Papers by lionello franco Punzo
Journal of Post Keynesian Economics, 2017
At a theoretical level this article discusses Piketty's hypothesis that the distribution of incom... more At a theoretical level this article discusses Piketty's hypothesis that the distribution of income and wealth tends to become more concentrated over time when the rate of return on capital is greater than the growth rate of real output. We develop a post Keynesian model of growth and distribution showing that once capital is differentiated from wealth, the increase in income and wealth concentration actually occurs when the rate of valorization of financial and real estate assets is greater than the growth rate of real output, and that this situation may be triggered by financial liberalization.
Transaction Publishers, 2001
This paper discusses different growth trajectories in a choice of Latin American economies – i.e.... more This paper discusses different growth trajectories in a choice of Latin American economies – i.e. Argentina, Brazil, Chile and Mexico comparing the phase of import substitution growth strategies with the more recent period of financial integration within the world economy. Our working hypothesis is that different growth trajectories result from the linkages between macroeconomic conditions and changes in productive structures. When policy space gets narrower, long-term growth performance is impaired, and structural change won’t in general foster growth potential. We develop an analysis based on the Framework Space methodology, which allows for comparing phases of growth that are described as an evolving coupling of the dynamical profile of productivity growth (a supply-side condition) with the behavior of capital accumulation (a demand-side condition). Our main conclusion is that, on the light of the FS comparative analysis, economic opening in the 1990s did not enhance the catching...
In a perfectly competitive labor market, the wage rate is determined by labor productivity, so th... more In a perfectly competitive labor market, the wage rate is determined by labor productivity, so that wage dispersion reflects the marginal contribution to product of the different workers. Accordingly, wage inequality cannot be treated as an independent variable in a model of productivity, and thus economists have paid little attention to this relation. This paper studies the effects of wage inequality on labor productivity. We claim that wage inequality can lead to lower effort among workers who receive lower wages and hence lead in turn to lower aggregate labor productivity because of the lower aggregate effort level. To guide the empirical analysis, we look at aggregate panel data to investigate whether there is a relationship between wage inequality and average labor productivity. We use data from the 34 OECD countries in the period 1995 to 2007, and by allowing country fixed effects, we exploit the longitudinal dimension of the data. We find that large wage inequality is associa...
In this paper, we introduce the formalism and terminology of multiregime dynamics for both theore... more In this paper, we introduce the formalism and terminology of multiregime dynamics for both theoretical modeling and data analysis. Coding is proposed as the appropriate tool for the analysis of such special type of dynamics, focusing upon switches between suitably defined dynamical regimes. Individually taken these switches often represent abrupt alterations in the qualitative features of the dynamic process. At times, however, they seem to be stringed together to show emerging (near) regularities and fluctuations. This opens new vistas upon applications to the analysis of the vector time series of socioeconomic models. In empirical applications, coding involves transformation of data into a sequence of symbols that is then analyzed with information-theoretic tools, so as to extract information about generating processes.
Potential growth in the EU and the global economy: New analytical insights & prospects from agein... more Potential growth in the EU and the global economy: New analytical insights & prospects from ageing and catching-up
EconoQuantum, 2010
Proyecto académico sin fines de lucro, desarrollado bajo la iniciativa de acceso abierto n
SSRN Electronic Journal, 2009
How to cite Complete issue More information about this article Journal's homepage in redalyc.org ... more How to cite Complete issue More information about this article Journal's homepage in redalyc.org Scientific Information System Network of Scientific Journals from Latin America, the Caribbean, Spain and Portugal Non-profit academic project, developed under the open access initiative Emergence of long run bahaviours in a game theoretic setting.../E. ACCINELLI et al.
Springer Proceedings in Mathematics, 2011
We study an economy with heterogenous workers and firms as a two population game in normal form a... more We study an economy with heterogenous workers and firms as a two population game in normal form and its evolutionary dynamics implied by strategic complementarities. The population of firms is distributed in two groups, innovative and non innovative, while workers need to choose between two strategies, acquiring skills or remaining unskilled. Without having knowledge of the firms' distribution, a worker in reviewing his strategy, will ask herself whether it is worth it to change behavior or not. Rational choice on her part is taken, hereafter, to imply that she will choose the strategy which she expect to yield the greatest payoff, on the basis of her beliefs and the current state of the economy. Thus, by imitating successful agents, if the initial shares of innovative firms and skilled agents are "too small", then rational behavior will induce workers to under invest in skill accumulation and this will eventually lead into a poverty trap with too few innovative firms. Hence, when an economy is close to a poverty trap, rationality may act as an actual obstacle to a takeoff. Moreover, the low level (dynamic) equilibrium (the poverty trap) is a Pareto dominated Nash equilibrium and ESS against the field, while none of the possible high level (dynamic) equilibria is Pareto dominant.
John von Neumann and modern economics, 1989
... 10On imitation theory, Vega-Redondo (1997) and Schalg (1998, 1999) pointed out two approaches... more ... 10On imitation theory, Vega-Redondo (1997) and Schalg (1998, 1999) pointed out two approaches based on the idea that individual who face repeated choice problems ... (I) If E(S) ≤ 0 and then, P( ¯E(S) − ¯ E(NS) > 0) = 0, the evolution of the ... Figure 1: Stability of the equilibria ...
