Industrial Organization Commons^™

Crop Residues: The Rest Of The Story, Douglas L. Karlen, Rattan Lal, Ronald F. Follett, John M. Kimble, Jerry L. Hatfield, John A. Miranowski, Cynthia A. Cambardella, Andrew Manale, Robert P. Anex, Charles W. Rice

Douglas L Karlen

Synopsis In the February 15, 2009 issue of ES&T Strand and Benford argued that oceanic deposition of agricultural crop residues was a viable option for net carbon sequestration (43 [4], 1000−1007). In reviewing the calculations and bringing their experience to bear, Karlen et al. argue in this Viewpoint that crop residue oceanic permanent sequestration (CROPS) as envisioned by Strand and Benford will not work. They further propose alternative possibilities in agricultural methods to achieve a net decrease of CO2 emissions.

Conservatism And Switcher's Curse, Aaron Edlin

Aaron Edlin

Administrative Procedures, Bureaucracy, And Transparency: Why Does The Fcc Vote On Secret Texts?, Scott J. Wallsten

Scott J. Wallsten

The U.S. Federal Communications Commission (FCC) does not reveal the text of regulations on which it votes. Instead, after the vote the Commission grants the relevant bureau “editorial privileges” to continue drafting the order. It then releases the final version days, weeks, or even months after the vote. As a result, it is not possible to know if everything in the final rule was actually subject to a vote. In particular, it raises the question of whether the delay between vote and publication is truly for “editorial” changes or if more substantive changes occur after the vote.

In this paper, …

Independent Agencies, Political Interference And Firm Investment Evidence From The European Union, Carlo Cambini, Laura Rondi

Carlo Cambini

This paper studies the impact of the inception of Independent Regulatory Agencies (IRAs) on the investment decisions of a sample of European publicly traded regulated firms. We investigate the impact of governments’ political influence on corporate investment and control for residual state ownership. We account for the measurement error in formal independence of IRAs by exploiting cross-country heterogeneity in the quality of political, financial and social institutions. Our results show that regulatory independence has a positive impact on firm investment, but, notwithstanding the presence of IRAs, political interference in the regulatory functions persists and is detrimental to firms’ investment.

Grading Standards And Education Quality, Raphael Boleslavsky, Christopher Cotton

Raphael Boleslavsky

We consider a game in which schools compete to place graduates by investing in education quality and by choosing grading policies. In equilibrium, schools strategically adopt grading policies that do not perfectly reveal graduate ability to evaluators (including employers and graduate schools). We compare equilibrium outcomes when schools grade strategically to equilibrium outcomes when evaluators perfectly observe graduate ability. With strategic grading, grades are less informative, and evaluators rely less on grades and more on a school's quality when assessing graduates. Consequently, under strategic grading, schools have greater incentive to invest in quality, and this can improve evaluator welfare.

Voice Without Say: Why Capital-Managed Firms Aren’T (Genuinely) Participatory, Justin Schwartz

Justin Schwartz

Why are most capitalist enterprises of any size organized as authoritarian bureaucracies rather than incorporating genuine employee participation that would give the workers real authority? Even firms with employee participation programs leave virtually all decision-making power in the hands of management. The standard answer is that hierarchy is more economically efficient than any sort of genuine participation, so that participatory firms would be less productive and lose out to more traditional competitors. This answer is indefensible. After surveying the history, legal status, and varieties of employee participation, I examine and reject as question-begging the argument that the rarity of genuine …

Economic Aspects Of Internet Security, Henk Lm Kox, Bas Straathof

Henk LM Kox

An economic perspective on Internet security is useful not only for identifying weak spots, but also for finding solutions to security problems. It focuses on the behaviour and economic incentives of both infrastructure providers and end users. Individual parties may have insufficient incentives to invest in cybersecurity. The free play of markets markets may not deliver a socially optimal level of security on the Internet for at least three reasons: information asymmetry, externalities and market power. Information asymmetry might occur in various situations. For example, end users are not able to verify whether an Internet Service Provider (ISP) correctly informs …

Working Regions: Reconnecting Innovation And Production In The Knowledge Economy, Jennifer Clark

Jennifer Clark

Securing Access To Lower-Cost Talent Globally: The Dynamics Of Active Embedding And Field Structuration, Stephan Manning, Joerg Sydow, Arnold Windeler

Stephan Manning

This article examines how multinational corporations (MNCs) shape institutional conditions in emerging economies to secure access to high-skilled, yet lower-cost science and engineering talent. Based on two in-depth case studies of engineering offshoring projects of German automotive suppliers in Romania and China we analyze how MNCs engage in ‘active embedding’ by aligning local institutional conditions with global offshoring strategies and operational needs. MNCs thereby contribute to the structuration of field relations and practices of sourcing knowledge-intensive work from globally dispersed locations.Our findings stress the importance of institutional processes across geographic boundaries that regulate and get shaped by MNC activities.

