The business cycle and drug use in Australia: Evidence from repeated cross-sections of individual level data

Purpose The knowledge of the link between interbank financing and business cycle fluctuations is important in assessing the stability and soundness of the banking sector. The purpose of this paper is to investigate the simultaneous relationship between interbank financing and the business cycle with respect to the financial structure of the bank-based and market-based systems in European countries by using bank-level data from 2007 to 2011. Design/methodology/approach The study employs an innovative instrumenting technique with an instrument of the financial structure to address the simultaneous determination of interbank financing and the business cycle. Findings The results suggest that banks establish pro-cyclical interbank borrowing by increasing their interbank position during booms and reducing it during downturns. Bank-based system performs better in redistributing the liquidity in the economy than the market-based system when there are imperfectly correlated liquidity shocks across regions during the 2007–2009 financial crisis. Practical implications The improvement of banks’ liquidity risk management should be aligned with a specific financial system. The macro-prudential supervisor should require banks in the market-based system to disclose their interbank position on the extent of risk exposure during the liquidity shock period to stabilize the EU banking industry. Originality/value This study is the first to provide policy makers with some novel empirical results concerning the linkage among bank liquidity, the macroeconomic condition and financial structure.

Download Full-text

Markups, Aggregation, and Inventory Adjustment

The American Economic Review ◽

10.1257/0002828043052376 ◽

2004 ◽

Vol 94 (5) ◽

pp. 1328-1353 ◽

Cited By ~ 17

Author(s):

Daniele Coen-Pirani

Keyword(s):

Business Cycle ◽

Aggregate Data ◽

Firm Level ◽

Partial Adjustment ◽

Sector Model ◽

Level Data ◽

Firm Level Data ◽

Downward Bias ◽

Rapid Reaction ◽

The Business Cycle

In this paper I suggest a unified explanation for two puzzles in the inventory literature: first, estimates of inventory speeds of adjustment in aggregate data are very small relative to the apparent rapid reaction of stocks to unanticipated variations in sales. Second, estimates of inventory speeds of adjustment in firm-level data are significantly higher than in aggregate data. The paper develops a multi-sector model where inventories are held to avoid stockouts, and price markups vary along the business cycle. The omission of countercyclical markup variations from inventory targets introduces a downward bias in estimates of adjustment speeds obtained from partial adjustment models. When the cyclicality of markups differs across sectors, this downward bias is shown to be more severe with aggregate rather than firm-level data. Similar results apply not only to inventories, but also to labor and prices. Montercarlo simulations of a calibrated version of the model suggest that these biases are quantitatively significant.

Download Full-text

Smoking inequality across genders and socio-economic positions. Evidence from Italian data

Journal of Bioeconomics ◽

10.1007/s10818-020-09301-9 ◽

2020 ◽

Vol 22 (3) ◽

pp. 177-203

Author(s):

Cinzia Di Novi ◽

Rowena Jacobs ◽

Matteo Migheli

Keyword(s):

Health Inequalities ◽

Cross Sections ◽

Concentration Index ◽

Daily Life ◽

Household Survey ◽

Demographic Characteristics ◽

Individual Level ◽

Level Data ◽

National Statistical Office

Abstract There has been a dearth of literature on smoking inequalities, in spite of its contribution to health inequalities. We exploit Italian individual-level data from repeated cross-sections of the annual household survey, “Aspects of Daily Life,” that was part of the Multipurpose Survey carried out by the Italian National Statistical Office (ISTAT) for the period 1999–2012 to identify the main socio-demographic characteristics that determine smoking inequalities. We use the Concentration Index to identify in which groups smoking is relatively more prevalent. We find that, among men, pro-rich inequality is driven by members of the lower socio-economic positions, while we observe the opposite for women. We encourage policymakers to address the issue of smoking inequalities, which the current policies have largely disregarded.

Download Full-text

The Contribution of Large and Small Employers to Job Creation in Times of High and Low Unemployment

The American Economic Review ◽

10.1257/aer.102.6.2509 ◽

2012 ◽

Vol 102 (6) ◽

pp. 2509-2539 ◽

Cited By ~ 108

Author(s):

Giuseppe Moscarini ◽

Fabien Postel-Vinay

Keyword(s):

Business Cycle ◽

Cross Sections ◽

Job Creation ◽

The United States ◽

Differential Growth ◽

Factor Demand ◽

The Business Cycle ◽

Small Employers ◽

Creation Rate ◽

Differential Growth Rate

We document a negative correlation, at business cycle frequencies, between the net job creation rate of large employers and the level of aggregate unemployment that is much stronger than for small employers. The differential growth rate of employment between initially large and small employers has an unconditional correlation of —0.5 with the unemployment rate, and varies by about 5 percent over the business cycle. We exploit several datasets from the United States, Denmark, and France, both repeated cross sections and job flows with employer longitudinal information, spanning the last four decades and several business cycles. We discuss implications for theories of factor demand. (JEL D22, E23, E32, J23, L25)

