California's School Finance Reform: An Experiment in Fiscal Federalism

The 1971 ruling of the California Supreme Court in the case of Serrano v. Priest initiated a chain of events that abruptly ended local financing of public schools in California. In seven short years, California transformed its school finance system from a decentralized one in which local communities chose how much to spend on their schools to a centralized one in which the state legislature determines the expenditures of every school district. This paper begins by describing California's school finance system before Serrano and the transformation from local to state finance. It then delineates some consequences of that transformation and draws lessons from California's experience with school finance reform.

Efficiency and Continuity in Public Finance: The Ottoman System of Taxation

Economic historians have recently emphasized the importance of integrating economic and historical approaches in studying institutions. The literature on the Ottoman system of taxation, however, has continued to adopt a primarily historical approach, using ad hoc categories of classification and explaining the system through its continuities with the historical precedent. This paper integrates economic and historical approaches to examine the structure, efficiency, and regional diversity of the tax system. The structure of the system made it possible for the Ottomans to economize on the transaction cost of measuring the tax base. Regional variations resulted from both efficient adaptations and institutional rigidities.

International Money and Finance

We discuss the effectiveness of pegged exchange rate regimes from an historical perspective, drawing conclusions for their effectiveness today. Starting with the classical gold standard period, we point out that a succession of pegged regimes have ended in failure; except for the first, which was ended by the outbreak of World War I, all of the others we discuss have been ended by adverse economic developments for which the regimes themselves were partly responsible. Prior to World War II the main problem was a shortage of monetary gold that we argue is implicated as a cause of the Great Depression. After World War II, more particularly from the late-1960s, the main problem has been a surfeit of the main international reserve asset, the US dollar. This has led to generalized inflation in the 1970s and into the 1980s. Today, excessive dollar international base money creation is again a problem that could have serious consequences for world economic stability.

Risk, Transaction Costs, and Tax Assignment: Government Finance in the Ottoman Empire

Risk and transaction costs often provide competing explanations of institutional outcomes. In this paper we argue that they offer opposing predictions regarding the assignment of fixed and variable taxes in a multi-tiered governmental structure. While the central government can pool regional risks from variable taxes, local governments can measure variable tax bases more accurately. Evidence on tax assignment from the mid-sixteenth century Ottoman Empire supports the transaction cost explanation, suggesting that risk matters less because insurance can be obtained in a variety of ways.

Using spatial linear models with SAR and CAR structure to examine Texas lung cancer incidence rates

Scholars have found that socioeconomic status was one of the key factors that influenced early-stage lung cancer incidence rates in a variety of regions. This thesis examined the association between median household income and lung cancer incidence rates in Texas counties. A total of 254 individual counties in Texas with corresponding lung cancer incidence rates from 2004 to 2008 and median household incomes in 2006 were collected from the National Cancer Institute Surveillance System. A simple linear model and spatial linear models with two structures, Simultaneous Autoregressive Structure (SAR) and Conditional Autoregressive Structure (CAR), were used to link median household income and lung cancer incidence rates in Texas. The residuals of the spatial linear models were analyzed with Moran's I and Geary's C statistics, and the statistical results were used to detect similar lung cancer incidence rate clusters and disease patterns in Texas.^

Growth and public finance in Bihar

This paper explores the causal links between the role of public finance and Bihar's growth and development in the last decade; and argues that these links are tenuous. Bihar's growth acceleration precedes the ‘policy reforms' in public finance based on the ‘good governance' agenda initiated since 2005-06. However, the constraints on sustaining efforts to close Bihar's development gap with the rest of India stems from the nature of the growth process in its regional, sectoral and social dimensions and the contradictory means and ends of the ‘policy reforms' in public finance. Together, this has not only prevented the economic growth to add to public coiffeurs of the state but also occluded the role of tax institutions.

FTA in international finance : impacts of exchange rates on FTA utilization

This paper investigates how exchange rates affect the utilization of a free trade agreement (FTA) scheme in trading. Changes in exchange rates affect FTA utilization by two ways. The first way is by changing the excess profits gained by utilizing the FTA scheme, and the second way is by promoting the compliance of rules of origin. Our theoretical models predict that the depreciation of exporters' currency against that of importers enhances the likelihood of FTA utilization through those two channels. Furthermore, our empirical analysis, which is based on rich tariff-line-level data on the utilization of FTA schemes in Korea's imports from ASEAN countries, supports the theoretical prediction. We also show that the effects are smaller for more differentiated products.

Excess capital and bank behavior : evidence from Indonesia

The Indonesian banking sector has been restructured since Asian financial crisis and restored to soundness. The capital adequacy ratio (CAR) returned to a sound level; however, the average excess capital has become too high, while credit disbursement has remained low. This paper investigates the determinants of excess capital among Indonesian banks and its effects on credit growth during the 2000s. The results indicate that the determinants of excess capital vary widely depending on bank type. Return on equity (ROE) affects excess capital negatively among domestic banks, and the effect of non-performing loans is mixed, differing for various bank types. Excess capital affects credit growth positively, except among foreign banks.

A Visual AGV-Urban Car using Fuzzy Control

The goal of the work described in this paper is to develop a visual line guided system for being used on-board an Autonomous Guided Vehicle (AGV) commercial car, controlling the steering and using just the visual information of a line painted below the car. In order to implement the control of the vehicle, a Fuzzy Logic controller has been implemented, that has to be robust against curvature changes and velocity changes. The only input information for the controller is the visual distance from the image center captured by a camera pointing downwards to the guiding line on the road, at a commercial frequency of 30Hz. The good performance of the controller has successfully been demonstrated in a real environment at urban velocities. The presented results demonstrate the capability of the Fuzzy controller to follow a circuit in urban environments without previous information about the path or any other information from additional sensors

Influence of driving style on fuel consumption and Emissions in diesel-powered passenger car

This paper presents the main results of a study on the influence of driving style on fuel consumption and pollutant emissions of diesel passenger car in urban traffic. Driving styles (eco, normal or aggressive) patterns were based on the “eco-driving” criteria. The methodology is based on on-board emission measurements in real urban traffic in the city of Madrid. Five diesel passenger cars, have been tested. Through a statistical analysis, a Dynamic Performance Index was defined for diesel passenger cars. Likewise, the CO, NOX and HC emissions were compared for each driving style for the tested vehicles. Eco-driving reduces by 14% fuel consumption and CO2 emissions, but aggressive driving increase consumption by 40%. Aggressive driving increases NOX emission by more than 40%. CO and HC, show different trends, but being increased in eco-driving style.

Proposal of a dynamic performance index to analyze driving pattern effect on car emissions

The contributions of driver behaviour as well as surrounding infrastructure are decisive on pollutant emissions from vehicles in real traffic situations. This article deals with the preliminary study of the interaction between the dynamic variables recorded in a vehicle (driving pattern) and pollutant emissions produced over a given urban route. It has been established a “dynamic performance index”-DPI, which is calculated from some driving pattern parameters, which in turn depends on traffic congestion level and route characteristics, in order to determine whether the driving has been aggressive, normal or calm. Two passenger cars instrumented with a portable activity measurement system -to record dynamic variables- and on-board emission measurement equipment have been used. This study has shown that smooth driving patterns can reduce up to 80% NOX emissions and up to 20% of fuel in the same route