The Developing Economies
Volume 43, Number 2 (June 2005)
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CONTENTS
Determinants of Donations: Empirical Evidence from Taiwan (100KB) / Wen-Chun Chang
Does Social Security Affect Retirement and Labor Supply? Evidence from Chile (157KB) / Rodrigo A. Cerda
Banking Sector Controls and Financial Deepening: A Structural Error Correction Model for Tunisia (119KB) / Nejib Hachicha
Migration, Labor Market Flexibility, and Wage Determination in China: A Review (123KB) / Zhong Zhao
Book Reviews
Abstract
Wen-Chun
Chang,
"Determinants
of
Donations:
Empirical
Evidence
from
Taiwan,"
pp.
217-34.
In
this
paper,
data
from
the
1999
Survey
of
Social
Development
Trend
(SSDT)
in
Taiwan
were
used
to
examine
the
effects
of
income,
tax
price,
as
well
as
demographic
variables
on
donations
to
different
types
of
nonprofit
organizations.
The
findings
of
this
paper
suggest
that
the
effect
of
income
on
the
level
of
donations
was
positively
significant
only
for
charitable
and
religious
donations,
but
not
for
other
types
of
donations.
In
addition,
lowering
the
tax
price
of
a
donation
exerted
a
significant
effect
on
the
probability
of
making
donations
only
for
religious
contributions,
but
it
also
raised
the
level
of
contributions
both
for
charitable
and
religious
donations.
The
effects
of
most
demographic
variables
were
significant
for
the
participation
decision
for
all
the
different
types
of
donations,
but
not
significant
for
the
levels
of
donations
to
academic,
medical,
and
political
organizations.
Rodrigo
A.
Cerda,
"Does
Social
Security
Affect
Retirement
and
Labor
Supply?
Evidence
from
Chile,"
pp.
235-64.
This
paper
explores
the
effects
of
the
social
security
system
on
retirement
and
labor
supply
decisions.
Due
to
the
regulations
established
by
Chilean
social
security
law
reform,
two
social
security
systems
coexist
in
Chile:
the
"Pay-As-You-Go"
and
the
individual
account
system.
The
coexistence
of
the
systems
allows
us
to
better
understand
the
effects
of
both
social
security
systems
on
retirement
and
labor
supply.
We
find
that
(1)
larger
benefits
in
any
social
security
system
induce
earlier
retirement
and
(2)
larger
variance
of
benefits
in
the
individual
account
system
induces
later
retirement.
We
do
not
find
major
impacts
of
social
security
on
labor
supply
of
individuals
in
the
labor
force.
Nejib
Hachicha,
"Banking
Sector
Controls
and
Financial
Deepening:
A
Structural
Error
Correction
Model
for
Tunisia,"
pp.
265-84.
The
aim
of
this
paper
is
to
investigate
empirically
the
effects
of
several
types
of
banking
sector
controls
on
financial
deepening
in
Tunisia.
The
hypotheses
addressed
in
this
study
are
iscussed
within
the
general
framework
of
the
McKinnon/Shaw
approach
and
the
monopoly
bank
model.
A
structural
error
correction
model
in
Ericsson's
(1995)
sense
has
been
specified
and
used
to
estimate
the
effects
of
financial
repression
in
Tunisia
over
the
period
1961-2000.
The
main
empirical
finding
suggests
that,
in
the
long
and
short
terms,
financial
repression
has
had
significant
and
negative
effects
on
financial
development,
independently
of
its
well-known
influence
via
the
level
of
the
real
interest
rate.
This
finding
shows
a
contrast
with
the
prevalence
of
financial
market
imperfections,
but
it
is
consistent
with
traditional
literature
on
financial
liberalization.
In
addition,
this
paper
shows
that
financial
deepening
and
per
capita
income
are
jointly
determined
since
they
both
appear
not
to
be
weakly
exogenous
with
each
other.
Zhong
Zhao,
"Migration,
Labor
Market
Flexibility,
and
Wage
Determination
in
China:
A
Review,"
pp.
285-312.
This
paper
reviews
economic
studies
on
rural-urban
migration
issues
in
China.
The
paper
focuses
on
four
issues:
the
household
registration
system
in
China,
the
profile
of
the
migrants,
explanations
for
rural-to-urban
migration,
and
the
interaction
between
migration
and
labor
market
evolution,
with
special
reference
to
labor
market
segregation,
labor
market
flexibility,
and
wage
differentials.
The
paper
concludes
with
suggestions
for
further
research
topics.