Template-Type: ReDIF-Paper 1.0 Author-Name: P. Dorian Owen Author-Name-First: P. Dorian Author-Name-Last: Owen Author-Email: dorian.owen@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Niven Winchester Author-Name-First: Niven Author-Name-Last: Winchester Author-Email: niven@mit.edu Author-Workplace-Name: Department of Economics, University of Otago and Joint Program on the Science and Policy of Global Change, Massachusetts Institute of Technology Title: The impact of US fresh milk production standards on dairy trade Abstract: We analyse the impact of proposed changes in US legislation to allow greater use of dairy concentrate products in the production of fresh milk products. This change could potentially have a large impact on dairy trade as US tariffs on concentrated dairy products are low relative to average dairy tariffs. Our investigation builds a global model that identifies six dairy commodities and includes a detailed specification of the production of fresh milk products. We find that proposed changes in US legislation may lead to large proportional changes in US imports of concentrated milk products from some sources. However, as proposed changes in US regulations will only facilitate a small increase in the use of concentrated milk products in the production of fresh milk products, there are only small changes in global dairy production. We supplement results from our simulation model with a gravity analysis. Our results indicate that trade in concentrated milk products is positively related to aggregate dairy tariffs and negatively related to concentrated milk tariffs. This suggests that large tariffs on some dairy commodities influence the overall pattern of dairy trade. Length: 24 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/research/otago076675.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1117 Classification-JEL: C68, C50, D58, F14, Q12 Keywords: dairy trade, concentrated milk products, non-tariff barriers, US milk production standards, numerical simulation, gravity modelling Handle: RePEc:otg:wpaper:1117 Template-Type: ReDIF-Paper 1.0 Author-Name: Rob Lawson Author-Name-First: Rob Author-Name-Last: Lawson Author-Email: rob.lawson@otago.ac.nz Author-Workplace-Name: Department of Marketing, University of Otago Author-Name: Paul Thorsnes Author-Name-First: Paul Author-Name-Last: Thorsnes Author-Email: paul.thorsnes@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: John Williams Author-Name-First: John Author-Name-Last: Williams Author-Email: john.williams@otago.ac.nz Author-Workplace-Name: Department of Marketing, University of Otago Title: Consumer Response to Time Varying Prices for Electricity Abstract: We report new experimental evidence of the household response to weekday differentials in peak and off-peak electricity prices. The data come from Auckland, New Zealand, where peak residential electricity consumption occurs in winter for heating. Peak/off-peak price differentials ranged over four randomly-selected groups from 1.0 to 3.5. On average, there was no response except in winter. In winter, participant households reduced electricity consumption by at least 10%, took advantage of lower off-peak prices but did not respond to the peak price differentials. Response varied with house and household size, time spent away from home, and whether water was heated with electricity. Length: 25 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/research/otago076674.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1116 Keywords: Electricity pricing, Time of Use, Price elasticity Handle: RePEc:otg:wpaper:1116 Template-Type: ReDIF-Paper 1.0 Author-Name: Paul Thorsnes Author-Name-First: Paul Author-Name-Last: Thorsnes Author-Email: paul.thorsnes@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Robert Alexander Author-Name-First: Robert Author-Name-Last: Alexander Author-Email: ralexand@usc.edu.au Author-Workplace-Name: University of the Sunshine Coast Author-Name: David Kidson Author-Name-First: David Author-Name-Last: Kidson Author-Email: david.kidson@treasury.govt.nz Author-Workplace-Name: New Zealand Treasury Title: Low-income housing in high-amenity areas: Long-run impacts on residential development Abstract: Centre-left governments from the 1940s into the 1970s developed several large areas in the urban fringe of Dunedin, New Zealand for low-density, mostly single-family public rental housing. The public housing in these areas is now accessible, well endowed with natural amenities, and allocated to very low-income households. Analysis of sales of private