Business Commons^™

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

Craig B. Caldwell

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 …

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).

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 …

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

Kathy A. Paulson Gjerde