Information gatekeepers: theory and experimental evidence

We consider a model where two adversaries can spend resources in acquiring public information about the unknown state of the world in order to influence the choice of a decision maker. We characterize the sampling strategies of the adversaries in the equilibrium of the game. We show that as the cost of information acquisition for one adversary increases, that person collects less evidence whereas the other adversary collects more evidence. We then test the results in a controlled laboratory setting. The behavior of subjects is close to the theoretical predictions. Mistakes are relatively infrequent (15%). They occur in both directions, with a higher rate of over-sampling (39%) than under-sampling (8%). The main difference with the theory is the smooth decline in sampling around the theoretical equilibrium. Comparative statics are also consistent with the theory, with adversaries sampling more when their own cost is low and when the other adversary??s cost is high. Finally, there is little evidence of learning over the 40 matches of the experiment.     

Governance and the decision to issue a profit warning

The theoretical concept of agency costs developed by Jensen and Meckling (1976) and Jensen (2005) are used to study the relationship between the quality of a firm's governance and its decision to issue a profit warning (PW) when it is overvalued. Based on a sample of Canadian companies between 2000 and 2004, results were only partially supportive of the hypotheses. The characteristics of the board seem to play only a secondary role in the decision to issue a profit warning when the firm is overvalued. On the other hand, as expected, governance mechanisms that factor in market values to align the interests of managers and directors with those of shareholders are negatively related to the profit warning decision. Copyright © 2008 ASAC. Published by John Wiley & Sons, Ltd.     

Endogenous job specialization

According to some authors, technical change contributes to the explanation of the increase in equilibrium unemployment by making jobs more and more specialized. Here, we assume that firms optimally adapt the specialization of jobs to overall labour market conditions. Using a matching labour market framework, we show that the increase in unemployment can explain the higher specialization of jobs.     

中比贸易的“绿色通道”

作为比利时首任驻华海关专员，6个月前，我刚刚踏上中国这片热土。打那时起，我就在这全新的、令人兴奋的环境中度过了让人备感新奇的日日夜夜。     

Economic impacts of the ASEAN single aviation market: focus on Cambodia,Laos, Myanmar,The Philippines and Vietnam

ABSTRACT

Since 2004, the Association of SouthEast Asian Nations (ASEAN) has decided to move towards liberalization of air transport inside the region as well as outside by signing multilateral agreements with other countries. In this article, we focus on the economic impact of liberalization. We show that by liberalizing up to the 5th freedom right, given the expectations with respect to tourism development, national GDP is expected to increase yearly from 1% (Cambodia) to 6.1% (The Philippines). Regarding partner states involved in multilateral agreements, the case of China shows that ASEAN airlines might well face possible competition distortions as a result.     

Incentives for cost misrepresentation in supply chains

This paper investigates sequential manufacturer–retailer price determination and channel performance under possible misrepresentation by one member of its privately known cost. To the standard double marginalization game, we add a preliminary stage where the manufacturer (alternately the retailer) announces its privately known constant marginal cost. We prove that the manufacturer has no incentive to misrepresent its cost, and we give respective sufficient conditions on the demand function for the retailer to overreport and to underreport costs. Depending on the shape of the demand function, opportunistic behavior by the retailer may lower or raise the manufacturer’s profit and channel performance.     

Looking into the overlooked: incoming tour operators and early tourism development in Gabon

For a few years, Gabon has demonstrated increasing signs of its willingness to develop tourism. This has led a growing number of individuals and/or companies to seek opportunities and invest in the inbound tourism sector. Yet Gabon still presents high barriers to tourism development, resulting in major constraints upon tourism firms. This paper focuses on the particular example of incoming tour operators (ITOs); ITOs play a role in tourism distribution but have received little attention in the literature. This study seeks to better understand their profiles as well as their marketing and channel behaviours in the Gabonese fledgling tourism industry. Based on semi-structured interviews held in 2011–2012 with 11 ITOs in Gabon, the study outcomes show that ITO marketing and channel behaviours were rational and growth-oriented and were influenced by company profiles, demand requirements and the position of power of ITOs in the distribution channel. The accessibility, comfort and reliability of products/suppliers stood out as key factors in the upstream or downstream channel behaviours of ITOs (selection of suppliers vs. selection of customers). Most respondents considered vertical integration as an appropriate strategy to improve the supply channel.     

