, , . In bk.: Frontiers of Dynamic Games. Birkhauser/Springer, 2018. Ch. 10.
We study game equilibria in a model of production and externalities
in network with two types of agents who possess different productivities. Each
agent may invest a part of her endowment (for instance, time or money) at the
first stage; consumption at the second period depends on her own investment and
productivity as well as on the investments of her neighbors in the network. Three
ways of agent’s behavior are possible: passive (no investment), active (a part of
endowment is invested) and hyperactive (the whole endowment is invested). We
introduce adjustment dynamics and study consequences of junction of two regular
networks with different productivities of agents. In particular, we study how the
behavior of nonadopters (passive agents) changes when they connect to adopters
(active or hyperactive) agents.
Added: Sep 15, 2018
HSE Working papers. WP BPR. NRU HSE, 2018. No. 190/EC/2018.
Larger cities typically give rise to two effects working in opposite directions: tougher competition among firms and higher production costs. Using an urban model with substitutability of production factors and pro-competitive effects, we study how market outcome responds to city population size, land-use regulation and commuting costs. For industries with small input of land, larger cities host more firms which set lower prices whereas larger cities accommodate more firms which charge higher prices in industries with intermediate land share in production. Furthermore, for industries with high input share of land, larger cities allocate fewer firms with higher product prices. We show that softer land-use regulation and/or lower commuting costs reinforce pro-competitive effects making larger cities more attractive for residents via lower product prices and broader variety for a larger number of industries.
Added: Apr 26, 2018
, CGES Working Papers. WP 2014-04. Centre for German and European Studies Bielefeld / St. Petersburg, 2018
This paper examines the cultural employment in Russia and in the selected number of the EU countries in light of debates on the development of the creative economy in Russia. The data of the comprehensive monitoring of living conditions by Rosstat and the Eurostat cultural statistics are used to illustrate main differences in socio-demographic and occupational characteristics of cultural workers in these countries. The findings show that the characteristics of cultural workers vary dramatically over countries Russia and Europe. In particular, part-time and self-employment, as well as the existence of a second job, are not key features of Russian cultural workers. By contrary, individuals involved in the creative and cultural sphere in the EU are less likely to be in a full-time employment and more likely to be self-employed or part-timers than in Russia. Our results suggest that it is hardly possible to also indicate the impossibility of emulating the European experience in creative and cultural industries without serious structural changes in the sphere of cultural employment in Russia.
Added: Aug 5, 2018
, , et al. Social Choice and Welfare. 2018.
We compare the Egalitarian rule (aka Egalitarian Equivalent) and the Competitive rule (aka Competitive Equilibrium with Equal Incomes) to divide bads (chores). They are both welfarist: the competitive disutility profile(s) are the critical points of their Nash product on the set of efficient feasible profiles. The C rule is Envy Free, Maskin Monotonic, and has better incentives properties than the E rule. But, unlike the E rule, it can be wildly multivalued, admits no selection continuous in the utility and endowment parameters, and is harder to compute. Thus in the division of bads, unlike that of goods, no rule normatively dominates the other.
Added: Jun 18, 2018
, International Journal of Economic Policy in Emerging Economies. 2018.
In this paper we estimate the effects of indicators of “hard” and “soft” infrastructure on export performance in Russian regions. Empirical results show that both hard and soft infrastructure measures matter for export survival of export flows from non-resource-oriented Russian regions. Empirical estimates account for size and time effects for export flows and find that the positive effects of hard and soft infrastructure are falling over time and are more important for larger exporters. This may serve as an evidence of a learning curve for exporters when the latter become more efficient with time in treating with regional-level hard and soft infrastructure resources
Added: Oct 16, 2016
, International Game Theory Review. 2018. Vol. 20. No. 2.
