Realization spaces of algebraic structures on chains

E-print/Working paper (2015)

Given an algebraic structure on the homology of a chain complex, we define its realization space as a Kan complex whose vertices are the structures up to homotopy realizing this structure at the homology ... [more ▼]

Given an algebraic structure on the homology of a chain complex, we define its realization space as a Kan complex whose vertices are the structures up to homotopy realizing this structure at the homology level. Our algebraic structures are parametrised by props and thus include various kinds of bialgebras. We give a general formula to compute subsets of equivalences classes of realizations as quotients of automorphism groups, and determine the higher homotopy groups via the cohomology of deformation complexes. As a motivating example, we compute subsets of equivalences classes of realizations of Poincar\'e duality for several examples of manifolds. [less ▲]

How a Brexit Would Influence the British Economy. A Four-Part Brexit Blog

E-print/Working paper (2015)

Flat Z-graded connections and loop spaces

E-print/Working paper (2015)

The pull back of a flat bundle E→X along the evaluation map π:LX→X from the free loop space LX to X comes equipped with a canonical automorphism given by the holonomies of E. This construction naturally ... [more ▼]

The pull back of a flat bundle E→X along the evaluation map π:LX→X from the free loop space LX to X comes equipped with a canonical automorphism given by the holonomies of E. This construction naturally generalizes to flat Z-graded connections on X. Our main result is that the restriction of this holonomy automorphism to the based loop space ΩX of X provides an A-infinity quasi-equivalence between the dg category of flat Z-graded connections on X and the dg category of representations of C(ΩX), the dg algebra of singular chains on ΩX. [less ▲]

Regular and irregular holonomic D-modules

E-print/Working paper (2015)

What Drives Exchange Rates? Reassessing Currency Return Predictability

E-print/Working paper (2015)

We compute a variance decomposition for the log exchange rate based on a present-value relation. At long horizons, return predictability drives the variation in the exchange rate while predictability of ... [more ▼]

We compute a variance decomposition for the log exchange rate based on a present-value relation. At long horizons, return predictability drives the variation in the exchange rate while predictability of future interest rate differentials plays a secondary role. At shorter horizons, the dominant source is predictability of the future spot rate. There is more return predictability and less interest spread and exchange rate predictability in the case of real exchange rates compared to nominal exchange rates. An alternative decomposition based on a first-order VAR tends to overstate the importance of predictability of future interest spreads and exchange rates. [less ▲]

New Grand-Ducal Regulation on Protection of Minors in Audiovisual Media Services

E-print/Working paper (2015)

Horizontal holonomy and foliated manifolds

E-print/Working paper (2015)

We introduce horizontal holonomy groups, which are groups defined using parallel transport only along curves tangent to a given subbundle D of the tangent bundle. We provide explicit means of computing ... [more ▼]

We introduce horizontal holonomy groups, which are groups defined using parallel transport only along curves tangent to a given subbundle D of the tangent bundle. We provide explicit means of computing these holonomy groups by deriving analogues of Ambrose-Singer’s and Ozeki’s theorems. We then give necessary and sufficient conditions in terms of the horizontal holonomy groups for existence of solutions of two problems on foliated manifolds: determining when a foliation can be either (a) totally geodesic or (b) endowed with a principal bundle structure. The subbundle D plays the role of an orthogonal complement to the leaves of the foliation in case (a) and of a principal connection in case (b). [less ▲]

New Grand-Ducal Regulation on the film fund for audiovisual production

E-print/Working paper (2015)

New Act on the film fund for audiovisual production

E-print/Working paper (2015)

Invariant connections and PBW theorem for Lie groupoid pairs

E-print/Working paper (2015)

Given a closed wide Lie subgroupoid $\mathbf{A}$ of a Lie groupoid $\mathbf{L}$, i.e. a Lie groupoid pair, we interpret the associated Atiyah class as the obstruction to the existence of $\mathbf{L ... [more ▼]

Given a closed wide Lie subgroupoid $\mathbf{A}$ of a Lie groupoid $\mathbf{L}$, i.e. a Lie groupoid pair, we interpret the associated Atiyah class as the obstruction to the existence of $\mathbf{L}$-invariant fibrewise affine connections on the homogeneous space $\mathbf{L}/\mathbf{A}$. For Lie groupoid pairs with vanishing Atiyah class, we show that the left $\mathbf{A}$-action on the quotient space $\mathbf{L}/\mathbf{A}$ can be linearized. In addition to giving an alternative proof of a result of Calaque about the Poincare-Birkhoff-Witt map for Lie algebroid pairs with vanishing Atiyah class, this result specializes to a necessary and sufficient condition for the linearization of dressing actions, and gives a clear interpretation of the Molino class as an obstruction to simultaneous linearization of all the monodromies. In the course of the paper, a general theory of connections and connection forms on Lie groupoid principal bundles is developed. Also, a computational substitute to the adjoint action (which only exists "up to homotopy") is suggested. [less ▲]

