Confronting macrosocial worries: Worry about environmental problems and proactive coping among a group of young volunteers

Studies indicate that young people's interest in and worries about global issues, including environmental problems, often are connected with pessimism and inactivity. The purpose of this interview study, therefore, is to explore whether we can learn how to cope proactively with environmental worries from young people who are already actively engaged in environmental and global justice organizations. How do these young volunteers experience and reflect upon their worry? Which individual and collective coping strategies are used? The results are analyzed in relation to existential and emotion theories, and it is concluded that if we want to promote both an active stance towards the global future and psychological well-being among young people, it is not the ability to get rid of worry that should be sought after but rather the capacity to face worry, to learn from it, and to use it for constructive actions. In this regard, cognitive strategies for activating positive emotions and positive aspects of being actively engaged are important to acknowledge, since they could help the young to take on this difficult task.     

Risk communication and worried publics in an imminent rockslide and tsunami situation

In this paper determinants of adequate worry were studied in the case of an impending rockslide and tsunami in the fjords around Åknes on the west coast of Norway. Approximately 3000 people live in this danger zone. A rockslide may cause up to 54 million cubic metres (1.9 billion cubic feet) of rock to slide into the fjord below, causing a major tsunami. In relation to risk communication, the study sought insights into the determinants of adequate worry in this certain, but time-indeterminate, natural disaster. A questionnaire designed to measure the public’s ‘otte’, a parochial Norwegian expression translated as a nagging worry about the rockslide, was mailed to all 875 inhabitants aged 18?years and older in the four small communities along the fjord; 382 responded (43.6%). The results indicated that members of the public who had trust in the experts and engaged in dialogue with them tended to worry more than others. Those who reported concerns about issues unrelated to the disaster tended to worry less about a possible rockslide. Analyses also revealed that those who lived in a community with extraordinary assets worried the most. Compliance with the evacuation procedures and trust in the experts were positively correlated with the level of worry. In order to address the needs of the public, this study suggests that not only are facts and figures about risk important but also issues that address the worries of the public. Implications for risk communication are discussed.     

Revisiting local responses to mass violence

This study examines the extent to which individual and sociological factors relate to worry about mass violence, which, in this study, is investigated as worry about the recurrence of school shootings. First, it is expected that socio-demographic and vicarious event-related factors explain individual variation in worry about mass violence. Second, responses to a localized event may associate with negative perceptions of community solidarity. In addition, individual responses regarding school shootings cannot easily be separated from other forms of insecurity, such as concerns about societal disintegration (e.g. eroding moral values) and popular discussions about crime (e.g. terrorism). Two independent postal surveys were collected from the small Finnish community of Jokela approximately 6 (N = 330) and 18 (N = 278) months after the rampage school shootings in the local high school. Independent samples t tests and linear regression are used as analyses methods. Results from regression analyses of the six-month post-event responses indicate that knowing a victim of a school shooting event relates to increased worry about mass violence. Decreased perceptions of social solidarity are also associating with increased worry after controlling for other individual and sociological factors. After 18 months, both knowing a victim and having school-aged children within one’s household explain even more of the variation in worry, while perceptions of solidarity is no longer a statistically significant predictor. In addition, at both 6 and 18 months, the higher the perceptions of risks to Finnish society from social change and from crime, the higher the worry about mass violence at schools. Surprisingly, the positive association between self-reported subjective anxiety and worry about mass violence does not reach a statistical significance.     

‘Chronic unease’ for safety in senior managers: an interview study of its components,behaviours and consequences

The high reliability literature describes a sense of chronic unease as supporting managers’ ability to deal with (safety) risks. This concept has been proposed to contain five components, namely the traits of propensity to worry, pessimism, and the cognitive abilities of requisite imagination, flexible thinking and vigilance. We study their applicability to senior managers’ experience of chronic unease and explore related behaviours and consequences. Semi-structured interviews (n = 27) were conducted with senior managers from the energy sector. Content analysis identified flexible thinking most frequently, followed by pessimism, propensity to worry, vigilance and requisite imagination. Experience additionally emerged as a theme. Sections that had been coded as flexible thinking were frequently also coded as a behaviour, suggesting it to be a partially observable response to chronic unease. Other behaviours that emerged as related to chronic unease were demonstrating safety commitment, transformational and transactional leadership styles, and seeking information. Chronic unease was described as having positive effects on safety, positive and negative effects on team interaction and negative effects on business and the managers’ personal outcomes. The findings indicate that the five components provide a basis for the measurement of chronic unease and suggest central behaviours and responses that should be considered in its future investigation.     

