Business Commons^™

Transition-Denial And Structural Adjustment: Causation And Culpability In The Cuban Economy Culpability In The Cuban Economy, Jose Gabilondo

Faculty Publications

In 2020, Cuba implemented the Tarea Ordenamiento (Tarea), the most significant economic reform since the construction of the socialist economy after the Revolution. Signaling an eclectic brand of Cuban socialism, the Tarea clears away three decades of tried and failed economic doctrines, drawing a new fiscal border around state enterprises, nodding to market realities, and preparing the island for greater insertion into the world economy. While the political economy of post-Castro Cuba has changed in this way, the United States continues to subject the island to an unprecedented program of unilateral sanctions, universally condemned as a breach of human rights, …

A Survey Of Retail Trade Patterns In South Dakota: 2013-2022, Rand E. Wergin

Faculty Publications

This paper provides an analysis of retail sales and retail trade in the state of South Dakota for the ten years 2013 to 2022. This analysis will provide information to community leaders in the cities and towns of South Dakota. Retail pull is an economic indicator that provides a measure of community’s economic health and its ability to attract shoppers, both shoppers from its own community and from other communities. A community that has a healthy retail economy is generally able to attract shoppers from its own community as well as surrounding communities.

Student Engagement In The Hyflex And Online Classrooms: Lessons From The Covid‑19 Pandemic, Karoly Bozan, James Gaskin, Claire Stoner

Faculty Publications

Student engagement is determined by the degree to which students perceive that their psychological needs for autonomy, competence, and relatedness are met as prescribed. The COVID-19 pandemic, with its sudden and dramatic shift to mandatory HyFlex (alternating online and face-to-face student attendance) or online learning only, meant less or no faceto- face interactions with peers and faculty, which had an impact on student motivation and engagement in the classroom, as reflected in the National Survey of Student Engagement. This new educational landscape will likely remain in effect to a certain extent, and, thus, there is a need for a deeper …

Barriers To A Cybersecurity Career: Analysis Across Career Stage And Gender, Justin Scott Giboney, Bonnie Brinton Anderson, Geoffrey A. Wright, Shayna Oh, Quincy Taylor, Megan Warren, Kylie Johnson

Faculty Publications

The demand for cybersecurity professionals is high—especially for women. Efforts to attract women to cybersecurity careers are not meeting goals of equal representation. Researchers have not yet identified a theoretical rationale for the differences. To provide a theoretical rationale, we investigate barriers to a cybersecurity career based on career stages defined by Super (1957) and gender. Concerns about a cybersecurity career differ between girls, young adult women, and mid-career women. Girls feel an un- awareness of opportunity and requisite training, whereas adult women are concerned that they will be undervalued in a male-dominated field, and mid-career women are concerned about …

Speed-Accuracy Tradeoffs In Decision Making: Perception Shifts And Goal Activation Bias Decision Thresholds, Jeff Larson, Guy Hawkins

Faculty Publications

A fundamental aspect of decision making is the speed-accuracy tradeoff (SAT): slower decisions tend to be more accurate, but because time is a scarce resource people prefer to conclude decisions more quickly. The current research adds to the SAT literature by documenting two previously unrecognized influences on the SAT: perception shifts and goal activation. Decision makers’ perceptions of what constitutes a fast or a slow decision, and what constitutes an accurate or inaccurate decision, are based on prior experience, and these perceptions influence decision speed. Similarly, previous experience in a decision context associates the context with a particular decision goal. …

U.S. Travelers’ Perceived Image Of Latin America As Their Future Travel Destination, Maricela I. Montes-Guerra, Natalia Zapata-Cuervo, Miyoung Jeong

Faculty Publications

This study identified U.S. travelers’ perceptions toward Latin America as their future place to visit, based on their perceived destination attributes, activities, and overall affective image. Selecting nine attractive destinations, this study aimed, first, to develop U.S. travelers’ perceptual mapping of countries by using destination image attributes and activities, second, to determine comparative strengths and weaknesses, and third, to propose destination marketing strategies that will derive U.S. travelers' attention to the country. Overall, Americans have favorable affective image toward the nine tourism destinations in Latin America. Costa Rica was respondents’ most preferred country to visit, followed by Peru and Brazil.

