Internal Lunch Seminars (Archive)
Access to Credit of Enterprises in the Eurozone after the Financial CrisisLecturer: Petr Koráb Affiliation: Mendel University Mendel Univ., Zemědělská 1, Brno, Room 4.74 1:00 PM • 11/10/2015
The marginal cost of justice: A theory of optimal use of alternative criminal proceduresLecturer: Josef Montag Affiliation: Univesity of Economics, Prague Academic Club (ESF MU) 12:00 PM • 11/3/2015
Abstract: Criminal cases can be adjudicated via court trials or alternative criminal procedures, such as penal order and plea bargaining. We develop a model of optimal allocation of cases across these alternatives. The model predicts that the evidence standards—and thus the number of wrongful convictions and wrongful acquittals—fundamentally depend upon the cost structure of the criminal process as well as on the budget resources allocated to the criminal justice system. We call this phenomenon the marginal cost of justice. Our model offers explanations why the scope of plea bargaining in the United States has been traditionally broader than the scope of alternative procedures in Europe and why their use in Europe has recently expanded.
On the regularity of smooth production economies with externalities: Competitive equilibrium à la NashLecturer: Vincenzo Platino Affiliation: Masaryk University Academic club (ESF MU) 12:00 PM • 10/29/2015
Abstract: We consider a general equilibrium model of a private ownership economy with consumption and production externalities. The choices of all agents (households and firms) may affect utility functions and production technologies. The equilibrium notion blends Arrow--Debreu with Nash, that is, agents (households and firms) maximize their goals by taking as given both commodity prices and choices of every other agent in the economy. We provide an example showing that under standard assumptions, such economies may have infinitely many equilibria. We present our model with firms' endowments following Geanakoplos, Magill, Quinzii and Drèze (1990). Firms' endowments consist of amounts of commodities held by the firms to generate receipts from sales of initially-held stocks of commodities and claims from debts, subsidies and taxes expressible in terms of them. We prove that almost all economies are regular in the space of endowments of households and firms.
Corporate social responsibility: Responsible and Sustainable EducationLecturer: Sylvie Formánková Affiliation: Mendel university Mendel Univ., Zemědělská 1, Brno, Room Q45 1:00 PM • 10/23/2015
Abstract: The research deals with the responsible and sustainable education. It will include the comparison of two institutions, Mendel University in Brno and Hedmark University College, with the aim of benchlearning - finding new knowledge and inspiration for the future existence of these universities in terms of social responsibility. The research will be done in four stages: creation of a questionnaire based on a modified version of ISO 26000 draft, distribution of questionnaire and personal interviews with appropriate representatives of the university, evaluation of the questionnaire and finally comparison of the results in three main areas – economic, social and environmental. Outputs leading to a possible suggestion of improvements will be published in a form of a monograph (book). This monograph could be used as a starting point for social responsibility implementation in tertiary level of education at all institutions that want to do more for their students, employees and community. Such institutions will be oriented on quality of their education, services for employees, disabled students/employees, transparency of their actions and cooperation with community and non-profit sector which will help them to keep the sustainability for future generations. A special term for these universities could be created – universities of “new generation”. Following this first step the research will be extended and more educational institutions (public and private universities and university colleges) from the whole Czech Republic and Norway will be involved and investigated.
Credit Crunch in EU countries: Evidence from Bank Lending StandardsLecturer: Svatopluk Kapounek Affiliation: Mendel university Mendel Univ., Zemědělská 1, Brno, Room Q45 2:00 PM • 10/16/2015
Abstract: The European countries are more reliant on bank credits and bank intermediation of savings, than the rest of the world. Therefore, the banking system plays a crucial role for sustained recovery in Europe after the financial crisis. However, many factors could influence the lending activities of banks. The main objective of the paper is to identify the link between the European bank lending activities and macroeconomic shocks, banking controls and institutional variables. The microeconomic data are provided by the Bankscope database, macroeconomic shocks are drawn from Eurostat on-line databases. We employ robust OLS estimator and 2SLS estimations with lending standards as instruments. The results confirm significant impact of macroeconomic shocks, banking controls and institutional variables on European lending activities. In addition, we discuss possible endogeneity problems of economic agents’ preferences related to the possible credit crunch in selected countries.
