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  • Author: Victor H. Aguiar, Roy Allen, Nail Kashaev
  • Publication Date: 03-2020
  • Content Type: Working Paper
  • Institution: Centre for Human Capital and Productivity (CHCP), Western University
  • Abstract: This paper studies nonparametric identification and counterfactual bounds for heterogeneous firms that can be ranked in terms of productivity. Our approach works when quantities and prices are latent rendering standard approaches inapplicable. Instead, we require observation of profits or other optimizing-values such as costs or revenues, and either prices or price proxies of flexibly chosen variables. We extend classical duality results for price-taking firms to a setup with discrete heterogeneity, endogeneity, and limited variation in possibly latent prices. Finally, we show that convergence results for nonparametric estimators may be directly converted to convergence results for production sets.
  • Topic: Economics, Human Capital, Profit, Productivity, Price
  • Political Geography: Canada, Global Focus
  • Author: Yifan Gong, Todd Stinebrickner, Ralph Stinebrickner
  • Publication Date: 04-2020
  • Content Type: Working Paper
  • Institution: Centre for Human Capital and Productivity (CHCP), Western University
  • Abstract: While a large literature is interested in the relationship between family and labor supply outcomes, little is known about the expectations of these objects at earlier stages. We examine these expectations, taking advantage of unique data from the Berea Panel Study. In addition to characterizing expectations, starting during college, the data details outcomes for ten years after graduation. Methodological contributions come from approaches to validate quality of survey expectations data and the recognition that expectations data, along with longitudinal data, can potentially help address endogeneity issues arising in the estimation of the causal effect of family on labor supply.
  • Topic: Economics, Labor Issues, Human Capital, Family, Labor Market, Productivity
  • Political Geography: Canada, Global Focus
  • Author: Tamara Gurevitch, Peter R. Herman, Farid Toubal, Yoto V. Yotov
  • Publication Date: 12-2020
  • Content Type: Working Paper
  • Institution: Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
  • Abstract: Using new data on linguistic diversity across and within countries, we examine novel channels though which language affects trade patterns and economic welfare. We find that linguistic similarity within a country accounts for about 10 percent of estimated `home bias', demonstrating the importance of shared languages for domestic integration. To highlight the general equilibrium implications of domestic language proximity, we simulate the repeal of Quebec's Bill 101, which made French an official language in Canada and established fundamental language rights for Frenchspeakers. The analysis demonstrates that domestic language diversity has significant implications for Canada's welfare but also sizable economic consequences that stretch far beyond its borders.
  • Topic: Economics, Global Political Economy, Economic Growth, Linguistics, Trade
  • Political Geography: Canada, Quebec
  • Publication Date: 09-2019
  • Content Type: Working Paper
  • Institution: Centre for International Governance Innovation
  • Abstract: Canada’s Arctic Agenda: Into the Vortex brings together leading Arctic thinkers to examine key elements of Canadian Arctic and Northern policy. These experts reflect on the progress that has been made in the past few years in Arctic policies and programs and consider the impact of powerful forces of change and division, both within Canada and abroad, which have produced a vortex of economic, security, environmental and identity challenges for the Canadian Arctic. Addressing the intense, if understated, debate on Canada’s Arctic agenda, this report’s contributors share the consistent message that Northerners must play a leadership role in creating and implementing the policies that affect them. The report also includes a collection of interviews with Jane Glassco Northern Fellows. These thoughtful Indigenous women from across the North in Canada share their perspectives and ideas on the policy issues that require urgent attention to ensure the prosperity of their Northern communities. The well-informed essays and interviews in this report will spark conversation about Canada’s Arctic policy priorities and provide concrete advice to inform the work of Canada’s policy makers moving forward.
  • Topic: Security, Economics, Environment, Identities
  • Political Geography: Canada, North America, Arctic
  • Author: François Vallancourt, Jesús Ruiz-Huerta, Violeta Ruiz Almendral
  • Publication Date: 01-2018
  • Content Type: Working Paper
  • Institution: Fundación Alternativas
  • Abstract: Since 2009 Autonomous Communities have started to set their own Personal Income Tax rates for the first time. This is both the result of the 2009 rule change and the difficulties to get other public revenues during the years of the Great Recession. We will examine what the Autonomous Communitie s explicit choices have been and see how they compare to what Canadian Provinces have done. Before 2000, these provinces other than Québec were required to use a surtax approach that saw provinces collect personal income tax as a% of federal taxes (tax on tax) using the same number of brackets, boundaries of brackets and progressivity structure. Since 2000 they can and have chosen to use a tax on income approach as noted above. Thus they must make similar choices to those of Autonomous Communities for their Personal Income Tax since 2000.
  • Topic: Economics, Global Recession, Tax Systems, Recovery
  • Political Geography: Europe, Canada, Spain, North America, Western Europe
  • Author: Lance Lochner, Todd Stinebrickner, Utku Suleymanoglu
  • Publication Date: 07-2018
  • Content Type: Working Paper
  • Institution: Centre for Human Capital and Productivity (CHCP), Western University
  • Abstract: Using unique survey and administrative data from the Canada Student Loans Program, we document that parental support and personal savings substantially lower student loan repayment problems. We develop a theoretical model for studying student borrowing and repayment in the presence of risky labor market outcomes, moral hazard, and costly earnings verification. This framework demonstrates that non-monetary costs of applying for income-based repayment assistance are critical to understanding why resources other than earnings lead to greater repayment. We further show that eliminating these non-monetary costs may be inefficient and lead to undesirable redistribution. Empirically, we demonstrate that expanding Canada’s income-based Repayment Assistance Plan to automatically cover all borrowers would likely reduce program revenue by nearly one-half over early years of repayment. Finally, we show how student loan programs can be more efficiently designed to address heterogeneity in parental transfers in the presence of non-monetary earnings verification costs and moral hazard.
