Online First

The articles listed below have been accepted for publication after successfully passing the review process. They will be included in future issues of the journal.

Osvaldo Meloni

Feeding the Leviathan: political competition and soft budget constraints. Evidence from Argentine subnational districts

This paper presents evidence of the influence of political competition on the behavior of fiscal policy in argentine provinces from 1987 to 2015. Contrary to the predominant theory and empirical evidence from subnational districts my estimations of a dynamic panel data show that political competition is associated with increases in public outlays and changes in its composition. This finding is strongly related to the large vertical fiscal imbalances that characterize the argentine fiscal federalism. I conjecture that governors use the additional low-cost spending power given by federal transfers to feed clientelistic networks, increase public employment and direct subsidies to constituencies, thus enhancing their chances to remain in office.

Keywords: political competition; soft budget constraints, fiscal policy, vertical fiscal imbalance, fiscal federalism
Victor Manuel Bellido-Jiménez, Domingo Martín-Martín, Isidoro Romero

Self-employment in immigrants and the survival of incubated businesses in Andalusia

This paper investigates the existence of specific patterns of survival in the case of the businesses created by self-employed immigrants compared to those driven by national self-employed. The analysis uses a database made up of all the businesses incubated by public support services developed by the Andalucía Emprende Foundation (Ministry of Employment, Training and Self-employment of the Regional Government of Andalusia) in the period 2009-14. The results show that the chances of survival of immigrant businesses are lower than that of national promoters even after controlling for territorial characteristics, the characteristics of the business projects and the personal characteristics of the self-employed. It is also observed that the educational level of promoters increases business survival, having a significantly larger effect in the case of the immigrant self-employed.

Keywords: business survival; entrepreneurship; incubation; immigrant; self-employment
Jhon James Rodríguez

Spatial social effects on the decision to participate in the youth labor market in a developing country

Globally, many public policies seek to improve the results in participation, employment, and unemployment of the youth in the labor market. Evidence shows that education, age, sex, income conditions of the household, and working conditions affect labor market participation. However, how the behavior of the closest individuals affects the decision of the younger individuals to labor participation in a developing country is a matter of discussion. Using GPS location for 1094 young people, I estimate a spatial model for individual decisions to participate in the labor market in Colombia. Results show that the nearby individual’s similar decision regarding labor participation affects the youth’s decision to participate or social effects in youth labor participation.

Keywords: Spatial Econometrics; Labor Force Participation; Spillover effects
José Manuel Santos Jaén, Esther Ortiz Martínez, Salvador Marín Hernández

Special employment centers, Profitable or social objective? An study of their economic and financial situation

The objective of this paper is to if there are differences in the core economic indicators of the special employment centers depending on, if they were created to obtain profit, or with social goals. We have created a database with 166 financial statements of the special employment centers from the Region of Murcia for the period 2012-2016. We have done a descriptive and explicative analysis of these data using the core economic and financial ratios. The obtained results have allowed us to conclude that the different orientation of the special employment centers doesn´t have direct effects on the profitability, but there are significant differences in their liquidity and solvency depending on the CEE type.

Keywords: Special Employment Centers; profitability; liquidity; solvency; disability
Carlos Gonçalves, Monique Borges, João Marques

Post-crisis Resilient Governance in Centro region (Portugal) after 2017 wildfires

Governance systems, when addressing post-disaster action, play an important role in minimizing the community’s vulnerability in future disruptive events. The literature describes how post-disaster actions towards resistance-resilience measures are often implemented, shifting to adaptive-resilience approaches as a second concern, and disregarding resilience-transformative strategies. Two consecutive wildfires in the Centro Region (Portugal), in 2017, cut off access to the Services of General Interest (SGIs) and knocked off-balance the socioeconomic territorial structure and identity (the main impact was 116 mortal victims). In this paper, the media coverage of the phenomena during the 12 months following the disaster is analysed using a sample of 150 news articles published in two newspapers. The public discourses are indicative of the overall importance given to the impact and to the responses based on resistance-resilience measures. Moreover, the theoretical and practical challenges for the policy design and organization of the governance systems in post-disaster contexts is discussed.

Keywords: Post-disaster resilience; governance systems; services of general interest; resistance; adaptability; wildfire