Do closed survey questions overestimate public perceptions of food risks?

In this paper, we show that the widely accepted methodology for the assessment of risk perception – Likert-type survey questions featuring a set of risks with fixed response alternatives measuring the extent of worry or concern – may overestimate food risk perception. Using a European representative sample survey (n = 26,961) that included an open-ended question asking about problems and risks with food and eating, followed by a battery of closed questions (CQs) assessing food risk perception, we find a similar ranking of perceived food risks across the two methods. Across Europe, the five priority concerns are chronic food-related illness; food origins and quality; acute food-related illness; chemical contamination; and adulteration of food. However, the discrepancies between mentioning a risk in the open-ended question and the expression of worry about risks in the CQ are substantial. Of those who did not mention a specific risk category in the open question, between 60 and 83% (depending on risk category) expressed worry in the CQ. This parallels previous research on the fear of crime, showing that survey responses lead to greatly inflated estimates of the public’s fear of crime than is evidenced by qualitative questioning. It is also consistent with evidence from research on cognitive aspects of survey methodology, suggesting that survey questions may frame the respondent’s thinking about an issue. We conclude with recommendations for the use of branched questions in the quantitative elicitation of public perceptions of risk.     

Institutional ownership,cross-shareholdings and corporate cash reserves in Japan

Cross-country studies document a negative relation between corporate governance and cash holdings. In contrast, this relation is found to be positive in the United States. In this paper, we examine the case of Japanese firms. Using institutional ownership and cross-shareholdings as the main governance variables, we show that better governance is associated with higher cash balances as in the United States. The reason is that better-governed firms make better investment decisions. Their investments are not driven by excess liquidity and result in higher profitability and higher firm valuation. Overall, our findings indicate that management profligacy is a bigger concern to shareholders than management propensity to hoard cash because of risk aversion.     

The differential CEO dominance-compensation and corporate governance-compensation relations: Pre- and post-SOX

We examine the relationship between corporate governance (as measured by traditional corporate governance variables and a new measure of corporate governance, called CEO dominance) and executive compensation, pre- and post-SOX. We conceptualize CEO dominance as a measure of a CEO's power and define it as the difference between CEO pay and the next highest executive's pay divided by the CEO's pay. We argue that for traditional corporate governance variables, the inverse governance-compensation relation that exists pre-SOX will improve post-SOX. On the other hand, we expect a strong and positive CEO dominance-compensation relation to exist both pre- and post-SOX. Consistent with expectations, our results indicate that SOX has changed the relationship between CEO duality and compensation relation, but it has not changed the CEO dominance-compensation relation. This suggests that SOX regulatory reforms do not limit the ability of CEO power to obstruct traditional corporate governance mechanisms in extracting compensation-related rents.     

Editorial: Asking questions about risk and worry: dilemmas of the pollsters

The perceived risk of terrorism has been found to have properties similar to those of other risk perceptions. Risk perception research is therefore relevant to a discussion of methods used by polling firms to gauge public opinion with regard to terrorism. Questions used by one firm for this purpose are analyzed in relation to research findings. It is concluded that alternative formulations may be preferable and that more methodological research on risk perception and related attitudes should be conducted. Polling firms working on worry and concerns of the public would profit from taking risk perception research into account.     