Childcare arrangements: Parental preferences in the Czech RepublicLecturer: Jana Válková Affiliation: Masaryk University ESF, Lipová 41a, Brno, Room S314 1:00 PM • 10/9/2015
The research explores how cultural values, policy arrangements and economic pressures influence the preference for childcare. We study the parents preferences towards the childcare arrangements of pre-school children living in middle-upper class and working class neighborhoods when different options were available. The analysis is based on 40 semi-structured interviews with parents of first graders from two cities in the Czech Republic – Prague and Brno – collected within the project Parental Choice and Caring for Children in the Czech Republic and Slovakia supported by the Grant Agency of the Czech Republic.
Property rights predictability and FDILecturer: Štěpán Mikula Affiliation: Masaryk University Academic club ESF MU 12:00 PM • 8/21/2015
This paper deals with the role of predictability of property rights protection in source countries on the bilateral stock of foreign direct investments allocated in OECD countries. The poor predictability undermines the transaction costs reducing and productivity enhancing effect of property rights. Empirical results suggest that lower predictability leads to increase of investments held abroad and to decrease the amount of resources allocated to investments. The effect is driven by negative shocks when actual level of property rights protection is lower than expected. On the other hand there is no effect on FDI in the case positive shock where the lower predictability is compensated by positive effect of institutional innovations.
Do auctions improve public procurement? Evidence from the Czech RepublicLecturer: Ondřej Krčál, Michal Kvasnička, Rostislav Staněk Affiliation: Masaryk university, ESF ESF, Lipová 41a, Brno, Academic Club 12:00 PM • 3/26/2015
Abstract: The paper explores the effect of different contract awarding procedures on the price of the contract. We provide a theoretical model that compares prices in different procurement procedures. The model predicts that 1) prices in auctions are lower than prices in negotiations and 2) prices in open procedures are lower than prices in closed procedures if and only if the procurer selects relatively inefficient bidders. Based on data from Czech public procurement, we test whether there is a significant price difference between auctions and negotiations and between closed and open procedures. The main result is that auctions and open procedures lead to significantly lower prices compared to negotiations and closed procedures.
External validity of prospect theory: Experimental estimates vs. evidence from football bettingLecturer: Ondřej Krčál, Michal Kvasnička, Rostislav Staněk Affiliation: Masaryk university, ESF ESF, Lipová 41a, Brno, Academic Club 1:00 PM • 3/19/2015
Abstact: In this paper, we test whether the prospect theory parameters estimated from laboratory experiments correspond to behavior in betting markets. Using Czech sports betting data, we estimate the functional forms commonly used for experimental validation of prospect theory. We find that the data are best fitted if the representative bettor is risk-loving and has a close to linear weighting function. In addition to that, we show that the traditional inverse S-shaped weighting function cannot explain the observed price data, even if bettors may differ in their risk attitudes. Therefore, the observed betting behavior represents an important deviation from the prospect theory parameterization derived in laboratory experiments.
Local price competition: Evidence from the Czech retail gasoline marketLecturer: Ondřej Krčál, Michal Kvasnička, Rostislav Staněk Affiliation: Masaryk university, ESF ESF, Lipová 41a, Brno, Academic Club 12:00 PM • 3/12/2015
Abstract: We analyze the effect of local competition on prices in the retail gasoline market in Czech Republic. Our analysis suggests that spatial clustering of gas stations of the same brand increases the equilibrium prices. Using a flexible measure of local density, we also find that the number of competing stations in the proximity of a station reduces its price and that the effect fades out with the distance. Furthermore, we demonstrate the importance of spatial competition in the Czech Republic using merger simulation.