housing reveals the expected discount on sales of nearby houses. But analysis of the influence of spatial variation in natural amenities on incomes and structural characteristics indicates large-scale effects of the public housing developments: diversion of higher-income housing to other suburban areas and possibly maintenance of older high-quality housing in central areas. Interestingly, centre-right governments may have opened the door to market forces by encouraging tenants to purchase their public rental house. We find evidence that the recent increase in house prices has encouraged relatively high income households to purchase exstate rentals in these high natural amenity areas. Length: 38 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/research/otago076673.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1115 Classification-JEL: R31, R23, I38 Keywords: foreign aid, poverty, well-being, growth, wealth, health, education, mortality, fertility Handle: RePEc:otg:wpaper:1115 Template-Type: ReDIF-Paper 1.0 Author-Name: Mark McGillivray Author-Name-First: Mark Author-Name-Last: McGillivray Author-Email: mark.mcgillivray@deakin.edu.au Author-Workplace-Name: Alfred Deakin Research Institute, Deakin University Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Sebastian Torres Author-Name-First: Sebastian Author-Name-Last: Torres Author-Workplace-Name: School of African and Oriental Studies, University of London Author-Name: Stephen Knowles Author-Name-First: Stephen Author-Name-Last: Knowles Author-Email: stephen.knowles@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: Does Aid Work for the Poor? Abstract: This paper econometrically examines the impact of aid on the well-being of population sub-groups within 48 developing countries. This is a radical departure from previous empirical research of aid effectiveness at the country level, which has looked mainly at the relationship between aid and national aggregates, per capita GDP growth in particular. A specific concern of the paper is the impact of aid on the wealth, education and health of the poorest. Results indicate that while aid improves the wellbeing of the poorest groups, it is the richer groups that benefit the most. Length: 35 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/research/otago076672.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1114 Classification-JEL: F35, I31, I32, C31 Keywords: foreign aid, poverty, well-being, growth, wealth, health, education, mortality, fertility Handle: RePEc:otg:wpaper:1114 Template-Type: ReDIF-Paper 1.0 Author-Name: Simona Fabrizi Author-Name-First: Simona Author-Name-Last: Fabrizi Author-Email: s.fabrizi@massey.ac.nz Author-Workplace-Name: School of Economics and Finance (Albany), Massey University Author-Name: Steffen Lippert Author-Name-First: Steffen Author-Name-Last: Lippert Author-Email: steffen.lippert@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: Due diligence, research joint ventures, and incentives to innovate Abstract: The decision to cooperate within R&D joint ventures is often based on expert advice. Such advice typically originates in a due diligence process, which assesses the R&D joint venture's profitability, for example, by appraising the achievability of synergies. We show that if the experts who advise the owners considering forming an R&D joint venture are also responsible for R&D efforts, they can have incentives to withhold information about the extent of those synergies. Owners optimally react by reducing the incentives to innovate in low-value projects developed within R&D joint ventures and in high-value projects developed within competing research organizations. Length: 34 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/research/otago076671.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1113 Classification-JEL: D82, D86, L5, L24, O31, O32, O3 Keywords: Research and development, due diligence, expert advice, joint venture, synergies, asymmetric information, moral hazard, information withholding (concealing) and revelation Handle: RePEc:otg:wpaper:1113 Template-Type: ReDIF-Paper 1.0 Author-Name: Francis Bloch Author-Name-First: Francis Author-Name-Last: Bloch Author-Email: francis.bloch@polytechnique.edu Author-Workplace-Name: Department of Economics, Ecole Polytechnique Author-Name: Simona Fabrizi Author-Name-First: Simona Author-Name-Last: Fabrizi Author-Email: s.fabrizi@massey.ac.nz Author-Workplace-Name: School of Economics and Finance (Albany), Massey University Author-Name: Steffen Lippert Author-Name-First: Steffen Author-Name-Last: Lippert Author-Email: steffen.lippert@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: Learning and Collusion in New Markets with Uncertain Entry Costs Abstract: This paper analyses an entry timing game with uncertain entry costs. Two firms receive costless signals about the cost of a new project and decide when to invest. We characterize the equilibrium of the investment timing game with private and public signals. We show that competition leads the two firms to invest too early and analyze collusion schemes whereby one firm prevents the other firm from entering the market. We show that, in the efficient collusion scheme, the active firm must transfer a large part of the surplus to the inactive firm in order to limit pre-emption. Length: 36 pages Creation-Date: 2011-12 Revision-Date: 2011-12 File-URL: http://www.otago.ac.nz/economics/otago076670.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1112 Classification-JEL: C63, C71, C72, D81, D82, D83, F21, O32 Keywords: Learning, Pre-emption, Innovation, New Markets, Project Selection, Entry Costs, Collusion, Private Information, Market Uncertainty Handle: RePEc:otg:wpaper:1112 Template-Type: ReDIF-Paper 1.0 Author-Name: Willie Lahari Author-Name-First: Willie Author-Name-Last: Lahari Author-Email: wlahari@gmail.com Author-Workplace-Name: Department of Economics, University of Otago Title: Exchange Rate Volatility and Choice of Anchor Currency - Prospects for a Melanesian Currency Union Abstract: This paper investigates an appropriate choice of anchor currency for a proposed Melanesian currency union under various hypothetical currency union arrangements. Drawing from the optimal currency area (OCA) theory and related extensions, the analysis focuses on the effects of a currency union on exchange rate volatility following similar approach by Scrimgeour (2002). Counterfactual exchange rate series are constructed for alternative scenarios for Melanesia with the following major trading partners: Australia, New Zealand, USA and Japan. The main findings showed that both short-term and cyclical exchange rate volatility are generally lower in a currency union with either Australia or New Zealand. However, the results vary under varying weights and currency baskets. Choosing a single common anchor currency based solely on exchange rate volatility may not be conclusive. Hence, further research is required, for example, in considering the effects of a currency union on volatility in output, inflation or interest rates. Length: 32 pages Creation-Date: 2011-10 Revision-Date: 2011-10 File-URL: http://www.otago.ac.nz/economics/research/otago076669.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1111 Classification-JEL: F15, F31, F33 Keywords: Exchange Rate Volatility, Currency Union, Melanesian Countries Handle: RePEc:otg:wpaper:1111 Template-Type: ReDIF-Paper 1.0 Author-Name: Willie Lahari Author-Name-First: Willie Author-Name-Last: Lahari Author-Email: wlahari@gmail.com Author-Workplace-Name: Department of Economics, University of Otago Title: Assessing Business Cycle Synchronisation - Prospects for a Pacific Islands Currency Union Abstract: On-going debate of a Pacific Islands currency union has rekindled the argument on whether Pacific Island Countries (PICs) demonstrate symmetric behavior in their business cycles as a precondition for a union according to the OCA theory. Unfortunately for the PICs, there are no empirical studies undertaken involving the analysis of business cycle synchronization. This paper measures business cycles for PICs employing a number of techniques and using newly constructed quarterly GDP data by Lahari et al. (2011), including Australia and New Zealand, and evaluates their degree of synchronization. The results showed that it was not feasible for the PICs as a group to form a union. Although, further analysis showed mixed results for the Melanesian sub-group, the argument for a Melanesian union was based on similar positive directions in their business cycles. Further structural adjustments and policy harmonization are still required for all PICs including the Melanesian sub-group. Length: 30 pages Creation-Date: 2011-10 Revision-Date: 2011-10 File-URL: http://www.otago.ac.nz/economics/research/otago076668.pdf File-Format: Application/pdf File-Function: First version, 2011 Number: 1110 Classification-JEL: E32, E37, F1 Keywords: Business Cycle Synchronisation, Currency Union, Pacific Island Countries Handle: RePEc:otg:wpaper:1110 Template-Type: ReDIF-Paper 1.0 Author-Name: Alfred A. Haug Author-Name-First: Alfred