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What's happening to universities? Historical and comparative perspectives
Stefan Collini

[Keywords: incessant intimidation; policies; institutions; higher education jel: I21, I23, I24]

This article examines the tendency of universities to adopt criteria and evaluation guidelines specific to business enterprises. Faced with the massification of enrollment and operating costs, they favor the administrative roles of academics tend to be more favored. While being a sign of academic decay, there has undoubtedly has been radical change during the last four decades ago. If this trend continues, concern about the "rational" use of staff and the physical plant and the hiring of professors more engaged in recruitment than teaching and basic research will accentuate the distance between elite universities and other universities, that and its distinct academic role will change as its focus will be training personnel for the labor market.


Saving science
Daniel Sarewitz

[Keywords: transcient, science, innovation, public value, social responsibility; jel: A11, A13]

Science is facing a multi-faceted crisis: in terms of quality, of public value, of political legitimacy. To a significant degree, these problems find their origin in the widely held belief that unfettered scientific curiosity provides the best starting point or departure for solving both scientific and social problems. In this article I show how this belief has contributed to a scientific enterprise whose exponentially growing productivity is increasingly decoupled from meeting the standards of high quality or the needs of society. I contrast the ideals of unfettered scientific inquiry with real stories of how science, innovation, and problem solving came together in the institutional arrangements of the “military-industrial complex” after World War II. Through an array of contemporary and historical examples stronger links, I show how stronger links between the context of knowledge creation, and the context of problem solving, provides the pathway along which science can recover both its integrity and its commitment to society.


Social choice, inequality and civic virtue
Mauricio Uribe López

[Keywords: social choice, poverty, social policy, revealed preferences, republicanism, inequality; jel: D63, D69, D71]

The article presents the way in which Sen attachs the social choice theory to the reasoned search for justice, taking into account interpersonal comparisons such as different kinds of moral information. These types of information are the concept of agency linked to the republican idea of civic virtue. The goal is to lay out the argument according to which overcoming poverty and extreme inequality in Latin America, cannot be achieved if taken only as a matter of social engineering. The viability of this objective depends not only on the increasing – its depends on citizens’ disdain for inequality, but also to citizen’s political action and its impact on public policy.


Investment in intangibles and competitive strategy: an extension of the Cournot model
Gloria Inés Sarmiento y Óscar Arturo Benavides[pdf]

[Keywords: intangible capital, competitive strategy, market power; jel:L11, L12, L21, O31]

The growing literature on intangible capital shows a relative consensus on the role of firms in terms of investing resources to acquire (purchase or produce) this type of capital because it allows them to obtain a competitive advantage. This paper explores the incentives of In increasing their level of intangible capital using a simple model in which the firms compete a la Cournot. The model shows that the firm can get higher price-cost margins and market share than its rivals even in perfect competition given that the firm is productive enough in the production of intangible capital.


The nature of institutions. The current debate
Gabriel Guzmán y Cristian Frasser[pdf]

[Keywords: ontology of society, ontology of institutions, John Searle, rules, incentive action; jel: B41, B52, Y8]

This article discusses the ontology of institutions and criticizes the notion that institutions are made only of incentives and individual actions. It is further argued that institutions are not constituted solely on the actions of individuals, and that they have a proper, regulated and linguistic ontology. Several approaches are compared on the subject and two main lines of research are identified in the literature: the attempt to construct a unified theory of institutions and a proposal to include constitutive rules in game theory.


Mining boom and deindustrialization in Latin America
Edwin Torres Gómez y Mauricio López González[pdf]

[Keywords: economic cycle, dutch disease, industry, mining, exports; jel: E32, F14, F41, L71]

Mining production has grown substantially in Latin America in the last decades. This boom has adversely affected the negatively the production and exports of manufacturing goods, suggesting the basis for the phenomena of the “Dutch Disease”. This study allows ratifying that incidence through a regression model with panel data and a graphical analysis using local polynomial regressions. Results show a trade off in production and exports between two important sectors, industry and mining. The negative relationship operates in countries where exports of mining goods exceed a certain threshold, wich is the moment at which economic institutions should set off the alarms and intervene on a more active way. This research has named “Intersectoral Substitution Curve” ISC to this phenomenon.


Risk aversion, temporal preference, and socieconomic variables: evidence from a Colombian people
David Ortiz Escobar[pdf]

[Key words: Field experiments, temporary preference, risk aversion, displacement; jel: C93, D91, O54]

This is a Colombian case study which demonstrates the relationship. We applied a household survey and took measures of temporary preference and risk aversion to a sample of inhabitants of Barranca de Upía (Meta). I find that i. Age is associated with the time preference revealed, but not risk aversion is revealed; ii. Women are more risk averse, and iii. The fact that they have come to the village in the last five years, whether looking for economic opportunities or fleeing armed conflict, the revealing of a high temporal preference and a low risk aversion.


The duration of youth unemployment and the "ninis" in Cali
Jhon James Mora Rodríguez, Carolina Caicedo y Carlos G. González[pdf]

[Keywords: young boys, duration of unemployment, “ninis”, endogeneity of unemployment; jel: J16, J64, C26, C41]

In this article, we discuss the characteristics of the employment duration for young people in Cali 2012-2013. Our results show that the Afro-descendent female youth and those residing in communas or slums have a higher probability of unemployment duration.  On the other hand we analyze how ethnicity, women, location in a specific “Comuna”, Migrant status impacts the probability of NEET conditions (Not in Employment, Education or Training).


Global trade in environmental goods and services. Performance and challenges of Mexican industry
René Lara, Petr Sauer y Ludmila Sterbová[pdf]

[Keywords: Environmental policy, sustainable development, international trade, liberalization of trade; jel: F13, F18 Q56, Q55, F53]

This article studies the environmental industries of Mexico and the United States Within the framework of the North American Free Trade NAFTA, where Mexican industry lags behind lack of funds due to recurring economic crises. Should this situation not be overcome, the benefits of foreign trade for the Mexican environmental industry will remain low.


Exploitation of natural resources and conflict in Colombia
Luis Eduardo Sandoval, Margarita Marín y Ana María Sandoval[pdf]

[Keywords: natural resources, mining, conflict, index; jel: Q26, L71, Q34, C43]

Colombia has increasingly been specializing in the extraction of mineral and energy resources such as gold, coal, oil and ferronickel. These activities, in the context of state weakness, have engendered conflicts of different dimensions. This paper proposes an indicator of conflict related to mineral exploitation that classifies five dimensions of conflict: social, economic, cultural, political and environmental. The aggregate indicator shows that murders, displacement of Afro-descendent populations, flooding, pollution, fires, infant mortality, coca crops and sexual offenses are highly and positively correlated with the number of conflicts.


Criminal networks and corruption in the era of microtraffic and narcomenuedeo
Leonardo Raffo López y Diego Gómez Calderón[pdf]

[Keywords: Micro-drug trafficking, drug dealing, contests, corruption and social networks; jel: K42, D43, L13, C72, D85, D73]

This study has sought to identify and analyze the key agents, relationships and processes characterizing the evolving of micro-drug trafficking and retail-drug dealing as the present phase of drug-trafficking in Colombia. We build an analytical model in a sequential network game-theoretic structure, which takes into account the trafficker’s corruption strategies. The most important finding is that Higher levels of reprisal could can be counterproductive due to the strategic responses of traffickers leading them to invest more resources invest in corruption activities.




Revista de Economía Institucional
Universidad Externado de Colombia
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