Regards sur la violence

E-print/Working paper (2014)

Dans le cadre de l’enquête sur la sécurité 2013, 3 025 résidants ont été interrogés sur divers délits violents éventuellement subis. Il en ressort que 17% des personnes interviewées ont été harcelées au ... [more ▼]

Dans le cadre de l’enquête sur la sécurité 2013, 3 025 résidants ont été interrogés sur divers délits violents éventuellement subis. Il en ressort que 17% des personnes interviewées ont été harcelées au cours des 5 années précédant l’enquête (harcèlement moral / menaces / brimades), 4% ont été victimes de vols avec violence, 9% ont subi des violences physiques et 4% ont été victimes de violence sexuelle. Globalement, les jeunes résidants étaient plus exposés que les moins jeunes. Les hommes ont été deux fois plus souvent victimes de vols avec violence que les femmes alors que ces dernières ont beaucoup plus fréquemment vécu des agressions sexuelles. Les victimes de violence sexuelle ont également subi plus fréquemment de la violence physique. La classe d’âges des 25 – 34 ans se dit la moins inquiète par des atteintes physiques, même si elle est la plus concernée. Les hommes les appréhendent également moins que les femmes alors qu’ils en sont presque aussi souvent victimes. Parmi les personnes ayant subi de la violence physique entre 2008 et 2012, 38% en ont été victimes à plusieurs reprises. La plupart des agressions ont eu lieu au Grand-Duché (86%) et l’agresseur a le plus souvent agi seul (70%). 33% des victimes connaissaient leurs agresseurs de nom et dans 26% de ces cas il s’agissait de l’ex-conjoint. [less ▲]

Mutual trust and transnational ne bis in idem: a further step made by the CJEU (C-398/12, M., 5 June 2014)

E-print/Working paper (2014)

Essential Inputs and Unbounded Output: an Alternative Characterization of the Neoclassical Production Function

E-print/Working paper (2014)

The Inada (1963) conditions constitute a defining property of the neoclassical production function with capital and labor as arguments. Are these conditions justifiable on economic grounds? Yes, they are ... [more ▼]

The Inada (1963) conditions constitute a defining property of the neoclassical production function with capital and labor as arguments. Are these conditions justifiable on economic grounds? Yes, they are: we show that a production function with positive, yet diminishing marginal products and constant returns to scale satisfies the Inada conditions if i) both inputs are essential and ii) an unbounded quantity of either input leads to unbounded output. This allows for an alternative characterization of the neoclassical production function that altogether dispenses with the Inada conditions. Moreover, we establish that the marginal product of capital vanishes as capital goes to infinity if labor is an essential input. Given the intuitive appeal of the latter feature, we conclude that the neoclassical growth model is a theory of eventual stagnation. [less ▲]

Language and migration into Luxembourg

E-print/Working paper (2014)

This is the second in a series of research briefs in the STAR project. STAR stands for “Sociolinguistic trajectories and repertoires: Luso-Luxo-African identifications, interactions and imaginations”, and ... [more ▼]

This is the second in a series of research briefs in the STAR project. STAR stands for “Sociolinguistic trajectories and repertoires: Luso-Luxo-African identifications, interactions and imaginations”, and is a three-year CORE research project funded by FNR, Luxembourg. This multi-sited project contributes to the field of sociolinguistics of globalization by investigating language and migration between the global South (Cape Verde and Guinea Bissau) and the global North (Luxembourg) from the perspective of both accomplished and aspiring migrants. In this second research brief we outline sociolinguistic aspects of migration into Luxembourg, with a focus on its Lusophone population. [less ▲]

Minimal diffeomorphism between hyperbolic surfaces with cone singularities

E-print/Working paper (2014)

We prove the existence of a minimal diffeomorphism isotopic to the identity between two hyperbolic cone surfaces (Σ,g1) and (Σ,g2) when the cone angles of g1 and g2 are different and smaller than π. When ... [more ▼]

We prove the existence of a minimal diffeomorphism isotopic to the identity between two hyperbolic cone surfaces (Σ,g1) and (Σ,g2) when the cone angles of g1 and g2 are different and smaller than π. When the cone angles of g1 are strictly smaller than the ones of g2, this minimal diffeomorphism is unique. [less ▲]

