MODELLING A REGIME‐SHIFTING BEVERIDGE CURVE

This paper offers new insights into Beveridge curve analysis by modelling the unemployment–vacancy rate relationship within a Markov regime‐switching environment in which the probabilities of curve‐shifting are determined endogenously by shift factors. Shift factors include structural factors such as labour market participation and net migration, while cyclical variables include GDP growth, the real rate of interest, and labour productivity. This approach enables us to estimate regime‐specific parameters and to assess the role played by these factors in influencing the transition probabilities of switching between regimes. Using New Zealand data, we show that increases in the participation rate have shifted the Beveridge curve inward, while increases in net migration have shifted the curve outward.     

Secured debt and managerial incentives

Financial theory holds that firms can control agency costs through the use of short-term and secured debt. We examine the relation between the use of secured debt and the incentive of the manager to increase the risk of the firm, as measured by vega. We find that firms utilize secured debt to a lesser extent when managerial volatility sensitivity is higher. Our results suggest that these same firms employ short-term debt as the primary tool to control risk-shifting. Managers with a high risk appetite avoid secured debt, but appear to do so without compromising the interests of the shareholders.     

Credibility in Loss Reserving

This article proposes using credibility theory in the context of stochastic claims reserving. We consider the situation where an insurer has access to the claims experience of its peer competitors and has the potential to improve prediction of outstanding liabilities by incorporating information from other insurers. Based on the framework of Bayesian linear models, we show that the development factor in the classical chain-ladder setting has a credibility expression: a weighted average of the prior mean and the best estimate from the data. In the empirical analysis, we examine loss triangles for the line of commercial auto insurance from a portfolio of insurers in the United States. We employ hierarchical model for the specification of prior and show that prediction could be improved through borrowing strength among insurers based on a hold-out sample validation.     

Digital gaming culture in Vietnam: an exploratory study

ABSTRACT

New information and communication technologies continue to spread rapidly into the Asian marketplace, which has led to new patterns of leisure consumption, one of the most popular being digital gaming. However, in Vietnam there is limited research on gaming as a leisure activity. The purpose of this study is to explore the phenomenon of digital gaming in Vietnam to better understand how it is practiced in this culture. Semi-structured interviews were conducted with twenty-five gaming industry figures and gamers. Thematic analysis was used to guide data collection and analysis. The findings indicate that glocalisation, socialised gaming practices and competitiveness characterise the Vietnamese gaming experience. The distinct culture of Vietnam combined with globalised gaming consumption habits has created new modes of play culture, and hence leisure experiences that are growing in pervasive and influential ways.     

Deals inside: examining restaurant operators’ motives when choosing whether to offer a flash-sale

As restaurants are the primary hospitality business represented on flash-sale sites, this study examined motivations of restaurant managers when choosing whether to utilize the promotional mediums of flash-sales. Interviews were administered as a measurement instrument. Results demonstrated restaurants which have employed flash-sales are weary of the likelihood of success and believe the flash-sales brought in established customers. Non-users indicated hesitation towards adoption of flash-sales related to low profit margins per item in their operation and the percentage split of the sale price between the firm and flash-sale provider. Findings provide keen foundational insight into the flashsale phenomenon.     

The growth of manufacturing protection in 1920s Britain

Prior to the Import Duties Act of 1932, an assortment of legislation expanded the scope of manufacturing protection in Britain. This article assesses the magnitude of manufacturing protection before the Import Duties Act and finds that, in 1930, 9% of net manufacturing output occurred in a protected industry. In the late 1920s, protected industries exhibited above‐average growth in labour productivity. However, protection was disproportionately extended to newer manufacturing industries, which presented greater potential for productivity growth. This article concludes that protection did not enhance productivity growth in Britain's manufacturing industries in the late 1920s.     

E-Shopping Patterns of Chinese and US Millennials

A conceptually based taxonomy of 22 distinct forms of e-shopping vehicles is proposed. A modification of the UTAUT and UTAUT2 models is introduced to explain how vehicles are interrelated in regard to consumer reliance upon them for their e-purchasing. A survey of over 1,000 millennial university students, 697 Chinese and 306 US, revealed strong support in both samples for the hypothesized six dimensional pattern underlying consumer vehicular reliance. Further, differences between Chinese and US samples lay not in the nature of the dimensions, but rather in the strength of reliance upon each dimension. Thus, the study demonstrates the utility of the concept/measure of shopper vehicular reliance, VPR (Vehicle Purchasing Reliance) for both practitioners and scientists. In cross-national comparisons, observed differences between samples in strength of reliance supported four of five hypotheses predicated on previously established national distinctions a) in trust and b) in the cultural value of individualism-collectivism.     

International Students in Asia: Travel Behaviors and Destination Perceptions

This study investigates the incidence of international student travel in Taiwan. It was found that Chinese, Asian and other international students behave somewhat differently from respondents in prior studies conducted in Western settings. Cultural background influenced the travel behaviors of international students as well as their perceptions of Taiwan as a tourism destination. The visiting friends and relatives (VFR) market induced by Asian respondents offers greater tourism-related potential than the travel activity that students themselves undertake. The contrary was found for non-Asian students where the student-induced VFR market is small and prospectively less attractive than the student market. The Chinese international student travel market and induced VFR market showed less potential than anticipated, perhaps because of the embryonic stage of diplomatic and commercial relations between Taiwan and mainland China.