A. Author-Name-Last: Haug Author-Email: alfred.haug@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Ian P. King Author-Name-First: Ian P. Author-Name-Last: King Author-Email: ipking@unimelb.edu.au Author-Workplace-Name: Department of Economics, University of Melbourne Title: Empirical Evidence on Inflation and Unemployment in the Long Run Abstract: We examine the relationship between inflation and unemployment in the long run, using quarterly US data from 1952 to 2010. Using a band-pass filter approach, we find strong evidence that a positive relationship exists, where inflation leads unemployment by some 3 to 3 1/2 years, in cycles that last from 8 to 25 or 50 years. Our statistical approach is atheoretical in nature, but provides evidence in accordance with the predictions of Friedman (1977) and the recent New Monetarist model of Berentsen, Menzio, and Wright (2011): the relationship between inflation and unemployment is positive in the long run. Length: 32 pages Creation-Date: 2011-08 Revision-Date: 2011-08 File-URL: http://www.otago.ac.nz/economics/research/otago076667.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1109 Classification-JEL: E24, E31 Keywords: Inflation, Unemployment, Long-Run Phillips Curve Handle: RePEc:otg:wpaper:1109 Template-Type: ReDIF-Paper 1.0 Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Fred Gibson Author-Name-First: Fred Author-Name-Last: Gibson Author-Email: fred.gibson@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: Aid and Dutch Disease in Sub-Saharan Africa Abstract: International aid has an ambiguous effect on the macro-economy of the recipient country. To the extent that aid raises consumer expenditure, there will be some real exchange rate appreciation and a shift of resources away from traded goods production and into non-traded goods production. However, aid for investment in the traded goods sector can mitigate this effect. Also, a relatively high level of productivity in the non-traded goods sector combined with a high level of investment will tend to depreciate the real exchange rate. We examine aid inflows in 26 SubSaharan African countries, and find a variety of macro-economic responses. Some of the variation in the responses can be explained by variation in observable country characteristics; this has implications for donor policy. Length: 31 pages Creation-Date: 2011-08 Revision-Date: 2011-08 File-URL: http://www.otago.ac.nz/economics/research/otago076666.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1108 Classification-JEL: F41, O5 Keywords: Aid, Dutch Disease, Africa Handle: RePEc:otg:wpaper:1108 Template-Type: ReDIF-Paper 1.0 Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Chris Hajzler Author-Name-First: Chris Author-Name-Last: Hajzler Author-Email: chris.hajzler@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Jim MacGee Author-Name-First: Jim Author-Name-Last: MacGee Author-Email: jmacgee@uwo.ca Author-Workplace-Name: Department of Economics, University of Western Ontario Title: Determinants of Relative Price Variability during a Recession: Evidence from Canada at the Time of the Great Depression Abstract: Most studies find that relative price variability (RPV) is a U-shaped or V-shaped function of anticipated inflation, and a V-shaped function of unanticipated inflation. One exception is Reinsdorf (1994), who finds that RPV in the United States during the 1980s recession was monotonically decreasing in unanticipated inflation. We suggest a reason for this difference, and test our conjecture using data from inter-war Canada. Our results indicate that in recessionary conditions a positive inflation shock does reduce RPV. However, this reduction is unlikely to correspond to higher consumer utility; this has implications for the conduct of monetary policy during a recession. Length: 49 pages Creation-Date: 2011-08 Revision-Date: 2011-08 File-URL: http://www.otago.ac.nz/economics/research/otago076678.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1107 Classification-JEL: E31, N1 Keywords: Relative price variability, Inflation, Canada, Great Depression Handle: RePEc:otg:wpaper:1107 Template-Type: ReDIF-Paper 1.0 Author-Name: Subhasish M. Chowdhury Author-Name-First: Subhasish Author-Name-Last: M. Chowdhury Author-Email: s.modak-chowdhury@uea.ac.uk Author-Workplace-Name: University of East Anglia Author-Name: Stephen Martin Author-Name-First: Stephen Author-Name-Last: Martin Author-Email: smartin@purdue.edu Author-Workplace-Name: Purdue University Title: Innovation Races with the Possibility of Failure Abstract: The standard innovation race specification assumes a memoryless exponential distribution for the time to success of an R&D project. This specification implies that a project succeeds, eventually, with probability one. We introduce a positive probability that an R&D project fails. With this modified specification, we compare the non-cooperative and cooperative R&D in terms of innovation effort, consumer surplus, and net social welfare. Length: 37 pages Creation-Date: 2011-08 Revision-Date: 2011-08 File-URL: http://www.otago.ac.nz/economics/otago076664.