Title: Rural migrants, urban living conditions and spatial equilibrium (with Joan Monras, Marlon Seror and Yanos Zylberberg)

Abstract: This paper provides new theory and evidence on how the consumption patterns of rural migrants and their sensitivity to living conditions affect the distribution of activity across Chinese cities. We first present two stylized facts on rural-urban migrants in China. (i) Rural migrants sort into large cities that offer high wages but also that suffer from high living costs and low amenities. (ii) Migrants are less sensitive to bad living conditions in cities, especially when tighter registration requirements make it harder for them to settle there. We then develop a quantitative spatial model in which migrants partly consume and enjoy amenities in their origin locations. Our quantitative model of location choice explains why migrants choose large cities with high wage and low living conditions, which further increases congestion in these cities. Consumption imbalances have a significant impact on the allocation of workers between rural areas and cities. They also have an impact on their allocation across cities and migration restrictions may backfire: when migrants are not allowed to settle at destination, they become less sensitive to local living conditions and the largest cities grow even more.

Title to be advised.

Seminar organisers: Manuel Bagues & Ludovica Gazze

Title: Stochastic Impatience and the Separation of Time and Risk Preferences

Ahmed Saade (King's College London)
Aoife Horan (UCL)
Eman Abdulla (Warwick)
Stefano Cellini (Surrey)

To attend on Zoom register here or follow us livestream on YouTube

Organiser: Stefania Paredes Fuentes

Title: "Idiosyncratic Risk and the Equity Premium" (with H. Zhou)

This seminar is via Zoom, details to follow.

Fuller details on DR@W Forum https://warwick.ac.uk/research/priorities/behaviour-brain-society/draw/forum/

This seminar is joint with Bristol University and will be hosting today's event.

Title: Identification and (Fast) Estimation of Nonlinear Panel Models with Additively Separable Two-Way Fixed Effects, with Martin Mugnier (CREST)

Abstract: In this paper, we study the identification and fast estimation of a class of nonlinear panel models with additively separable two-way fixed effects widely used in empirical research. We propose a novel identification strategy and show that all structural parameters of the model (heterogeneous slopes, individual/time fixed effects, and link function) can be nonparametrically identified when T is large. We propose a novel iterative procedure to implement the routinely used MLE. This procedure fully parallelizes the updates of the estimates of individual/time fixed effects. This feature largely alleviates computational burdens when the dataset is large and delivers precise estimates using only fractional running time in the presence of a large number of fixed effects. We revisit Aghion et al. (2013) and investigate the causal effect of institutional ownership on firm innovation in the US. Allowing firms to react differently to institutional ownership changes, the estimates obtained by using our method suggest non-negligible heterogeneity in the causal effect, partly explained by the “Superstar Firm Hypothesis”.

Title to be advised.

Seminar organisers: Manuel Bagues & Ludovica Gazze

Title of paper: Market-Based Mechanisms (with Francisco Poggi)

Organiser: Dr Subhasish Dey

NSS based study is the title of the talk.

1-1:30pm - Steve Proud
1:30-2pm - Guglielmo Volpe.

The seminar will take place on MS Teams

Title: Experience of social mobility and support for redistribution: Beating the odds or blaming the system?

This is via Zoom link: https://monash.zoom.us/j/84025020086?pwd=QnVmalZPR3ZmWWxiZVdyN1k2NWxKUT09

Sarah Auster (University of Bonn)

Title, "Dynamic Information Acquisition under Ambiguity" (with Yeon-Koo Che and Konrad Mierendorff)

This seminar is via Zoom

The POLECON webinar takes place on the first Wednesday of every month at 3 pm (UK time).

This series of webinars is organised by the CEPR Political Economy Group together with the Research and Policy Network on Populism and Research and Policy Network on Conflict. REGISTER

Steven Callander (Stanford University) will present a paper titled: Market Competition and Political Influence: An Integrated Approach.
The paper is co-authored with Dana Foarta (Stanford University) and Takuo Sugaya (Stanford University).
The session will be moderated by Helios Herrera (University of Warick and CEPR).

Two 30mins presentations:

Ivan Yotzov presenting : Skill Traps and Regional Divergence

Gabriele Guaitoli title to be advised.

Title: Shaking Legitimacy: The Impact of Earthquakes on Conflict in Historical China

Organisers: Bishnupriya Gupta & Claudia Rei

Title to be advised.

