Academic literature on the topic 'Crowding out (Economics) – Research – United States'

The spread of the coronavirus pandemic and the slowdown in economic activity in the United States have strengthened the position of supporters of “decoupling” from China. The U.S.-China relations are progressing from “patient integration” to “impatient disengagement”. Escalating research spending, accelerated industrial modernization, and the expansion of China’s high-tech exports have been identified as major challenges to American technology dominance. The fragility of global value chains in cooperative relationships between US and Chinese companies has become particularly evident. The United States plan to free themselves from dependence on China’s innovative technologies and critical materials. Washington’s efforts to revive the country’s manufacturing industry received a new impetus. American TNCs have begun to return some of their enterprises to the USA. The “technological boycott” of China is aimed at causing maximum damage to the development of any competitive business that presents a challenge to American multinational corporations, and to slow down the progressive technological development of the PRC. Equally important are considerations of industrial policy aimed at crowding out competitors. Washington’s protectionist actions led to a reduction in trade and mutual investment and have put American companies targeting Asian consumers in a difficult position. Washington is beginning to fear that Beijing may powerfully respond to the United States with countermeasures that are sensitive to the American military-industrial complex and innovative sectors of the economy. Washington’s aggressive actions are mobilizing China’s efforts to move up the value chain and localize products to achieve self-sufficiency in key technologies. However, the threat remains that protectionism could become a “new normal” not only for U.S.-China relations. The only viable alternative to this scenario may be the joining of efforts of market participants interested in returning to international legal norms of trade.

Three factors help to explain why school enrollments in the Northern United States were higher than those in the South and in most of Europe by 1850. One was affordability: the northern schools had lower direct costs relative to income. The second was the greater autonomy of local governments. The third was the greater diffusion of voting power among the citizenry in much of the North, especially in rural communities. The distribution of local political voice appears to be a robust predictor of tax support and enrollments, both within and between regions. Extra local voice raised tax support without crowding out private support for education.

This article employs qualitative research to examine the media depiction of India in The Washington Post after the Cold War. The published literature has laid out that India and the USA became allies on a host of issues in recent decades. Using indexing theory and framing as a theoretical construct, this research identified key themes in the news reporting about India over a 24-year-period, finding that the press portrayals match the academic literature. The research methodology employed confirms that indexing theory remains a viable research tool for examining high-quality press coverage.

The issue of whether Central Americans in the United States are ‘political’ or ‘economic’ migrants has been widely debated, yet little empirical research has informed the controversy. Earlier studies have relied primarily on cross-sectional aggregate data. In order to overcome these limitations we draw on recent surveys conducted in five Nicaraguan communities by the Latin American Migration Project. Using retrospective data, we reconstruct a history of a family's migration to the United States and Costa Rica from the date of household formation to the survey date and link these data to national-level data on GDP and Contra War violence. While out migration to both Costa Rica and the United States is predicted by economic trends, US-bound migration was more strongly linked to the level of Contra War violence independent of economic motivations, especially in an interactive model that allows for a higher wartime effect of social networks. We conclude that elevated rates of Nicaraguan migration to the United States during the late 1980s and early 1990s were a direct result of the US-Contra intervention. The approach deployed here – which relates to the timing of migration decisions to macro-level country trends – enables us to address the issue of political versus economic motivations for migration with more precision than prior work.

Making Schools Work is about the economics of educational policy. The Brookings Institution, publisher of the volume, is among the most respected institutions of economic policy research in the United States. The analysis and recommendations offered by Eric Hanushek, Professor of Economics at the University of Rochester, are based on original research financed by the Pew Charitable Trusts, and carried out by a distinguished group of economists.

Purpose Economic hardship and crime is always a debatable issue in the political economy literature. Some authors define poverty leads to crime some are completely opposite. The purpose of this paper is to find out the impact of poverty on crime in the USA. Design/methodology/approach Using time series data of USA over the period from 1965 to 2016, this study applies autoregressive distributed lag approach to identify the effect of poverty on crime. Findings The outcomes confirm a positive co-integrating relationship between poverty and property crime. It can be argued that poverty ultimately leads property crime in long run in the USA. However, unemployment and GDP exhibit neither long-run nor short-run relationship with property crime and they are not cointegrated for the calculated period. Research limitations/implications The subject of this paper helps to explain and analyze the nexus between poverty and crime in the USA. Practical implications Government and policymakers should focus more on poverty rather than unemployment alone to control property crime. Originality/value This study attempts to identify the consequences of economic hardship and poverty on the crime in the advanced economy like USA.