In this paper we model tourism development in the framework of multipopulation dynamics and analy... more In this paper we model tourism development in the framework of multipopulation dynamics and analyze the time pattern of its impact as the evolution of the interaction between two populations feeding over the same space-resource. Each population might be structured in two (or more) "clubs" with variable membership, a club being a group of population members sharing social and economic interests as to the management of the relevant resource. Thus, each club has in principle a di¤erent set of strategies as to protection and valorization of broadly de…ned environmental resources at the tourist destination. Such resources share some of the characteristics of the so called commons. To represent such peculiar situation, we use Evolutionary Game Theory, in particular as is applied to the theory of evolution of interacting structured populations. In one such game, one strategy will be characterized as conservative and its alternative as depredative. Interaction between di¤erent strategies and the corresponding playing clubs gives rise to a rich dynamics, as some joint outcomes are inherently unstable, as is known, others being evolutionary stable. Such situation will be modelled by a version of the well known replicator dynamics, to emphasize its evolutionary nature. Resumen En este trabajo analizaremos la evolución del comportamiento de una población compuesta por dos clases de individuos que interactúan en una región de interés turístico, la de los turistas y la de los pobladores. Su comportamiento en relación al medio ambiente puede ser de tipo conservador o tipo depredador. Es decir cada individuo puede comportarse en forma responsable hacia la conservación del medio ambiente, o bien elegir un
Inequality and Economic Integration, 2004
Can be wage inequality harmful for productivity growth? We present a simple theoretical model acc... more Can be wage inequality harmful for productivity growth? We present a simple theoretical model according to which workers concern on wage inequality affects their labor productivity. So labor productivity decreases if wage differentials among workers is increasing. Then, after to test for Panel Granger Causality we estimate a dynamic panel data estimator (Arellano-Bond), and we find that wage inequality reduces country’s labor productivity. Moreover, the variables given by GDP per capita, annual hours worked per worker and total population employed over total population are of significant effect over labor productivity. This in a sample of 34 OECD countries from 1995 through 2007.
A threshold estimation technique applied to a panel of 13 Latin American countries over the 1970-... more A threshold estimation technique applied to a panel of 13 Latin American countries over the 1970-2011 time period, reveals the existence of a threshold level for the most popular index of income inequality (Gini's): below it past values of the index or per capita GDP appear to be unable to explain current variations in inequality, while beyond such a level the former may account for the decrease in current income inequality. So, there seems to be a turning point for income inequality though per capita GDP would have no effects on its dynamics. This result contributes further evidence on the dubious existence of the Kuznets Curve, and it links up with recent critical literature on the theme of increasing inequality and its shortcomings for growth
The main objective of this paper is to discuss the concept of financialization in developing econ... more The main objective of this paper is to discuss the concept of financialization in developing economies, arguing that the broad definition of financialization understood as a growing role of motivations, markets and financial institutions in the operation of domestic and international economies – does not take into consideration important features of those economies, such as the hierarchy of currencies and the subordination to the principles of the so-called Washington Consensus. The latter imposed the adoption of a foreign savings-driven growth model, which mostly applied to Latin American countries. Hence, the financialization process in LDCs will be denominated peripherical financialization, since it is associated with dependence upon capital inflows from developed countries and with the reduction in the autonomy of their macroeconomic policies, even within flexible exchange rate regimes. Attraction of capital inflows to countries with a subordinate position in international finan...
This paper frames a broader reconstruction of the evolution of our understanding of the dynamics ... more This paper frames a broader reconstruction of the evolution of our understanding of the dynamics of an economy through the role assigned to a variety of Pure and Non Pure Public Goods(NPPGs) as development drivers and value creators. It outlinesthe convergence of two distinct, though major theoretical traditions: the theories of growth/development, on one side, and the debate over role and efficiency of State/Vertical Integrated Firms v/s Market in the provision of goods. Coase (1932) put forward a theory of why either one prevails, as a function of a broad category of transaction costs.
In this paper, we study the relationship between income distribution and financialisation in the ... more In this paper, we study the relationship between income distribution and financialisation in the United States after the Second World War. Financialisation is introduced as a two-fold process. On the one hand, it can be understood as an increase in the contribution of the financial sector regarding the composition of production, or a flow dimension. On the other hand, we can see it as an increase in the importance of financial assets in terms of the composition of wealth, or a stock dimension. We make use of the share of financial employment on total employment as a proxy of the first dimension while wealth composition is measured as the share of financial assets on corporations' total assets. Applying cointegration techniques, we identied a positive long-run relationship between financialisation and income inequality. Causality goes from the flow dimension to inequality and from inequality to the stock dimension.
abstract: there are two versions of the multisectoral model: the "formalistic" one, bas... more abstract: there are two versions of the multisectoral model: the "formalistic" one, based on an axiomatics of production relations and the "empiristic" version based on an accounting/algebraic approach. for this reason, the multisectoral model provides a good case study for an issue that has dominated the development of economic analysis in this century: the opposition between formalistic and the empiricist philosophies. in this paper a reconstruction of this latter one is suggested.;
We look at two emerging economies, Brazil and China, and propose an evaluation of their recent de... more We look at two emerging economies, Brazil and China, and propose an evaluation of their recent development in terms of growth performance and the evolution of income inequality. Our analysis therefore seems to be related to the well-known Kuznets-curve and theory. The latter, however, populates an inequality-growth plane with countries’ average-valued coordinates and draws far fetching predictions that have been repeatedly questioned. We claim that Kuznets’ traditional approach does not capture recent relevant phenomena characterizing such countries: namely, the presence of at least two distinct growth models. Empirical evidence and Cointegration analysis corroborate such results.
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Papers by lionello franco Punzo