Behavioral Economics Commons^™

The Economic Impact Of The University Of Arkansas, Mervin Jebaraj, Brenna Frandson, Stephanie Galen

Publications and Presentations

As the state’s flagship institution of higher education, the University of Arkansas delivers a significant economic impact to Arkansas. In 2018, an impact in excess of $2.2 billion came from the University via operations, construction, technology transfer, student expenditures, and visitor spending. The University of Arkansas has a substantial influence on the direction of the state’s economy by fulfilling its land-grant mission of developing human capital, growing ideas, and transmitting knowledge to the public.

Optimal Climate Policy And The Future Of World Economic Development, Mark Budolfson, Francis Dennig, Marc Fleurbaey, Noah Scovronick, Asher Siebert, Dean Spears, Fabian Wagner

Journal Articles

How much should the present generations sacrifice to reduce emissions today, in order to reduce the future harms of climate change? Within climate economics, debate on this question has been focused on so-called "ethical parameters" of social time preference and inequality aversion. We show that optimal climate policy similarly importantly depends on the future of the developing world. In particular, although global poverty is falling and the economic lives of the poor are improving worldwide, leading models of climate economics may be too optimistic about two central predictions: future population growth in poor countries, and future convergence in total factor …

Stock Recommendations In China: Buyer Beware, Singapore Management University

Perspectives@SMU

Research analysts have incentives to issue positive recommendations; social ties with fund managers exert considerable influence

The Name Game: The Importance Of Resourcefulness, Ruses, And Recall In Stock Ticker Symbols, Gary N. Smith, Naomi Baer, Erica Barry

Pomona Economics

Previous research reported that a portfolio of stocks with clever ticker symbols outperformed the overall market by a significant margin during the years 1984 to 2005. This paper reports the performance of those stocks during the subsequent years 2006 to 2018, and also investigates the 2006-2008 performance of a new set of clever-ticker stocks. Both clever-ticker portfolios beat the market by a substantial margin, supporting the resiliency of the clever-ticker phenomenon.

One Step At A Time: Does Gradualism Build Coordination?, Maoliang Ye, Jie Zheng, Plamen Nikolov, Sam Asher

Economics Faculty Scholarship

This study investigates a potential mechanism to promote coordination. With theoretical guidance using a belief-based learning model, we conduct a multi-period, binary-choice, and weakest-link laboratory coordination experiment to study the effect of gradualism – increasing the required levels (stakes) of contributions slowly over time rather than requiring a high level of contribution immediately – on group coordination performance. We randomly assign subjects to three treatments: starting and continuing at a high stake, starting at a low stake but jumping to a high stake after a few periods, and starting at a low stake while gradually increasing the stakes over time …

Mass Atrocities And Their Prevention, Charles H. Anderton, Jurgen Brauer

Economics Department Working Papers

Counting conservatively, and ignoring physical injuries and mental trauma, data show about 100 million mass atrocity-related deaths since 1900. Occurring in war and in peacetime, and of enormous scale, severity, and brutality, they are geographically widespread, occur with surprising frequency, and can be long-lasting in their adverse effects on economic and human development, wellbeing, and wealth. As such, they are a major economic concern. This article synthesizes very diverse and widely dispersed theoretical and empirical literatures, addressing two gaps: a “mass atrocities gap” in the economics literature and an “economics gap” in mass atrocities scholarship. Our goals are, first, for …

Domestic Violence: The Financial Implications Of Abuse, Yenny Masmela

Petersheim Academic Exposition

No abstract provided.