This paper uses the Jones (1995) framework to examine the contribution of imitation activities and innovative research effort on productivity growth for the US and some European leading economies. We carry out a comparative analysis for the last 50 years, with two model specifications, assuming country differences in the parameters associated with R&D effort. In the first one, the technological frontier position is determined by the country with the highest productivity, the United States. Alternatively, in the second specification, we alter the definition of the technological frontier, allowing it to transcend the leader. The empirical analysis leads to very different outcomes. The first specification estimation, using GMM techniques, indicates that American researchers are more technology growth enhancing than their European counterparts. In contrast, the results obtained for the second, using Kalman’s filter, show that when using an alternative definition of technological frontier, it is possible to observe a boost in innovation that reduces the dispersion among countries. Then, the leading European countries can take advantage; in this case, Germany exhibits the best performance, followed by the US.

The major focus of this paper is on the sovereign–banks relationship following the COVID-19 pandemic crisis outbreak, with a view to gaining an insight into banks’ exposure to the sovereign. We rely on a series of complementary research approaches, such as desk research, comparative statistical analysis, exploratory learning algorithm, and a deterministic panel regression framework. The analysis reveals that most EU countries were not prepared for the pandemic crisis as they lacked a financial security buffer. The growing fiscal pressure and lockdown restrictions additionally resulted in an increase in banks’ exposure to the government debt market and higher government debt securities exposure on their balance sheets. One of the novelties of the research is the adoption of the gap method in order to measure the changes between banking assets major items (government securities vs. loans) and uncovering the preference for holding a specific type of asset. Additional insight is brought by the clustering solution, which shows increased cross-country heterogeneity in terms of the sovereign–banks relationship. Empirical research shows that banks’ involvement in the sovereign debt market is sensitive mainly to negative information related to pandemic occurrence and, to a lower extent, to positive information reflected by government’s reactions and economic stimulus measures. In addition, our results reveal there is no crowding-out effect triggered by the pandemic, in terms of lending to the sovereign against lending to the real economy. In the pandemic onset banks did not proceed to a sharp portfolio rebalancing in favor of the sovereign.

How the old saying “when the United States sneezes, the world catches a cold” holds true has been the subject of many research papers on global and country group business cycle synchronization and divergence. Instead of business cycle linkages, however, this paper examines the evolution of the dependence of ASEAN-5 and other Asian economies on their traditional and emerging growth engines (the United States, EU, Japan, China, and India). For this we use a structural vector autoregression model that yields time-varying growth multiplier effects. Although China has overtaken others as a major export destination for ASEAN-5 and despite the United States losing much of its relative economic clout in Asia, the multiplier effects show that the United States is still about 1.5 times more growth-enhancing than China for ASEAN-5. The EU has also not lost out completely to China as a growth engine. China, however, has overtaken Japan to become about 1.88 times more growth enhancing than Japan for ASEAN-5. India has yet to become a significant growth engine, although it is of increasing importance to Singapore, Malaysia, and Indonesia. These results call for new initiatives to balance the rising over-dependence on China.

Even as economic incentives are increasingly used by policy makers to spur state and local economic development, their use is controversial among the public and academics. The authors examine whether state and local incentives lead to higher rates of business start-ups in metropolitan counties. Existing research indicates that start-ups are important for supporting (net) job creation, long-term growth, innovation, and development. The authors find that incentives have a statistically significant, negative relationship with start-up rates in total and for some industries including export-based and others that often receive incentives. The findings support critics who contend that incentives crowd out other economic activity, potentially reducing long-term growth. The authors also find that greater intersectoral job flows are positively linked to total start-ups, consistent with claims of those who advocate for policies that enhance labor market flexibility through reducing barriers to job mobility.

Indiana University-Purdue University Indianapolis (IUPUI)
A sizeable body of research has attempted to examine the interaction between government spending and private giving known as the crowd-out effect. Most researchers reported that increases of government spending cause decreases of philanthropic giving to different types of nonprofits. However, few studies have attempted to indicate the interaction between government welfare expenditures and private giving to human service organizations even though human service organizations are the most sensitive to the changes of government spending. Additionally, the estimated crowd-out effects with a simple crowd-out model have been criticized for potential endogeneity bias. This paper investigates the total effect of federal government welfare spending on state government expenditures and philanthropic giving to human service organizations (known as joint crowd-out). I used the 2005 wave of the Center on Philanthropy Panel Study (COPPS) to estimate the effect of federal human service grants on state government spending on, and donations to human services. From these reduced-form estimates I infer the levels of simple and joint crowd-out. I found that indicate federal spending on public welfare crowds out private giving to human service organizations while holding control variables constant in the donations equation. However, federal government spending on public welfare crowds in state government spending on public welfare.