Initial Public Offerings And The Local Economy: Evidence Of Crowding Out, Jess Cornaggia, Matthew Gustafson, Jason Kotter, Kevin Pisciotta

Faculty Publications

We test the effect of going public on economic growth in the areas surrounding IPO firms. We focus on IPO-filing firms, thus ensuring that both treatment and control firms are at similar life cycle stages, and use post-filing stock market fluctuations as an instrument for IPO completion. We show that IPOs that are large relative to the size of their counties lead to a 1.1 percentage point relative reduction in annual county-level establishment growth, with similar effects for employment and population growth. There are no corresponding effects for relatively small IPOs. These negative effects appear to be driven by a …

Transformational Experiences Beyond Borders Study Abroad And The Further Development Of The Experience Impact Scale, Neil Lundberg, Grant Lundberg, Jennifer Brown, Evan Grunvig, Brian Hill

Faculty Publications

Study abroad has become a useful context to examine transformative experiences within the experience typology concept as developed by Duerden et al. (2018). Even more recent work has used study abroad to develop instruments for measuring experience types, such as the Experience Impact Scale (EIS, Lundberg et al., 2021). Initial results from the EIS suggest the need to continue clarifying the characteristics of each experience type. In particular, the transformative experience is of specific interest. The purpose of this study was to further examine transformative experiences as described by those defining their experience as such, and to gain additional insights …

Reduced Audit Quality Acts: A Review And Organizational Model, Troy A. Hyatt, Douglas F. Prawitt, Kyle M. Stubbs

Faculty Publications

With increasing regulatory focus on improving audit quality, research on drivers of audit quality remains important to academics, professionals and regulators. One compelling branch of this research focuses on auditors' intentional actions that reduce audit quality, often referred to in the literature as reduced audit quality acts (RAQAs). This paper provides a review and synthesis of the RAQA literature, including a unifying definition for RAQAs and a model for organizing past and future RAQA research. With the model, we explore antecedents to RAQAs as well as the discovery of, responses to and subsequent consequences of RAQAs. We also discuss potential …

The Effects Of Cryptocurrency Wealth On Household Consumption And Investment, Darren Aiello, Scott R. Baker, Tetyana Balyuk, Marco Di. Maggio, Mark Johnson, Jason Kotter, Emily Williams

Faculty Publications

We use bank transaction data from millions of U.S. households to:

1. Characterize retail crypto traders
2. Explore the drivers of crypto adoption
3. Examine the effect of crypto wealth on consumption and investment
4. Document spillovers of crypto wealth to the local economy

Monetary Policy Transmission Channels And The Performance Of The Real Sectors In Selected Sub-Saharan African Countries: A System-Gmm Approach, Ifeoma Florence Onaga, Augustine C. Arize

Faculty Publications

This study investigated the impact of monetary policy channels on the real sector performance in selected subSaharan African countries. This study covers the period 1990 to 2020. The broad objective of the study was to examine the impact of monetary policy transmission channels on the real sectors of selected sub-Saharan African countries within the period, 1990–2020. Using the system generalized method of moments (sys-GMMs) amidst other preestimation and post-estimation tests, it was discovered that credit and exchange rate channels positively drove agricultural productivity, while interest rate channel exerted a negatively significant influence. Conversely, credit and exchange rate channels were found …

Measurement Error, Fixed Effects, And False Positives In Accounting Research, Jared Jennings, Jung Min Kim, Joshua A. Lee, Daniel Taylor

Faculty Publications

We show theoretically and empirically that measurement error can bias in favor of falsely rejecting a true null hypothesis (i.e., a “false positive”) and that regression models with high-dimensional fixed effects can exacerbate measurement error bias and increase the likelihood of false positives. We replicate inferences from prior work in a setting where we can directly observe the amount of measurement error and show that the combination of measurement error and fixed effects materially inflates coefficients and distorts inferences. We provide researchers with a simple diagnostic tool to assess the possibility that the combination of measurement error and fixed effects …

Improving Psychological Well-Being Of Young Adults By Conducting Family History Research At A Religious University, Barry M. Lunt, Kelly R. Summers, David A. Wood

