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Optimally biased expertise
Ilinov, Pavel; Matveenko, A.; Senkov, Maxim; Starkov, E.
2022 - English
This paper shows that the principal can strictly benefit from delegating a decision to an agent whose opinion differs from that of the principal. We consider a “delegated expertise” problem in which the agent has an advantage in information acquisition relative to the principal, as opposed to having preexisting private information. When the principal is ex ante predisposed towards some action, it is optimal for her to hire an agent who is predisposed towards the same action, but to a smaller extent, since such an agent would acquire more information, which outweighs the bias stemming from misalignment. We show that belief misalignment between an agent and a principal is a viable instrument in delegation, performing on par with contracting and communication in a class of problems.
Keywords:
delegation; rational inattention; heterogeneous beliefs
Fulltext is available at external website.
Optimally biased expertise
This paper shows that the principal can strictly benefit from delegating a decision to an agent whose opinion differs from that of the principal. We consider a “delegated expertise” problem in which ...
Consequences of inconvenient information: evidence from sentencing disparities
Šoltés, Michal
2022 - English
Inconvenient information about the performance of public institutions may undermine public trust. In an experiment, I test how information about sentencing disparities among judges in the Czech Republic affects respondents’ perception of the judicial system. I find no effect on respondents’ declared institutional trust and willingness to rely on the formal judicial system. Instead, the information marginally increased respondents’ policy involvement: They became more likely to: (i) sign a petition that invites politicians to address the underlying issue, and (ii) consider fairness of the judicial system a more important policy issue. The increased interest in the petition was driven by mothers, who are arguably more sensitive to the particular treatment information in the presented case of a failure to pay alimony.
Keywords:
information disclosure; institutional trust; performance of public institutions
Fulltext is available at external website.
Consequences of inconvenient information: evidence from sentencing disparities
Inconvenient information about the performance of public institutions may undermine public trust. In an experiment, I test how information about sentencing disparities among judges in the Czech ...
Compliance behavior under surveillance: introduction of the video assistant referee to European football
Trestcov, Ivan
2022 - English
This paper analyzes the effect of introducing the Video Assistant Referee (VAR) to European football. First, the setting allows for decomposition of the deterrence and monitoring effects in Becker’s (1968) model of crime. Second, I estimate the deterrence effect’s spillover outside the surveillance environment. Third, I find evidence of a much under-studied learning-by-punishment effect. This paper applies the difference-in-difference strategy to show that the introduction of VAR causes a significant decrease in the number of fouls in two German football leagues. VAR had an immediate impact on severe fouls, while the effect on penalty fouls is apparent after a 12 week adjustment period. Punishment intensifies the deterrence effect as punished players commit even fewer fouls than unpunished players. Moreover, the deterrence effect persists outside of the surveillance environment, i.e., there is a spillover effect on international competitions. I show that players from countries with VAR commit fewer fouls in international competitions than other players.
Keywords:
Becker model; video assistant referee; deterrence
Fulltext is available at external website.
Compliance behavior under surveillance: introduction of the video assistant referee to European football
This paper analyzes the effect of introducing the Video Assistant Referee (VAR) to European football. First, the setting allows for decomposition of the deterrence and monitoring effects in Becker’s ...
For God, Tsar and Fatherland? The political influence of Church
Travova, Ekaterina
2022 - English
This paper investigates the influence of the Orthodox Church network in Post-Soviet Russia on individual political preferences and election results. I use the numbers of monks and nuns from Orthodox monasteries operated in the Russian Empire before the Revolution as historical religious markers to construct a Bartik-style instrument (1991). I find that a denser Church network increases the average local approval rating for the current president and the share of votes cast for the government candidate in presidential elections. Further analysis of mechanisms shows that, today, the extending Church network is increasingly less able to attract people to attend church and to substantially increase the share of practicing believers. However, it does affect the political preferences of those who, regardless of their faith in God, self-identify as Orthodox. The potential channel for persuasion is media.
