Now showing 1 - 10 of 30
  • Publication
    The determinants of reservation wages
    (University College Dublin, School of Economics, 1999-08)
    Most theories of involuntary unemployment predict that the equilibrium wage in the labor market will be greater than the reservation wage of the unemployed. These theories concentrate on explaining why the labor market does not clear, with the market wage falling to the level of the reservation wage, as predicted by the classical paradigm. Relatively little, however, has been said about the behavior of reservation wages. This paper seeks to fill the gap in the literature. We look at the empirical determinants of the reservation wage and suggest what this implies for the evolution of the natural rate of unemployment.
  • Publication
    Expansionary fiscal contractions? Evidence from panel data
    (University College Dublin. School of Economics, 2003-01)
    We examine the ability of the Expansionary Fiscal Contraction (EFC) hypothesis to explain the performance of of OECD economies during times of crisis. We find some limited evidence in its favour: if public consumption is reduced in response to a fiscal crisis (as defined by a high level of debt), private consumption does seem to increase. However the size of the effect is smaller than that typically found in similar studies. Furthermore, the increase in private consumption is not usually sufficient to offset the direct effect of a reduction in the public consumption on output fiscal contractions are not literally expansionary.
  • Publication
    Different Strokes: Winning Strategies in Women’s (and Men’s) Big Bash Cricket
    (University College Dublin. School of Economics, 2023-12) ;
    We analyse winning strategies in the Australian Women’s Big Bash Cricket League (WBBL). Our objective is two- fold. First such analysis has potential implications for fan interest, team selection and recruitment. While several studies have analysed winning strategies in men’s cricket we are unaware of any such studies for women’s cricket. Second, comparing winning strategies in the WBBL and the men’s Big Bash League (MBBL) enables us to test the hypothesis that women perform less well than men under pressure. The two competitions are (almost) identical in all aspects other than gender. We find no evidence that play in the women’s game is objectively less exciting than then men’s game. In fact, we find some evidence that more attacking play is more likely to win in the woman’s competition than in the men’s.
  • Publication
    Explaining the volume of north south trade : a gravity model approach
    (Economic and Social Studies, Dublin, 1999-10) ; ;
    We address the question of whether the volume of manufacturing trade between Northern Ireland and the Republic of Ireland is more or less than might be expected in the light of international experience. We estimate a gravity equation for bilateral manufacturing trade between 28 developed countries from 1970 to 1992. Using the results as benchmark, we find that North-South trade in Ireland is greater rather than less than might be expected. The finding is robust with respect to a wide range of alternative specifications and alternative ways of measuring the key variables.
  • Publication
    Wage aspirations and unemployment persistence
    (University College Dublin. School of Economics, 2003-04)
    The reservation wage is an integral part of most theories of involuntary unemployment. We use panel data to examine the empirical determinants of the reservation wage - in particular the influence of previous wages - and consider what this implies for the evolution of the natural rate of unemployment. We find that previous wages have a signiÞcant but relatively small effect on reservation wages (an elasticity between 0.15 and 0.47). We also find considerable differences across genders with previous wages being more important for men and market wages being more important for women. Overall our results suggest that unemployment will adjust relatively quickly to shocks.
  • Publication
    Professional Rugby on the Celtic Fringe
    (University College Dublin. School of Economics, 2020-01) ;
    The design of sports leagues has significant financial implications for the organisers and member teams and for the relative success or failure of the individual clubs. Using the Pro 14 rugby league as an example we show how the structure of the league has influenced the success of the league overall and that of individual teams. We use variation in rules across time and space to identify their effects. We show how match attendance has been boosted by measures such as reducing the number of Sunday matches and the introduction of play-offs. We also show that the Pro14 have increased broadcast revenue largely through geographic expansion into larger broadcast markets. Furthermore, this has occurred without an adverse effect on match attendance.
  • Publication
    Competitive Balance and Match Attendance in European Rugby Union Leagues
    (University College Dublin. School of Economics, 2012-10) ; ;
    The paper analyses the impact of the relatively belated move to professionalism in Rugby Union. We use data on match attendance for 3,667 fixtures in European club Rugby over 15 seasons to estimate the effect of competitive balance on attendance. We find that (short- and medium-term) competitive balance has a large and statistically significant effect. However, this effect is smaller in magnitude than the effect brought about by the other aspects of the fixture with the strength of the home team being the single most important influence on attendances.
  • Publication
    Measuring the NAIRU – a structural VAR approach
    (University College Dublin, School of Economics, 2006-11) ;
    We calculate the NAIRU for the U.S. in a framework where inflation and the unemployment rate can respond to each other. The NAIRU is defined as the component of the actual unemployment rate that is uncorrelated with inflation in the long run. Using a structural VAR approach, the NAIRU and core inflation can be estimated simultaneously. Our estimation results show that the NAIRU falls dramatically at the end of 1990s and the long run vertical Phillips Curve shifts back from 6.8 per cent before 1997 to 4 per cent afterwards.
  • Publication
    Education choice under uncertainty and public policy
    (University College Dublin. School of Economics, 2003-01) ;
    We analyse how progressive taxation and education subsidies affect schooling decisions when the returns to education are stochastic. We use the theory of real options to solve the problem of education choice in a dynamic, life-cycle consistent, stochastic model. We show that education attainment will be an increasing function of the risk associated with education. Furthermore, this result holds whether or not agents can borrow in order to pay for education and regardless of the degree of risk aversion. We also examine the link between consumption over the life-cycle and education choice to show that higher initial wealth will usually - but not always - have a positive effect on education attainment. Finally we show that progressive taxes will tend to reduce education attainment for the poor but increase it for the rich.
  • Publication
    Using heteroscedasticity to estimate the returns to education
    (University College Dublin. Institute for the Study of Social Change (Geary Institute), 2002-06-14) ;
    We apply a new estimator to the measurement of the economic returns to education. We control for endogenous education, unobserved ability and measurement error using only the natural heteroscedasticty of wages and education attainment. Our prefered estimate, 6.07%, is closer to the OLS estimate but smaller (and more precise) than the estimates typically reported by studies that use IV. Our results indicate that the biases generated by unobserved ability and measurement error tend to cancel each other out as suggested by Griliches (1977). We also present Monte Carlo evidence to show that the finite sample bias our estimator is small.