  • Topic: Debt, Economics, Human Capital, Higher Education, Productivity, Student Loans
  • Political Geography: United States, Canada
  • Author: Todd Stinebrickner, Ralph Stinebrickner, Paul Sullivan
  • Publication Date: 06-2018
  • Content Type: Working Paper
  • Institution: Centre for Human Capital and Productivity (CHCP), Western University
  • Abstract: Gender differences in current and past job tasks may be crucial for understanding the gender wage gap. We use novel task data to address well-known measurement concerns, including that standard task measures assume away within-occupation gender differences in tasks. We find that unique measures of task-specific experience, in particular high-skilled information experience, are of particular importance for understanding the substantial widening of the wage gap early in the career. Highlighting the importance of these measures, traditional work-related proxies for gender differences in human capital accumulation are not informative because general work experience is similar by gender for our recent graduates.
  • Topic: Economics, Gender Issues, Labor Issues, Human Capital, Higher Education, Productivity
  • Political Geography: United States, Canada
  • Author: Yifan Gong, Todd Stinebrickner, Ralph Stinebrickner
  • Publication Date: 03-2018
  • Content Type: Working Paper
  • Institution: Centre for Human Capital and Productivity (CHCP), Western University
  • Abstract: Uncertainty about future income plays a conceptually important role in college decisions. Unfortunately, characterizing how much earnings uncertainty is present for students at college entrance and how quickly this uncertainty is resolved has proven to be difficult. This paper takes advantage of unique expectations data from the Berea Panel Study to provide new evidence about this issue. We characterize initial uncertainty using survey questions that elicit the entire distribution describing one’s beliefs about future earnings at an ideal time - immediately before students began their first year courses. We characterize the amount of uncertainty that is resolved during college by taking advantage of the longitudinal nature of the expectations data. Taking advantage of a variety of additional survey questions, we provide evidence about how the resolution of income uncertainty is influenced by factors such as college GPA and college major, and also examine why much income uncertainty remains unresolved at the end of college.
  • Topic: Economics, Income Inequality, Human Capital, Higher Education, Productivity
  • Political Geography: United States, Canada
  • Author: Samah Rahman, Shashanth Shetty
  • Publication Date: 07-2015
  • Content Type: Working Paper
  • Institution: Centre for International Governance Innovation
  • Abstract: Canada is lagging behind in research and development (R&D) commercialization, ranking fifteenth in the World Economic Forum’s 2015 Global Competitiveness Report. One of the most important contributing factors to the gap between R&D and competitiveness is that new entrepreneurs lack the monetary and informational resources to access intellectual property (IP) legal expertise. The authors of this brief argue that the Canadian government’s strategies have been ineffective, and its current policy initiatives have failed to consider the importance of disseminating IP legal knowledge directly to innovators. It is recommended that the government look to the models used by the United States and South Korea to mobilize IP legal knowledge within the entrepreneurial community. This can be achieved by establishing a national IP legal clinic at the university level — as well as increasing funding for existing programs and creating a virtual clinic — and including an IP rights application course in select university programs, targeting innovators who will require IP legal advice in the future.
  • Topic: Economics, Intellectual Property/Copyright
  • Political Geography: United States, Canada, South Korea
  • Author: Oonagh Fitzgerald, Karima Bawa, David Estrin, Kent Howe, Dean MacDougall, Myra J. Tawfik, Basil Ugochukwu, Bassem Awad
  • Publication Date: 04-2015
  • Content Type: Working Paper
  • Institution: Centre for International Governance Innovation
  • Abstract: The International Law Research Program (ILRP) of the Centre for International Governance Innovation (CIGI) congratulates the Province of Ontario’s Ministry of the Environment and Climate Change for launching a province-wide public consultation process — Ontario’s Climate Change Discussion Paper 2015 — in relation to an issue of global importance and urgency for Ontarians and Canadians alike, at a time when nations need to galvanize their subnationals, climate experts, civil society, business and industry to commit to intended nationally determined contributions (INDCs) to reduce carbon emissions and mitigate the effects of climate change. The CIGI ILRP is optimistic that through this provincial consultation process and implementation of the best ideas it generates, as well as through Ontario’s initiatives undertaken in collaboration with other provinces and foreign subnationals, Canadians will be able to prove to the world our commitment to make a meaningful contribution to achieving an ambitious, verifiable and enforceable international agreement on climate change in December 2015 in Paris. By proactively addressing climate change now, the Government of Ontario positions this province, its citizens, universities and businesses to be innovators for sustainable prosperity rather than victims of global environmental and economic crisis.
  • Topic: Civil Society, Climate Change, Economics, Energy Policy, Environment, Markets, Natural Resources
  • Political Geography: Canada