How Do Migrants Save? Evidence from the British Household Panel Survey on Temporary and Permanent Migrants versus Natives

E-print/Working paper (2014)

The C*-algebras of connected real two-step nilpotent Lie groups

E-print/Working paper (2014)

Using the operator valued Fourier transform, the C*-algebras of connected real two-step nilpotent Lie groups are characterized as algebras of operator fields defined over their spectra. In particular, it ... [more ▼]

Using the operator valued Fourier transform, the C*-algebras of connected real two-step nilpotent Lie groups are characterized as algebras of operator fields defined over their spectra. In particular, it is shown by explicit computations, that the Fourier transform of such C*-algebras fulfills the norm controlled dual limit property. [less ▲]

Study of formality for the Heisenberg algebra

E-print/Working paper (2014)

In this paper, we compute the Chevalley-Eilenberg cohomology of the three-dimensional Heisenberg Lie algebra with values in its universal enveloping algebra. We also compute the Schouten brackets on ... [more ▼]

In this paper, we compute the Chevalley-Eilenberg cohomology of the three-dimensional Heisenberg Lie algebra with values in its universal enveloping algebra. We also compute the Schouten brackets on cochains and cohomology level in order to write the formality equations. It turns out that there is no formality, and that the perturbed L∞ structure on the cohomology has non-trivial terms in infinitely many degrees. [less ▲]

Regards sur la protection des logements privés et la vidéo-surveillance publique

E-print/Working paper (2014)

70% des résidents pensent que la vidéo-surveillance des lieux publics au Luxembourg augmente leur sécurité personnelle, 23% pensent qu’elle n’a pas d’impact et 3% sont même d’avis que la vidéosurveillance ... [more ▼]

70% des résidents pensent que la vidéo-surveillance des lieux publics au Luxembourg augmente leur sécurité personnelle, 23% pensent qu’elle n’a pas d’impact et 3% sont même d’avis que la vidéosurveillance diminue leur propre sécurité. Les personnes qui craignent d’être agressées physiquement ou qui sont inquiètes d‘être victimes d'une attaque terroriste, celles qui trouvent probable d’être victime d’un cambriolage ou d’un vol avec violence, celles qui ne se sentent pas en sécurité dans leur quartier de résidence et celles qui sont d’avis que la criminalité au Luxembourg a progressé au cours des dernières années, s’attendent plutôt à une augmentation de leur sécurité par les systèmes de surveillance sur certains lieux publics. Par contre les résidents qui effectivement ont été victimes d’un délit ou ceux qui sont confrontés à des problèmes de drogues dans leur quartier résidentiel, ont des doutes quant à l’efficacité de la vidéo-surveillance. Les jeunes sont les plus sceptiques. Par ailleurs, 27% des logements sont équipés d’un système d'alarme et 57% ont des portes de sécurité. On retrouve plus souvent ces deux mesures de sécurité dans les maisons unifamiliales que dans les maisons en rangée ou dans les appartements. En outre, la présence de systèmes d'alarme et de portes de sécurité est fortement liée au revenu du ménage. Quant à la possession d'armes à feu en tant que mesure de sécurité elle joue un rôle mineur : seulement 6% des répondants ont déclaré posséder des armes à feu et parmi eux un-tiers évoquent la prévention et la protection contre les crimes pour justifier la présence d’armes à feu chez eux. [less ▲]

The Codimension-Three conjecture for holonomic DQ-modules

E-print/Working paper (2014)

We prove an analogue for holonomic DQ-modules of the codimension-three conjecture for microdifferential modules recently proved by Kashiwara and Vilonen. Our result states that any holonomic DQ-module ... [more ▼]

We prove an analogue for holonomic DQ-modules of the codimension-three conjecture for microdifferential modules recently proved by Kashiwara and Vilonen. Our result states that any holonomic DQ-module having a lattice extends uniquely beyond an analytic subset of codimension equal to or larger than three in a Lagrangian subvariety containing the support of the DQ-module. [less ▲]

Regards sur l'évaluation du travail de la police

E-print/Working paper (2014)

86% de la population estiment que la Police Grand-Ducale réalise du « bon », voire du « très bon » travail. L’évaluation du travail de la police est ainsi légèrement meilleure que pour les tribunaux. En ... [more ▼]

