The value of market access and national treatment commitments in services trade agreements

This paper looks at market access and national treatment commitments for services in the General Agreement on Trade in Services (GATS) and in 95 regional trade agreements (RTAs) involving the countries that are covered in the OECD Services Trade Restrictiveness Index (STRI). The objective is to quantify the impact of legal bindings on trade in services that result from a reduction in the uncertainty faced by exporters. Bilateral bindings indices are created for five broad service sectors (professional services, computer services, telecoms, financial services and transport services). They indicate how close the sector is from a fully bound regime with no possibility to introduce any new trade barrier, by comparing commitments with the actual trade regime. These bilateral indices are then tested over the period 2000–2014 in a structural gravity model. Despite differences across sectors, the results confirm that the legal bindings typically found in services trade agreements tend to have a positive impact on exports even if no actual liberalisation takes place.     

Der neue bundesstaatliche Finanzausgleich — eine Reform und viel Reformaufschub

The reorganisation of financial relations between the federal government and the federal states by the German parliament changes the federal system in Germany at crucial points. With the agreed new financial equalisation system a restructuring of the federal solidarity occurs. The federal government gains a lot of responsibility; the federal states receive more revenue, but become more dependent. More income is redistributed, and in different ways, which could counteract the convergence among states. In addition, important reform fields were left unprocessed. The overall result is a political compromise, which is to be criticised objectively.     

Why Do Responses to Age‐Based Marketing Stimuli Differ? The Influence of Retirees’ Group Identification and Changing Consumption Patterns

This study analyzes how retired consumers respond to age‐based marketing stimuli using survey data from 236 retirees over the age of 60 years. Specifically, it investigates the factors that influence retirees’ intentions to use senior discounts and intentions to accept exclusive offers for seniors (e.g., educational classes for seniors), as well as their evaluation of age‐related labels (e.g., “60+”). The results show that retirees who identify more strongly with other retirees and who generally change their consumption patterns following retirement are more likely to respond positively to age‐based marketing stimuli. Additionally, the data suggest that cognitive age negatively moderates the role of retirees’ identification with other retirees in terms of their responses to age‐based marketing stimuli. However, the influence of these variables differs significantly across the types of stimuli considered. The findings help to explain ambiguities in previous studies that did not consider differences among mature consumers beyond age and age‐group membership or among the types of stimuli. The implications of these findings with respect to effective marketing to retired consumers are discussed.     

Export Spillovers: Opening the Black Box

This paper studies the importance of export spillovers in a firm's decision to enter specific export markets and extends the current state of the literature by assessing different mechanisms through which they may occur, namely (i) labour movement, (ii) intra‐industry spillovers and (iii) inter‐industry linkages. We do so by exploiting a unique data set covering the universe of manufacturing firms in Denmark for the period 1995–2006 which combines transaction‐level export data, firm accounting data, employer–employee linked data and information from yearly input–output tables. We corroborate the literature on export spillovers by presenting robust evidence of destination‐specific export spillovers. The results suggest that labour mobility as well as intra‐ and inter‐industry linkages (backward linkages) are important channels for export spillovers, while presenting heterogeneous effects across firms of different size and export markets.     

Race,gender, and leisure benefits

This study investigated the relationship between race, gender, and 7 leisure benefits that are based on a Benefits Approach to Leisure (BAL) framework. A random sample of 47 blocks from a southern metropolitan census tract composed of racially integrated middle‐class neighborhoods yielded 99 African American and 107 European American households who rated statements representing 7 leisure benefits on a Likert‐type scale. Using 2‐tailed t tests, with an F (folded) statistic to test for equality of the 2 variances, significant differences (p < .05) between middle‐class African Americans and middle‐class European Americans were found on 4 of 7 leisure benefit scales (57%): relaxation, diversion, self‐expression, and social interaction. When gender was considered, African American and European American middle‐class men differed significantly (p < .05) on relaxation and self‐expression scales, whereas middle‐class women differed significantly (p < .05) on social interaction and self‐esteem scales. The 7 leisure benefit areas were ranked according to perceived importance; a strong association (R = .86, p < .05) was shown between the racial groups. Gender showed considerable effect on the ranking of preferred leisure benefits among middle‐class African Americans but was of limited value when comparing middle‐class European American rankings.     

On the origin of power-law tails in price fluctuations

We analyse large stock price changes of more than five standard deviations for (i) TAQ data for the year 1997 and (ii) order book data from the Island ECN for the year 2002. We argue that a large trading volume alone is not a sufficient explanation for large price changes. Instead, we find that a low density of limit orders in the order book, i.e. a small liquidity, is a necessary prerequisite for the occurrence of extreme price fluctuations. Taking into account both order flow and liquidity, large stock price fluctuations can be explained quantitatively.