Out of Recession?

Britain is emerging uncertainly from recession. This essay looks at the character of the recession, the financial crisis that inaugurated it and the key issues that will dominate the recovery phase. In particular, it argues that the underlying and deeply entrenched political conditions which underpinned the crisis, notably bi-partisan encouragement of a ‘property-owning democracy’, show no signs of abating. Without such a change, a recurrence of the crisis appears highly likely.     

Is there a case for revising the UNWTO's Global Code of Ethics to include a new article on the ethical treatment of animals by the tourism industry? A response to the opinion piece by David Fennell

This opinion piece reviews and critiques the opinion piece by David Fennell which presents a proposal for a new article about the ethical treatment of animals to be added to the UNWTO Global Code of Ethics for the tourism industry. The case presented here rests on a detailed examination of the use of the concepts of speciesism and anthropocentrism in the original opinion piece. It finds that, while speciesism is currently a fashionable way to draw parallels between animals and humans, it is dependent on the evidence around the questions of sentience, cognition and consciousness. While there is increasing evidence for animal sentience and cognition, human consciousness is wholly different from that of even the most advanced animals. And, although anthropocentrism is a dominant idea in many forms of political decision making in general, it cannot be used as a stick with which to beat tourism scholarship: many writers on tourism adopt distinctly ecocentric lines of argument, including the concepts of ecotourism and sustainable tourism. The paper also notes that only ca. 30% of UNWTO's national members had given legal recognition to the existing code of ethics nearly 10 years after its ratification by the UN.     

Economic growth as a function of human capital,internet and work

The World Bank has suggested the need to enhance Information and Communication Technology skills in all sectors because a 10% increase in internet connectivity was found to boost GDP growth by 1.38%. Simultaneously, the OECD argued that high internet access rates generate a 2% increase in GDP. Because the internet positively affects economic growth, we investigated the relationship between an economically active population, human capital and technology to evaluate these effects in Mexico. A data series from 1991 to 2010 was analysed in three stages according to the least-squares method. A Cobb–Douglas function under the Solow model was considered. Technology and internet access were found to positively affect top-level students and graduate students and thus contribute to the global innovation index.     

The effects of domestic rice market interventions outside business-as-usual conditions for imported rice prices

The Philippine government intervenes in the domestic rice market through the imposition of import tariffs and the provision of producer and consumer subsidies. While policymakers are aware that these programmes come with allocative efficiency costs, they justify the programmes on the grounds that they insulate the domestic economy from unexpected price spikes in the international rice market. An interesting matter for policy evaluation is to quantify the insulation benefit that the programmes provide in circumstances of sudden severe import price spikes. To examine this question, we undertake a dynamic computable general equilibrium (CGE) simulation in which the Philippines is subject to an external rice price shock. We find that the insulation benefit of the support programmes under a 2008-like event is worth approximately 0.10% of real consumption. However, the cost of insuring against these price spikes is significant. We estimate the annual cost of the rice market interventions at approximately 0.40% of real consumption.     

The employability of new graduates: a study of differences between UK universities

The non-stationarity tests of Phillips-Perron (1988) (PP tests) suggest that Australian macroeconomic output possesses a stochastic rather than a deterministic log-linear trend. Kwiatkowski et al. (1991) argue that such tests have low power and propose the KPSS test, in which the null is stationary. However, the KPSS test results reinforce the PP findings for Australia. Cochrane (1988) variance ratio (VR) tests further suggest that there may be a very strong random-walk component in the Australian business cycle. Rappoport and Reichlin (1989), however, argue that all such tests are biased in favour of the stochastic trend alternative if there are trend breaks in the data. Following up on this point, the paper finds that, in Australia's case, the stochastic trend alternative is statistically dominated when the data are allowed to be characterized by a probabilistic, regime-switching, segmented trend specification. Therefore, to the extent that real business-cycle theories of the business cycle gain support from stochastic trends in real output, this latter piece of Australian evidence does not strengthen their case.     

Price transmission and volatility spillovers in Asian rice markets: Evidence from MGARCH and panel GARCH models

ABSTRACT

This article examines world rice price transmission and volatility spillovers across six major Asian rice markets over the period 2005-13. In addition to the conventional GARCH models, we use a panel GARCH framework to estimate the spillover effects along with the consideration of heterogeneity and interdependence among countries. Empirical results suggest that changes in the world rice price affected not only the price levels of domestic rice markets but also their conditional variances. Moreover, interdependence across rice markets contributed to a strong spillover of a price shock in one country to another within the region.     

The Contribution of Sectoral Productivity Differentials to Inflation in Greece

This paper estimates the magnitude of the Balassa-Samuelson effect for Greece. We calculate the effect directly, using sectoral national accounts data, which permits estimation of total factor productivity (TFP) growth in the tradeables and nontradeables sectors. Our results suggest that it is difficult to produce one estimate of the BS effect. Any particular estimate is contingent on the definition of the tradeables sector and the assumptions made about labour shares. Moreover, there is also evidence that the effect has been declining through time as Greek standards of living have caught up on those in the rest of the world and as the non-tradeables sector within Greece catches up with the tradeables.

Fundamentals of service science

Service systems are value-co-creation configurations of people, technology, value propositionsconnecting internal and external service systems, and shared information (e.g., language, laws, measures, and methods). Service science is the study of service systems, aiming to create a basis for systematicservice innovation. Service science combines organization and human understanding with business andtechnological understanding to categorize and explain the many types of service systems that exist as wellas how service systems interact and evolve to co-create value. The goal is to apply scientific understandingto advance our ability to design, improve, and scale service systems. To make progress, we think servicedominantlogic provides just the right perspective, vocabulary, and assumptions on which to build a theory ofservice systems, their configurations, and their modes of interaction. Simply put, service-dominant logicmay be the philosophical foundation of service science, and the service system may be its basic theoreticalconstruct.

Resource orchestration for team‐based innovation: a case study of the interplay between teams,customers, and top management

The resource orchestration concept has attracted considerable interest in contemporary innovation research. However, resource orchestration is a manager‐centric framework and not all of its components necessarily reflect the value‐creation processes of organizations focusing on team‐based innovation. Drawing on a single‐case study of an innovative Swedish software company, we illustrate the roles of autonomous teams, customers, and top managers in orchestrating resources for team‐based innovation. Moreover, we introduce the concept of resource flocculation to describe how key actors co‐orchestrate various resource orchestration processes. The study contributes to research on resource orchestration by adapting the model to the conditions characterizing team‐based innovation, and to research on team‐based innovation by addressing how innovative teams are related to overall resource orchestration processes and, ultimately, organizational innovation outcomes.     

Could HRM support organizational innovation?

Nowadays, it has become clear that the capacity of organizations to innovate and manage their human resources can be sources of competitive advantage. Recently, literature also asserts a positive relationship between human resource management and innovation. However, very little empirical research has specifically addressed those relationships. Using structural equations modelling with data collected from 173 Spanish firms, this study analyses them. Our findings show that innovation contributes positively to business performance and that human resource management enhances innovation. Implications for both academics and managers as well as future research lines are discussed.