86% de la population estiment que la Police Grand-Ducale réalise du « bon », voire du « très bon » travail. L’évaluation du travail de la police est ainsi légèrement meilleure que pour les tribunaux. En effet, concernant les tribunaux, 75% de la population trouvent qu’ils effectuent du « (très) bon » travail. Une différence existe dans l’appréciation du travail de la police chez les personnes victimes et non-victimes. Parmi les personnes qui n’ont été victimes d’aucun des 14 délits pris en compte par l’enquête au cours des 5 dernières années, 91% sont d’avis que la police fait du « (très) bon » travail. Les victimes, elles, sont 82% à partager cet avis. L’évaluation varie selon la nature et le lieu du délit dont les résidents ont été victimes. 88% des victimes d’un délit ayant eu lieu à l’étranger jugent comme « (très) bon » le travail policier. Ce chiffre descend à 79% pour les victimes de délits qui se sont produits sur le territoire national. Concernant la nature du délit, les victimes de délits sans violence ont une meilleure opinion du travail de la police que les victimes de délits avec violence (82% contre 71%). 89% des victimes qui ont rapporté le délit à la police et qui ont été « très satisfaits » par la manière dont leur affaire personnelle a été traitée pensent que le travail de la Police Grand-Ducale est « (très) bon ». Si par contre les victimes étaient « très insatisfaits » par le traitement de leur dossier, ils sont moins enclins (45%) à évaluer comme « (très) bon » le travail de la police. [less ▲]

Irreducible decomposition for local representations of quantum Teichmüller space

E-print/Working paper (2014)

We give an irreducible decomposition of the so-called local representations \cite{math/0407086} of the quantum Teichmüller space $\mathcal{T}_q(\Sigma)$ where $\Sigma$ is a punctured surface of genus $g>0 ... [more ▼]

We give an irreducible decomposition of the so-called local representations \cite{math/0407086} of the quantum Teichmüller space $\mathcal{T}_q(\Sigma)$ where $\Sigma$ is a punctured surface of genus $g>0$ and $q$ is a $N$-th root of unity with $N$ odd. [less ▲]

The Welfare State and Anti-Poverty Policy in Rich Countries

E-print/Working paper (2014)

This paper is prepared as a chapter for the Handbook of Income Distribution, Volume 2 (edited by A. B. Atkinson and F. Bourguignon, Elsevier-North Holland, forthcoming). Like the other chapters in the ... [more ▼]

This paper is prepared as a chapter for the Handbook of Income Distribution, Volume 2 (edited by A. B. Atkinson and F. Bourguignon, Elsevier-North Holland, forthcoming). Like the other chapters in the volume (and its predecessor), the aim is to provide a comprehensive review of a particular area of research. The aim of this chapter is to highlight some key aspects of recent economic research on the welfare state and anti-poverty policy in rich countries, and explore their implications. We begin with the conceptualisation and measurement of poverty, before sketching out some core features and approaches to the welfare state and anti-poverty policies. We then focus on the central plank of the modern welfare state’s efforts to address poverty, namely social protection, discussing in turn the inactive working-age population, child income support, in-work poverty, and retirement and old-age pensions. After that we discuss social spending on other than cash transfers: the labour market, education, training and activation, and finally intergenerational transmission, childhood and neighbourhoods. We also discuss the welfare state and anti-poverty policy in the context of the economic crisis which began in 2007-8, and the implications for strategies aimed at combining economic growth and employment with making serious inroads into poverty. We conclude with highlighting directions for future research. [less ▲]

Migration: a burden or a blessing for the natives

E-print/Working paper (2014)

Irregular holonomic kernels and Laplace transform

E-print/Working paper (2014)

Universal plane curve and moduli spaces of 1-dimensional coherent sheaves

E-print/Working paper (2014)

We show that the universal plane curve M of fixed degree d > 2 can be seen as a closed subvariety in a certain Simpson moduli space of 1-dimensional sheaves on a projective plane contained in the stable ... [more ▼]

We show that the universal plane curve M of fixed degree d > 2 can be seen as a closed subvariety in a certain Simpson moduli space of 1-dimensional sheaves on a projective plane contained in the stable locus. The universal singular locus coincides with the subvariety of M consisting of sheaves that are not locally free on their support. It turns out that the blow up of M along M' may be naturally seen as a compactification of M_B = M\M' by vector bundles (on support). [less ▲]

Global competition for attracting talents and the world economy

E-print/Working paper (2014)

Foreign direct investment with endogenous technology choice

E-print/Working paper (2014)

In this paper, we analyze optimal foreign direct investment of a firm which operates in a duopolistic market. We characterize a technology spillover threshold and show that for an intensity of spillovers ... [more ▼]

