Revealed and stated preference analysis of ski resort attractiveness

The paper compares a revealed and stated preference approach for estimating the site attractiveness of Vermont ski resorts to weekend skiers. Unexpected bias in attractiveness estimates, seemingly caused by the geometry of origins and destinations, is discovered when the revealed preference approach is used. The attractiveness scales of resorts, which were estimated using separate metric (Thurstone) and nonmetric (nonmetric scaling) models of preference, are shown to be very similar despite the different assumptions of the two models. Eighty‐six percent of variance in the attractiveness estimates of resorts is explained by only two variables, mean perceived length of slopes and mean perceived level of crowding. A multidimensional scaling analysis of a matrix showing the mean cognitive similarity of each pair of 23 resorts reveals that the resultant two‐dimensional cognitive map of the resorts can be largely characterized by the same two attributes, slope length and crowding, that explain the preference‐based attractiveness estimates.     

A new look at hedging with derivatives: Will firms reduce market risk exposure?

This study examines derivatives use of foreign exchange, interest rate, and commodities risk by nonfinancial firms across multiple industries, using data from 1995 to 2001. This work considers the interaction of a firm's risk exposures, derivatives use, and real operations simultaneously, and considers how these factors change over time using a consistent database. Hedging with derivatives is only signi.cantly related to commodity risk exposure during most years of the study, and to a more limited degree to interest rate exposure. Further, a strong correlation was found between risk exposures for some years using a new technique, suggesting that univariate modeling is not always appropriate. The implications are that hedging with derivatives is not always important to a firm's rate of return and is linked to other nonfinancial and economic factors. © 2007 Wiley Periodicals, Inc. Jrl Fut Mark 27: 1053–1083, 2007     

Land Values: Size Matters

The Journal of Real Estate Finance and Economics - Using Clark County, Nevada land auction data from the Bureau of Land Management, we find evidence that the price paid per acre of land initially...     

Transparent Practices: Primary and Secondary Data in Business Ethics Dissertations

We explore the availability and use of data (primary and secondary) in the field of business ethics research. Specifically, we examine an international sample of doctoral dissertations since 1998, categorizing research topics, data collection, and availability of data. Findings suggest that use of only primary data pervades the discipline, despite strong methodological reasons to augment business ethics research with secondary data.     

The economic impact of a transient hazard on property values: The 1988 Pepcon explosion in Henderson,Nevada

This article investigates the effect of the May 1988 explosion of a chemical plant in Henderson, Nevada on residential property values (1) before the explosion (anticipation), (2) between the time of the explosion and an announcement of relocation, and (3) subsequent to an announcement in July 1988 that the plant would be rebuilt 100 miles away in Cedar City, Utah. This article uses the conventional hedonic model wherein the real prices of residential houses are related to the characteristics of the property (age, size, and amenities); the timing of the sale; and distance from the site of the explosion, rounded to the nearest mile. A quadratic specification of the model showed that the model was sensitive to the mean distance from the hazard. In a sample of properties throughout the Las Vegas Valley, property values decreased with distance from the explosion, indicating the presence of other hazards. The quadratic specification was stable only for properties within six miles of the explosion site, which included the communities of old Henderson (to the east) and the master planned community of Green Valley (to the west). A discontinuous specification of the model, in which distance was measured by a set of dummy variables (i.e., within two miles, within three miles, etc.) proved to be much more stable. Property within two miles of the hazard were depressed both before and after the explosion, although after the relocation announcement, property values rebounded to reflect the reduction in the number of hazardous plants. This article lends weight to the accumulating body of evidence that real estate markets do behave efficiently.