Faculty Publications

Prior research suggests that knowledge of one’s family is correlated with, but does not produce, psychological well-being. We test this conjecture, by examining whether participating in family history research (i.e., genealogical research) is associated with psychological well-being above and beyond the effects of knowledge of one’s family, documented in prior research. To test this, we examine whether students enrolled in a university level family history course, improve in family identification, self-esteem, anxiety, resilience, and locus of control more than a control sample. For students enrolled in the family history course, we find an increase in family identification, which in turn …

The Effect Of Patent Disclosure Quality On Innovation*, Travis Dyer, Stephen Glaeser, Mark H. Lang, Caroline Sprecher

Faculty Publications

The patent system grants inventors temporary monopoly rights in exchange for a public disclosure detailing their innovation. These disclosures are meant to allow others to recreate and build on the patented innovation. We examine how the quality of these disclosures affects follow-on innovation. We use the plausibly exogenous assignment to patent applications of examiners who differ in their enforcement of disclosure requirements as a source of variation in disclosure quality. We find that some examiners are significantly more lenient with respect to patent disclosure quality requirements, and that patents granted by these examiners include significantly lower-quality disclosures and generate significantly …

Data Visualization In 10-K Filings, Theodore E. Christensen, Karson E. Fronk, Joshua A. Lee, Karen K. Nelson

Faculty Publications

The Securities and Exchange Commission encourages the presentation of information or data in graphical form to improve users’ ability to understand financial disclosures. We find a dramatic increase in the disclosure of both qualitative and quantitative infographics in 10-K filings over time and substantial cross-sectional variation in firms’ choices regarding image types, data content, and the placement of infographics within 10-Ks. We provide evidence on factors associated with firms’ use of infographics and explore the persistence with which they are disclosed over time. Finally, we investigate the relation between the use of infographics and uncertainty in capital markets.

Managers’ Use Of Humor On Public Earnings Conference Calls, Andrew C. Call, Rachel W> Flam, Joshua A. Lee, Nathan Y. Sharp

Faculty Publications

Despite the prevalence and importance of humor in interpersonal communication, the disclosure literature is silent on the use of humor in the context of corporate communication. Using a sophisticated machine learning algorithm, we identify managers’ successful uses of humor during public earnings conference calls. When managers use humor on an earnings call, stock market returns and analyst forecast revisions following the call are more positive, primarily because of a muted response to negative earnings news. Consistent with managers’ successful use of humor being a favorable signal of future firm performance, we find no evidence of a return reversal over the …

Does Gender And Ethnic Diversity Among Audit Partners Influence Office-Level Audit Personnel Retention And Audit Quality?, Eric R. Condie, Ling Lei Lisic, Timothy Seidel, J. Mike Truelson, Aleksandra "Ally" B. Zimmerman

Faculty Publications

Motivated by prior literature on organizational identification and 23 semistructured interviews with a variety of U.S. audit partners and directors, we examine whether the gender and ethnic diversity of an office’s audit partners influences the retention of the office’s audit professionals and the quality of the audits conducted by the office. Using hand-collected data on U.S. audit partners, we find that greater levels of (or changes in) diversity in office audit partners’ gender and ethnicity are associated with lower (reduced) turnover among office audit professionals and higher (increased) office-level audit quality. To provide further insight into the audit quality results, …

A Randomized Trial Of Behavioral Nudges Delivered Through Text Messages To Increase Influenza Vaccination Among Patients With An Upcoming Primary Care Visit, Mitesh S. Patel, Katherin L. Milkman, Linnea Gandhi, Heather N. Graci, Dena Gromet, Brigitte C. Madrian

Faculty Publications

Purpose: To evaluate if nudges delivered by text message prior to an upcoming primary care visit can increase influenza vaccination rates.

Design: Randomized, controlled trial.

Setting: Two health systems in the Northeastern US between September 2020 and March 2021.

Subjects: 74,811 adults.

Interventions: Patients in the 19 intervention arms received 1-2 text messages in the 3 days preceding their appointment that varied in their format, interactivity, and content.

Measures: Influenza vaccination.

Analysis: Intention-to-treat.