In this paper, we analyze optimal foreign direct investment of a firm which operates in a duopolistic market. We characterize a technology spillover threshold and show that for an intensity of spillovers below this threshold, there is a unique locally asymptotic stable steady state with a positive capital stock in the developing country. Furthermore, we characterize how optimal foreign investment patterns and the investor’s value function depend on the level of technology transferred and characterize the optimal level to be used for the foreign direct investment. [less ▲]

Some insights on bicategories of fractions - III

E-print/Working paper (2014)

We fix any bicategory A together with a class of morphisms W_A, such that there is a bicategory of fractions A[W_A^{-1}] (as described by D. Pronk). Given another such pair (B,W_B) and any pseudofunctor F ... [more ▼]

We fix any bicategory A together with a class of morphisms W_A, such that there is a bicategory of fractions A[W_A^{-1}] (as described by D. Pronk). Given another such pair (B,W_B) and any pseudofunctor F : A → B, we find necessary and sufficient conditions in order to have an induced equivalence of bicategories from A[W_A^{-1}] to B[W_B^{-1}]. In particular, this gives necessary and sufficient conditions in order to have an equivalence from any bicategory of fractions A[W_A^{-1}] to any given bicategory B. [less ▲]

Some insights on bicategories of fractions – I

E-print/Working paper (2014)

In this paper we investigate the construction of bicategories of fractions originally described by D. Pronk: given any bicategory C together with a suitable class of morphisms W, one can construct a ... [more ▼]

In this paper we investigate the construction of bicategories of fractions originally described by D. Pronk: given any bicategory C together with a suitable class of morphisms W, one can construct a bicategory C[W^{-1}], where all the morphisms of W are turned into internal equivalences, and that is universal with respect to this property. Most of the descriptions leading to such a construction were long and heavily based on the axiom of choice. In this paper we simplify considerably the constructions of associators, vertical and horizontal compositions in a bicategory of fractions, thus proving that the axiom of choice is not needed under certain conditions. The simplified description of associators and 2-compositions will also play a crucial role in the next papers of this series. [less ▲]

ALIA rejects plans for new radio station

E-print/Working paper (2014)

Regesten Kaiser Sigismunds (1410 – 1437) nach Archiven und Bibliotheken geordnet herausgegeben von Karel Hruza. Online – Supplement zu J. F. Böhmer, Regesta Imperii XI herausgegeben von der Österreichischen Akademie der Wissenschaften – Regesta Imperii – und der Deutschen Komission für die Bearbeitung der Regesta Imperii bei der Akademie der Wissenschaften und der Literatur Mainz. Die Urkunden und Briefe aus dem Ungarischen Staatsarchiv zu Budapest in Auswahl nach dem Zsigmondkori oklevéltár übersetzt und neubearbeitet von Márta Kondor und Anna Jagošová. Vol. 1. 1410-1411.

E-print/Working paper (2014)

The ‘Franco-German duo’ and Europe as seen in cartoons (1945–2013)

E-print/Working paper (2014)

The ePublication ‘The “Franco-German duo” and Europe as seen in cartoons (1945–2013)’ uses French and German press illustrations to explore the joint action of successive French Presidents and German ... [more ▼]

The ePublication ‘The “Franco-German duo” and Europe as seen in cartoons (1945–2013)’ uses French and German press illustrations to explore the joint action of successive French Presidents and German Chancellors as the driving force of European integration. The rapprochement that began in the early years after the Second World War between France and Germany, two countries that had been long-standing enemies, followed a unique path. The image of a ‘Franco-German duo’ and the pair’s actions have proved an unending source of inspiration for French and German Press cartoonists. It shows how they have experienced, perceived and illustrated this Franco-German partnership, which has continued to evolve during the turbulent history of European integration. This comparative analysis reflects the convergences and divergences within this unique pairing and demonstrates the ever-changing balance of power within the partnership. The cartoons also reveal the fact that there is often a discrepancy between official photos and the reality of the Franco-German relationship. Although the Franco-German duo and its ability to act for the organisation of Europe have at times proved fragile, with periods of tension but also of continuity, the relationship between the various West German Chancellors and French Presidents has made an often decisive contribution to the pursuit and revival of European integration. Over 400 cartoons published in the French and German press reflect the key moments in Franco-German relations and emphasise how this ‘marriage of convenience’ between two leaders has influenced the European integration process, illustrating both the successes and failures of the duo. The selected cartoons provide an often cheeky, sarcastic interpretation of the Franco-German duo, that special relationship, which, despite its periods of tension and crisis, has always bounced back and has often served as a driving force for European unification. The cartoons reflect the two leaders’ attitudes to the challenges of the European integration process, painting an often humorous but at times openly critical picture of this bilateral relationship. [less ▲]