Keywords:
Orthodoxy; Church; approval
Fulltext is available at external website.
For God, Tsar and Fatherland? The political influence of Church
This paper investigates the influence of the Orthodox Church network in Post-Soviet Russia on individual political preferences and election results. I use the numbers of monks and nuns from Orthodox ...
Violent conflicts and child gender preferences of parents: evidence from Nigeria
Sargsyan, Ella
2022 - English
Identifying the impacts of conflicts and understanding the origins of gender gaps are both seemingly unrelated but crucial questions in the literature. Focusing on the gap at the intersection of these two branches of literature, this study explores whether and how longrun exposure to violent conflicts contributes to and shapes the child gender preferences of parents. I use temporal and spatial variations in conflicts in Nigeria and combine the Uppsala Conflict Data Program and the Demographic and Health Surveys Program to perform the analysis. The results show that the effect of long-run exposure to violent conflicts on stated preferences (attitudes) for boys is not homogeneous. While conflict events with low or no civilian death increase preferences for sons, violence targeted at civilians works in the opposite direction and decreases preferences for boys. I find no evidence of translating these preferences into behaviour via sex-selective abortions. Instead, evidence shows that parents use the stopping rule to achieve the desired gender composition of children. Further, analysis also indicates that, in the districts affected by conflict, parents have a positive bias towards boys in terms of their postnatal health investment.
Keywords:
gender preferences; son preference; violent conflicts
Fulltext is available at external website.
Violent conflicts and child gender preferences of parents: evidence from Nigeria
Identifying the impacts of conflicts and understanding the origins of gender gaps are both seemingly unrelated but crucial questions in the literature. Focusing on the gap at the intersection of these ...
Access to financial resources and environmental migration of the poor
Rakhmetova, Aizhamal; Hoffmann, R.; Pytliková, Mariola
2022 - English
Despite an increasing number of studies, there is no scientific consensus on the extent and conditions under which environmental factors influence migration. In particular, little is known about the role played by financial resources that may facilitate or hinder migration under environmental stress. Empirical evidence shows that some households migrate in response to environmental hazards while others remain in place, potentially being trapped due to lack of resources, i.e. poverty constraints. However, little is known about how access to financial resources influences the decision of a household to stay or migrate. On one hand, financial resources can help to alleviate poverty constraints and to cover migration costs, thereby increasing migration (climate-driver mechanism), on the other hand, financial resources can also improve the adaptation capacities of households at the place they reside, and thus reduce migration responses to environmental changes (climate-inhibitor mechanism). To shed light on households’ migration decisions in response to climate shocks depending on their access to financial resources, we utilize rich micro-data from Indonesia and exploit two sources of variation in climate and cash transfers. Our results suggest that better access to financial resources facilitates the climate-inhibitor mechanism for short-term rainfall shocks and natural disasters. At the same time, better accessibility to financial resources enhances the climate-driver mechanism for accumulated rainfall shocks and temperature anomalies.
Keywords:
climate change; migration; financial resources
Fulltext is available at external website.
Access to financial resources and environmental migration of the poor
Despite an increasing number of studies, there is no scientific consensus on the extent and conditions under which environmental factors influence migration. In particular, little is known about the ...
Location choice and dispersal policies: Ukrainian war immigrants in the Czech Republic
Adunts, Davit; Kurylo, Bohdana; Špeciánová, J.
2022 - English
The large influx of Ukrainian immigrant refugees to the Czech Republic fleeing from the war has attracted the attention of many policymakers due to their unequal geographical distribution. The high concentration of refugees in some districts has the potential to burden the school and healthcare systems, as well as the housing market. This project aims to provide an explanation for the unequal distribution of refugees by studying the determinants of refugee location choices in the Czech Republic, including ethnic networks and employment prospects. We provided evidence of a positive association between the number of Ukrainian refugees and (i) the stock of previous Ukrainian immigrants (our measure of ethnic networks) and (ii) the number of available job positions. In addition, we conducted a review of previous studies on the effectiveness of dispersal policies and determined that such policies exert ambiguous effects on refugee labor market integration. Hence, dispersal policies need to consider the integration of refugees and their intentions to remain in the country.