Pharmaceuticals play a critical role in the raging debate over how best to advance and improve healthcare in the United States and the rest of the world. Using the analytical tools of economics, this book explores the conflicting priorities and aims of the biopharmaceutical industry. It starts out by describing the supply side of pharmaceuticals in all its forms, including the traditional pharmaceutical sector, the biotechnology sector, and the generic sector, as well as the increased blending among them. It next turns to the demand side, looking at the determinants of demand for pharmaceutical products. It discusses third-party payer coverage and patient access issues, and considers pharmaceutical demand factors in both emerging markets and industrialized parts of the world. Drawing extensively from recent economics and policy literatures, this book examines if and how a drug’s pricing strategy is influenced by clinical and economic attributes, characteristics of third-party payers, cost of research and development, competition from other branded drugs and generics, and other factors. An in-depth analysis looks at various drug promotional programs, their effectiveness in influencing demand and price, and the corresponding controversies and ensuing public debates. The focus of the book then turns toward pharmaceutical regulation, including the patent system, the approval process for both branded and generic drugs, the regulation of drug promotion, and major drug legislations since the beginning of the twentieth century. The book concludes by offering a look ahead at evolving industry structure, research methods, product characteristics, financing mechanisms, and regulatory policies affecting both price and access to pharmaceuticals worldwide.

This chapter focuses on John M. Hunter, the thirty-nine-year-old Illinois native who spoke as director of Colombia's first economic research center and addressed readers of one of Colombia's premier journals of economic research, the Revista del Banco de la República. It also talks about economics in Latin America. During the years after 1945, Colombian universities established freestanding economics programs where none had existed before. There had been men called economists in Colombia for decades; they were brilliant lawyers, engineers, businessmen, and politicians who made national economic policy and taught occasional courses in political economy on the side. But the crisis of the 1930s had inspired a new regard for economic expertise as a specialized form of knowledge, and Colombians set out to create a new kind of economist to steer the state. The invention of economics as an independent discipline, a nineteenth-century process in the United States and much of Europe, was thus a twentieth-century phenomenon in Latin America, born of new visions of national development and spearheaded by renowned men in business and government.

This paper summarizes the proceedings of the 1995 workshop in San Francisco, CA on “Small Gas Turbines for Distributed Generation” and the planned winter of 1996 follow-on workshop. The working definition for distributed generation used in the workshop was modular generation (generally 1–50 MW) in various applications located on electric customers sites or near load centers in an electric grid. The workshop was sponsored by the Electric Power Research Institute (EPRI), the Gas Research Institute (GRI), the U.S. Department of Energy (DOE) and Pacific Gas and Electric (PG&E). The objectives were to: • review historical operating experience, market trends and the current state of the art of small gas turbine based options (1–50 MW size range); • characterize benefits, motivations, application requirements and issues of small gas turbines in distributed generation strategies amongst “stakeholders”; • identify what further efforts, technology or otherwise, should be pursued to enhance future opportunities for small gas turbine “stakeholders’; and • define “stakeholder” interest in future forums for coordination and discussion of improved distributed generation strategies based on small gas turbines. The workshop was attended by over 42 electric or gas utilities, 12 independent power companies and a broad cross section of equipment suppliers. Architect and Engineers (A&E’s), Research Development and Demonstration (RD&D) programs, government organizations, international utilities and other interested parties. The total workshop attendance was over 140. Small gas turbine technologies, user case histories, operating experiences, electric and gas system requirements, distributed generation economic theory, regulatory issues and general industry perspectives were reviewed. Industry input was gathered through a formal survey and four break-out sessions on future small gas turbine user needs, market requirements and potential hurdles for distributed generation. Presentations by suppliers and users highlighted the significant commercial operating experience with small gas turbines in numerous electric utility and non-electric utility “distributed” generation applications. The primary feedback received was that there is significant and growing market interest in distributed generation strategies based on small gas turbines options. General consensus was that small gas turbine systems using natural gas would be the technology of choice in the United States for much of the near-term distributed generation market. Most participants felt that improved gas turbine technology, applications and distributed generation benefit economic evaluation models could significantly enhance the economics of distributed generation. Over 30 utility or other users expressed support for the formation of a small gas turbine interest group and an equal number expressed interest in hosting or participating in demonstration projects. A strong interest was indicated in the need for a follow-on workshop that would be more applications focused and provide a forum for coordinating research activities. Current plans by EPRI, GRI and DOE will be to include the follow-on as part of a planned workshop on “Flexible Gas Turbine Strategies” in the fall of 1996.