The cultural transmission of Environmental preferences: Evidence from International Migration

E-print/Working paper (2014)

Spectral Sequence Motif Discovery

E-print/Working paper (2014)

Sequence discovery tools play a central role in several fields of computational biology. In the framework of Transcription Factor binding studies, motif finding algorithms of increasingly high performance ... [more ▼]

Sequence discovery tools play a central role in several fields of computational biology. In the framework of Transcription Factor binding studies, motif finding algorithms of increasingly high performance are required to process the big datasets produced by new high-throughput sequencing technologies. Most existing algorithms are computationally demanding and often cannot support the large size of new experimental data. We present a new motif discovery algorithm that is built on a recent machine learning technique, referred to as Method of Moments. Based on spectral decompositions, this method is robust under model misspecification and is not prone to locally optimal solutions. We obtain an algorithm that is extremely fast and designed for the analysis of big sequencing data. In a few minutes, we can process datasets of hundreds of thousand sequences and extract motif profiles that match those computed by various state-of-the-art algorithms. [less ▲]

Travailleurs frontaliers dans la Grande Région SaarLorLux (1998-2008)

E-print/Working paper (2014)

With 201,785 cross-border employees, the Grande Région has a quarter of the cross-border workers in the 27 EU countries. 73% of cross-border commuters in the Grande Région work in Luxembourg, where they ... [more ▼]

With 201,785 cross-border employees, the Grande Région has a quarter of the cross-border workers in the 27 EU countries. 73% of cross-border commuters in the Grande Région work in Luxembourg, where they account for 44% of the local workforce - a trend that is still rising. Half of them come from France and about a quarter from Belgium or Germany. 14% of cross-border commuters in the Greater Region work in Wallonia, almost all of them from France. Finally, Saarland is the third largest employer of cross-border workers, with almost 10% of border workers in the Greater Region. Among the "French" workers coming to work in Saarland, however, there is a third of atypical cross-border workers, i.e. Germans who live in Lorraine and work in Saarland. [less ▲]

Hedge Fund Innovation

E-print/Working paper (2014)

We study first-mover advantages in the hedge fund industry by clustering hedge funds based on the type of assets and instruments they trade in, sector and investment focus, and fund details. We find that ... [more ▼]

We study first-mover advantages in the hedge fund industry by clustering hedge funds based on the type of assets and instruments they trade in, sector and investment focus, and fund details. We find that early entry in a cluster is associated with higher excess returns, longer survival, higher incentive fees and lower management fees compared to funds that arrive later. Moreover, the latest entrants have a high loading on the returns of the innovators, but with lower incentive fees, and higher management fees. Cross-sectional regressions show that the out-performance of innovating funds are declining with age. The results are robust to different parameters of clustering and backfill-bias, and are not driven by the possible existence of flagship and follow-on funds. Our results show that the reported characteristics of hedge funds can be used to infer strategy-related information and suggest that specific first-mover advantages exist in the hedge fund industry. [less ▲]

Ripple Effects from Industry Defaults

E-print/Working paper (2014)

CSR in an Asymmetric Duopoly with Environmental Externalities

E-print/Working paper (2014)

Specific Markov-switching behaviour for ARMA parameters

E-print/Working paper (2014)

Change-point (CP) and Markov-switching (MS) Auto-regressive models have been intensively discussed over the last two decades due to their flexibility and their relatively simple estimations. Although CP ... [more ▼]

Change-point (CP) and Markov-switching (MS) Auto-regressive models have been intensively discussed over the last two decades due to their flexibility and their relatively simple estimations. Although CP- and MS-ARMA models constitute a natural extension, they have been barely studied. The main reason comes from that classical inference fails when estimating these models. In particular the CP- and MS-ARMA models exhibit path dependence problem that renders the likelihood out of reach. We propose an estimation method that circumvents the issue. Our MCMC algorithm resting on the sticky in.finite hidden Markov-switching model (sticky IHMM) self-determines the number of regimes as well as the specification : CP or MS. Furthermore, the CP and MS frameworks usually assume that all the model parameters vary from one regime to another. We relax this restrictive assumption. As illustrated by simulations realized on moderate samples (300 observations), the sticky IHMM-ARMA algorithm detects which parameters of the model change over regimes. Applications to the U.S. GDP growth and the DJIA realized volatility highlight this flexibility by estimating different structural breaks for the mean and the variance parameters. [less ▲]