We consider random public signals on the state of two-person zero-sum game with incomplete information on both sides (both players do not know the state of the game). To learn the state, each player chooses a finite automaton which receives the public signal; the player only sees the output of the automaton chosen. Supposing that the size of automata available to Player 1 is essentially bigger than that available to Player 2, we give an example of public signal with random length of output strings where the posterior belief of Player 1 is the state and the posterior belief of Player 2 is close to his original belief. Thus, we demonstrate that asymmetric information about the state of a game may appear not only due to a private signal but as a result of a public signal and asymmetric computational resources of players.Besides, for a class of random signals with fixed length of output strings, we estimate the fraction of signals such that some automaton of given size may help Player 2 to significantly reestimate prior probability of the state. We show that this fraction is negligible if the size of automata of Player 2 is sufficiently smaller than length of output strings.
Added: Jun 18, 2018
, Mironov V., Shkurko A. Plant Biology. 415539. BioRxiv, 2018
Continuous high-resolution monitoring of Sphagnum growth can provide insights into the biological rhythms of moss growth. Moss Sphagnum riparium is a convenient model for growth monitoring. Application of the method of geotropic curvatures has enabled a three-year monitoring with two to five-day intervals. We measured the increment in ca. 85000 shoots and produced ca. 3500 growth rate estimates, making this study a champion in precision compared to previous efforts. The zeitgeber for seasonal growth rhythms is the temperature seasonal cycle (R2=0.21–0.52). When the temperature changes by 10C, moss growth rate is modified by 0.10–0.17cm/day according to the linear model, and 1.47–2.06-fold in the exponential model. The zeitgeber for circalunar rhythms is the lunar synodic cycle (R2=0.14–0.26). The average amplitude of the fluctuations it induces in the growth rate is 0.0425–0.0572cm/day, which is equivalent to the effect of a 3.43–4.53C change in temperature. The third rhythm can be distinguished in periodograms. Its period ranges from 10 to 16 days, but we did not detect the zeitgeber. In total, three rhythms explain 51–78% of the growth rate. We believe that the strong rhythmicity in Sphagnum growth is associated with shoot growth synchronization.
Added: Oct 2, 2018
Bakhtin M., P. 5-29.
Applied Econometrics. 2018. Vol. 49.
The effect of health on labor force participation is an established fact. This research hypothesizes the endogeneity of health stemming from the reverse effect, reporting bias and unobserved factors. The relationship between health and labor force participation of elderly Russians is modeled with simultaneous equations using data from World Health Organization Study on Global Ageing and Adult Health, Wave 1 (WHO SAGE, 2007–2010). A strong and non-linear effect of health on labor force participation is confirmed. Unlike for a complex health measure, endogeneity, confirmed by the correlation of unobserved shocks in the system of equations, is found for single-question health measures. The results show that the official retirement age has a moderate effect on labor force participation for women and a weaker or no effect for men. Nevertheless, the health of elderly Russians does not impose strong limitations on the increase of the retirement age.
Added: Apr 22, 2018
, Picard P. M. HSE Working papers. WP BPR. NRU HSE, 2018. No. 187/EC/2018.
This paper discusses the impact of conformism on product quality, firm selection, and trade patterns. It shows that when consumers have a higher degree of conformism and/or their distribution of conformism becomes more concentrated, the equilibrium average demand falls while product quality rises in a closed economy. In an international trade context, this strengthens the home consumption bias when consumers conform to the behavior of local people. The home bias is mitigated under globalization where individuals tend to conform to people worldwide. The paper also discusses the conditions under which conformism and conspicuousness are reconciled.
Added: Apr 26, 2018
, . Area Development and Policy. 2018.
This paper provides a pioneering approach to estimate the relationship between interregional human capital mobility and the occurrence of high-growth firms (HGFs). We construct and employ the dataset on mobility of university graduates from top-100 Russian universities. We find that the relationship between the mobility of high-skilled university graduates and high-growth firms is non-linear and U-shaped: the initial rise in the number of HGFs is due to the relatively low concentration of highly skilled migrants and availability of innovations only for a small number of firms. However, the competition effect strengthens at some point when innovations become available for larger number of firms simultaneously with large inflow of highly skilled university graduates.
Added: Nov 24, 2017
Fritsch M., Sorgner A., Wyrwich M. et al. Regional Studies. 2018. P. 1-13.