Results: Participants had a mean (SD) age of 50.7 (16.2) years; 55.8% (41,771) were female, 70.6% (52,826) were White, and 19.0% (14,222) were Black. Among the interventions, …

Empirically Testing The Experience Type Framework, Mat Duerden, Camilla Hodge, Karen Melton, Peter Ward, Madison Bagley, Lexi Anderson, Tessa Meredith, Aubrey Rushton, Dennis Eggett, Andrew Lacanienta, Mark A. Widmer

Faculty Publications

In 2018, Duerden et al. proposed an experience type framework (ETF) which articulated key characteristics of ordinary and extraordinary experiences. While conceptually helpful, the framework has yet to be empirically tested. Thus, the purpose of this study was to empirically test the proposed hierarchical structure of the ETF. To achieve this purpose, we first developed, refined, and validated an operationalized ETF measurement tool, the experience type scale (ETS), to test the ETF. Data from three separate studies involving samples drawn from an online panel, participants in an executive Master of Business field study experience, and undergraduate students (n¼405) are analyzed …

An Angry Face And A Guilty Conscience: The Intrapersonal Effects Of Fake Anger In Negotiation, David Hunsaker, Teng Zhang, Mckenzie Rees

Faculty Publications

Research on anger in negotiation suggests that expressing anger can have detrimental effects on the relationship between the parties but may also improve the expresser’s economic outcomes, resulting in the use of fake anger (i.e., anger that is expressed but not felt) as a negotiation strategy. Based on research on moral emotions, we argue that fake anger in negotiation will lead to expressers’ guilt, which in turn negatively impacts their self-perception and their overall subjective experience of the negotiation. Across three studies (two online and one face-to-face), we consistently demonstrate that fake anger lowers negotiators’ feelings about themselves as well …

Blockchain In Supply Chain Management: A Feature-Function Framework For Future Research, James C. Brau, John Gardner, Hugo A. Decampos, Krista Gardner

Faculty Publications

Purpose – Blockchain technology offers numerous venues for supply chain applications and research. However, the connections between specific blockchain features and future applications have been unclear to date in its evolution. The purpose of this study is to fill this void.

Design/methodology/approach – The authors advance the understanding of blockchain in supply chain management by providing a new research framework built on unique blockchain features as applied across core supply chain functions.

Findings – This study’s framework is a feature-function matrix that integrates four overarching supply chain functions (i.e. supplier management, logistics, production processes and customer management) with nine blockchain …

Climate Change Risk Perception And Pro-Environmental Behavior: The Moderating Role Of Environmental Values And Psychological Contract Breach, Badar Latif, James Gaskin, Nuwan Gunarathne, Robert Sroufe, Arshian Sharif, Abdul Hanan

Faculty Publications

Purpose – Debates regarding climate change risk perception (CCRP), particularly its scale and impact on social and environmental sustainability, have continued for decades. CCRP is experiencing a renaissance with an increased focus on environmentally relevant behaviors to mitigate the effects of climate change. However, CCRP lacks investigation from the employee perspective. Supported by the social exchange and value–belief–norm theories, this study aims to address the impact of employees’ CCRP on their proenvironmental behavior (PEB) via the moderating roles of environmental values and psychological contract breach.

Design/methodology/approach – The nonprobability convenience sampling technique was used to collect survey data froma sample …

The Association Of Childhood Maltreatment With Internet Addiction: The Serial Mediating Effects Of Cognitive Emotion Regulation Strategies And Depression, Yuan-Yuan Guo, Jing-Jing Gu, James Gaskin, Xue-Qin Yin, Yu-Han Zhang, Jin-Liang Wang

Faculty Publications

Objectives: Childhood maltreatment, cognitive emotion regulation strategies (CERSs), and depression can be important in adolescents’ Internet addiction. The current study aims to investigate the direct effect of childhood maltreatment on Internet addiction and its indirect effects via CERSs and depression.

Participants and setting: 4091 adolescents (age M = 13.64, SD = 1.59; 48.9 % males) were recruited from a public school in China.

Methods: In a cross-sectional design, participants completed the Childhood Trauma Questionnaire-Short Form (CTQ-SF), the Cognitive Emotion Regulation Questionnaire-Short version (CERQ-Short), the Self-Rating Depression Scale (SDS), and the Internet Addiction Test (IAT). A latent structural equation model was …

How Certain Robot Attributes Influence Human-To-Robot Social And Emotional Bonds, James Gaskin, P. Thomas Fife, Warren Rosengren

