Business Commons^™

Promoting Investments In Intangible Organizational Assets Through Aligned Incentive Compensation Plans, Susan Hughes, Craig Caldwell, Kathy Paulson Gjerde

Craig B. Caldwell

Externality Effects Of Residential Property Values: The Example Of Noise Disamenities, David Clark

David E. Clark

Studies conducted by the Federal Railroad Administration in the 1990s reveal that train whistle bans lead to higher accident rates at train crossings. However, advocates of these bans argue that they eliminate noise externalities that have a detrimental effect on residential home values. To assess this latter claim, an event study is conducted and hedonic models are estimated for three different areas in which Conrail unilaterally began ignoring local whistle bans. While the findings consistently show that proximity to rail lines has a negative and statistically important influence on home values, there is little evidence that the Conrail decision had …

Generic Skills For Hospitality Management: A Comparative Study Of Management Expectations And Student Perceptions, Michael Raybould, Hugh Wilkins

Michael Raybould

Tertiary providers of hospitality management degree programs must fulfil the needs of student, industry and academic stakeholder groups. The students attracted to this type of program tend to be motivated primarily by the anticipated vocational outcomes. As a result, hospitality management curriculum needs to meet both industry and student expectations by delivering the skill sets needed in the workplace and the institutional demands for academic rigour. This article reports on research that aimed to compare hospitality managers' expectations of graduate skills with student perceptions of the skills that hospitality managers valued. In contrast to previous research on this topic, this …

Inflation Monitor, Muhammad Arby, Fida Hussain, Safdar Khan

Safdar Khan

Extract:
Although inflationary pressures persisted in the economy for the second year in a row, the headline inflation fell to 7.6 percent year-on-year in June 2006 that was 1 percentage point less than inflation in corresponding month last year.1 The inflation containment was more visible in the last six months of FY06 as compared to first six months (Jul 05 to Dec 05): the average CPI inflation during the first half of the year was 8.4 percent which declined to 7.4 percent in the second half primarily due to fall in food inflation. Inflation measured by sensitive price indicator also …

Evaluating The Long-Run Impacts Of The 9/11 Terrorist Attacks On U.S. Airline Travel, Scott Blunk, David Clark, James Mcgibany

David E. Clark

Although the US airline industry began 2001 with 24 consecutive profitable quarters, including net profits in 2000 totaling $7.9 billion, the impact of the 9/11 event on the industry was substantial. Whereas the recession that began in early 2001 signaled the end of profitability, the 9/11 terrorist attacks pushed the industry into financial crisis after air travel dropped 20% over the September-December 2001 period compared to the same period in 2000. Given the decline in domestic air travel, an important question is whether the detrimental impact of the attacks was temporary or permanent. That is, did airline travel return to …

Ex Parte Of Peter Cramton, Peter Cramton

Peter Cramton

Ex parte communication on various auction rules for the AWS auction.

Dynamics Of Energy Consumption, Safdar Khan

Safdar Khan

Extract:
Dynamics of Energy Consumption Pakistan has been facing severe imbalances in energy demand and supply for the last couple of decades. During early 1980s domestic supply of energy was fulfilling almost 86 percent of total domestic energy demand; a gap of 14 percent was being filled by imports. However, the demand – supply gap started increasing since then and reached to almost 47 percent by the year 2000 (see Figure S2.1).

Closed End Fund Discounts As Sentiment Indicies, Thomas Berry

Thomas D Berry

No abstract provided.

The Disposition Effect And Individual Investor Decisions: The Role Of Regret And Counterfactual Alternatives, Thomas Berry, Suzanne Fogel

Thomas D Berry

Recent studies have documented a strong tendency for individual investors to delay realizing capital losses, while realizing gains prematurely (Odean [1996], Shefrin and Statman [1985], Weber and Camerer [1996]). This tendency has been termed the “disposition effect.” The disposition effect is inconsistent with normative approaches to stock sales, such as those based on tax losses (see, for example, Constantinides [1983]). We surveyed individual investors, and found that more respondents reported regret about holding on to a losing stock too long than about selling a winning stock too soon. This finding suggests that individual investors are consistently engaging in behavior that …

Foreign Exchange Intervention By The Bank Of Japan: Bayesian Analysis Using A Bivariate Stochastic Volatility Model, Michael Smith, Andrew Pitts

Michael Stanley Smith

A bivariate stochastic volatility model is employed to measure the effect of intervention by the Bank of Japan (BOJ) on daily returns and volume in the USD/YEN foreign exchange market. Missing observations are accounted for, and a data-based Wishart prior for the precision matrix of the errors to the transition equation that is in line with the likelihood is suggested. Empirical results suggest there is strong conditional heteroskedasticity in the mean-corrected volume measure, as well as contemporaneous correlation in the errors to both the observation and transition equations. A threshold model is used for the BOJ reaction function, which is …

Uncertainty, Insurance, And The Learned Hand Formula, Peter Grossman, Reed Cearley, Daniel Cole

Peter Z. Grossman

Note: Final definitive version is available at Oxford Journals. http://www.oxfordjournals.org Law and economics scholars have written extensively about how insurance markets affect the tort system. They have noted the beneficial cost-spreading function of insurance, as well as the detrimental incentive-distorting affects of insurance, stemming from problems of adverse selection and moral hazard. Surprisingly, however, scholars have over-looked one of the most important salutary functions that insurance serves for the tort system: it provides much of the information courts need to apply the Marginal Learned Hand Formula. This paper explains precisely how insurance markets collect and disseminate information about the expected …

Incomplete Compensation And Migration Behavior: Has Anything Changed Between 1990 And 2000?, David Clark, William Herrin, Thomas Knapp, Nancy White

David E. Clark

Spatial equilibrium models rely on migration to arbitrage away differences in utility across locations net of moving costs, where remaining differences in wages and rents reflect the compensating differentials related to site-specific amenities. Recent refinements to the spatial equilibrium model focus upon the prospect of disequilibrium in amenity markets. Amenity market disequilibrium implies over- or under-compensation (incomplete compensation) across some locations, which suggests a role for these factors in subsequent migration. This paper follows the theoretical and empirical approach of Clark, Herrin, Knapp, and White (2003). An intercity wage regression is estimated where fixed effects capture the impact of site …

Macro Determinants Of Total Factor Productivity In Pakistan, Safdar Khan

Safdar Khan

No abstract provided.

Promoting Investments In Intangible Organizational Assets Through Aligned Incentive Compensation Plans, Susan Hughes, Craig Caldwell, Kathy Paulson Gjerde

Kathy A. Paulson Gjerde

Extraterritorial Corporate Criminal Liability: A Remedy For Human Rights Violations?, Eric A. Engle

Eric A. Engle

Examines the extraterritorial application of U.S. criminal law in the context of corporations.