Makoto Ohta

Estimating a matching function and regional matching efficiencies: Japanese panel data for 1973-1999

Abstract In estimating matching functions by using aggregate time series data, an implicit assumption is imposed that search efficiencies are common to all regions in a country. This paper estimates the matching function using annual panel data covering 47 Japanese prefectures from 1972 to 1999, which allows variation of matching efficiencies over regions. We find that the matching function exhibits mildly but statistically significantly decreasing returns to scale regardless of whether unobservable regional heterogeneity be controlled or not. Further, we find a statistical evidence that estimated matching efficiency is negatively correlated with population density and per capita income. This contradicts previous finding that, ceteris paribus, matching is better for higher population density area. We give a verbal interpretation of this finding.

Gasoline Cost and Hedonic Price Indexes of U.S. Used Cars for 1970-1983

Hedonic price indexes are estimated for U.S. used passenger cars for 1970–1983. A few notions of indexes that differ in the treatments of the expected present value of gasoline cost for driving a car over its remaining life are considered. Their relationships are obtained theoretically and examined empirically. Our indexes also are compared with the Consumer Price Index.

Rates and Biases of Technical Progress and Returns to Scale in the Multi-output Multi-input Production : Primal versus Dual, Output-Augmenting versus Input-Saving and Long-Run versus Short-Run

I examine the relationships among various dual concepts of output-augmenting and input-saving rates of technical progress as well as various dual concepts of returns-to-scale measures in the long run and short run. Output-augmenting rates of technical progress are all equal, and so are input-saving ones. Returns to scale plays an important role in the relationship between output-augmenting and input-saving rates of technical progress. Capacity utilization plays an important role in the relationship between the long run and short run. The bias of technical progress is also briefly referred to. L Classification Numbers: D24, O030, O047.

Terms of trade, CPI, GNP deflator, and economic welfare

We can judge whether a given terms of trade change increases or decreases the economic welfare of a small, open country, correctly, under the unchanged production possibility frontier, by comparing the true CPI with the true GNP deflator. Also we can do so correctly by comparing the fixed-weight price index (like the Laspeyres or Paasche) for consumption with that for production except for cases of unrealistic and rare anomalies. In and only in the anomalies, the change in the fixed-weight terms of trade is inconsistent with that in the true one. J. Japan. Int. Econ. , March 1991, 5 (1), pp. 60–85. Institute of Socio-Economic Planning, University of Tsukuba, Tsukuba, Ibaraki 305, Japan.