Seminar organisers: Manuel Bagues & Ludovica Gazze

Title:: Colonial institutions and income inequality: evidence from India (1910-1916)
Abstract: This paper studies the relationship between land revenue systems and the levels of agricultural income inequality in colonial India during the 1910s. The first district-level comparative estimates of agricultural income inequality are introduced using wage/income ratios. The type of settlement -which determined when land revenue demands had to be reassessed- is used as an instrument for the land revenue systems to analyse their causal impact on agricultural income inequality. Results show that districts with a larger proportion of non-landlord land revenue systems presented more egalitarian agricultural income distributions. This was due to non-landlord land revenue systems allowing for lower rents and thus a more egalitarian distribution of income.

This seminar is in Cowling Room (S2.77) and also via MS Teams (link: https://teams.microsoft.com/l/meetup-join/19%3aeafd670486bc4ed6be08da79cf05d9ca%40thread.tacv2/1634574367248?context=%7b%22Tid%22%3a%2209bacfbd-47ef-4465-9265-3546f2eaf6bc%22%2c%22Oid%22%3a%228ec30312-2024-48f8-8887-a0ba5de175b2%22%7d)

George Lukyanov (Ecole Polytechnique), "Reputation for Learning with Moral Hazard" (with Stepan Svistunov and Anna Vlasova) (slides)

Join Zoom Meeting
https://us02web.zoom.us/j/84672587838?pwd=T2MraE5MNWFsYi8rUzNlUVkwRUwrZz09

Meeting ID: 846 7258 7838 Passcode: SET2021

This seminar is joint with Bristol University and Warwick will be hosting today's event.

Title: Delegation, Communication, and Firm Outcomes

Abstract: While a rich theoretical literature argues that organizational structure matters for outcomes in organizations, empirical evidence is scarce. We construct new data on internal communications and regulatory outcomes for the agency that approves environmental permits for firms in one state in India. We use an event study approach to analyze a delegation reform in which junior officers were given the authority to approve or reject applications from firms in certain industries. Delegation was followed, but partially, as junior officers were often bypassed entirely. Communication patterns within the regulator changed, and affected applications were more likely to be approved.

Title to be advised.

Seminar organisers: Manuel Bagues & Ludovica Gazze

Title to be advised.

Title: Developing Innovation - The Impact of MNC R&D Labs on Domestic Innovation in India

Abstract: India has been an R&D hub for American and European firms, which have set up centres across the country since 1985. This paper investigates the nature of the relationship between patenting by these R&D laboratories and local Indian entities engaged in innovation. Studying this relationship through a model of horizontal spillovers offers insights into the global distribution of R&D. Using a novel data set scraped from the Indian Patent Database (InPASS) on patent applications filed between 1990 and 2019, I study the impact that patenting by the R&D centres has on local patenting activity. Linking the results to literature on spillovers of FDI, I investigate the mechanisms through which these spillovers occur. We use the results to highlight the policy implications of the globalisation of knowledge production for developing countries.

This seminar is in-person and via MS Teams (link: https://teams.microsoft.com/l/meetup-join/19%3aeafd670486bc4ed6be08da79cf05d9ca%40thread.tacv2/1634574367248?context=%7b%22Tid%22%3a%2209bacfbd-47ef-4465-9265-3546f2eaf6bc%22%2c%22Oid%22%3a%228ec30312-2024-48f8-8887-a0ba5de175b2%22%7d)

Title of paper to be advised.

This seminar is via Zoom, details to follow.

Raffaele will be visiting the department for this Seminar - Roberto Pancrazi will be hosting this visit.

Title: Marginal Tax Rate Changes in the Long-Run: Evidence from a Structural Estimation, With Patrick Macnamara (U. of Manchester) and Myroslav Pidkuyko (Bank of Spain).

Abstract: Using a structural life-cycle model, we estimate the long-run behavioral response to marginal tax rate changes along the income distribution. We find statistically significant long-run tax elasticities of income of around 0.7 for all taxpayers. We also estimate that the richest top 1 percent displays the highest elasticities of taxable income. In our economy, agents who are sufficiently productive can obtain higher returns on their wealth by choosing to be entrepreneurs. Return heterogeneity, in combination with earning risk and tax progressivity, increases the incentives to save and invest for the richest, high-return entrepreneurs, thus amplifying their income responses to marginal tax changes. This reallocation of capital increases aggregate productivity, generating a larger boost in equilibrium wages. This, in turn, strengthens the income response of the bottom 90 percent, but nevertheless, their response is smaller than at the top.