Dissecting the Act of God: An Exploration of the effect of Religion on Economic Activity

E-print/Working paper (2014)

This research establishes that religiosity has a persistent effect on economic outcomes. First we use a sample of migrants in the US to establish that religiosity at the country of origin has a long ... [more ▼]

This research establishes that religiosity has a persistent effect on economic outcomes. First we use a sample of migrants in the US to establish that religiosity at the country of origin has a long lasting effect on the religiosity of migrants. Second, exploiting variations in the inherited component of religiosity of migrants, our analysis uncovers the causal effect of religiosity on economic activity using a panel of countries for the period 1935-2000. The empirical findings suggest that i) church attendance has a positive impact on economic outcomes; ii) religious beliefs in the existence of god, hell, heaven and miracles have no systematic effect on economic outcomes, and iii) stronger faith is associated with prosperity. Moreover we extend our analysis to uncover the channels via which religiosity operates. Notably, the positive effect of religious participation and of stronger faith on economic outcomes operates via the creation of social capital and the development of traits, such as hard work and thrift, that are conducive to growth. [less ▲]

Mutual Funds’ Returns from Providing Liquidity and Costs of Immediacy

E-print/Working paper (2014)

We present evidence that some mutual funds systematically act as contrarian traders, and earn returns in the stock market by providing liquidity to investors that demand immediacy, while others ... [more ▼]

We present evidence that some mutual funds systematically act as contrarian traders, and earn returns in the stock market by providing liquidity to investors that demand immediacy, while others systematically realize costs of immediacy. On average, the mutual funds’ costs of immediacy exceed their returns from providing liquidity. The funds with outflows, flows that correlate with industry flows, high market beta funds, and funds highly exposed to the momentum strategy suffer the most in costs of immediacy. The mutual funds’ average underperformance can be explained with their costs of immediacy. Finally, the funds’ historical costs of immediacy predict their alphas. [less ▲]

A Snap-Shot of WWI in 140 Signs – One Year On

E-print/Working paper (2014)

La tutela dei diritti umani tra azione esterna dell’Unione europea e politiche interne degli Stati membri: medici, curate vos ipsos

E-print/Working paper (2014)

Il Consiglio dell’Unione europea ha recentemente adottato delle Conclusioni sulla coerenza fra aspetti esterni ed interni della protezione e promozione dei diritti umani nell’Unione europea. Tale ... [more ▼]

Il Consiglio dell’Unione europea ha recentemente adottato delle Conclusioni sulla coerenza fra aspetti esterni ed interni della protezione e promozione dei diritti umani nell’Unione europea. Tale strumento attira l’attenzione su un problema cruciale: l’Unione promuove da anni il rispetto di taluni diritti umani che i suoi stessi membri non sembrano proteggere, o che interpretano in modo difforme. Tale contraddizione è difficile da giustificare sul piano teorico ed è pericolosa su quello pratico, dato che pregiudica la credibilità dell’Unione sulla scena internazionale. Per risolvere questo problema, sarebbe opportuno che gli Stati membri inizino ad applicare in Europa le stesse regole che intendono diffondere nel mondo. [less ▲]

Die Bevölkerung der Großregion SaarLorLux

E-print/Working paper (2014)

This contribution is an excerpt from the report on the economic and social situation of the Greater Region 2013/2014 for the Economic and Social Committee of the Greater Region (IBA/OIE, 2014, pp. 3-10 ... [more ▼]

This contribution is an excerpt from the report on the economic and social situation of the Greater Region 2013/2014 for the Economic and Social Committee of the Greater Region (IBA/OIE, 2014, pp. 3-10). The maps show the population density in the Greater Region as of 1 January 2013, the working-age population as of 1 January 2012 and the population development from 2000 to 2013 (Lorraine: zones d'emploi 1999-2011), calculated by the Interregional Labour Market Observatory IBA. The population density of the Greater Region in 2013 was almost 175 inhabitants per square kilometre, although the distribution varies widely from regionally: from more than 2,000 inhabitants per square kilometre in Mainz and Ludwigshafen to the sparsely populated areas of Verdun and Commercy with less than 30 inhabitants per square kilometre. This is where important economic priorities lie and influences from the large conurbations of neighboring federal states have an impact. Densely populated areas are also located in the northern part of Wallonia, particularly in the economic centres of Charleroi and Liège. In addition, the population of the Greater Region concentrates primarily on a transnational core area, which encompasses all sub-regions and important economic priorities. [less ▲]