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1106 Classification-JEL: L13, O31, O38 Keywords: innovation, research & development, R&D joint ventures, parallel research projects. Handle: RePEc:otg:wpaper:1106 Template-Type: ReDIF-Paper 1.0 Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: New Zealand: The Last Bastion of Textbook Open-Economy Macroeconomics Abstract: Recent empirical research into the macroeconomic effects of fiscal policy shocks has generated a 'puzzle'. Both Keynesian and Real Business Cycle models predict that a fiscal expansion will lead to a real exchange rate appreciation. However, in almost all the countries that have been studied, positive shocks to government spending cause the real exchange rate to depreciate. Recent theoretical work suggests that this unexpected result might reflect incomplete international financial market integration. The country where the incomplete markets assumption is least plausible is New Zealand, because of its integration into the Australian financial system. We show that in New Zealand there is no puzzle, and the standard textbook result still holds. Our counterfactual results are consistent with the argument that the puzzle is to be explained by an absence of complete international financial market integration in most parts of the world. Length: 37 pages Creation-Date: 2011-06 Revision-Date: 2011-06 File-URL: http://www.otago.ac.nz/economics/research/otago076663.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1105 Classification-JEL: E62, F41 Keywords: Government purchases, Real exchange rate, VAR model Handle: RePEc:otg:wpaper:1105 Template-Type: ReDIF-Paper 1.0 Author-Name: Alison Barber Author-Name-First: Alison Author-Name-Last: Barber Author-Workplace-Name: Clinical Prioritisation Team, Elective Services Programme, Ministry of Health, Auckland, New Zealand Author-Name: Paul Hansen Author-Name-First: Paul Author-Name-Last: Hansen Author-Email: paul.hansen@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Ray Naden Author-Name-First: Ray Author-Name-Last: Naden Author-Workplace-Name: Synergia, Auckland, New Zealand Author-Name: Franz Ombler Author-Name-First: Franz Author-Name-Last: Ombler Author-Email: enquiries@1000minds.com Author-Workplace-Name: 1000Minds, Wellington 6023, New Zealand Author-Name: Ralph Stewart Author-Name-First: Ralph Author-Name-Last: Stewart Author-Workplace-Name: Green Lane Cardiovascular Service and University of Auckland Title: Who's next? A new process for creating points systems for prioritising patients for elective health services Abstract: We describe a new process for creating points systems for prioritising patients for elective health services. Beginning in 2004, the authors were closely involved in a project to develop the process, initially for coronary artery bypass graft surgery and then successively for other elective services. The project was led by New Zealand's Ministry of Health in collaboration with the relevant clinical professional organisations. The objective was to overcome the limitations of earlier methodologies and to create points systems that are valid and reproducible and based on a consensus of clinical judgements. As the project progressed and the process was refined, other points systems were successively created (and clinically endorsed) for hip and knee replacements, varicose veins surgery, cataract surgery, gynaecology, plastic surgery, otorhinolaryngology, and heart valve surgery. Other points systems are planned for the future. Since 2008 the process has also been used in the public health systems of Canada's western provinces. The process is explained in a step-by-step manner so that others are able to follow it to create their own points systems if desired Length: 12 pages Creation-Date: 2011-07 Revision-Date: 2011-07 File-URL: http://www.otago.ac.nz/economics/research/otago076662.