Exploring the Role of Ownership Structures in the Results of Professional Health Care Franchises from a Multi-Actor Perspective

This paper explores how the ownership structure of professional health care franchises contributes to the achievement of positive results with franchising for the franchisor, the franchisee, professional service provider, and clients. We conducted a comparative embedded case study with three health care franchises in the Netherlands using data from 101 interviews, observations, and document analyses. We show that different ownership structures at the system-level (i.e., plural form, pure franchise, cooperative franchise) and the unit-level (i.e., stand-alone versus fractional, active versus passive, single versus multi-unit) have different effects as perceived by franchisors, franchisees, and professionals. Moreover, we reveal how this variation in experienced effects can be explained by differences in dynamics in regard to management, decision making, control, steering, support, interests, learning, and adaptation. Based on these analyses, we develop new typologies of ownership structures and show how combinations of system-level and unit-level structures can have mutually weakening or strengthening effects.     

Natural disasters and countries' exports: New insights from a new (and an old) database

This paper is the first to uncover in details the impact of different families of disasters on exports from 1979 to 2000 (storms, floods, earthquakes and changes in temperatures). Besides, our paper is the first to compare in a quasi‐systematic way the results across the two data sets at hand, the standard EM‐DAT data and GeoMet data, a newly available data set based on geophysical and meteorological data (European Economic Review, 2013, 58, 18; Journal of Development Economics, 2014, 111, 92). We run series of regressions while accounting progressively for the characteristics of products (all traded goods v/s agriculture ones), the characteristics of the country (size, level of development) and the intensity of the catastrophes. When pooling all countries, and all types of disasters, we do not find any statistical impact on exports. But when focusing on each of them separately and on agricultural goods, the occurrence of an earthquake appears to reduce exports of about 3%, regardless of its location. A windstorm shock, even when it happens to be very severe, has hardly any impact. A flood, on its side, is estimated to reduce export flows of a small country by nearly 3%. The effect of changes in temperatures is ambiguous. All in all, except for temperature‐related disasters, the results are consistent across both data sets, EM‐DAT and GeoMet, although they appear to be slightly more in line with our expectations in the case of GeoMet.     

Visitor monitoring along roads and hiking trails: How to determine usage levels in tourist sites

Best-practice visitor-monitoring techniques are crucial for the assessment of tourism-related impacts in natural areas of high conservation value. In such studies, ecosystem variables are typically compared between high and low usage tourist sites. We assessed visitor use at 80 sites in the Flinders Ranges gorges and compared 11 visitor variables for their potential to differentiate usage levels between sites either exposed to vehicle or hiker traffic. We show that the efficiency with which a visitor variable represents usage levels depends on the access mode to gorges, with the number of passing visitors best suited for monitoring of usage levels in gorges permitting hiker access only, and variables describing camping usage best suited for gorges permitting vehicle access.Further, the distinct advantages and disadvantages of four visitor-monitoring techniques were examined; namely, the direct monitoring of visitor use by staff observers, the assessment of proxy variables from which past and present use can be inferred, GPS tracking of visitors and the survey of visitors by an interview-based questionnaire. We recommend GPS tracking because of the reliability and detail of data and the many sites per day that can be sampled. Due to a strong, positive correlation, the campground size and the number of fireplaces may be recorded in proxy of the camper numbers to increase time-efficiency and robustness of measures against short-term fluctuations in usage. Survey data gathered in relation to specific site-use were tempered by the memory of visitors and their ability to describe or reference the visited sites on a map. Visitor surveys were therefore useful only as a supplementary method for differentiating usage levels on a coarser spatial scale.