The Small Open-Economy New Keynesian Phillips Curve: Empirical Evidence and Implied Inflation Dynamics

In this paper we apply GMM estimation to assess the relevance of domestic versus external determinants of CPI inflation dynamics in a sample of OECD countries typically classified as open economies. The analysis is based on a variant of the small open-economy New Keynesian Phillips Curve derived in Galí and Monacelli (Rev Econ Stud 72:707–734, 2005), where the novel feature is that expectations about fluctuations in the terms of trade enter explicitly. For most countries in our sample the expected relative change in the terms of trade emerges as the more relevant inflation driver than the contemporaneous domestic output gap.     

Optimal mechanisms for an auction mediator

We consider a dynamic auction environment with a long-lived seller and short-lived buyers mediated by a third party. A mediator has incomplete information about traders’ values and selects an auction mechanism to maximize her expected revenue. We characterize mediator-optimal mechanisms and show that an optimal mechanism has a simple implementation as a Vickrey auction with a reserve price where the seller pays to the mediator only a fixed percentage from the closing price.     

Income inequality in the trust game

This paper presents an experiment measuring how lab-induced income inequality affects trust and trustworthiness. Low endowment subjects paired with high endowment subjects showed more trust than subjects in other pairs; this trust was reciprocated with high trustworthiness.     

Humankapital deutscher Fußballmanager

Based on the human-capital-theory we analyse the effects of managers’ characteristics on the sportive success of soccer-clubs. Relevant characteristics are a previous career as a player or trainer, an apprenticeship or academic study and the work experience as a manager. Over the last twenty years the proportion of managers with an economic education doubled. This general human capital affects success less complementarily than as a substitutive for sector- or club-specific human capital in terms of a previous career as a player. The work experience as a manager correlates positively with the teams’ league ranking. These results allow recommendations for recruiting new managers.     

Employment,job turnover,and trade in producer services: UK firm‐level evidence

Abstract We provide the first firm‐level evidence of the impact of the trade in producer services (‘offshoring’) on the labour market. Using a new data set from the UK that measures trade in services at the firm level, we find no evidence that importing intermediate services is associated with job losses or greater worker turnover. Using regression to control for observable differences between firms that import service inputs and those that do not, we show that firms that start importing intermediate services experience faster employment growth than equivalent firms that do not. This seems likely to be the result of positive demand shocks, which cause a simultaneous increase in employment, output, and use of imported service inputs.     

Zukunftsorientierte Steuerung – Wie Controller die Zukunft mitgestalten können

PRAXIS | Magazin

Zukunftsorientierte Steuerung – Wie Controller die Zukunft mitgestalten k?nnen Konferenz-Review     

Causation and effectuation processes: A validation study

We develop and validate measures of causation and effectuation approaches to new venture creation and test our measures with two samples of entrepreneurs in young firms. Our measure of causation is a well-defined and coherent uni-dimensional construct. We propose that effectuation is a formative, multidimensional construct with three associated sub-dimensions (experimentation, affordable loss, and flexibility) and one dimension shared with the causation construct (pre-commitments). As specified by Sarasvathy (2001), we also show that causation is negatively associated with uncertainty, while experimentation, a sub-dimension of effectuation, is positively correlated with uncertainty. The major contribution is the resulting validated scales that measure causation and effectuation.     

Where has the rum gone? The impact of maritime piracy on trade and transport

Review of World Economics - Despite a general agreement that piracy poses a significant threat to maritime shipping, empirical evidence regarding its economic consequences remains scarce. This...     

Winning pays: High school football championships and property values

A large literature explores the effect of schooling characteristics on property values, but touches little on non-academic attributes of schools. This study demonstrates the capitalization of high school football championships into school district property values using a model that controls for a series of fixed effects. Winning a state football championship increases property values by 1.65% in the year following the championship, exerting its strongest effect immediately after the championship is won. The effect is biggest in the AA division; the largest and most competitive division.