New Silicon Valleys Or A New Species? Commoditization Of Knowledge Work And The Rise Of Knowledge Services Clusters, Stephan Manning

Stephan Manning

This paper explores knowledge services clusters (KSCs) as a distinct and increasingly important form of geographic cluster, in particular in emerging economies: KSCs are defined as geographic concentrations of lower-cost skills serving global demand for increasingly commoditized knowledge services. Based on prior research on clusters and services offshoring, and data from the Offshoring Research Network (ORN), major properties and contingencies of KSC growth are discussed and compared with both high-tech clusters and low-cost manufacturing clusters. Special emphasis is put on the ambivalent effect of commoditization of knowledge work on KSC growth: It is proposed that KSCs attract most projects if …

Progressive Screening: Long Term Contracting With A Privately Known Stochastic Process, Raphael Boleslavsky, Maher Said

Raphael Boleslavsky

We examine a model of long-term contracting in which the buyer is privately informed about the stochastic process by which her value for a good evolves. In addition, the realized values are also private information. We characterize a class of environments in which the profit-maximizing long-term contract offered by a monopolist takes an especially simple structure: we derive sufficient conditions on primitives under which the optimal contract consists of a menu of deterministic sequences of static contracts. Within each sequence, higher realized values lead to greater quantity provision; however, an increasing proportion of buyer types are excluded over time, eventually …

Selloffs, Bailouts, And Feedback: Can Asset Markets Inform Policy?, Raphael Boleslavsky, David L. Kelly, Curtis R. Taylor

Raphael Boleslavsky

We present a model in which a policymaker observes trade in a financial asset before deciding whether to intervene in the economy, for example by offering a bailout or monetary stimulus. Because an intervention erodes the value of private information, informed investors are reluctant to take short positions and selloffs are, therefore, less likely and less informative. The policymaker faces a tradeoff between eliciting information from the asset market and using the information so obtained. In general she can elicit more information if she commits to intervene only infrequently. She thus may benefit from imperfections in the intervention process or …

Human Capital Formation And Economic Development In Pakistan: An Empirical Analysis, Muhammad Irfan Chani, Mahboob Ul Hassan, Muhammad Shahid

Muhammad Irfan Chani

This study investigates the casual relationship between economic development and formation of human capital in Pakistan. Based on endogenous growth theory, this study empirically tests the standard growth model consisting of gross domestic product (GDP) per capita as a dependent variable and human capital formation, investment in physical capital and labor force as independent variables. Autoregressive distributive lag (ARDL) bound testing approach to cointegration is used to check the long-run equilibrium relationship between the variables included in the model. For checking the causal relationship between economic development and human capital formation, pair-wise Granger causality test is used for time series …

Some Socio Economic Determinants Of Fertility In Pakistan: An Empirical Analysis, Muhammad Irfan Chani, Muhammad Shahid, Mahboob Ul Hassan

Muhammad Irfan Chani

This study aims to investigate the role that various socioeconomic factors like female education, urbanization and female labour force participation play in determining fertility of women in Pakistan. ARDL bound test approach to cointegration is used to analyze the long-run relationship of the variables by using the data for the period from 1980 to 2009. The empirical results show that there exists a long-run as well as short-run relationship between fertility and urbanization, female labour force participation and female education in Pakistan. The analysis indicates there is a negative relationship between all 3 determinants with fertility. Female education and urbanization …

Does The Individual Mandate Force Individuals To Buy Insurance?, Raphael Boleslavsky, Sergio J. Campos

Raphael Boleslavsky

The Patient Protection and Affordable Care Act contains provisions which penalize individuals for failing to purchase health insurance. These provisions are commonly known as the "individual mandate." Both critics and supporters believe that the individual mandate forces individuals to buy health insurance, but supporters argue that this coercion is necessary. This term, the Supreme Court will address the constitutionality of the mandate, and this legal issue has sparked debate about the government's power to force individuals to purchase a private good. In this Essay we question the consensus that the individual mandate forces individuals to pay for health insurance. Using …

Information And Extremism In Elections, Raphael Boleslavsky, Christopher Cotton

Raphael Boleslavsky

We show that informative political campaigns can increase political extremism and decrease voter welfare. We present a model of elections in which candidate ideology is strategically selected prior to a campaign which reveals information about candidate quality. Documented means by which campaigns can harm voters are not present in our model; special interest groups, fundraising, and biased or private information are not part of the analysis. Even under these optimistic assumptions, we establish that informative campaigns have negative consequences. We discuss implications regarding media coverage, the number of debates, and campaign finance reform.

Introduction To The Special Issue On Manufacturing, Jennifer Clark, Pierre Clavel

Jennifer Clark

An Analysis Of Different Approaches To Women Empowerment: A Case Study Of Pakistan, Amatul R. Chaudhary, Muhammad Irfan Chani, Zahid Pervaiz

Muhammad Irfan Chani

La Sociedad Mercantil Unipersonal: Pertinencia De Su Utilización En México, Max Garcia

Max Garcia Sanchez

No abstract provided.