Download Full-text

Alcohol abuse and economic conditions: Evidence from repeated cross-sections of individual-level data

Health Economics ◽

10.1002/hec.588 ◽

2001 ◽

Vol 10 (3) ◽

pp. 257-270 ◽

Cited By ~ 151

Author(s):

Thomas S. Dee

Keyword(s):

Alcohol Abuse ◽

Cross Sections ◽

Economic Conditions ◽

Individual Level ◽

Level Data

Download Full-text

Cross-validation of Drug Use Records in Two Pharmaceutical Databases: A Population-based Study of Alberta’s Tomorrow Project Cohort

International Journal for Population Data Science ◽

10.23889/ijpds.v3i4.663 ◽

2018 ◽

Vol 3 (4) ◽

Author(s):

Ming Ye ◽

Jennifer Vena ◽

Jian-Yi Xu ◽

Paula Robson ◽

Dean Eurich ◽

...

Keyword(s):

Drug Use ◽

Beta Blockers ◽

Health Benefit ◽

Population Based ◽

Reference Database ◽

Individual Level ◽

Level Data ◽

Noticeable Improvement ◽

Discrepancy Rate ◽

Senior Patients

IntroductionPharmaceutical Information Network (PIN, 2008-now) is a provincial database collecting patients’ medication information in Alberta, Canada. Alberta Blue Cross (ABC), the largest health benefit provider in Alberta, has been managing pharmaceutical records for senior patients (65+ years) whose medications are covered by Alberta’s government-sponsored health benefit plan since 1970s. Objectives and ApproachOver 96% of participants in Alberta’s Tomorrow Project (ATP), a province-wide cohort study of cancer and chronic diseases in Canada, consented to data linkage to healthcare databases. To cross-validate medication records in the two pharmaceutical databases in Alberta, individual-level data of ATP participants aged 65+ years were cross-linked between PIN and ABC databases (2008-2015) using Personal Health Numbers. Concordant and discordant records were identified by whether or not a specific record co-existed in the two databases. Concordance and discordance (discrepancy) rates, i.e. percentage of concordant or discordant records, were estimated by years and drug types. ResultsDuring 2008-2015, there were 1,116,176 records collected by PIN, 1,005,548 records collected by ABC, and a total of 1,218,191 records collected by both for 13,413 ATP participants. The average discrepancy rate between PIN and ABC was 25.8%, and the rate was significantly lower for drugs commonly prescribed for health conditions in seniors, including cardiovascular diseases (18.7% for statin), hypertension (18.9% for beta blockers, ace inhibitors and diuretics), diabetes (23.8% for glucose lower drugs), COPD (20.2% for inhalers) and stomach disorders (22.3% for H2 antagonists and proton pump inhibitors), compared to other drugs (34.4%). For insured drugs, using ABC as reference database, 88.6% of ABC records were concordant with (co-existing in) PIN. The concordance rate for insured drug use was improved by 10% over 2008-2015. Conclusion/ImplicationsBy cross-linking two pharmaceutical databases in Alberta for senior ATP participants, we found remarkable discrepancies in pharmaceutical records between PIN and ABC, although there was noticeable improvement over the years. The discrepancy rate between PIN and ABC was drug-specific and significantly lower for drugs commonly prescribed in senior patients.

Download Full-text

Trust in Public Institutions over the Business Cycle

The American Economic Review ◽

10.1257/aer.101.3.281 ◽

2011 ◽

Vol 101 (3) ◽

pp. 281-287 ◽

Cited By ~ 80

Author(s):

Betsey Stevenson ◽

Justin Wolfers

Keyword(s):

Time Series ◽

Business Cycle ◽

Cross Sections ◽

Great Recession ◽

Public Institutions ◽

Us States ◽

The Great Recession ◽

Trust In Institutions ◽

Cross Country ◽

The Business Cycle

We document that trust in public institutions—and particularly trust in banks, business and government—has declined over recent years. US time series evidence suggests that this partly reflects the pro-cyclical nature of trust in institutions. Cross-country comparisons reveal a clear legacy of the Great Recession, and those countries whose unemployment grew the most suffered the biggest loss in confidence in institutions, particularly in trust in government and the financial sector. Finally, analysis of several repeated cross-sections of confidence within US states yields similar qualitative patterns, but much smaller magnitudes in response to state-specific shocks.

Download Full-text