Bringing ideology in: the conservative white male effect on worry about environmental problems in the USA

Extending existing scholarship on the white male effect in risk perception, we examine whether conservative white males (CWMs) are less worried about the risks of environmental problems than are other adults in the US general public. We draw theoretical and analytical guidance from the identity-protective cognition thesis explaining the white male effect and from recent political psychology scholarship documenting the heightened system-justification tendencies of political conservatives. We utilize public opinion data from nine Gallup surveys between 2001 and 2010, focusing on both a single-item indicator and a composite measure of worry about environmental problems. We find that CWMs indeed have significantly lower worry about environmental problems than do other Americans. Furthermore, the results of our multivariate regression models reveal that this CWMs effect remains significant when controlling for the direct effects of political ideology, race, and gender and the effects of nine social, demographic, and temporal control variables – as well as the effect of individuals generalized (nonenvironmental) risk perceptions. We conclude that the white male effect is due largely to CWMs, and that the latters low level of concern with environmental risks is likely driven by their social commitment to prevent new environmental regulations and repeal existing ones.     

The role of corporate governance in shaping accruals manipulation prior to acquisitions

Based on stock swap transactions involving public acquirers originating from the UK between 1998 and 2011, this paper investigates the role of corporate governance in shaping accruals manipulation prior to stock swap deals. In contrast to common claims that strong corporate governance constrains accruals manipulation, my results show that well-governed acquirers engage more aggressively in income-increasing accruals manipulation than those with weak governance. This finding is consistent with a role of corporate governance that incentivises managerial actions in the interests of firms’ shareholders. Overall, this finding highlights the setting-specific nature of the earnings management and corporate governance relation. My results are robust to different discretionary accrual models, differences in the firm's growth structure, merger and acquisition control variables, a control group of 100% cash acquirers, an analysis of buy-and-hold abnormal returns, and potential sample selection problems.     

The construction of calculative expertise: The integration of corporate governance into investment analyses by sell-side financial analysts

This study analyses an emerging form of economic calculation in financial markets, namely, the integration of corporate governance into investment analyses undertaken by sell-side financial analysts. It examines how the expertise of these analysts in corporate governance integration is constructed, with particular attention to the calculative ideas and calculative devices through which it is achieved. Corporate governance integration is shaped by certain ‘calculative ideas’. These relate to ideas about the potential link between corporate governance and financial performance and the ideal of incorporating governance criteria into the investment process. This paper suggests that these calculative ideas have constituted the discursive conditions under which analysts sought to build their expertise in a new domain. The paper also shows that at a time when the quality of traditional sell-side research was scrutinised, the investment professional association and constituents of the investing public, through their arguments and discourses, constructed analysts as the ‘specialists’ having the imperative and credibility to perform corporate governance integration. Furthermore, as the paper demonstrates, analysts have sought to ‘theorize’ calculative ideas. They have normatively deployed certain ‘calculative devices’ to make corporate governance integration operational. Corporate governance integration is conducted in ways that make it receptive to the claims of a particular form of expertise, that of analysts. This paper suggests that it is through the assemblage formed over time between the ideas and aspirations on the one hand, and the tools and devices on the other, that the expertise of analysts in corporate governance integration has gradually been formed.     

Tracking U.S. inflation expectations with domestic and global indicators

Are foreign variables important for tracking U.S. inflation expectations? This paper estimates a reduced-form model that takes both domestic and global indicators of economic slack and inflationary pressures into account. Our main findings point towards the instability of the estimated parameters over the last four decades. In particular, global indicators appear to have played a statistically significant role in shaping forecasters’ expectations until the mid-1980s. By contrast, the U.S. monetary policy stance turns out to be relevant in the 1980s and 1990s. We relate this finding to the more aggressive monetary policy conduct implemented by the Fed since the end of the Volcker experiment.     

A literature review on the relationship between risk governance and public engagement in relation to complex environmental issues

Abstract

Over the last two decades demands for greater public engagement have emerged in policy circles and academia, particularly when it comes to risk-related decision-making, or risk governance. However, the literature shows there is a lack of evidence when it comes to the impact of public engagement initiatives and significant questions remain over who to include, what processes to follow and what outcomes to expect. Furthermore, the literature exhibits contradictions in how researchers with different theoretical approaches attempt to answer these kinds of questions. This paper therefore proposes a systematic literature review in order to map the current breadth and variation in the literature and to identify any major variations from previous findings. A methodical search query has been applied to Scopus and Web of Science to search for academic articles. These were subsequently assessed for their suitability through a structured literature selection process. The results identify a number of methodologically different approaches in which knowledge on risk governance and public engagement has been developed. These diverse approaches are eventually grouped into clusters based on similarities in co-citations and references that are identified through bibliometrics and a subsequent content analysis. The proposed clusters have been labeled risk governance; environmental science, policy and governance; disaster risk management; science and technology studies; post-normal science; and public understanding of science. These six clusters are ultimately discussed and differentiated based on their main features which is particularly relevant for researchers and policy-makers seeking to get an understanding of, or broaden their disciplinary engagement with, risk governance and public engagement.     

