5 October 2015
A country's exports are higher if it is perceived by importers to be exerting a positive global influence relative to other nations, Andrew K. Rose
finds. A one percent net increase in perceived positive influence raises exports by around 0.8 percent, indicating that countries which cultivate 'soft power' realize a commercial return.
2 October 2015
U.S. firms with activities in more than one state reduce their number of establishments, employees, and capital spending per plant when one of the states in which they operate increases its corporate tax rate, an analysis by Xavier Giroud
and Joshua Rauh
shows. Pass-through entities respond similarly, although not by as much, to changes in state-level personal tax rates.
1 October 2015
, Kevin A. Hassett
, R. Glenn Hubbard
, and Aparna Mathur
examine the choice between current and deferred compensation among executives. They find that income deferral is an important margin of adjustment in response to tax rate changes.
30 September 2015
Blacks and Hispanics, free/reduced price lunch participants, English language learners, and girls are all systematically "under-referred" in the traditional parent/teacher referral system for placing children in gifted education programs, according to David Card
and Laura Giuliano
’s study of a large urban school system. Introduction of universal screening of second graders led to large increases in the fractions of economically disadvantaged students and minorities placed in gifted programs.
29 September 2015
The time required to initiate and complete a home foreclosure rose from about nine months to fifteen months during the Great Recession. Kyle F. Herkenhoff
and Lee E. Ohanian
find that this “foreclosure delay” functioned as an implicit credit line for mortgage borrowers, providing them with additional time to search for high-paying jobs during an economic downturn.