Hybrid Choice Models: Progress and Challenges

We discuss the development of predictive choice models that go beyond the random utility model in its narrowest formulation. Such approaches incorporate several elements of cognitive process that have been identified as important to the choice process, including strong dependence on history and context, perception formation, and latent constraints. A flexible and practical hybrid choice model is presented that integrates many types of discrete choice modeling methods, draws on different types of data, and allows for flexible disturbances and explicit modeling of latent psychological explanatory variables, heterogeneity, and latent segmentation. Both progress and challenges related to the development of the hybrid choice model are presented.     

The transmission of bank capital requirements and monetary policy to bank lending in Germany

We investigate the transmission of changes in bank capital requirements and monetary policy, and their interaction, on German banks’ corporate loan growth and lending rates. Our results show that increases in capital requirements are associated with an immediate decrease in total domestic and cross‐border bank lending. Changes in the euro area's monetary policy stance are positively related to corporate loan interest rates in general. Regarding the interacting effect of national bank capital requirements and euro area monetary policy, we observe that the transmission of accommodative euro area monetary policy to corporate lending rates can be attenuated by contemporaneous increases in bank capital requirements. Moreover, more strongly capitalized banks increase their loan growth in response to accommodative monetary policy whereas, for weaker banks, increasing capital requirements implies a decrease in their corporate loan growth. Our results confirm a tradeoff between higher capital requirements and accommodating monetary policy originating from banks’ capital constraints.     

Determinants of Anti‐Trafficking Policies: Evidence from a New Index

We develop an index measuring the three main dimensions – prosecution, protection, and prevention – of the anti‐trafficking policies of the governments of up to 180 countries over the 2000?2010 period. Overall, developed countries perform better than the rest of the world; compliance with prosecution policy is highest, while governmental efforts to protect victims of human trafficking remain weakest. We employ the new indices to investigate which factors determine anti‐trafficking policies. We find that compliance with anti‐trafficking policies significantly decreases with corruption and is higher in countries that also respect the rights of women. We also find some tentative evidence for spatial dependence in anti‐trafficking policies.     

The impact of global factors on stock market movements in emerging market economies

Global factors are becoming increasingly important as a cause of international capital fl ows. It is nearly impossible for some countries to protect themselves from outside infl uences on their fi nancial markets. This paper investigates the extent to which various global factors such as stock market volatility, international liquidity and global interest rate levels impact on the effective fi nancial market exchange rates of selected emerging market economies. These results are compared with effects on the fi nancial market exchange rates of the United States, the United Kingdom and Germany.     

Social Media Analytics

In this contribution, we introduce “social media analytics” (SMA) as an emerging interdisciplinary research field that, in our view, will have a significant impact on social media-related future research from across different academic disciplines. Despite a number of challenges, we argue that SMA can provide other disciplines – including IS – with methodological foundations for research that focuses on social media. Furthermore, we believe that SMA can help IS research to develop decision-making or decision-aiding frameworks by tackling the issue of social media-related performance measurement, which has been challenging until now. Moreover, SMA can provide architectural designs and solution frameworks for new social media-based applications and information systems. Finally, we call for an interdisciplinary SMA research agenda as well as a significantly increased level of interdisciplinary research co-operation, which must aim to generate significant advancements in scientific methods for analyzing social media, as well as to answer research questions from across different disciplines.     

Does government ideology affect personal happiness? A test

We investigate the impact of government ideology on left-wing as compared to conservative individuals. We find that conservative people are happier, on average. In a sample excluding the richest countries left-wing people are happier under the tenure of left-wing governments.     

Multi-agent-based transport planning in the newspaper industry

In many cases of today's planning tasks, the synchronization of production and distribution is becoming increasingly important in order to minimize costs and to maximize customer satisfaction. This is especially the case if transport schedules are closely connected to production schedules, as it is in the newspaper industry—where perishable goods are distributed immediately after production. In order to achieve the above mentioned competing objectives, a special kind of vehicle routing problem, the vehicle routing problem with time windows and cluster-dependent tour starts (VRPTWCD), has to be solved. Moreover, the varying print and post-processing schedules due to unknown editorial deadlines lead to the need for a dynamic online control of the newspaper production and distribution process. In this contribution, the outlined dynamic transport problem is solved online under consideration of unforeseen changes in production schedules. The solution concept is based on a multi-agent system consisting of, amongst others, several Edition and Vehicle Agents. This system is exemplarily applied to a real life application case of one of the largest German newspaper companies. It is shown that a static (centralized) optimization of the underlying problem would even lead to worse results in comparison to the current situation and that the appliance of the multi-agent system is suitable in the newspaper industry.     

Poetic Economics and Experiential Knowledge,or How the Economist K. William Kapp Was Inspired by the Poet Ernst Wiechert

In the first part of this article, I analyze the phenomenon of the “double truth” in economics, which suppresses experiential knowledge and leads to the destruction of the natural environment, community, and human civility. Subsequently, I explore the positive effects of opening economics to the creative, esthetic, and ethical potential of experiential knowledge, including works of art. In the second part of the article, I showcase the way the economist K. William Kapp was inspired by the renowned German novelist, poet, educator, intellectual, and concentration-camp survivor Ernst Wiechert. Wiechert was Kapp’s teacher in high school, the Hufgymnasium in Königsberg, during the Weimar Republic. I investigate the unpublished and unexplored Kapp-Wiechert correspondence, as well as analyze some (published and unpublished) foreign language essays written by Kapp and his wife Lore Kapp. This analysis reveals how Kapp’s economics drew lasting inspiration from Wiechert’s art philosophy, pedagogy, novels, and poetry. This is a case study of a poetic economics that is open to experiential knowledge, which makes it more humane, edifying, serene, and sensitive to the natural and social environment.