Age at migration, language proficiency, and socioeconomic outcomes: evidence from Australia

This study estimates the causal effects of language proficiency on the economic and social integration of Australian immigrants. Identifying the effects of languages on socioeconomic outcomes is inherently difficult owing to the endogeneity of language skills. Using the phenomenon that younger children learn languages more easily than older children, we construct an instrumental variable for language proficiency. To achieve this, we consider the age at arrival of immigrants who came as children from Anglophone and non-Anglophone countries. We find a significant positive effect of English proficiency on wages and promotions among adults who immigrated to Australia as children. Higher levels of English proficiency are associated with increased risk-taking, more smoking, and more exercise for men, but have considerable health benefits for women. English language proficiency has a significant influence on partner choice and a number of social outcomes, as well as on children's outcomes, including their levels of academic achievement. The results are robust to alternative specifications, including accounting for between-sibling differences and alternative measures of English skills.

NONFARM ACTIVITY AND POVERTY REDUCTION IN RURAL VIETNAM: 2002-2008

This paper uses the Vietnamese Households Living Standards Surveys of 2002, 2004, 2006and 2008 to examine the effects of nonfarm activity on poverty in rural Vietnam. We show that nonfarm activity helps the poor, but not the poorest, given that households need to own a minimum level of endowment to partake in nonfarm activity. We find an inverted-U shaped relationship between households’ endowment levels and the probability of participating in nonfarm activity. Also, in contrast to previous studies which largely by-passed the endogeneity of nonfarm activity, we instrument it with nonfarm networks, and find that nonfarm activity plays an important role in poverty reduction, however, this impact decreases over time.

Social capital and hygiene practices among the extreme poor in rural Bangladesh

We investigate the effect of social capital on hygiene practices pertaining to lives of the extreme poor in rural Bangladesh. Analysing a unique survey dataset for 5,600 extreme poor households, we document a significant positive effect of social capital on sanitary latrine use and wearing shoes/sandals at home for hygiene. We account for the endogeneity of social capital by instrumental variable estimation. Our findings emphasise the role of social capital in preventing common diseases through improving hygiene practices for the extreme poor, who usually lack access to medical services in the event of illness, which has important policy implications.

Corporate opacity and cost of debt for family firms

This paper uses a sample of Chinese firms to examine the impact of corporate opacity on the relationship between family control and firms’ cost of debt. We find that family control is associated with a lower cost of debt on average, and a negative impact exists mainly in firms with relatively low corporate opacity. We further provide evidence that the moderating effect of corporate opacity becomes more pronounced when investors’ perception of controlling families’ moral hazard of expropriation is higher. Our results are robust to alternative opacity proxies and controlling for endogeneity of family control using the instrumental variable method. Our study highlights that controlling families are heterogeneous in their impact on the shareholder–debtholder relationship in family firms, and debtholders view corporate opacity as an important reference in assessing the extent of potential agency conflicts in China.

Determinants of non-life insurance expenditure in developed and developing countries: an empirical investigation

The determinants of non-life insurance expenditure in a panel data set covering 36 developed countries and 31 developing countries for the period 2000–2011 are analysed. Results of our instrumental variable analysis indicate that economic freedom, income, bank development, urbanization, culture and law systems are the key drivers of the non-life insurance expenditure across countries. However, their impacts differ significantly between the groups of developed and developing countries, suggesting that the heterogeneity among countries in terms of the level of development plays an important role. The global financial crisis is also found to influence the direction of those effects, especially in developed countries. The article yields useful policy and economic implications for governments and multinational non-life insurance companies with regard to the development of the non-life insurance sector, an important engine for economic growth and prosperity.

Bureaucratic corruption and income : evidence from the land sector in Bangladesh

We examine, for the first time, the effects of corruption on income using household survey data from a developing country. Estimating the effects of corruption on income is challenging because of the simultaneous relationship between the two variables. We use a two-step instrumental variable approach to identify the effects of corruption on income. We find that after adjusting for simultaneity bias the act of bribery reduces income and that higher bribes have a negative effect on income. Taken together, our results provide a possible explanation why a vicious cycle between corruption and income inequality does not exist in the land sector in Bangladesh.

The regional impact of cultural diversity on wages: evidence from Australia

This paper investigates the impact of cultural diversity on labour market outcomes, particularly on wages across regions using a large longitudinal data. We apply an instrumental variable approach and account for individual and time fixed effects. Our findings indicate that the current level of cultural diversity positively affected current regional weekly wages; however, the positive effect holds only partially when the diversity is lagged. The results appear to be robust in all estimations controlling for heterogeneity factors and accounting for the self-selection of individuals into places with better economic opportunities. Our findings concerning the effect of lagging on the effect of diversity may explain the variation in the literature where some studies report that cultural diversity increases wages across time while others do not.

Determination of drawbead contacts with variable bead penetration

In stamping operations, the sliding of the sheet metal over the drawbeads is of great importance. The geometry of the drawbead and the degree of penetration both influence material flow and alter the frictional effects between the work and the tool. The effect of drawbead penetration over drawbeads has been studied using the Drawbead Simulator (DBS) test. The contact phenomenon between the sheet and drawbeads was analysed by examining deformed samples with an image fitting technique. The results were compared with an FE simulation and with an approximate geometric analysis. The results give a useful relationship between the rates of change of the contact angle with increasing bead penetration.

Automotive can network response time analysis with variable jitter

Many methods to calculate message latencies for Controller Area Network (CAN) have previously been presented based upon the static worst-case behaviour of the system. With the use of modern simulation tools however, the behaviour of CAN networks can be simulated dynamically in order to find the likely worst-case response times for CAN messages. This paper shows the development of an automotive body control network model to be used as the basis for further simulations. A method to simulate the Worst-Case Response Time of this model is then presented, taking into account random queuing jitter.

The eight variable homogeneous degree three bent functions

We determine the affine equivalence classes of the eight variable degree three homogeneous bent functions using a new algorithm. Our algorithm applies to general bent functions and can systematically determine the automorphism groups. We provide a partial verification of the computer enumeration of bent functions by Meng et al.

Analysis of work hardening and recrystallization during the hot working of steel using a statistically based internal variable model

A mathematical model has been developed which describes the hot deformation and recrystallization behavior of austenite using a single internal variable: dislocation density. The dislocation density is incorporated into equations describing the rate of recovery and recrystallization. In each case no distinction is made between static and dynamic events, and the model is able to simulate multideformation processes. The model is statistically based and tracks individual populations of the dislocation density during the work-hardening and softening phases. After tuning using available data the model gave an accurate prediction of the stress–strain behavior and the static recrystallization kinetics for C–Mn steels. The model correctly predicted the sensitivity of the post deformation recrystallization behavior to process variables such as strain, strain rate and temperature, even though data for this were not explicitly incorporated in the tuning data set. In particular, the post dynamic recrystallization (generally termed metadynamic recrystallization) was shown to be largely independent of strain and temperature, but a strong function of strain rate, as observed in published experimental work.

Iterative variable aggregation and disaggregation in IP : an application

This paper, using the Unconstrained Shape Matrix Optimization Problem as a test bed, we investigate various aspects of variable aggregation and disaggregation for a class of integer programs that contains binary expansion. We present theoretical and numerical results, and propose an iterative algorithm for exact solutions.