Template-Type: ReDIF-Paper 1.0 Author-Name: Danilo R. Trupkin Author-X-Name-First: Danilo R. Author-X-Name-Last: Trupkin Author-Email: dtrupkin@um.edu.uy Author-Workplace-Name: Universidad de Montevideo Title: On the Viability of a Multilateral Trade Agreement: A Political-Economy Approach Abstract: The big picture issue this paper intends to address is on the incentive aspects of a multilateral trade liberalization. The paper builds on a framework originally introduced in Grossman and Helpman's The Politics of Free-Trade Agreements (1995). The aim of that work was to explain the viability of free trade agreements (FTAs) between two countries in a political-economy framework. A simple extension to a three-country setting allows us to analyze whether FTAs are "building blocs" or "stumbling blocs". An illustration with speci c functional forms serves to nd conditions under which FTAs are, somehow, partial building blocs, i.e., a bilateral liberalization can be feasible when multilateral liberalization is not. Creation-Date: 2010 Publication-Status: File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2010_01.pdf File-Format: Application/pdf Number: 1001 Classification-JEL: F13, F15, D78 Keywords: International Trade, Free-Trade Agreements, Multilateral Trade Agreement,Political-Economy. Handle: RePEc:mnt:wpaper:1001 Template-Type: ReDIF-Paper 1.0 Author-Name: Fernando Borraz Author-X-Name-First: Fernando Author-X-Name-Last: Borraz Author-Name: Jose Maria Cabrera Author-X-Name-First: Jose Maria Author-X-Name-Last: Cabrera Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Name: Daniel Ferrés Author-X-Name-First: Daniel Author-X-Name-Last: Ferrés Author-Name: Daniel Miles Author-X-Name-First: Daniel Author-X-Name-Last: Miles Title: Pobreza, Educacion y Salarios en América Latina Creation-Date: 2010 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2010_02.pdf File-Format: Application/pdf Number: 1002 Handle: RePEc:mnt:wpaper:1002 Template-Type: ReDIF-Paper 1.0 Author-Name: Fernanda Lozano Author-X-Name-First:Fernanda Author-X-Name-Last:Lozano Author-Name: Andrea Giménez Author-X-Name-First:Andrea Author-X-Name-Last:Giménez Author-Name: Jose Maria Cabrera Author-X-Name-First: Jose Maria Author-X-Name-Last:Cabrera Author-Name: Alicia Fernandez Author-X-Name-First:Alicia Author-X-Name-Last:Fernandez Author-Name: Esther Lewy Author-X-Name-First:Esther Author-X-Name-Last:Lewy Author-Name: Fernando Salas Author-X-Name-First:Fernando Author-X-Name-Last: Salas Author-Name: Alejandro Cid Author-X-Name-First:Alejandro Author-X-Name-Last:Cid Author-Name: Cecilia Hackembruch Author-X-Name-First:Cecilia Author-X-Name-Last:Hackembruch Author-Name: Virginia Olivera Author-X-Name-First:Virginia Author-X-Name-Last:Olivera Title: Caracterizacion de la poblacion adolescente de instituciones educativas de la region oeste de Montevideo en relacion a la situacion de violencia en que viven Creation-Date: 2010 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2010_03.pdf File-Format: Application/pdf Number: 1003 Handle: RePEc:mnt:wpaper:1003 Template-Type: ReDIF-Paper 1.0 Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Workplace-Name: Universidad de Montevideo Title: Continuity and Completeness under Risk Creation-Date: 2010 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2010_04.pdf File-Format: Application/pdf Number: 1004 Handle: RePEc:mnt:wpaper:1004 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Michael T. French Author-X-Name-First: Michael T. Author-X-Name-Last: French Author-Email: mfrench@miami.edu Title: The Impact of Parental Drinking on Children’s Use of Health Care Abstract: Objective: Alcohol misuse by parents can affect the demand for children’s health care in a number of different ways. The primary objective of this study is to estimate the impact that high-intensity drinkers have on their children’s use of pediatric visits and ER care. Method: We use a nationally representative sample of parents and children from the 2002-2008 National Health Interview Surveys and employ propensity-score methods (PSM). PSM can address some of the limitations associated with multivariate regression models both by using a non-parametric approach that does not rely on functional form assumptions and by statistically selecting a subset of untreated individuals for whom the distribution of covariates is similar to the distribution in the treated group. Our working sample consists of 65,926 pairs of adults and children. Results: We find that alcohol consumption by parents is positively associated with children’s health care utilization in some key areas. We observe a robust effect of paretal high-intensity drinking on the likelihood of a child's visit to the pediatrician and also find some evidence of increases in the number of pediatric visits and ER use. Conclusions: Understanding and quantifying the costs of parental alcoholism on children are critical to the design of treatment interventions and other policies that can improve the well-being of children of alcoholics. While children's insurance coverage and advances in medical treatment receive important attention in the United States, more emphasis should be placed in addressing the determinants of children's health that stem from parents' health-related behavior. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_01.pdf File-Format: Application/pdf Number: 1101 Keywords: alcohol misuse; alcohol-related consequences; adolescent health care; children of alcoholics Handle: RePEc:mnt:wpaper:1101 Template-Type: ReDIF-Paper 1.0 Author-Name: Natalia Fares Author-X-Name-First: Natalia Author-X-Name-Last: Fares Author-Name: J. Martin Ramirez Author-X-Name-First: J. Martin Author-X-Name-Last: Ramirez Author-Name: Jose Maria Cabrera Author-X-Name-First: Jose Maria Author-X-Name-Last: Cabrera Author-Email: jmcabrera@um.edu.uy Author-Name: Fernando Salas Author-X-Name-First: Fernando Author-X-Name-Last: Salas Title: Justification of Physical and Verbal Aggression in Uruguayan Children and Adolescents Abstract: This study examines the justification of aggressive acts in Uruguayan children and adolescents in different social situations as a function of age and sex, as well as the effect of differences in socioeconomic status on justification. A total of 663 participants aged 8 to 21 completed a self-report questionnaire designed to measure the justification of eight aggressive acts in six social situations. The results showed that adolescents justified both physical and verbal aggression more easily than children in a wide range of situations. As expected, boys justified physical aggression more easily than girls; however, no differences appeared in regard to verbal aggression. Unexpectedly, no statistically important differences were found in the justification of aggression related to the socioeconomic status of the participants. These findings are discussed in terms of previous studies from other cultures, in the hope of contributing to a deeper knowledge of the complex phenomenon of aggression. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_02.pdf File-Format: Application/pdf Number: 1102 Keywords: aggression, age, sex, socioeconomic status. Handle: RePEc:mnt:wpaper:1102 Template-Type: ReDIF-Paper 1.0 Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Author-Name: Charles E. Stokes Author-X-Name-First: Charles E. Author-X-Name-Last: Stokes Title: Family Structural Influences on Children’s Education Attainment:Evidence from Uruguay Abstract:As the developed world has experienced a shift away from the traditional two biological parent family, scholars have sought to understand how children are faring in non-traditional homes. Debate has arisen over assertions that children from nontraditional families do less well in school. Concerns about selection issues as well as a paucity of cross-cultural evidence, have led some scholars to question the causal influence of family structure on educational attainment. Using data from the 2006 Uruguayan household survey, we evaluate the influence of family structure on education using two different methods to deal with selection problems, an instrumental variables approach and propensity score matching. Both approaches yield evidence that growing up in non-traditional family structures has a negative causal impact on the schooling of Uruguayan boys, with more muted results for girls. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_03.pdf File-Format: Application/pdf Number: 1103 Keywords: academic achievement, family structure, instrumental variables, propensity score, selection effects. Classification-JEL: I2, J1 Handle: RePEc:mnt:wpaper:1103 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Néstor Gandelman Author-X-Name-First: Néstor Author-X-Name-Last: Gandelman Author-Name: Diego Lamé Author-X-Name-First: Diego Author-X-Name-Last: Lamé Title: Lessons from participation in a web-based substance use preventive program in Uruguay Abstract:We analyzed individual and program characteristics associated with participation in an ICT-based substance use preventive intervention in Uruguay, South America. The intervention was directed at nine- and ten-grade students in ten private schools in Montevideo. Participation in the program was non-mandatory and effective participation rates were low. We found that individual characteristics, such as prior heavy engagement with alcohol and opportunity costs of time, were associated with the decision to participate. We also found that sending the participants periodic reminders via email and SMS text messages had a positive impact in participation. The lessons from this intervention suggest that participation in non mandatory web-based programs aimed at preventing substance use among adolescents could be substantially improved with a more structured, mandatory, and longer intervention. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_04.pdf File-Format: Application/pdf Number: 1104 Handle: RePEc:mnt:wpaper:1104 Template-Type: ReDIF-Paper 1.0 Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Rafael Di Tella Author-X-Name-First: Rafael Author-X-Name-Last: Di Tella Title: Free to Punish? The American Dream and the harsh Treatment of Criminals Abstract:We describe the evolution of selective aspects of punishment in the US over the period 1980-2004. We note that imprisonment increased around 1980, a period that coincides with the “Reagan revolution” in economic matters. We build an economic model where beliefs about economic opportunities and beliefs about punishment are correlated. We present three pieces of evidence (across countries, within the US and an experimental exercise) that are consistent with the model. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_05.pdf File-Format: Application/pdf Number: 1105 Keywords: Beliefs; Multiple equilibria; Illegal behavior; Sentences Classification-JEL: P16; K14; E62 Handle: RePEc:mnt:wpaper:1105 Template-Type: ReDIF-Paper 1.0 Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Jean-Pierre Benoit Author-X-Name-First: Jean-Pierre Author-X-Name-Last: Benoit Title: Apparent Overconfidence Abstract:It is common for a majority of people to rank themselves as better than average on simple tasks and worse than average on dificult tasks. The literature takes for granted that this apparent miscon?dence is problematic. We argue, however, that this behaviour is consistent with purely rational Bayesian updaters. In fact, better-than-average data by itself cannot be used to show overcon?dence; we indicate which type of data can be used. Our theory is consistent with empirical patterns found in the literature. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_06.pdf File-Format: Application/pdf Number: 1106 Keywords: Overconfidence; Better than Average; Experimental Economics; Irrationality; Signalling Models Classification-JEL: D11, D12, D82, D83 Handle: RePEc:mnt:wpaper:1106 Template-Type: ReDIF-Paper 1.0 Author-Name: Danilo Trupkin Author-X-Name-First: Danilo Author-X-Name-Last: Trupkin Author-Email: dtrupkin@um.edu.uy. Author-Name: Raul Ibarra Author-X-Name-First: Raul Author-X-Name-Last: Ibarra Title: The Relationship between Inflation and Growth:A Panel Smooth Transition Regression Approach for Developed and Developing Countries Abstract:This paper studies the existence for a set of countries of an inflation threshold above which its effect on economic growth is negative, considering the speed of transition from one inflation regime to the other. Using a panel data set of above 120 countries for the period after the Second World War, we apply a panel smooth transition regression (PSTR) model with xed effects. The estimated threshold of the inflation rate for industrialized countries is 4.1%, while for non-industrialized countries the threshold is 19.1%. The speed of transition is relatively smooth in the first group, but for developing economies inflation rapidly has negative effects on growth when it is near the threshold. In addition, we find that the in ation threshold falls to 7.9% by selecting a reduced group of developing countries, according to a measure associated with institutional quality. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_07.pdf File-Format: Application/pdf Number: 1107 Keywords: Inflation, economic growth, treshold effects, smooth transition. Classification-JEL: E31, O40, C33 Handle: RePEc:mnt:wpaper:1107 Template-Type: ReDIF-Paper 1.0 Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy. Author-Name: Martin Rossi Author-X-Name-First: Martin Author-X-Name-Last: Rossi Title: Giving a Second Chance: an After-School Program in a Shantytown Interacting with Parents’ Type Abstract:Most discussion of after-school programs in shantytowns has centered on estimating mean impacts of programs, and results are not conclusive. Previous literature provides some explanations for these mixed results but this paper provides a new channel: the effectiveness of an after-school program on students depends on their parents’ type. One can argue that those parents who live in a shantytown may be there due to their bad type or because of bad luck (good type parents who are in a shantytown because they had bad luck in their lives but if they received an opportunity –such as an after-school program for their children- they would exploit it). The complementarities between after-school and parents’ good type are not obvious. Is a good policy to suggest responsible and committed parents to leave their children many hours a day in an after-school program? Would be better for those children to remain at home in contact with their committed parents? Should policy be directed to the children of bad type parents? By using random assignment to evaluate an after-school program in a developing country, we find that it is effective in raising children’s school achievement for those whose parents are of good type. Thus, this paper provides evidence that the knowledge of the distribution of impacts Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_08.pdf File-Format: Application/pdf Number: 1108 Keywords: after-school; education; impact evaluation; randomized experiment Classification-JEL: I38; I28. Handle: RePEc:mnt:wpaper:1108 Template-Type: ReDIF-Paper 1.0 Author-Name: Manuel Hernandez Author-X-Name-First: Manuel Author-X-Name-Last: Hernandez Author-Name: Raul Ibarra Author-X-Name-First: Raul Author-X-Name-Last: Ibarra Author-Name: Danilo Trupkin Author-X-Name-First: Danilo Author-X-Name-Last: Trupkin Author-Email: dtrupkin@um.edu.uy. Title: How far do shocks move across borders?Examining volatility transmission in major agricultural futures markets Abstract:This paper examines the level of interdependence and volatility transmission in global agricultural futures markets. We follow a multivariate GARCH approach to explore the dynamics and cross-dynamics of volatility across major exchanges of corn, wheat, and soybeans between the United States, Europe, and Asia. We account for the potential bias that may arise when considering exchanges with dierent closing times. The period of analysis is 2004-2009 for corn and soybeans, and 2005-2009 for wheat. The results indicate that agricultural markets are highly interrelated and there are both own- and cross-volatility spillovers and dependence among most of the exchanges. There is higher interaction between the United States (Chicago) and both Europe and Asia than within the latter. The results further show the major role Chicago plays in terms of spillover eects over the other markets, particularly for corn and wheat. Additionally, the level of interdependence between exchanges has only increased in recent years for some of the commodities. Implications for potential regulatory policies of agricultural futures markets are also briey discussed. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_09.pdf File-Format: Application/pdf Number: 1109 Keywords: Volatility transmission, agricultural commodities, futures markets,Multivariate GARCH. Classification-JEL: Q02, G15, Q11, C32 Handle: RePEc:mnt:wpaper:1109 Template-Type: ReDIF-Paper 1.0 Author-Name: Jose Maria Cabrera Author-X-Name-First: Jose Maria Author-X-Name-Last: Cabrera Author-Email: jmcabrera@um.edu.uy Title: Fecundidad e Ingresos en Uruguay Abstract:In this paper I seek to identify and estimate the causal effect of fertility on family income. I analyze the endogeneity of the decision to have a second child with a sample of twins at first birth (as in Rosenzweig and Wolpin, 1980). And the decision to have a third son is addressed with an instrumental variables technique: the sex composition of the first two children is a random event and if both children are of the same sex, it exogenously increases the likelihood of parents having a third son (as in Angrist and Evans, 1998). The results suggest that the second child would increase total household income, while income per capita remains constant. For the third child, the effect appears to be negative, although the estimation is not precise. Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_10.pdf File-Format: Application/pdf Number: 1110 Keywords: Fertility, income, instrumental variables, twins at first birth, sibling sex composition Classification-JEL: I3, J13, O12. Handle: RePEc:mnt:wpaper:1110 Template-Type: ReDIF-Paper 1.0 Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Jean-Pierre Benoit Author-X-Name-First: Jean-Pierre Author-X-Name-Last: Benoit Title: The Problem of Prevention Abstract:Many disasters are foreshadowed by insuficient preventive care. In this paper, we argue that there is a true problem of prevention, in that insu¢ cient care is often the result of rational calculations on the part of agents. We identify two factors that lead to dubious e¤orts in care. First, when objective risks of a disaster are poorly understood, positive experiences may lead to an underestimation of these risks and a corresponding underinvestment in prevention. Second, redundancies designed for safety may lead agents to reduce their care, resulting in a decrease in safety under certain conditions. We also analyze the use of checklists in accident prevention Creation-Date: 2011 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2011_11.pdf File-Format: Application/pdf Number: 1111 Keywords: Overconfidence; Better than Average; Experimental Economics; Irrationality; Signalling Models Classification-JEL: D11, D12, D82, D83 Handle: RePEc:mnt:wpaper:1111 Template-Type: ReDIF-Paper 1.0 Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Author-Name: Alexander Castleton Author-X-Name-First: Alexander Author-X-Name-Last: Castleton Title: Mechanisms behind Substance Abuse and Rugby. Lessons from a Field Experiment with Incarcerated Offenders Abstract:There are a broad range of rehabilitation programs but results differ significantly among them, from positive to no-effect programs –and even to negative-effect programs. Hence, in order to guide policy, it is necessary to find out the features that should be present in programs for inmates to guarantee positive effects. We used a random assignment to evaluate an innovative rehabilitation program –rugby classes offered by players of the national team- for incarcerated offenders in an overcrowded prison in Uruguay. We find the program positively influences inmates’ behavior, lowering the consumption of drugs. Also, studying the mechanisms behind these findings, our results suggest that the program fosters healthier conduct and positive social attitudes. After studying the criminogenic attitudes addressed by this rugby program, we suggest lines for policy. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_01.pdf File-Format: Application/pdf Number: 1201 Keywords: prison; rehabilitation; impact evaluation; randomized experiment Classification-JEL: I38; I28. Handle: RePEc:mnt:wpaper:1201 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Impact Evaluation of a Privately Managed Tuition-Free Middle school in a Poor Neighborhood in Montevideo Abstract:Using a randomized trial, we evaluate the impact of a free privately-managed middle school in a poor neighborhood. The research compares over time adolescents randomly selected to enter Liceo-Jubilar and those that were not drawn in the lottery. Besides positive impacts on expectations, we find better educational outcomes in the treatment group relative to control subjects. The features of Liceo-Jubilar -autonomy of management, capacity for innovation, and adaptation to the context- contrast with the Uruguayan highly centralized and inflexible public education system. Our results shed light on new approaches to education that may contribute to improve opportunities for disadvantaged adolescents in developing countries. Unlike the experiences of charter schools in developed countries, Liceo-Jubilar does not have autonomy regarding the formal school curricula nor depends on public funding by any means. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_02.pdf File-Format: Application/pdf Number: 1202 Keywords: Education; Field Experiment; Poverty; Impact Evaluation Classification-JEL: I21 Handle: RePEc:mnt:wpaper:1202 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Michael T. French Author-X-Name-First: Michael T. Author-X-Name-Last: French Author-Name: Tracy L. Regan Author-X-Name-First: Tracy L. Author-X-Name-Last: Regan Title: Relative Deprivation and Risky Behaviors Abstract:Relative deprivation, as measured by one?s socioeconomic status (SES) compared to that of a relevant peer group, has been associated with lower life and job satisfaction, as well as with adverse physical and mental health outcomes. Using data from the National Longitudinal Study of Adolescent Health, we examine whether a student?s SES relative to her classmates has a direct effect on the frequency of drinking alcohol, drinking to intoxication, and smoking cigarettes. We further the existing literature by addressing selection and simultaneity bias, and by focusing on a reference group likely to exert the most influence on the subjects under study. We find that relative deprivation is positively and significantly associated with alcohol consumption, drinking to intoxication, and smoking for male adolescents, but not for females. Alternative variable definitions and robustness checks confirm the core findings. This study offers new insight into the reasons why adolescents engage in risky behaviors. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_03.pdf File-Format: Application/pdf Number: 1203 Keywords:relative deprivation, socio-economic status, risky behaviors, adolescents Classification-JEL: I12, I31, I20, I18 Handle: RePEc:mnt:wpaper:1203 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Patricia Triunfo Author-X-Name-First: Patricia Author-X-Name-Last: Triunfo Title: The Effectiveness of Prenatal Care in a Low Income Population: A Panel Data Approach Abstract:This paper analyzes the impact of prenatal care on the likelihood of low birth weight and prematurity using panel data on births taking place between 1995 and 2008 in the largest maternity ward in Uruguay. The use of difference-Generalized Method of Moments estimation addresses biases due to time invariant unobserved heterogeneity and feedback effects from prior pregnancies. Our estimates are larger than those usually found for developed countries: an adequate use of prenatal care - as defined by the Kessner criterion - decreases the probability of low birth weight by half and the likelihood of a pre-term birth by 70%. Even when imposing less stringent requirements on the total number of prenatal controls, the improvements over birth outcomes are considerable. In addition to indicating the crucial role of prenatal care in the birth outcomes of low-income populations, our analysis highlights the importance of using econometric techniques that use the full distribution of pregnancies to estimate the effectiveness of prenatal care. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_04.pdf File-Format: Application/pdf Number: 1204 Keywords:prenatal care, panel data, difference GMM, lowbirth weight, low SES populations Classification-JEL: I12, J13, C14 Handle: RePEc:mnt:wpaper:1204 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Néstor Gandelman Author-X-Name-First: Nestor Author-X-Name-Last: Gandelman Author-Name: Nicolás Gonzalez Author-X-Name-First: Nicolás Author-X-Name-Last: Gonzalez Title: Peer Effects in Risk Aversion Abstract:Using data on Uruguayan adolescents, we estimate peer effects in risk attitudes. Relative risk aversion is elicited in an experimental setting. Identification is based on parents not being able to choose the class within the school of their choice. After controlling for school-grade fixed effect and addressing endogeneity due to simultaneity, we find a significant and quantitative large impact of peers on individuals risk aversion. An increase in one standard deviation of the group risk aversion produces an increase in 44-64% on an individual risk aversion. These findings enhance the importance of multiplicative effects related to risk behavior. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_05.pdf File-Format: Application/pdf Number: 1205 Keywords:risk aversion; peer effects; instrumental variables Classification-JEL: I12; D1. Handle: RePEc:mnt:wpaper:1205 Template-Type: ReDIF-Paper 1.0 Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Title: Joint-Liability vs. Individual Incentives in the Classroom. Lessons from a Field Experiment with Undergraduate Students Abstract: We evaluate the impact of joint-liability incentives in the classroom using a randomized field experiment. The instructor designs groups of three students in the classroom and provides a premium to their homework's grade only if all three members of the group meet some requirements. To isolate the joint-liability effect from selfish motivations, we also design an individual incentives treatment. We find that joint-liability incentives impact positively on the grades attained in homework and midterm exams both in experimental courses and in other courses taken by the students in the semester. Though the average positive effect seems to disappear in final exams, the overall impact of joint-liability incentives on the academic achievements in the semester is still positive. A drawback of this program is a decrease in classmate satisfaction. The significant effectiveness of the peer monitoring developed by joint-liability incentives in a group provides novel implications for the design of grading policies in the classroom and for other social settings where incentives may be based in peer monitoring or joint liability. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_06.pdf File-Format: Application/pdf Number: 1206 Keywords: field experiment; randomization; education; joint liability; student incentives Classification-JEL: I20, I23 Handle: RePEc:mnt:wpaper:1206 Template-Type: ReDIF-Paper 1.0 Author-Name: Marcelo Caffera Author-X-Name-First: Marcelo Author-X-Name-Last: Caffera Author-Email: marcaffera@um.edu.uy Author-Name: Carlos chavez Author-X-Name-First: Carlos Author-X-Name-Last: Chavez Author-Email:cchavez@udec.cl Title: Complementarity of inspections and permits as leverages for capping emissions: experimental evidence Abstract: Recent analysis on the cost-effectiveness of inducing perfect compliance in cap and trade programs is based on the possibility that a regulator has of inducing each individual firm to emit the same level of pollution by altering the supply of permits and the monitoring probability according to theoretical models that assume rational and risk-neutral agents. In this paper we test this possibility based on a series of laboratory experiments. Contrary to what theory predicts, our experiments suggest that a regulator cannot manipulate the supply of permits and the monitoring probability as suggested by these models and keep the level of emissions of each individual firm constant. This result does not depend on whether or not we control for risk aversion. Policy implications are discussed. Creation-Date: 2012 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2012_07.pdf File-Format: Application/pdf Number: 1207 Keywords: Environmental policy, enforcement, penalty structure, emissions standards, emissions trading, laboratory experiments Classification-JEL: C91, L51, Q58, K42 Handle: RePEc:mnt:wpaper:1207 Template-Type: ReDIF-Paper 1.0 Author-Name: Jean-Pierre Benoit Author-X-Name-First: Jean-Pierre Author-X-Name-Last: Benoit Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Don Moore Author-X-Name-First: Don Author-X-Name-Last: Moore Title: Does the better –than- average effect show that people are Overconfident?: two experiments. Abstract: We conduct two experiments of the claim that people are overconfident, using new tests of overplacement that are based on a formal Bayesian model. Our two experi- ments, on easy quizzes, find overplacement. More precisely, we find apparently over- confident data that cannot be accounted for by a rational population of expected utility maximizers with a good understanding of the nature of the quizzes they took. The finding is of particular interest because Benoit and Dubra (2011) have shown that the vast majority of the existing findings on the better-than-average efect are actually consistent