Improving lay understanding of exposure to electromagnetic fields; the effect of information on perception of and responses to risk

Studies show that, although many people are concerned about the potential health risks of being exposed to electromagnetic fields (EMF), lay understanding of exposure, an important determinant of risk perceptions and responses, is limited. In an online consumer panel (n = 245), we tested the effects of providing people with information about EMF on lay understanding of exposure, and on perceptions and responses to risks, using an experimental 2?×?2?×?2 design. Providing people with specific information explaining the distance–exposure relationship, clarifying EMF policy, or specifying personal exposure management options actions resulted in a better understanding of exposure. We demonstrated that information provision as such had no effects on concerns about EMF nor on perceived risk of personal sources, i.e. mobile phones, but lowered perception of risk of public sources, i.e. mobile phone base stations and high-voltage power lines. In addition, information explaining the distance–exposure relationship in combination with policy information resulted in reduced self-reported risk-aversive responses. Moreover, participants who understood more about exposure in relation to the distance to the source showed lower perceptions of risk, were less likely to restrict their own exposure, and more likely to accept new installations of public sources of EMF in their neighborhood. In contrast, awareness that exposure was mainly determined by personal use of EMF sources corresponded with higher perceptions of risk from personal sources and a higher likelihood to restrict one’s own exposure. Our findings provide focal points for improving communication on EMF. In particular, we suggest to include information clarifying the distance–exposure relationship to improve understanding of exposure.     

The maturation of biodiversity as a global social–ecological issue and implications for future biodiversity science and policy

Achieving the future targets for 2020 under the Convention on Biological Diversity, including that to halve the rate of habitat loss, will require rapid transformation to more effective governance. We present a global analysis of the transformative pathway of biodiversity using the social maturation framework of issue progression through six phases: Observation, Theorization, Popularization, Challenge, Governance and Normalization. Biodiversity is currently caught at a critical juncture between the Challenge and Governance phases. Movement from the Popularization to Challenge phase around 1990 occurred with intensified public discourse about biodiversity. The ongoing decline in biodiversity could be expected to trigger public concern and movement into the Governance phase, but this has not yet occurred. We hypothesize that benefits from expansion of the human ecological footprint acting in the opposite direction to biodiversity decline dampen system response. This dampening limits resolution of key debates and societal consensus about incorporating biodiversity into legislative and market systems. High quality independent science that connects with public discourse is needed to mobilize decision-makers at multiple scales. Ensuring the new Intergovernmental Platform on Biodiversity and Ecosystem Services (IPBES) connects to non-government actors who catalyze issue-based social discord about biodiversity risks would help ensure future governance and normative responses.     

Determinants of stock option use by Japanese companies

Japanese data show a negative relation between leverage and the probability of firms' use of stock options. Such a relation is more marked for firms affiliated with specific keiretsu or main banks. This evidence reflects the fact that Japanese companies are more reliant on debt financing and that the agency cost of debt is a central issue in corporate governance. Results show that the frequency of the firms' use of stock options is positively associated with firm size. Finally, independent firms, which reveal more concern about shareholder wealth, are more likely to use stock options.     

