Arye L. Hillman
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William Gittes Chair Bar-Ilan
University Department of Economics +
972-3-531-8951, 972-9-774-6424 Mobile:
+972-547-901642 Silvaplana Workshop in Political Economy, 21 – 25 July 2012, invitation to submit a paper for
presentation |
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PERSONAL INFORMATION |
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RESEARCH My
research focuses on political economy, which is the study of public policy as
the interface between economic and political decisions. Political economy was
introduced into the modern economics literature by the public-choice school
of thought. My recent research has included expressive behavior and behavioral
aspects of political economy. RECENT PUBLICATIONS AND RESEARCH IN PROGRESS link BOOKS link PAPERS Research papers are organized according
to the following topics. 1. POLITICAL ECONOMY AND
INTERNATIONAL ECONOMICS link My
interest in political economy began in the field of international trade, with
a quest to understand why governments have prevented people from trading with
one another. I proposed that departures from free trade were explained by
political benefits for political decision makers through the
income-redistribution consequences of protectionist policies. The
political-economy explanation for protectionist policies was a departure from
the theme prevailing in the literature that intervention by government in international
trade could be justified as a second-best quest for efficiency. The
literature described international migration as movement of factors of
production symmetric with capital movements. A political-economy approach to
migration policy set out in my papers viewed migration in the context of
decisions of people with personal needs and presumptions of culture. A
political-economy perspective explains trade liberalization as
“exchange of market access”, whereby governments reciprocally
compromise the perceived exclusive right of their domestic producers to sell
in domestic markets. Existing literature had focused on reciprocal reduction
of optimal tariffs imposed for terms-of-trade purposes. 1.1 Political economy of trade policy 1.1.1
The
political economy of protection 1.1.2
Trade
liberalization and globalization 1.1.3
The
environment and trade policy 1.1.4
Market
structure as a determinant of protection 1.1.5
The
multinational firm and foreign investment 1.1.6
Protection
as insurance 1.1.7
Trade
embargoes 1.1.8
Incentives
for illegal activity 1.1.9
Surveys 1.2 Comparative
advantage and trade 1.2.1
True
and “revealed” comparative advantage 1.2.2
The
factor content of international trade 1.2.3
Departure
from the law of one price 1.2.4
Domestic
monopoly and dumping 1.2.5
Trade
diversion as a prisoners’ dilemma 1.3 The political
economy of international migration 1.3.1
The
political economy of migration policy 1.3.2
Why
do people emigrate? 1.3.3
Illegal
immigration 1.3.4
Host-country
benefits 1.4 Other related papers and comments 2. POLITICAL ECONOMY AND PUBLIC
POLICY link A
political-economy view of public policy includes recognition of incentives
for rent creation and rent extraction by political decision makers and rent
seeking by the prospective beneficiaries of rents. The social costs of rent
seeking are indicated by rent dissipation. I have studied rent dissipation
under different institutional conditions. Rents affect development failure
and success: a political-economy perspective explains development failure in
terms of the personal objectives of rulers and ruling elites in poor
countries. I have studied how behavioral aspects and expressive behavior
influences economic and political decisions. Public policy is affected
through policy traps that arise when people expressively support public
policies that they would veto if they could. My textbook Public Finance and
Public Policy: Responsibilities and Limitations of Government (Cambridge
University Press, 1st edition 2003, 2nd edition 2009; Chinese, Hebrew,
Russian, and Japanese translations) includes the traditional topics of public
finance and public policy, while providing a political-economy perspective on
the choice between markets and decisions of government. 2.1 Behavioral political economy 2.2 Rent creation and rent seeking 2.2.1
The
social costs of rent seeking 2.2.2
Institutions
and the creation of rents 2.2.3
Survey
of the rent seeking literature 2.3 Economic development and development
failure 2.4 Paternalist policies 2.5 Public policy and public safety 2.6 Clubs, privilege, and exclusion 2.7 Other topics 3. SOCIALISM AND TRANSITION link In the
course of the transition from socialism, changing institutions and the
introduction of private property rights through privatization changed
personal opportunities and economic and political incentives. I was fortunate
in having had the opportunity to visit many post-communist countries in the
early years of transition as an advisor for the World Bank. My research on
the political economy of transition was conducted with World Bank
researchers. 3.1 Surveys 3.2 Rents and transition 3.3 Privatization 3.4 International trade policy in
transition 3.5 Public finance in transition 3.6 Other aspects of transition 3.6.1
The
rule of law 3.6.2
Economic
statistics in the transition 3.6.3
Country
studies 4. SHORT PAPERS, COMMENTS, POLICY PAPERS link 4.1 The economy of Israel 4.2 Other papers and notes |
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PUBLIC AND
PLENARY LECTURES
POLICY RELATED
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International Monetary Fund, Fiscal Affairs Department |