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1104 Handle: RePEc:otg:wpaper:1104 Template-Type: ReDIF-Paper 1.0 Author-Name: Dan Farhat Author-Name-First: Dan Author-Name-Last: Farhat Author-Email: dan.farhat@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: Bookworms versus Party Animals: An Artificial Labor Market with Human and Social Capital Accumulation Abstract: Data show that educated workers earn higher wages and experience lower unemployment rates. Some researchers believe this occurs because education improves a worker's productivity (or human capital), making them more desirable on the job market. Other researchers believe schooling improves a worker's network (or social capital), giving them more information about lucrative openings and more resources to secure a job (such as references from peers). Much of the research on human and social capital focuses on why schooling benefits workers, but often overlooks how education produces these outcomes. This paper develops an agent-based complex adaptive system that features human and social capital accumulation, formal schooling and on-the-job training, labor market search and durable employment contracts to explain the process linking education to labor market outcomes and economic performance. Sample simulations show that human capital accumulation explains many of the novel facts seen in the data while social capital alone is not enough. Length: 28 pages Creation-Date: 2011-05 Revision-Date: 2011-05 File-URL: http://www.otago.ac.nz/economics/research/otago076660.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1103 Classification-JEL: I23, E27 Keywords: Agent-based modelling, human capital, social capital, macroeconomic impacts of education. Handle: RePEc:otg:wpaper:1103 Template-Type: ReDIF-Paper 1.0 Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: The Dynamics of Aid and Political Rights Abstract: Several existing papers explore the extent to which the cross-country variation in measures of democracy and political rights can be explained by the cross-country variation in foreign aid inflows. Using panel data, we explore the extent to which the variation over time in such measures can be explained by changes in aid inflows, thus providing direct evidence on the impact of innovations in donor policy, and distinguishing between the short-run and long-run effects of changes in aid. Our results are very different from those based on cross-country variation in aid inflows. We find evidence of large differences between the effect of aggregate aid and the effect of aid for political reform, and between the effects in countries at different stages of political development. There is no evidence that aid intended for political reform has achieved its objective, and in some countries it may be counter-productive. However, aggregate aid can have a beneficial effect on political rights. Length: 30 pages Creation-Date: 2011-04 Revision-Date: 2011-04 File-URL: http://www.otago.ac.nz/economics/research/otago076658.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1102 Classification-JEL: O19 Keywords: Aid, political rights, dynamic panel model Handle: RePEc:otg:wpaper:1102 Template-Type: ReDIF-Paper 1.0 Author-Name: Alvin Etang Author-Name-First: Alvin Author-Name-Last: Etang Author-Email: alvin.ndip@yale.edu Author-Workplace-Name: Department of Economics, Yale University Author-Name: David Fielding Author-Name-First: David Author-Name-Last: Fielding Author-Email: david.fielding@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Author-Name: Stephen Knowles Author-Name-First: Stephen Author-Name-Last: Knowles Author-Email: stephen.knowles@otago.ac.nz Author-Workplace-Name: Department of Economics, University of Otago Title: What Sort of People Vote Expressively? Abstract: Using a survey and an experiment, we identify the personal characteristics associated with the difference between an individual's giving to charity and her vote in a referendum on charitable giving. Under certain circumstances, high levels of self-reported trust and happiness, and participation in social group activities, are associated with expressive voting for high levels of charitable giving. However, the sequencing of the experiments is of crucial importance. The 'warm glow' of expressive voting can influence subsequent individual decisions, and the 'cold shower' of individual selfishness can influence subsequent collective decisions. Length: 32 pages Creation-Date: 2011-02 Revision-Date: 2011-02 File-URL: http://www.otago.ac.nz/economics/research/otago076657.pdf File-Format: Application/pdf File-Function: This version, 2011 Number: 1101 Classification-JEL: Keywords: Handle: RePEc:otg:wpaper:1101