factor demand behavior such as energy demand has an important role in the economic analysis. this issue is a major concern in the developing countries (e.g. iran) which are benefited from vast energy resources. in this paper, the third generation of factor demand models is used to analyze the behavior of capital adjustment in the iranian manufacturing industries. the dataset covers the two-digi...

abstract main objective of this paper is the investigation the effect of support policies of government on income risk of poultry producers in iran for the 1989-2006. ccv index was used to investigate amount of variation that cause each support policies (market price support, support of agricultural inputs, outputs insurance) on income risk variation of producers. the results of this study show...

This paper models the trade-off between production and appropriation in the presence of simultaneous interand intra-group conflicts. The model exhibits a ‘group cohesion effect ’: if the contest between the groups becomes more decisive, or contractual incompleteness between groups becomes more serious, the players devote fewer resources to the intra-group conflict. Moreover, there is also a ‘re...

Elected representatives have little incentive to pursue the interests of those electing them once they are elected. This well-known principle-agent problem leads, in a variety of theories of government, to nonoptimally large levels of government expenditure. An implication is that budgetary rules are seen as necessary to constrain politicians’ tax and spending behavior. Popular among such const...

Efforts undertaken by France to restructure the allocation of governmental competencies increased the importance of subnational governments by transferring additional tasks. This paper analyzes the efficiency of public spending on an intermediate government level for a sample of 96 départements in metropolitan France in 2008. Spending efficiency is measured using Data Envelopment Analysis (DEA)...

This paper examines the empirical relationship between business cycle volatility and economic freedom across countries. In a diverse sample of 85 countries, the results suggest a significantly negative relationship between volatility and a broad measure of freedom—even after controlling for other determinants of cross-country volatility and using an instrumental variables procedure to account f...

In this paper I offer a novel interpretation of the challenges posed by ‘constitutional drift’—the tendency for de facto political procedures to alter when these procedures no longer are incentive-compatible for those wielding political power—for sound governance institutions, with special reference to the American republic. While it is widely recognized that various watershed political events,...

One theory argues that state ownership of infrastructure is greater in poor countries because the social returns from investment exceed the private returns by a wider margin. Another theory argues that state ownership is greater when legal and political institutions provide weak enforcement of private property rights or weak limits on government excess. I test these theories using cross-country...