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The World
Bank |
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Adjustment
to end of CMEA trading arrangement 1990 International
trade policy regime 1992 (Turkmenistan) Choice
of the tax regime 1992, incentives for private sector development 1993-1994
(Bulgaria) Foreign
trade regime 1993 (Baltics) Foreign
trade subsidies, directed credits 1993 (Russia) Incentives
for private sector development 1993 (Hungary) Financing
government in transition 1994-95 (Bulgaria) World
Development Report Background Paper 1995-96: "Rents and the
transition" (with Alan Gelb and Heinrich Ursprung) Enterprise
development, 2002 (Uzbekistan) |
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GATT/World
Trade Organization |
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International
trade policy and environmental interests 1991 Trade,
technology, and social marginalization 1998 |
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The European
Union |
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Economic
policy in Hungary 1989 |
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The Government
of Israel: Office of the Prime Minister Position paper, The economy of Israel: Misinformation or disinformation? 1992 Forum
for discussion of economic policy options, 1996-1997 |
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EDITORIAL POSITIONS
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Editor
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European Journal of Political Economy (Elsevier),
since 1994 |
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Other editorial affiliations |
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Associate
editor for Political Economy and Institutions, imp-WG: Economics. The
Open-Access, Open-Assessment E-journal, Kiel Institute of World Economics,
since 2006 Australian
Economic Papers, editorial board, since 2004 International
Advisory Board, Weltwirtschaftliches Archiv, since 1995 Editorial
Board, The Journal of International Trade and Economic Development, since
1995 Previous Advisory
Board, Encyclopedia of Public Choice, 1999 Associate
Editor, Economics and Politics, 1990-1999 |
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Supervision PhD theses
Yoav Zeif,
1999. Three essays in international trade policy and income distribution Shirit
Katav-Herz, 2002. Social norms, labor standards, and international
consequences Ronen
Bar-El, 2006. Essays in intergenerational economics Odelia
Rosin, 2008. The economic consequences of obesity Yariv
Weltzman, 2010. The persistence of ineffective aid In
progress: Rezina
Sultana, Essays in the political economy of economic development Mor
Zahavi, Essays in behavioral political economy Courses taught
Public
economics Public
policy International
trade Microeconomic
theory Invited graduate lecture series
Centre
d’ economie de la Sorbonne, Paris I, February 2010. “Public
Policy and Public Finance”. University
of Freiburg, July 2009. “Public Policy and Public Finance”. Hong-Kong
University of Science and Technology, October 2007. “Public
Choice” Humboldt
University, Berlin, July 2007. “Social Justice”. Kiel Institute Summer School on
Economic Policy, July 2007. “Reforming the Welfare State:
Balancing Efficiency and Equity”. New
School of Economics, Moscow, January-February 1995. (1) “Public
Finance” , (2) “International Trade” Kiel
Institute of World Economics, March 1993. “The Political Economy of Trade
Policy” |
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Invited undergraduate lecture series
University
of Havana, summer school in conjunction with Humboldt University, October
3-15 2006. “Public Finance and Public Policy. Huazhong
University of Science and Technology, School of Public Administration, Wuhan,
China, (1) October 2002, (2) March 2004. “Public finance and public
policy”. University
of Catania, Sicily, (1) October 1997, (2) April 2000. “Public Finance
and Public Policy” G-17
Institute, Belgrade, Serbia, Summer School in Public Policy, July 2004.
“Public Finance and Public policy”. Center
for Banking, Finance, and International Economics, Podgorica, Montenegro.
International Summer School, (1) Herceg-Novi, Montenegro, June 2002.
“Public Finance and Public Choice”; (2) Budva, July 2001
“International and Public Finance”. Center
for Liberal Democratic Studies, Belgrade, Serbia. International Summer
School, in Petrovac, Montenegro, July 2000. “Public Finance and Public
Policy” |
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CONFERENCE ORGANIZATION
Annual Silvaplana workshop on political economy
Since 1989, with Heinrich Ursprung and
others
Recent programs: 2006, 2007, 2008,
2009, 2010
Other conferences
Principal organizer
“Economic Performance, Economic Policy, and
Political Culture”, at Erasmus University, Rotterdam, with Otto Swank,
1999 “The Changing Role of Government in an Integrated
World Economy”, Bar-Ilan University, the Hebrew University of
Jerusalem, and CEPR, with Mario Blejer, 1997 European Public Choice Society Annual Conference,
Bar-Ilan University and Tiberias, Israel, 1996 “Markets and Politicians”, Bar-Ilan
University, 1989 Program committee
European Public Choice Society Meetings, Helsinki,
April 2006 International Institute of Public Finance, Korea,
August 2005 European Economic Association Annual Congress, Venice,
August 2002 International Institute of Public Finance, Linz, August
2001 European Public Choice Society Meetings, Paris, April
2001 European Economic Association Annual Congress, Berlin,
September 1998 |