Training or search? evidence and an equilibrium model

Training programs are a major tool of labor market policies in OECD countries. I use a unique panel data set on the labor market experience of individual German workers between 2000 and 2002 to estimate a dynamic model of search and training, which allows me to quantify the impact of training programs and unemployment benefits on employment, unemployment, output, and the government expenditures. ; The model extends Ljungqvist and Sargent (JPE, 1998) by incorporating a training decision and a broader menu of unemployment benefits. Government-sponsored training programs feature a key trade-off with respect to unemployment insurance programs: they offer more generous unemployment benefits but require more time and effort from workers to generate higher skills. As a result, unemployed workers with different human capital and benefits make different decisions about training, search, and job acceptance. ; I use the model to quantitatively study the recent reforms implemented in Germany and run more counterfactual experiments. I simulate the transition path under back-to-back unexpected reforms in 2003-2006 and find the dynamics of the model's unemployment rates are close to the data. In a counterfactual experiment in which I model an economy with a German-like training system and a US-like unemployment benefit structure (roughly, benefits are lower), I find that employment and output rise substantially.

Would active labor market policies help combat high U.S. unemployment?

Two years after the end of the 2007-09 recession, the unemployment rate in the United States remains above 9 percent - roughly double its pre-recession level. ; Nie and Struby analyze the cyclical and structural components of this elevated level of unemployment, active and passive labor market policies, and how the policies are utilized in the United States and 20 Organization for Economic Cooperation Development countries. ; The analysis finds that two active programs can be particularly effective: training programs that equip unemployed workers with skills that are in demand and job-search assistance that matches unemployed workers with employers. These findings - together with evidence that the U.S. labor market currently suffers from a certain amount of structural unemployment - suggest that the United States could benefit from more training programs and job-search assistance.

Robustness, information-processing constraints, and the current account in small open economies

We examine the effects of two types of informational frictions, robustness (RB) and nite information-processing capacity (called rational inattention or RI) on the current account, in an otherwise standard intertemporal current account (ICA) model. We show that the interaction of RB and RI has the potential to improve the model’s predictions on the joint dynamics of the current account and income: (i) the contemporaneous correlation between the current account and income, (ii) the volatility and persistence of the current account in small open emerging and developed economies. In addition, we show that the two informational frictions could also better explain consumption dynamics in small open economies: the impulse responses of consumption to income shocks and the relative volatility of consumption growth to income growth. Calibrated versions using detection probabilities t the data better along these dimensions than the standard model does.

A Socially-Aware Incentive Mechanism for Mobile Crowdsensing Service Market

Mobile Crowdsensing has shown a great potential to address large-scale problems by allocating sensing tasks to pervasive Mobile Users (MUs). The MUs will participate in a Crowdsensing platform if they can receive satisfactory reward. In this paper, in order to effectively and efficiently recruit sufficient MUs, i.e., participants, we investigate an optimal reward mechanism of the monopoly Crowdsensing Service Provider (CSP). We model the rewarding and participating as a two-stage game, and analyze the MUs' participation level and the CSP's optimal reward mechanism using backward induction. At the same time, the reward is designed taking the underlying social network effects amid the mobile social network into account, for motivating the participants. Namely, one MU will obtain additional benefits from information contributed or shared by local neighbours in social networks. We derive the analytical expressions for the discriminatory reward as well as uniform reward with complete information, and approximations of reward incentive with incomplete information. Performance evaluation reveals that the network effects tremendously stimulate higher mobile participation level and greater revenue of the CSP. In addition, the discriminatory reward enables the CSP to extract greater surplus from this Crowdsensing service market.Comment: 7 pages, accepted by IEEE Globecom'1

Gravitational Effects of Rotating Bodies

We study two type effects of gravitational field on mechanical gyroscopes (i.e. rotating extended bodies). The first depends on special relativity and equivalence principle. The second is related to the coupling (i.e. a new force) between the spins of mechanical gyroscopes, which would violate the equivalent principle. In order to give a theoretical prediction to the second we suggest a spin-spin coupling model for two mechanical gyroscopes. An upper limit on the coupling strength is then determined by using the observed perihelion precession of the planet's orbits in solar system. We also give predictions violating the equivalence principle for free-fall gyroscopes .Comment: LaTex, 6 page

A Schwarz lemma for weakly K\"ahler-Finsler manifolds

In this paper, we first establish several theorems about the estimation of distance function on real and strongly convex complex Finsler manifolds and then obtain a Schwarz lemma from a strongly convex weakly K\"ahler-Finsler manifold into a strongly pseudoconvex complex Finsler manifold. As applications, we prove that a holomorphic mapping from a strongly convex weakly K\"ahler-Finsler manifold into a strongly pseudoconvex complex Finsler manifold is necessary constant under an extra condition. In particular, we prove that a holomorphic mapping from a complex Minkowski space into a strongly pseudoconvex complex Finsler manifold such that its holomorphic sectional curvature is bounded from above by a negative constant is necessary constant