of optimal search suggests that job seekers will respond to a weakening market by lowering their reservation utility. This in turn affects their search strategies at the extensive margin (which markets to enter) and the intensive margin (how many applications to submit per market). Meanwhile, employers respond to the weakening market by raising their hiring standards. The combination of strategies on the supply and demand sides suggest that high quality applicants will obtain an increased share of academic interviews in weak markets while applicants from weaker schools will increasingly secure interviews outside of the academic market. Empirical results show that in the bust market, graduates of elite schools shifted their search strategies to include weaker academic institutions, while graduates of lower ranked schools shifted their applications away from academia and toward the business sector. In bust conditions, academic institutions increasingly concentrate their interviews on elite school graduates, women and U.S. residents

New Models of Contracting in the Public Sector: A Review of Alliance Contracting, Prime Contracting and Outcome-based Contracting Literature

The coordination of public services is an enduring challenge and an important policy priority. One way to achieve collaboration across organizational boundaries, which is being considered in public services such as the English National Health Service (NHS), is through the adoption of alliance contracting, prime provider contracting and outcome-based contracting. This article reviews the cross-sectoral literature concerning the characteristics of these new contractual models, how they function, their impact, and their relation to public sector governance objectives. These new contractual forms are characterized as models which, in line with the New Public Management (NPM)/post-NPM agenda, seek to incentivize providers through the transfer of risk from the commissioners to the providers of services. Key findings are that the models are likely to incur high transaction costs relating to the negotiation and specification of outcomes and rely heavily on the relational aspects of contracting. There is also found to be a lack of convincing cross-sectoral evidence of the impact of the models, particularly in relation to improving coordination across organizations. The article questions the reconciliation of the use of these new contractual models in settings such as the English NHS with the requirements of public sector governance for transparency and accountability. The models serve to highlight the problems inherent in the NPM/post-NPM agenda of the transfer of risk away from commissioners of services in terms of transparency and accountability

The effects of anticipated and unanticipated demand movements on oligopoly conduct

Recent game-theoretic studies of the effects of demand movements on oligopoly coordination differ primarily in terms of whether demand shifts are anticipated or unanticipated. An empirical model is developed in this dissertation to test for the effects of anticipated and unanticipated demand movements. The model is estimated using rayon industry data from the 1930s, where the results suggest that coordination in the rayon industry was most difficult during periods when future demand was anticipated to be low and rising. Moreover, the results also suggest that the degree of coordination among rayon producers increased following significantly negative unanticipated decreases in demand;An extension of the basic model is developed by assuming that the degree of coordination is also dependent upon the present discounted value of expected future collusive profits. The estimation results from this extension suggest that coordination was most difficult when future rayon industry profits were expected to fall;Finally, according to several authors, it is likely that rayon producers used inventories to smooth production through-out the 1930s. Consequently, a simple stock-adjustment model is estimated, where the results support the production-smoothing role of inventories.</p