Monthly Spending Dynamics Of The Elderly Following A Health Shock: Evidence From Singapore, Terence C. Cheng, Jing Li, Rhema Vaithianathan

Research Collection School Of Economics

We use novel longitudinal data from 19 monthly waves of the Singapore Life Panel to examine the short-term dynamics of the effects health shocks have on household health and non-health spending and income by the elderly. The health shocks we study are the occurrence of new major conditions such as cancer, heart problems, and minor conditions (e.g. diabetes, and hypertension). Our empirical strategy exploits unanticipated changes in health status through the diagnosis of new health conditions, combined with an individual fixed effect framework. We find that major shocks have large and persistent effects while minor shocks have small and mainly …

Reducing Survey Hypothetical Bias Through Revealed Behavior Priming: A Case Of Student Preference For Beef Served By University Dining, Gaby De Nascimento Mandlhate

Theses and Dissertations--Agricultural Economics

Economists are still searching for methods to reduce/eliminate Hypothetical Bias (HB). Different methods have been previously applied some with success and others without. In this study, we aimed to further test the cognitive dissonance approach (CD) through a learning design method to estimate the WTP for five beef attributes: Non-quality, Kentucky Proud, Appalachian, Grass Fed and a mix of 25% Non-quality and 75% Kentucky Proud, using a one and one half bounded model. To test the CD, 881 participants from the University of Kentucky, were randomly assigned to a real/hypothetical market for a battery recycling project at first and afterwards …

Alcohol And Marijuana: Substitutes Or Complements And A Deeper Evaluation Of Marijuana Prohibition, Nicholas Andrew Brown

Honors Program Theses

This paper first looks to determine whether alcohol and marijuana are substitutes or complements. This economic relationship between alcohol and marijuana could influence policy decisions regarding marijuana’s legal status in the United States. My method is a meta study and evaluates the current literature on alcohol and marijuana’s economic connection. I find that more empirical research is needed before we can definitively say whether alcohol and marijuana are substitutes or complements. Second, the paper compares the prohibitions of alcohol and marijuana and gives reasons why the United States should learn from its experience during alcohol prohibition and legalize marijuana

Accounting For Agent Heterogeneity In Market And Policy Analysis, Konstantinos Giannakas

Zea E-Books Collection

doi:10.13014/K2416V8V

This book presents a multi-market framework of market and policy analysis that explicitly accounts for the empirically relevant heterogeneity in consumer preferences and producer characteristics. The explicit consideration of consumer and producer heterogeneity represents a significant departure from the representative consumer and producer that have been at the center of most of the literature on market and policy analysis, and enables the distributional impacts of changes in market conditions and policies to be fully identified. The framework is used to analyze the system-wide market and welfare impacts of a number of changes in market conditions (like changes in consumer …

What Drives Differences In Management Practices?, Nicholas Bloom, Erik Brynjolfsson, Lucia Foster, Ron Jarmin, Megha Patnaik, Itay Saporta-Eksten, John Van Reenen

Journal Articles

Partnering with the US Census Bureau, we implement a new survey of "structured" management practices in two waves of 35,000 manufacturing plants in 2010 and 2015. We fnd an enormous dispersion of management practices across plants, with 40 percent of this variation across plants within the same frm. Management practices account for more than 20 percent of the variation in productivity, a similar, or greater, percentage as that accounted for by R&D, ICT, or human capital. We fnd evidence of two key drivers to improve management. The business environment, as measured by right-to-work laws, boosts incentive management practices. Learning spillovers, …

What Drives Merger Waves? A Study Of The Seven Historical Merger Waves In The U.S., Katherine Ching

Scripps Senior Theses

Historically, merger and acquisition (or M&A) activity has occurred in cyclical patterns, forming what are known as “merger waves.” To date, there have been a total of seven waves. Though it is widely acknowledged that merger waves exist, there is no consensus on what drives these waves. Through both qualitative and quantitative analysis, this paper aims to determine the causes of merger waves and looks at those causes through two different lenses: the neoclassical view, which states that economic shocks cause merger waves, and the behavioral view, which states that increases in merger activity are due to managerial behavior and …

The Role Of Brand Love: Application Of The Hierarchy Of Effects Model, Dooyoung Choi, Tae-Im Han