Keywords:
Ukrainian refugees; Czech Republic; geographical distribution
Fulltext is available at external website.
Location choice and dispersal policies: Ukrainian war immigrants in the Czech Republic
The large influx of Ukrainian immigrant refugees to the Czech Republic fleeing from the war has attracted the attention of many policymakers due to their unequal geographical distribution. The high ...
Organization of knowledge and taxation
Kapička, Marek; Slavík, Ctirad
2021 - English
This paper studies how labor income taxation interacts with the organization of knowledge and production, and ultimately the distribution of wages in the economy. A more progressive tax system reduces the time that managers allocate to work. This makes the organization of production less efficient and reduces wages at both tails of the distribution, which increases lower tail wage inequality and decreases upper tail wage inequality. The optimal tax system is substantially less progressive than the current one in the United States. However, if wages were exogenous, the optimal tax progressivity would be much higher.
Keywords:
inequality; knowledge based hierarchies; income taxation
Fulltext is available at external website.
Organization of knowledge and taxation
This paper studies how labor income taxation interacts with the organization of knowledge and production, and ultimately the distribution of wages in the economy. A more progressive tax system reduces ...
Form of preference misalignment linked to state-pooling structure in Bayesian persuasion
Rehák, Rastislav; Senkov, Maxim
2021 - English
We study a Bayesian persuasion model in which the state space is finite, the sender and the receiver have state-dependent quadratic loss functions, and their disagreement regarding the preferred action is of arbitrary form. This framework enables us to focus on the understudied sender’s trade-off between the informativeness of the signal and the concealment of the state-dependent disagreement about the preferred action. In particular, we study which states are pooled together in the supports of posteriors of the optimal signal. We provide an illustrative graph procedure that takes the form of preference misalignment and outputs potential representations of the state-pooling structure. Our model provides insights into situations in which the sender and the receiver care about two different but connected issues, for example, the interaction of a political advisor who cares about the state of the economy with a politician who cares about the political situation.
Keywords:
Bayesian persuasion; strategic state pooling; preference misalignment
Fulltext is available at external website.
Form of preference misalignment linked to state-pooling structure in Bayesian persuasion
We study a Bayesian persuasion model in which the state space is finite, the sender and the receiver have state-dependent quadratic loss functions, and their disagreement regarding the preferred ...
Extension of Working Lives in the Czech Republic: Employee Situation. Policy brief DAISIE project
Křížková, Alena; Dudová, Radka; Pospíšilová, Marie; Heřmanová, Marie
2021 - English
This policy brief summarises research project results examining ageing conditions across three sectors: transport, healthcare and banking. It aims to respond to the still insufficient discussion on the needs and opportunities of women and men of pre-retirement age and in the process of retirement in the Czech labour market. Gender and age inequalities accumulate over the life course resulting in significantly lower pensions for women compared to men or making it impossible to retire with a decent pension. Uniform retirement ages does not suit everyone equally. The organisation of work in specific occupations has specific negative effects on the health of older women and men. Changes in profession, position or working time in pre-retirement age is not easily obtainable. The policy brief suggests recommendations for state and policy makers, employers as well as good practice examples. Also published in Czech: https://www.soc.cas.cz/sites/default/files/publikace/daisie_policy_brief_cz.pdf
Keywords:
ageing; extension of working lives; retirement and pension policy; gender and age inequality; life course
Available in digital repository of the ASCR
Extension of Working Lives in the Czech Republic: Employee Situation. Policy brief DAISIE project
This policy brief summarises research project results examining ageing conditions across three sectors: transport, healthcare and banking. It aims to respond to the still insufficient discussion on ...
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