This paper investigates the persistence of self-employment in the districts of Kaliningrad, a Russian exclave, between 1925 and 2010. The area experienced a number of disruptive historical shocks during this period. This setting rules out the fact that the persistence of self-employment can be explained by the persistence of institutions and culture. Nevertheless, a high level of persistence of industry-specific self-employment rates is found. It is argued that a historical tradition of entrepreneurship created an awareness about the entrepreneurial potential of regions among the new population that was yielded after the collapse of the Soviet Union. This effect seems to be higher in regions where a specific industry was advanced in terms of technology use
Added: Jul 31, 2018
, , Gokan T. ECONOMICS. WP BRP . HSE, 2018. No. 191/EC/2018.
We show how trade and communication costs interact to shape the way firms organize their activities across space. We consider the following three organizational types: (i) integrated firms in which all activities are conducted at the same location, (ii) horizontal firms, which operate several plants producing the same good at different locations, and (iii) vertical firms, which perform distinct activities at separated locations. We find necessary and sufficient conditions for the three types of organization to coexist within the same country, whereas firms located in the other country are all spatially integrated. We then study how trade and communication costs affect firms’ organizational choices. First, lower trade costs lead to fewer firms going multinational. By contrast, less expensive communication flows leads to more investment abroad. The reason for this difference in results is that the two types of spatial frictions differ in nature: in the proximity-concentration trade-off, lower trade costs weaken the need for proximity, while lower communication costs foster deconcentration.
Added: Apr 28, 2018
, , Gokan T. IDE-JETRO. IDP. IDE-JETRO, 2018. No. 706.
We show how trade and communication costs interact to shape the way firms organize their activities across space. We consider the following three organizational types: (i) integrated firms in which all activities are conducted at the same location, (ii) horizontal firms, which operate several plants producing the same good at different locations, and (iii) vertical firms, which perform distinct activities at separated locations. We find necessary and sufficient conditions for the three types of organization to coexist within the same country, whereas firms located in the other country are all spatially integrated. We then study how trade and communication costs affect firms’ organizational choices. First, lower trade costs lead fewer firms to go multinational. By contrast, less expensive communication flows leads to more investment abroad. The reason for this difference in results is that the two types of spatial frictions differ in nature: in the proximity-concentration trade-off, lower trade costs weaken the need for proximity, while lower communication costs foster deconcentration.
Added: Apr 26, 2018
, In bk.: GSOM Emerging Markets Conference 2018: Book of Abstracts. St. Petersburg : Graduate School of Management, St. Petersburg University. Graduate School of Management, St. Petersburg University, 2018.. St. Petersburg: Graduate School of Management, St. Petersburg University, 2018.
This article examines the relationship between import of components and export of products in Russian manufacturing companies. We test whether the import of components and semi-finished goods for further processing increases export intensity and innovativeness of export at the firm level. Additionally, the effect of imports of equipment and other means of production on the competitiveness of exports is tested. We employ cross-sectional data for 895 manufacturing firms in Russia in 2014 which comes from the RUFIGE database. To test the hypothesis, we use probit regression. The study shows that import of high-tech components provides higher competitiveness in export markets and is associated with higher share of export revenues in Russian manufacturing firms. We also find a positive impact of imports of machinery and equipment on the export of high-tech products in Russian manufacturing firms.
Added: Oct 13, 2018
, Regional Science and Urban Economics. 2018. Vol. 71.
We develop a spatial monopolistic competition model in which city structure formation is
entirely driven by market interactions. When preferences and transport costs are described by
real analytic functions, equilibrium land-use patterns are segregated. We completely solve the
case of quasilinear quadratic preferences and quadratic transport costs. The city is monocentric
when firms are few, duocentric when they are neither too few nor too many, and involves a
residential central area bordered by two commercial clusters when firms are many. In the
long-run equilibrium, the city size and its spatial structure may change swiftly in response to
tiny variations in the opportunity cost of land. Our model captures spatial price dispersion
without involving any search frictions.
Added: Jun 4, 2018
, , CESifo working paper. CESifo Group Munich, 2018. No. WP6965.