STEMPS Faculty Publications

Understanding the attributes that build consumer loyalty is particularly critical to fashion companies due to the prevalence of alternatives in the market with low switching costs. The significance of this study is extending the knowledge on the role of brand love using the hierarchy of effects model in the context of fashion consumer behaviors. A questionnaire in which participants provided self-reported responses was created to measure the constructs. A two-step approach, a measurement and a structural model was used for the statistical analysis. The results indicated that consumers who know more about the fashion brands are more likely to have …

Mortgage Loans And Financial Security Among Middle-Aged And Older Americans, Qun Zhang

Theses and Dissertations--Family Sciences

Mortgage loan debt is prevalent among middle-aged and older Americans. With higher average outstanding balances, many people are unlikely to pay off their mortgage debt by retirement. Meanwhile, as people age, health shocks are more likely to occur. Medical expenses may compete with mortgage payments and relate to financial insecurity in later years. In order to alleviate financial strain during times of financial hardship, senior homeowners may find reverse mortgage the solution they are looking for. Targeting American adults age 50 and older, this dissertation investigates mortgage loan debt and financial security using panel data from the Health and Retirement …

The Anonymity Heuristic: How Surnames Stop Identifying People When They Become Trademarks, Russell W. Jacobs

Dickinson Law Review (2017-Present)

This Article explores the following question central to trademark law: if a homograph has both a surname and a trademark interpretation will consumers consider those interpretations as intrinsically overlapping or the surname and trademark as completely separate and unrelated words? While trademark jurisprudence typically has approached this question from a legal perspective or with assumptions about consumer behavior, this Article builds on the Law and Behavioral Science approach to legal scholarship by drawing from the fields of psychology, linguistics, economics, anthropology, sociology, and marketing.

The Article concludes that consumers will regard the two interpretations as separate and unrelated, processing surname …

The Changing Nature Of Work, Leadership, And Organizational Culture In Future Ready Organizations, Saloni Dhir

CMC Senior Theses

Abstract

The relationship between individual and organizational performance is a key challenge for leaders in modern organizations, especially with the current disruption in technology and innovation. This thesis is a literature review and compilation of the relevant empirical evidence on various processes of industrial groups and organizational characteristics such as the changing nature of work, leadership, and company culture in detail. I investigate the complex challenges that millennials and organizations are facing in the current VUCA work environment as well as their potential responses to these changes. I map out the evolution of the concept of work and compare changes …

Love At First Byte: An Economic Analysis Of The Internet Dating Apocalypse, Hamsa Srikanth

CMC Senior Theses

We’re often warned that the internet will hasten the dating apocalypse. The internet (it is posited) is depriving us of the elusive in-person magic, and modern courtship is now little more than love at first byte.

There remains uncertainty, however, about what the independent impact of the internet on the dating market has been. Similar to the internet, the telephone also changed the way we communicate, but its effect on the dating market was mostly complementary to the 'traditional' ways of meeting – i.e. calling your school crush at home. So the question remains: Is the effect of the …

Voting Behavior Among Young Adults: An Analysis Of Youth Voters And How Behavioral Economic Concepts Can Be Applied To Increase Young Voter Turnout, Heather Hall

Honors College Theses

No abstract provided.

Snapchat's Gift: Equity Culture In High-Tech Firms, Amy Deen Westbrook, David A. Westbrook

Journal Articles

Snap, Inc., the company that owns the platform Snapchat, controversially offered nonvoting common shares to the public in 2017. This Article asks what it means to invest in Snap or other (mostly technology-based) companies in which common shareholders collectibely have little or no power to influence corporate policy. In particular, why do such investors expect to be compensated? This Article explores the familiar rationales for equity investing, including stock appreciation and dividends, and the logical shortcomings of those rationales in these circumstances. Adopting Henry Manne's "two systems" approach to corporate affairs through both law and economics, we show that corporation …