Faculty Publications

A growing population of humans are feeling lonely and isolated and may therefore benefit from social and emotional companionship. However, other humans cannot always be available to fulfill these needs, and such in-need individuals often cannot care for pets. Therefore, we explore how robot companions may be designed to facilitate bonds with humans. Our preliminary examination of 115 participants in a scenario based quasi-experimental study suggests that humans are more likely to develop social and emotional bonds with robots when those robots are good at communicating and conveying emotions. However, robots’ anthropomorphic attributes and responsiveness to external cues were found …

Land Prices And The Development Process, Henry J. Munneke, C. F. Sirmans, Barrett Slade

Faculty Publications

As lot area increases, it is commonly believed that land prices will increase at a nonconstant rate. In the case where the land price-area curve increases at a decreasing rate with respect to parcel area, it is believed the cost of subdividing land is the driving factor behind the concavity. This paper uses a unique data set to explore how the area elasticity of price changes over the development cycle as land moves from raw land to finished lots. The results show the area elasticity of price increases as parcels of land move through the phases of development. The results …

Automatic Enrollment With A 12 Percent Default Contribution Rate, Josh Beshears, Ruofei Guo, David Laibson, Brigitte C. Madrian, James J. Choi

Faculty Publications

We study a retirement savings plan with a default contribution rate of 12 percent of income, which is much higher than previously studied defaults. Twenty-five percent of employees had not opted out of this default 12 months after hire; a literature review finds that the corresponding fraction in plans with lower defaults is approximately one-half. Because only contributions above 12 percent were matched by the employer, 12 percent was likely to be a suboptimal contribution rate for employees. Employees who remained at the 12 percent default contribution rate had average income that was approximately one-third lower than would be predicted …

The Effects Of Cryptocurrency Wealth On Household Consumption And Investment, Darren Aiello, Scott R. Baker, Tetyana Balyuk, Marco Di Maggio, Mark Johnson, Jason Kotter, Emily Williams

Faculty Publications

Key Results:

• Retail crypto investors hold crypto as one part of a broader portfolio
• Inflation expectations drive crypto investment
• Marginal propensity to consume (MPC) out of crypto wealth is big!
• Households use crypto wealth to purchase housing
• As a result, crypto wealth shocks spill over into local house prices

Human Or Ai? Using Digital Behavior To Verify Essay Authorship, David W. Wilson, Parker Burnett, Joseph S. Valacich, Jeffrey L. Jenkins

Faculty Publications

Large language models (LLMs) such as OpenAI's GPT-4 have transformed natural language processing with their ability to understand context and generate human-like text. This has led to considerable debate, especially in the education sector, where LLMs can enhance learning but also pose challenges to academic integrity. Detecting AIgenerated content (AIGC) is difficult, as existing methods struggle to keep pace with advancements in generation technology. This research proposes a novel approach to AIGC detection in short essays, using digital behavior capture and follow-up questioning to verify text authorship. We executed a controlled experiment as an initial evaluation to test the prototype …

Auditing With Data And Analytics: External Reviewers’ Judgments Of Audit Quality And Effort, Scott A. Emett, Steven E. Kaplan, Elaine G. Mauldin, Jeffrey Pickerd

Faculty Publications

Audit firms hesitate to take full advantage of data and analytics (D&A) audit approaches because they lack certainty about how external reviewers evaluate those approaches. We propose that external reviewers use an effort heuristic when evaluating audit quality, judging less effortful audit procedures as lower quality, which could shape how external reviewers evaluate D&A audit procedures. We conduct two experiments in which experienced external reviewers evaluate one set of audit procedures (D&A or traditional) within an engagement review, while holding constant the procedures’ level of assurance. Our first experiment provides evidence that external reviewers rely on an effort heuristic when …

The Icfr Process: Perspectives Of Accounting Executives At Large Public Companies, Eldar Maksymov, Jeffrey Pickerd, T. Jeffrey Wilks, Devin Williams

Faculty Publications

The Sarbanes-Oxley Act charges management with the primary responsibility for internal control over financial reporting (ICFR). However, prior research tells us little about the ICFR process from management’s perspective. We develop a theoretical model of the ICFR process from management’s perspective and examine that model by surveying 145 and interviewing 35 accounting executives at large US public companies. Our primary finding is that executives feel constrained in their ability to direct ICFR and hold perspectives that reflect these constraints. Specifically, most executives feel compelled by auditors to follow the PCAOB’s preferences even though executives believe these preferences often tend to …