The impact of an independent inspectorate on penal governance,performance and accountability: Pressure points and conflict “in the pursuit of an ideal of perfection”

This paper examines the impact of an independent Inspectorate on the enactment, of and accountability for, penal reform in the Australian State of Western Australia. Intended to improve system wide custodial outcomes through the introduction of a privately managed operator acting as standard bearer and innovator, the reform agenda was predicated on an overhaul of governance, performance, systems and reporting practices in the sponsoring department and the state's public prison network. Insights from three credos of imprisonment, theorizations of ‘hierarchical’ and ‘intelligent’ governance and accountability, the interplay of values in changing practice, and the ways in which inspectors establish particular inspection regimes, frame analysis of reform implementation and the inspection regime in action over a ten year period. Using archival material, this research examines how the Inspectorate, in making things auditable, altered perceptions and organizational realities of a network of actors. It is contended that the governance and accountability tensions inherent in managerialism, exemplified in its reliance on ‘neutral’ accounting technologies to incentivise, manage and monitor custodial outcomes, privilege instrumental hierarchical governance and accountability regimes that ignore the rehabilitative aspects of imprisonment. Further, conflicting publicly espoused and privately held values play vital roles in moulding performance in a penal setting, and are fundamental to changing outcomes in networks. The Inspectorate's public values and intelligent accountability regime resonate with the Department's policy objectives and public values, but are shown to have been initially inconsistent with network actors’ hidden private values. The research concludes that the appointment of an independent Inspectorate has facilitated the accountability of those responsible for prison quality and positively influenced the treatment of prisoners. A secondary concern is investigating conflicting propositions about the relative governance, performance and accountability of privately and publicly operated prisons.     

Corruption,growth, and governance: Private vs. state-owned firms in Vietnam

We provide a firm-level analysis of the relation between corruption and growth for private firms and state-owned enterprises (SOEs) in Vietnam. We obtain three different measures of the perceived corruption severity from a 2005 survey among 741 private firms and 133 SOEs. We find that corruption hampers the growth of Vietnam’s private sector, but is not detrimental for growth in the state sector. We document significant differences in the corruption severity across 24 provinces in Vietnam that can be explained by the quality of provincial public governance (such as the costs of new business entry, land access, and private sector development policies). Our results suggest that corruption may harm economic growth because it favors the state sector at the expense of the private sector and that improving the quality of local public governance can help to mitigate corruption and stimulate economic growth.     

The meta‐governance of risk and new technologies: GM crops and mobile telephones

The stylistic shift from government to governance in the regulation of risks associated with new technologies is often portrayed as an attempt to reach a deeper consensus over public controversies and to avoid future risk management failures. Stakeholder involvement in decision‐making through more inclusive and learning styles is seen as increasingly necessary in order to correct the steering deficit of the state, to rebuild trust in state institutions, and to obviate problems caused by uncertainty and different value perspectives in risk assessments. In this paper we scrutinise this model of risk and governance in the light of recent developments in the UK, focusing in particular on the regulation of genetically modified crops and mobile telecommunications technology. We conclude that the shift to governance is best understood in terms of the accommodative response of the state to a number of new challenges: primarily posed by the changing role of the private sector; by pressures on government to engender public trust in the face of shifting social values; and by the related difficulty in taking decisions with confidence and legitimacy. There is a perceived need within government for a more deliberative approach to regulation and standard‐setting, achieved by a creative combination of managed scientific order and the establishment of deliberative cooperative institutions. However the creation of deliberative mechanisms and institutions is not an easy passage, especially if it is accelerated by uncontrollable political events. Indeed, we caution against romantic interpretations of governance as indicating a uniform popular trend towards the democratisation of state decision‐making, despite the very real opportunities for reform that it affords. Rather, we suggest that a more plausible account is provided by seeing governance as a form of adaptive management necessitated by a series of interlocking economic and social changes, and responses to successive risk management crises.     

Corporate Governance and Mergers and Acquisitions Performance in Banks: Evidence under the Special Regulatory Environment in Taiwan

In this study, we focus on the relation between bank governance and bank merger results under Taiwan’s special regulatory environment in 2000. Adopting governance variables (executive remuneration, managerial ownership, and board diversity), we find that managerial ownership is positively related to bank merger results and that board size is negatively correlated with bank mergers’ performance. This study supports sound governance mechanisms to prevent banks from pursuing a value-loss merger and acquisition (M&A). Our results offer the insight that internal bank governance structures have a bigger impact on the value effects from bank mergers. Thus, regulators may elevate the performance of bank M&As by enhancing corporate governance codes.