Pricing Default Risk: The Good, The Bad, and The Anomaly

E-print/Working paper (2014)

Asymptotic normality of randomized periodogram for estimating quadratic variation in mixed Brownian-fractional Brownian model

E-print/Working paper (2014)

We study asymptotic normality of the randomized periodogram estimator of quadratic variation in the mixed Brownian--fractional Brownian model. In the semimartingale case, that is, where the Hurst ... [more ▼]

We study asymptotic normality of the randomized periodogram estimator of quadratic variation in the mixed Brownian--fractional Brownian model. In the semimartingale case, that is, where the Hurst parameter H of the fractional part satisfies H∈(3/4,1), the central limit theorem holds. In the nonsemimartingale case, that is, where H∈(1/2,3/4], the convergence toward the normal distribution with a nonzero mean still holds if H=3/4, whereas for the other values, that is, H∈(1/2,3/4), the central convergence does not take place. We also provide Berry--Esseen estimates for the estimator. [less ▲]

Differential Games with (A)symmetric Players and Heterogeneous Strategies

E-print/Working paper (2014)

One family of heterogeneous strategies in differential games with (a)symmetric players is developed in which one player adopts an anticipating open-loop strategy and the other adopts a standard Markovian ... [more ▼]

One family of heterogeneous strategies in differential games with (a)symmetric players is developed in which one player adopts an anticipating open-loop strategy and the other adopts a standard Markovian strategy. Via conjecturing principle, the anticipating open-loop strategic player plans his strategy based on the possible updating the rival player may take. These asymmetric strategies frame nondegenerate Markovian Nash Equilibrium, which can be subgame perfect. Except the stationary path, this kind of strategy makes the study of short-run trajectory possible, which usually are not subgame perfect. However, the short-run nonperfection provides very important policy suggestions. [less ▲]

European integration and consensus politics in the Low Countries Observations on an under-researched relationship

E-print/Working paper (2014)

The Netherlands, Belgium and Luxembourg are well-known cases of consensus politics. Traditionally, decision-making in the Low Countries has been characterized by broad involvement, power sharing and ... [more ▼]

The Netherlands, Belgium and Luxembourg are well-known cases of consensus politics. Traditionally, decision-making in the Low Countries has been characterized by broad involvement, power sharing and making compromises. These countries were also founding member states of the European Union (EU) and its predecessors. However, the relationship between European integration and the tradition of domestic consensus politics remains unclear. In order to explore this relationship this paper presents the conceptual framework and a short summary of the recently published book European Integration and Consensus Politics in the Low Countries (edited by Hans Vollaard, Jan Beyers and Patrick Dumont; Routledge). The authors discuss how consensus politics would shape the impact of European integration. They also analyse whether European integration may undermine the fundamental characteristics of consensus politics in the Low Countries. Drawing on consociationalism and Europeanization research, they provide a comprehensive overview of Europeanization in the three Low Countries as well as a better understanding of the varieties of consensus politics across and within these countries. In doing this they refer to a wide range of in-depth studies on a variety of political actors such as governments, parliaments, political parties, courts, ministries and interest groups as well as key policy issues such as the ratification of EU treaties and migration policy. Their most important observation is that European integration has changed the substance of consensus politics in some policy-areas, but barely the domestic political practice itself. [less ▲]

The global economic crisis and the effect of immigration on the employment of native-born workers in Europe

E-print/Working paper (2014)

The debate regarding the economic effects of immigration has attracted renewed interest in European countries since the economic crisis. We provide an approximation for the labor market effects of ... [more ▼]

The debate regarding the economic effects of immigration has attracted renewed interest in European countries since the economic crisis. We provide an approximation for the labor market effects of immigrants in four European countries during the global economic crisis after briefly analyzing the situation of native- and foreign-born workers for the recent period. Our analysis focuses on the correlation between the stock of immigrant workers and the number of local labor market workers across several segments of the labor market using a simple model approach. Based on data from Eurostat and the LFS (Labour Force Survey), we estimate a structural dynamic model using the Generalized Method of Moments (GMM) to take into account the adjustment dynamics in the labor market and labor market segment, educational level, country of origin and gender of the workers. Overall, the empirical results suggest that the immigration shock on the employment rates of native-born workers is persistent and very weak over the business cycle. The effect is globally positive and the origin of immigrants does not appear to change the nature of the impact. We offer some explanations for these findings that are linked with the dual labor markets and the differences in the degree of substitution between native and immigrant workers. [less ▲]