Evolving Influence: Resolving Extreme Conflicts Of Interest In Advisory Relationships, Raphael Boleslavsky, Tracy Lewis

Raphael Boleslavsky

An advocate for a special interest provides advice to an uninformed planner for her to consider in making a sequence of decisions. Although the advocate may have valuable information for the planner, it is also known that the advocate is interested only in advancing his cause and will distort his advice in order to influence the planner's decision. Each time she repeats the problem, however, the planner learns about the accuracy of the advocate's recommendation, mitigating some of the advocate's incentive to act in a self-serving manner. We propose a theory to explain why planners do sometimes rely on information …

Determination Of Import Demand In Pakistan: The Role Of Expenditure Components, Muhammad Irfan Chani, Zahid Pervaiz, Amatul R. Chaudhary

Muhammad Irfan Chani

The paper uses imperfect substitution approach to derive the aggregate import demand function on the basis of disaggregated expenditure components. This derived import demand function is then empirically tested for Pakistan by using co-integration and error correction mechanism. The empirical results show that elasticity of import demand with respect to different macro components of final expenditure is different. The import demand in Pakistan is affected positively and significantly by all expenditure components. The relative prices have negative but insignificant relationship with import demand in Pakistan. The findings indicate that use of aggregate expenditure variable in the aggregate import demand function …

Poverty, Inflation And Economic Growth: Empirical Evidence From Pakistan, Muhammad Irfan Chani, Zahid Pervaiz, Sajjad Ahmad Jan, Amjad Ali, Amatul R. Chaudhary

Muhammad Irfan Chani

This study aims to investigate the role of economic growth and inflation in explaining the prevalence of poverty in Pakistan. ARDL bound testing approach to co-integration confirms the existence of long run relationship among the variables of poverty, economic growth, inflation, investment and trade openness over the period of 1972-2008. Empirical results show that economic growth and investment have negative and inflation has positive impact on poverty. The effect of trade openness on poverty is insignificant in this study. The short run analysis reveals that economic growth has negative and inflation has positive impact on poverty whereas the role of …

Financial Crises And Economic Growth In Pakistan: A Time Series Analysis, Rauf -I- Azam, Iram Batool, Rabia Imran, Muhammad Irfan Chani, Ahmed Imran Hunjra, Javed Mahmood Jasra

Muhammad Irfan Chani

The purpose of this research is to investigate causal relationship between economic growth and major indicators of financial crisis -- inflation rate, interest rate and the volume of foreign debt-- in Pakistan. This study also highlights the stability of the relationship between indicators of financial crisis and economic growth. The annual time series data ranging from 1972 to 2010 is used for the analysis. Johansen's co-integration test is used to check the stability of long nm equilibrium relationship between the variables used in the study. The results indicate that is long nm stable equilibrium relationship between economic growth and the …

Gender Inequality And Economic Growth: A Time Series Analysis For Pakistan, Zahid Pervaiz, Muhammad Irfan Chani, Sajjad Ahmad Jan, Amatul R. Chaudhary

Muhammad Irfan Chani

This paper attempts to analyze the impact of gender inequality on economic growth of Pakistan. An annual time series data for the period of 1972-2009 has been used in this study. We have regressed growth rate of real gross domestic product (GDP) per capita on labour force growth, investment, trade openness and a composite index of gender inequality. The results reveal that labour force growth, investment and trade openness have statistically significant and positive impact whereas gender inequality has a significant and negative effect on economic growth of Pakistan.

Clearing House And Counterparty Default Risk In Derivatives Market, Poonam Mehra

Poonam Singh Mehra

No abstract provided.

Management-Based Regulation: Prescribing Private Management To Achieve Public Goals, Cary Coglianese, David Lazer

David Lazer

We analyze a little-studied regulatory approach that we call "management-based" regulation. Management-based regulation directs regulated organizations to engage in a planning process that aims toward the achievement of public goals, offering firms flexibility in how they achieve public goals. In this paper we develop a framework for assessing conditions for using management-based regulation as opposed to the more traditional technology-based or performance-based regulation. Drawing on case studies of management-based regulation in the areas of food safety, industrial safety, and environmental protection, we show how management-based regulation can be an effective strategy when regulated entities are heterogeneous and regulatory outputs are …

Factors Effecting Job Satisfaction Of Employees In Pakistani Banking Sector, Ahmed Imran Hunjra, Muhammad Irfan Chani, Sher Aslam, Muhammad Azam, Kashif -Ur- Rehman

Muhammad Irfan Chani

Economics Of Securities Markets: Lecture 1, Poonam Mehra

Poonam Singh Mehra

No abstract provided.

Autonomía Del Ministerio Público Y La Procuración De Justicia En México, Max Garcia

Max Garcia Sanchez

No abstract provided.

Assignment For Merger And Acquisition, Poonam Mehra

Poonam Singh Mehra

No abstract provided.