We develop a general equilibrium model of monopolistic competition with a traded and a nontraded sector. Using a broad class of homothetic preferences—that generate variable markups, display a simple behavior of their elasticity of substitution, and nest the ces as a limiting case— we show that trade liberalization: (i) reduces domestic markups and increases imported markups in the traded sector; (ii) increases markups in the non-traded sector; and (iii) increases firm sizes in both sectors. Thus, while domestic and export markups in the traded sector converge across countries, markups diverge across sectors within countries. The negative welfare effects of higher markups and less consumption diversity in the non-traded sector dampen the positive welfare effects of lower markups and greater diversity in the traded sector.
Added: Apr 26, 2018
, , Kuznetsova M. Basic research program. WP BRP. National research university Higher School of economics, 2018
We document geographic concentration patterns of Russian manufacturing using microgeographic data. About 42–52% of 4-digit and 63–75% of 3-digit industries are localized, with a higher share in the European part than in the Asian part. About 70% of 3-digit industry pairs are coagglomerated, especially those with stronger buyer-supplier links, more knowledge sharing, and lower transport costs. Pairs with a more similar workforce are, however, less coagglomerated, which points to impediments in labor mobility between regions and firms. Overall, the agglomeration forces are fairly similar to those operating in developed countries, with transportation likely to be a key driver.
Added: Apr 26, 2018
, , Zhelobodko E. Journal of Regional Science. 2018. Vol. 58. No. 1.
We develop a monopolistic competition model with heterogeneous agents who self-select into occupations (entrepreneurs and workers) depending on innate ability. The effect of market size on the equilibrium occupational structure crucially hinges on properties of the lower tier utility function—its scale elasticity and relative love for-variety.When combined with the underlying ability distribution, the share of entrepreneurs and income inequality can increase or decrease with market size. When extended to allow for the endogenous sorting of mobile agents between cities, numerical examples suggest that sorting may increase inequality within and between cities.
Added: Jan 12, 2018
, Basic research program. WP BRP. National research university Higher School of economics, 2018
We study voting rules with respect to how they allow or limit a majority to dominate minorities. For this purpose we propose a novel quantitative criterion for voting rules: the qualified mutual majority criterion (q, k)-MM. For a fixed total number of m candidates, a voting rule satisfies (q, k)-MM if whenever some k candidates receive top k ranks in an arbitrary order from a majority that consists of more than q ∈ (0, 1) of voters, the voting rule selects one of these k candidates. The standard majority criterion is equivalent to (1/2, 1)-MM. The standard mutual majority criterion (MM) is equivalent to (1/2, k)-MM, where k is arbitrary. We find the bounds on the size of the majority q for several important voting rules, including the plurality rule, the plurality with runoff rule, Black’s rule, Condorcet least reversal rule, Dodgson’s rule, Simpson’s rule, Young’s rule and monotonic scoring rules; for most of these rules we show that the bound is tight.
Added: Sep 18, 2018
, In bk.: Handbook of Game Theory and Industrial Organization. Vol. 1. Edward Elgar, 2018.
We provide a selective survey of what has been accomplished under the heading of monopolistic competition in industrial organization and other economic fields. Among other things, we argue that monopolistic competition is a market structure in its own right, which encompasses a much broader set-up than the celebrated constant elasticity of substitution (CES) model. Although oligopolistic and monopolistic competition compete for adherents within the economics profession, we show that this dichotomy is, to a large extend, unwarranted.
Added: Jan 18, 2018
, , In bk.: Frontiers of Dynamic Games. Birkhauser/Springer, 2018.
The paper applies Looking Forward Approach to analyze the world oil market with the framework of a differential game model of quantity competition oligopoly. Namely Looking Forward Approach is used to take into account dynami- cally updating information. Under the information we understand the forecast of the oil demand dynamics. We focus on the period from December 2015 to November 2016 and suppose that during this time interval countries did not cooperate offi- cially on the amounts of oil to be produced. Therefore, their behavior can be mod- eled using the non-cooperative game model. As a solution concept for this conflict- controlled process we use feedback Nash equilibrium. In order to define the pa- rameters of model open source data is used, results of numerical simulations and comparison with the historical data are presented.
Added: Jun 1, 2018