with Bayesian updating. Creation-Date: 2013 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2013_01.pdf File-Format: Application/pdf Number: 1301 Keywords: Overcon?dence; Better than Average; Experimental Economics; Irrationality; Signalling Models. Classification-JEL: D11, D12, D82, D83 Handle: RePEc:mnt:wpaper:1301 Template-Type: ReDIF-Paper 1.0 Author-Name: Rafael Di Tella Author-X-Name-First: Rafael Author-X-Name-Last: Di Tella Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Title: Fairness and Redistribution, a comment Abstract:We provide an example that shows that in the Alesina and Angeletos (2005) model one can obtain multiplicity even if luck plays no role in the economy. Thus, it is not critical that the noise to signal ratio be increasing in taxes, or that desired taxes are increasing in the noise to signal ratio. Creation-Date: 2013 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2013_02.pdf File-Format: Application/pdf Number: 1302 Keywords: Inequality, taxation, redistribution, political economy Classification-JEL: D31, E62, H2, P16 Handle: RePEc:mnt:wpaper:1302 Template-Type: ReDIF-Paper 1.0 Author-Name: Fernando Borraz Author-X-Name-First: Fernando Author-X-Name-Last: Borraz Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Daniel Ferrés Author-X-Name-First: Daniel Author-X-Name-Last: Ferres Author-Name: Leandro Zipitría Author-X-Name-First: Leandro Author-X-Name-Last: Zipitría Title: Supermarket Entry and The Survival of Small Stores Abstract:We analyze the effect of supermarket entry on the exit of small stores in the food retailing sector in Montevideo between 1998 and 2007. We use detailed geographical information to identify the link between supermarket entry and the exit of nearby small stores. Entry of supermarkets using small- to medium-size formats creates a competitive threat for the existing small stores, decreasing their probability of survival. The result is robust to several model specifications and varying definitions of what constitutes a supermarket. The impact of supermarket entry is unequivocal for groceries, bakeries, fresh pasta shops, and butcher shops. Creation-Date: 2013 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2013_03.pdf File-Format: Application/pdf Number: 1303 Keywords: Supermarket entry; competition; small store attrition. Handle: RePEc:mnt:wpaper:1303 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Michael T. French Author-X-Name-First: Michael T. Author-X-Name-Last: French Author-Name: Tracy L. Regan Author-X-Name-First: Tracy L. Author-X-Name-Last: Regan Title: Relative Deprivation and Risky Behaviors Abstract:Relative deprivation has been associated with lower social and job satisfaction as well as adverse health outcomes. Using Add Health data, we examine whether a student’s relative socioeconomic status (SES) has a direct effect on substance use. We advance the existing literature by addressing selection and simultaneity bias and by focusing on a reference group likely to exert the most influence on the respondents. We find that relative deprivation is positively associated with alcohol consumption, drinking to intoxication, and smoking for adolescent males, but not for females. Alternative variable definitions and robustness checks confirm these findings. Creation-Date: 2013 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2013_04.pdf File-Format: Application/pdf Number: 1304 Keywords:relative deprivation, socio-economic status, risky behaviors, adolescents Classification-JEL: I12, I31, I20, I18 Handle: RePEc:mnt:wpaper:1304 Template-Type: ReDIF-Paper 1.0 Author-Name: Marcelo Caffera Author-X-Name-First: Marcelo Author-X-Name-Last: Caffera Author-Email: marcaffera@um.edu.uy Author-Name: Carlos Chávez Author-X-Name-First: Carlos Author-X-Name-Last: Chavez Author-Email:cchavez@udec.cl Author-Name: Analia Ardente Author-X-Name-First: Analia Author-X-Name-Last: Ardente Title: Does the structure of the fine matter? Abstract:We study individual compliance behavior with respect to a legal norm in an experimental setting under two different regulatory instruments: emission standards and tradable pollution permits. Compliance to the same set of standards and expected permit holdings was induced with different structures of the fine schedule, namely: a linear and a strictly convex penalty function. Even though our design induces perfect compliance, we find that there are violations in both emissions standards and tradable permits systems, regardless of the penalty structure. Nevertheless, the extent of violations is affected by the penalty parameters under emissions standards, but not under a tradable pollution permits. Notwithstanding, we find that the penalty design has an effect on the average price of permits traded, its dispersion and the number of trades. Creation-Date: 2013 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2013_05.pdf File-Format: Application/pdf Number: 1305 Keywords:Environmental policy, enforcement, penalty structure, emissions standards, emissions trading, laboratory experiments Classification-JEL: C91, L51, Q58, K42 Handle: RePEc:mnt:wpaper:1305 Template-Type: ReDIF-Paper 1.0 Author-Name: Jeffrey E. Harris Author-X-Name-First: Jeffrey Author-X-Name-Last: Harris Author-Email: jeffrey@mit.edu Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Patricia Triunfo Author-X-Name-First: Patricia Author-X-Name-Last: Triunfo Author-Email: patricia.triunfo@cienciassociales.edu.uy Title: Campaña antitabaco en Uruguay: Impacto en la decisión de dejar de fumar durante el embarazo y en el peso al nacer. Abstract:Background. In 2005, Uruguay instituted a nationwide tobacco control campaign that has resulted in a substantial decline in nationwide smoking rates. We sought to determine the quantitative contributions of each of the major tobacco control measures adopted by the Uruguayan government. We focused sharply on smoking cessation by pregnant women and on the effect of quitting smoking during pregnancy on birth weight. Data. We analyzed a nationwide registry of all pregnancies in Uruguay during 2007–2012, supplemented by data on cigarette prices and various governmental policies. Methods. We estimated linear probability models of quitting smoking in the third trimester as well as linear models of the effect of quitting on birth weight. Our explanatory variables included maternal characteristics, provider-level and national-level policy interventions, and real price. In our models of quitting smoking, we used taxes as an instrument to address price endogeneity. In our models of birth weight, we used tobacco control policies as instruments to address the endogeneity of smoking cessation. Results. During 2007–2012, the proportion of pregnant women who had quit smoking by their third trimester increased markedly from 15 to 42 percent. Each of the major non-price tobacco control measures – including programs to treat nicotine dependence at health centers, banning of advertising nationwide, rotating warnings with pictograms on each pack, restriction of brands to a single presentation, and an increase in the size of pictograms to 80% of the front and back of each pack – was separately associated with a significant increase in the rate of quitting. During 2007–2009, tobacco manufacturers responded to tax increases and non-price policies by moderating their pretax prices. Quitting smoking by the third trimester increased birth weight by an estimated 163 grams. Conclusion. Uruguay’s nationwide tobacco control campaign led to a substantial increase in the likelihood that a pregnant smoker would quit by her third trimester. Each of the major tobacco control measures adopted by the government had a measurable impact on the rate of quitting and thus on neonatal health. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_01.pdf File-Format: Application/pdf Number: 1401 Keywords: economic evaluation, cigarette taxes, package warnings, advertising bans, tobacco control, pregnancy, birth weight Classification-JEL: I18, I12, D1 Handle: RePEc:mnt:wpaper:1401 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana I. Balsa Author-X-Name-First: Ana I. Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Advancing academic opportunities for disadvantaged youth: Third year impact evaluation of a privately-managed school in a poor neighbourhood in Montevideo. Abstract:We study the three-year impact of a private tuition-free middle school on the academic outcomes of poor students. Several features of the treatment school fit with innovative paradigms that have delivered successful outcomes in poor urban areas. Our research design exploits the excess of applicants over the school capacity and the fact that participants were selected randomly. Specifically, we follow a cohort of students that entered middle school in 2010 and that were randomly assigned to attend the treatment school or public school as usual. We find that the treatment school impacted favorably on students’ academic advancement and math competencies. Also, the treatment school had a positive–and quite robust over timeimpact on students’ and their parents’ academic expectations. This culture of high expectations has been previously identified in the literature as a key input for school success. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_02.pdf File-Format: Application/pdf Number: 1402 Keywords: Randomized design; Private school; Low-income population; High Expectations Handle: RePEc:mnt:wpaper:1402 Template-Type: ReDIF-Paper 1.0 Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Asignación de derechos de usufructo en mercados informales: Evidencia desde las calles. Abstract:En el presente estudio, observamos los resultados de una política de asignación masiva de derechos de usufructo a los cuidacoches, personas que desempeñan –en la informalidad– tareas de vigilancia de vehículos aparcados en las calles. Sorprendentemente, a pesar del costo reducido y los considerables beneficios de adquirir legalmente el derecho de usufructo sobre la cuadra, la mitad de los potenciales beneficiarios han rechazado la suscripción a ese programa. Con el fin de entender este mercado y la movilidad entre el sector formal e informal, construimos una base de datos inédita que contiene información económica y sociodemográfica de los cuidacoches. Dentro de los resultados encontrados, se destacan cuatro observaciones: la heterogeneidad en las razones de entrada al sector informal de cuidacoches; la protección del derecho de usufructo sobre la cuadra como el beneficio principal percibido de pasarse al sector formal; la aspiración a cambiar de trabajo de la inmensa mayoría; la capacidad de ahorro reducida. El estudio concluye con líneas para la elaboración de una estrategia de identificación causal que permita medir el posible impacto de la forma-3 lización como cuidacoches (i.e., obtener el permiso de la autoridad departamental) en la movilidad ascendente en el mercado laboral. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_03.pdf File-Format: Application/pdf Number: 1403 Keywords: Derechos de usufructo; Trabajo informal; Movilidad social; Vulnerabilidad social; Aspiraciones Classification-JEL: I3, J4, O12, P14 Handle: RePEc:mnt:wpaper:1403 Template-Type: ReDIF-Paper 1.0 Author-Name: Marianne Bernatzky Author-X-Name-First: Marianne Author-X-Name-Last: Bernatzky Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Hope and commitment. Lessons from a randomize control trial in a shanty town. Abstract:This paper documents the impact of an after-school program called Apoyo Escolar, sited in the most vulnerable neighborhood of a developing country. The outcomes of interest are academic achievement, behavior in the classroom and grade repetition. We designed a field experiment exploiting the existence of oversubscription to the program. We found a novel result that should guide policy design for vulnerable children: increasing time spent in safe, supervised settings does not guarantee academic success. The after-school program is effective in improving academic performance when children have committed parents. This finding is crucial for policy because it is not be enough to merely take children off of the streets, parents’ commitment is needed. Interestingly, results show that students’ performance at school is highly correlated with parents’ educational expectations. This correlation fosters future research that may be designed specifically to explore the causal impact of expectations on educational attainment among disadvantaged children. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_04.pdf File-Format: Application/pdf Number: 1404 Keywords: After-school program; Poverty; Education; Impact evaluation; Family Handle: RePEc:mnt:wpaper:1404 Template-Type: ReDIF-Paper 1.0 Author-Name: Marianne Bernatzky Author-X-Name-First: Marianne Author-X-Name-Last: Bernatzky Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Gender & High Frequency vs. Low Frequency tasks in a context of Joint-Liability Incentives. Abstract:We study the impact of high and low frequency incentives in a joint-liability framework on six academic outcomes of undergraduate students using a randomized field experiment. As recently documented in health literature, incentives to exercise are effective in developing healthy habits. Therefore, we design groups of three students and provide a premium to the homework’s grade if all the members of the group (three) meet some requirements. We investigate how the frequency of these take home tests affect the students study habits and thus, the academic outcomes. We find that there are no differences in the student’s educational outcomes between the high and low frequency groups. We also explore if male and female students respond differently to a joint-liability incentives scheme. We find that this treatment improves the accumulated grade average of male students, but not for females. This finding is in line with previous research on joint-liability and gender behavior, but now we present it in a new context. Finally, the paper outlines the main evaluation challenges associated with a field experiment in the classroom and provide some lessons in order to improve evaluation designs and to foster future randomized controlled trials in this area. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_05.pdf File-Format: Application/pdf Number: 1405 Keywords: gender; field experiment; classroom incentives; evaluation; joint-liability incentives Handle: RePEc:mnt:wpaper:1405 Template-Type: ReDIF-Paper 1.0 Author-Name: Marianne Bernatzky Author-X-Name-First: Marianne Author-X-Name-Last: Bernatzky Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Brecha de género en la educación secundaria. Abstract:En América Latina, el debate acerca de los resultados heterogéneos en educación formal se ha centrado en las diferencias entre pobres y ricos. Este foco ha guidado a los diseñadores de política. Existen, sin embargo, otras profundas diferencias que reciben escasa o nula atención en la política pública de la región, entre ellas, la brecha educativa por género. El presente estudio se centra en comparar el comportamiento de los hombres respecto a las mujeres en tres variables claves para los logros educativos: el atraso escolar, la deserción del sistema formal y las tasas de culminación de los distintos niveles educativos. Explotamos la existencia de datos representativos de toda la población de Uruguay durante 24 años (Encuesta Continua de Hogares: 1990-2013) y datos provenientes de la Encuesta Nacional a la Juventud y Adolescencia (2008). El foco está en la adolescencia (de 13 a 18 años), que es donde se concentran los indicadores de turbulencias en materia académica en América Latina. Nuestras mediciones muestran una brecha sistemática, con un signo persistente en todo el período: los adolescentes varones presentan mayores tasas de rezago y deserción, y menores tasas de culminación del ciclo básico y bachillerato. Este hallazgo es robusto en los diferentes contextos de ingresos del hogar, ciudad de procedencia, ascendencia étnica, centro educativo público o privado, y estructura familiar. Y, llamativamente, la magnitud de esta brecha ha permanecido inalterada en todo el período considerado. El estudio analiza posibles explicaciones detrás de estos resultados, y finaliza obteniendo datos cualitativos mediante entrevistas a docentes de educación secundaria, que trabajan en centros educativos de diferentes contextos. La incapacidad de eliminar la brecha y la predominancia de la desmotivación como factor explicativo, constituyen un fuerte impulso para futuras investigaciones y una llamada de atención para el diseño de política educativa, reclamando la necesidad de tener en cuenta la singularidad del individuo por género. Creation-Date: 2014 File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_06.pdf File-Format: Application/pdf Number: 1406 Keywords: Brecha Educativa; Género; Educación Handle: RePEc:mnt:wpaper:1406 Template-Type: ReDIF-Paper 1.0 Author-Name: Carol Luengo Author-X-Name-First: Carol Author-X-Name-Last: Luengo Author-Name: Marcelo Caffera Author-X-Name-First: Marcelo Author-X-Name-Last: Caffera Author-Email: marcaffera@um.edu.uy Author-Name: Carlos Chávez Author-X-Name-First: Carlos Author-X-Name-Last: Chávez Title: Uncertain Penalties and Compliance Abstract: Using a series of laboratory economic experiments, we study the effect of information regarding the amount of the fine on the individual decision to violate an emission standard. Specifically, the analysis considers variations in the information available for the regulated subjects regarding the amount of the monetary sanction, as well as variations in the stringency in the inspection effort by the regulator. Our results suggest that in the case of a regulation design that induces compliance, the presence of uncertainty regarding the amount of the fine may increase violations in certain cases. When enforcement is not sufficient to induce compliance, the uncertainty regarding the amount of the fine does not have any effect on the level of transgression. Overall, the results suggest that a cost-effective regulation design should consider including public information on the consequences of an offense. File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2014_07.pdf File-Format: Application/pdf Number: 1407 Keywords: Uncertainty; Risk; Compound risk; Fine; Emission standard; Economic experiment Classification-JEL: C91, L51, Q58, K42 Handle: RePEc:mnt:wpaper:1407 Template-Type: ReDIF-Paper 1.0 Author-Name: Marianne Bernatzky Author-X-Name-First: Marianne Author-X-Name-Last: Bernatzky Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Author-Email: jmcabrera@um.edu.uy Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Title: Regular Information and Health: Evidence from a Field Experiment with Undergraduate Students. Abstract: We run a randomized controlled trial with the aim of evaluating the effects of a health seminar complemented with weekly reminders on health outcomes. Our research design exploits the excess of applicants over the intervention capacity. In this 4-month intervention with undergraduate students, we provide information on preventive behaviors and healthy habits and on how to modify personal behaviors that could derive in chronical illnesses. We find that all students who were subject to the treatment improved their knowledge relative to the control group. But they were not able to translate it into healthier behaviors, neither self-reported nor objectively measured by a physician. We hypothesize that high discount rates, overconfidence and the lack of complementary inputs may explain our findings. File-URL: http://www.um.edu.uy/docs/regular-information-and-health.pdf File-Format: Application/pdf Number: 1501 Keywords: randomized trial; exercise; healthy habits; text message Handle: RePEc:mnt:wpaper:1501 Template-Type: ReDIF-Paper 1.0 Author-Name: Murillo Campello Author-X-Name-First: Murillo Author-X-Name-Last: Campello Author-Name: Daniel Ferrés Author-X-Name-First: Daniel Author-X-Name-Last: Ferrés Author-Name: Gaizka Ormazabal Author-X-Name-First: Gaizka Author-X-Name-Last: Ormazabal Title: Whistleblowers on the Board? The Role of Independent Directors in Cartel Prosecutions Abstract: Stock market reactions to news of cartel prosecutions are muted when indicted firms have a high proportion of independent directors serving on their boards. This finding is robust to self-selection and is more pronounced when those directors hold more outside directorships and have fewer stock options — when they have fewer economic ties to the indicted firms. Results are stronger when independent directors’ appointments were attributable to SOX, preceded the CEO’s appointment, or followed class action suits — when they have fewer direct ties to indicted CEOs. Independent directors serving on indicted firms are penalized by losing board seats and vote support across their directorships in other firms. Moreover, firms with more independent directors are more likely to cooperate with antitrust authorities through leniency programs and to dismiss CEOs after cartel indictments. Our results show that cartel prosecution imposes significant personal costs onto independent directors and that they take actions to reduce those costs. Understanding these incentives is key for antitrust authorities in designing strategies for cartel prosecution. File-URL: http://www.um.edu.uy/docs/whistleblowers-in-the-board.pdf File-Format: Application/pdf Number: 1502 Keywords: Cartel Prosecution; Antitrust Policy; Leniency Programs; Independent Directors; Reputational Costs; Heckman Selection Test Handle: RePEc:mnt:wpaper:1502 Template-Type: ReDIF-Paper 1.0 Author-Name: Juan Dubra Author-X-Name-First: Juan Author-X-Name-Last: Dubra Author-Email: dubraj@um.edu.uy Author-Name: Jean Pierre Benoit Author-X-Name-First: Jean Pierre Author-X-Name-Last: Benoit Title: Attitude Polarization: Theory and Evidence Abstract: Numerous experiments have demonstrated the possibility of attitude polarization. For instance, Lord, Ross & Leper (1979) found that death penalty advocates became more convinced of the deterrent effect of the death penalty while opponents become more convinced of the lack of a deterrent e§ect, after being presented with the same studies. However, there is an unclear understanding of just what these experiments show and what their implications are. We argue that attitude polarization is consistent with an unbiased evaluation of evidence. Moreover, attitude polarization is even to be expected under many circumstances, in particular those under which experiments are conducted. We also undertake a critical re-examination of several well-known papers. File-URL: http://www.um.edu.uy/docs/attitude-polarization-theory-and-evidence.pdf File-Format: Application/pdf Number: 1503 Keywords: Attitude Polarization; Confirmation Bias; Bayesian Decision Making Classification-JEL: D11, D12, D82, D83 Handle: RePEc:mnt:wpaper:1503 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana Inés Balsa Author-X-Name-First: Ana Inés Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Patricia Triunfo Author-X-Name-First: Patricia Author-X-Name-Last: Triunfo Title: Aseguramiento público, provisión privada: Impacto en el acceso a servicios perinatales y en la salud del recién nacido. Abstract: A partir del año 2008, con la implementación del Sistema Nacional Integrado de Salud, el gobierno uruguayo extendió el seguro social de salud a colectivos no amparados previamente. A diferencia de la cobertura pública, el seguro social habilita la elección de prestadores privados. En este trabajo nos enfocamos en la extensión de la cobertura a las madres menores de 18 años, las cuales constituyeron el grupo de mujeres en edad fértil con mayores cambios en el aseguramiento. En particular, entre 2007 y 2010, aproximadamente 124.000 mujeres menores de 18 años pasaron a tener cobertura privada de salud. Nuestro análisis estudia las diferencias en indicadores asistenciales y en resultados perinatales entre las madres menores de 18 años y mayores antes y después de este cambio normativo. A partir de los datos obtenidos de los Certificados de Nacido Vivo para el Uruguay de 2002 a 2010 y en base a modelos de dobles y triples diferencias, encontramos que el pasaje a prestadores privados tuvo un efecto positivo en la salud del recién nacido. Estas mejoras, sin embargo, no pueden explicarse por mejoras en el momento de captación de la embarazada o en el número de controles prenatales. File-URL: http://www.um.edu.uy/docs/working_paper_um_cee_2015_01.pdf File-Format: Application/pdf Number: 1504 Handle: RePEc:mnt:wpaper:1504 Template-Type: ReDIF-Paper 1.0 Author-Name: Ana Inés Balsa Author-X-Name-First: Ana Inés Author-X-Name-Last: Balsa Author-Email: abalsa@um.edu.uy Author-Name: Marcelo Caffera Author-X-Name-First: Marcelo Author-X-Name-Last: Caffera Author-Name: Juanita Bloomfield Author-X-Name-First: Juanita Author-X-Name-Last: Bloomfield Title: The Effect of Temporary and Intense Exposure to Particulate Matter on Birth Outcomes in Montevideo Abstract: Background: Prior estimates of the correlation between ambient air pollutants’ concentrations and perinatal health show dispersion in magnitudes, as well as positive and negative signs. These differences may be partially explained by the diverse array of methodological approaches between studies, including the set of confounders considered. Objectives: This study explores the effect of breathable particulate matter with diameter of 10 micrometers or less (PM10) on perinatal outcomes in Uruguay, a middle-income country in South America with levels of PM10 that in general do not exceed the recommended thresholds. The analyzed outcomes are: birth weight (BW), the risk of low birth weight (LBW) and the risk of a pre-term birth (PTB). Methods: We exploit the fact that in 2011 the ashes and dust resulting from the eruption of the Puyehue volcano in Chile more than doubled monthly averages of PM10 concentration levels in Montevideo, Uruguay. Using prenatal and birth data for 2010-2013, we estimate the associations between mother’s average exposure to PM10 in each trimester-of-pregnancy and perinatal outcomes controlling for a rich set of covariates. Results: We find that exposure to high levels of PM10 concentration (above 50 µg/m³ for the trimester average) during the third trimester of pregnancy is associated with higher rates of low birth weight and prematurity, and lower birth weight. These effects are quite robust to different specifications, and are particularly large for pregnancies exposed to concentration levels above 70 µg/m³, suggesting non-linear effects. The impact of PM10 on BW and on the rate of LBW appears to be driven primarily by an effect on prematurity. Conclusions: Exploiting a natural experiment, our study shows that exposure to high levels of PM10 during the third trimester of pregnancy can trigger preterm births. File-URL: http://www.um.edu.uy/docs/the-effect-of-temporary-.pdf File-Format: Application/pdf Number: 1505 Handle: RePEc:mnt:wpaper:1505 Template-Type: ReDIF-Paper 1.0 Author-Name: Magdalena Blanco Author-X-Name-First: Magdalena Author-X-Name-Last: Blanco Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Author-Email: jmcabrera@um.edu.uy Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Title: Beware: a woman is looking after your car. Abstract: There has been little research on the association between behaviors, gender and usufruct rights in informal settings. Using a unique database from an underprivileged population, who informally look after cars parked in the streets, we analyze the behaviors women and men exhibit when they interact with other people in the street. We find that men tend to commit acts of physical aggression more than women when they have to defend their usufruct right. But, surprisingly, though theory and applied literature suggests the contrary, we found that women are more likely to react aggressively than men, when drivers underpay in this voluntary payment market. Building a Type Index of cuidacoches (indicator of attitude and external appearance), we explore association between aggressive behavior and this Type Index. File-URL: http://www.um.edu.uy/docs/beware-a-woman-is-looking-after-your-car.pdf File-Format: Application/pdf Number: 1601 Keywords: gender; poverty; self-employment; violence; aggressiveness Classification-JEL: I3, J16, J23 Handle: RePEc:mnt:wpaper:1601 Template-Type: ReDIF-Paper 1.0 Author-Name: José María Cabrera Author-X-Name-First: José María Author-X-Name-Last: Cabrera Author-Name: Alejandro Cid Author-X-Name-First: Alejandro Author-X-Name-Last: Cid Author-Email: acid@um.edu.uy Author-Name: Juan José Irisarri Author-X-Name-First: Juan José Author-X-Name-Last: Irisarri Title: Deporte y resiliencia en población juvenil de alta vulnerabilidad Abstract: Usando una base de datos inédita, creada a partir de cuestionarios administrados a una población de contexto crítico, este trabajo busca medir el impacto de un programa de prevención de violencia adolescente a través del deporte. Mediante una metodología de diferencias en diferencias, exploramos asociaciones entre participar en el programa y habilidades no-cognitivas de jóvenes altamente vulnerables. Encontramos evidencia de fuertes asociaciones positivas entre el programa e indicadores claves de resiliencia. Los adolescentes que participaron con más intensidad del programa muestran una mayor probabilidad de desarrollar mejores aspiraciones (educativas, laborales, familiares), mayores índices de integración social y de permanencia en el sector educativo formal, y menores transgresiones a la autoridad pública. Explotamos información cualitativa para estudiar los posibles mecanismos, y se destacan la ocupación del tiempo libre, la práctica asidua de habilidades no-cognitivas, y el coaching personal. Este trabajo arroja luz sobre estrategias prometedoras para aumentar la resiliencia y reinserción social de jóvenes altamente vulnerables provenientes de contextos críticos. File-URL: http://www.um.edu.uy/docs/deporte-y-resilencia-en-poblacion-juvenil-de-alta-vulnerabilidad.pdf File-Format: Application/pdf Number: 1602 Keywords: deporte; delincuencia; pobreza; habilidades no-cognitivas; resiliencia Handle: RePEc:mnt:wpaper:1602