An economic analysis of the EU Commission’s proposal for a new consumer credit directive

The debate on ratification or revision of the proposed new Consumer Credit Directive continues. The European Parliament neither rejected nor approved the Commission’s proposal at the plenary session on November 5, 2003. While the Commission insists on defending the merits of the proposal, the LAC Rapporteur Würmeling calls for a complete modification. This article is intended to serve as a navigation guide past the holes and obstacles on the winding ratification path.     

Common Ground, Complex Problems and Decision Making

Organisations increasingly have to deal with complex problems. They often use multidisciplinary teams to cope with such problems where different team members have different perspectives on the problem, different individual knowledge and skills, and different approaches on how to solve the problem. In order to solve those problems, team members have to share their existing knowledge and construct new knowledge. Theory suggests that negotiation of common ground can positively affect team decision making on the solution of complex problems, by facilitating knowledge sharing across perspectives. In a small scale study with student groups, external representations supported by a specific negotiation ontology were used to facilitate negotiation by encouraging participants to make their beliefs and values explicit. Results showed that the external representations supported clarifying contributions to group members and increased group participation in discussions.     

Fair-trade beliefs,attitudes and buying behaviour of Belgian consumers

• A survey of 858 Belgians (615 people drawn from the general public and 243 visitors to Oxfam World Shops), examined the knowledge, beliefs, attitudes and behaviour of consumers with respect to fair-trade issues. The results showed that the respondents' knowledge and attitudes generally supported the fair-trade concept. However, many of the people questioned believed that fair-trade organizations should provide more and better information on fair-trade products, especially in shops and on the items themselves. In addition, fair-trade products should be more readily available in regular supermarkets, and their price should be lowered. The most interesting socio-demographic target group for non-profit fair-trade organizations appears to be older people with higher education and income. Consumers from the south (French-speaking) part of Belgium in general have a more positive attitude towards fair trade.

Copyright © 2006 John Wiley & Sons, Ltd.     

Governing the coffee chain: The role of voluntary regulatory Systems

The coffee crisis has coincided with the emergence of a number of voluntary regulatory systems in the global coffee chain. The present article explores the advantages and limitations of such schemes, their impact on the chain’s governance, and their implications for farmers’ upgrading. We conclude that participation in these systems does not ensure a better economic performance, but it may facilitate coordination between roasters/traders and some growers, which may lead to upgrading opportunities. The paper also explores some possible options for deriving rents from improved coordination along the coffee chain.     

Perspective: New Service Development: How the Field Developed,Its Current Status and Recommendations for Moving the Field Forward

New service development (NSD) is a growing innovation discipline. Despite the growth of articles about NSD, several authors have criticized the lack of attention paid to NSD, compared with new product development (NPD), and the lack of consensus across NSD findings. At the same time, others have proclaimed that NSD is a sophisticated, mature field of research. This paper tries to resolve these issues by analyzing 230 empirical articles on NSD, published over a period of 30 years. It investigates the content of NSD research articles, the authors contributing to the field, and the research methodologies employed. It finds that, despite its growing popularity, the field has not moved forward substantively. NSD is a subject specialty but lacks an “invisible college” of researchers addressing the topic. This has resulted in a body of research that fails to provide managers with consistent answers to basic questions about how to most effectively manage NSD processes. One of the main causes for the lack of coherence in the knowledge on this topic may stem from the fact that, rather than initially approaching research in the domain without ingoing bias and using grounded theory approaches to create initial understanding, many of the early researchers applied the concepts, frameworks, and methods used to understand NPD to the NSD domain. To correct this problem, it is proposed that the field of NSD needs to move forward in a significantly different manner. This paper provides several recommendations for attracting more academics to the field, elevating the visibility and status of NSD as a research domain, and also presents a research agenda that may help reorient future research in this area so that a more complete and coherent body of knowledge is generated that both advances the field and helps practitioners manage NSD more effectively and efficiently.     

Exploring a theoretical framework to structure the public policy implications of open innovation

Open innovation is increasingly popular among practitioners and scholars, but its implications for public policy making have not yet been analysed in detail. This paper explores a theoretical framework to structure the debate about public policy making that facilitates open innovation. We first define open innovation in terms of firms’ open innovation practices and external conditions that encourage enterprises to practice open innovation. We show that policies for open innovation are legitimate as traditional arguments like market and system failures continue to apply. Next, we identify several guidelines for policymaking. Rather than just offering R&D and interaction-oriented policies, we conclude that open innovation warrants attention in a broader range of policy areas, including entrepreneurship, education, science, labour markets and competition. Developing truly horizontal policies is a major challenge to facilitate open innovation in developed economies.     

EURANDOM: a decade of European stochastics

Conception, founding, start-up and development of EURANDOM are described by Willem van Zwet, Frank den Hollander (former scientific directors of EURANDOM) and Wim Senden (former managing director of EURANDOM).     

Futures markets,price stabilization and efficient exploitation of exhaustible resources

Markets for natural resource futures contracts and cash forward contracts experience a rapid growth. According to theory, this should result in more efficient resource depletion, implying that price formation is more consistent with Hotelling's rule. The rationale of this stabilization effect is briefly discussed. Next, we analyze the impact of expanding futures markets on the behaviour of individual resource owners trading on the cash market. Using a simple pulse extraction model, we demonstrate that the expected time of depletion can shift to the present or the future, and that utility of exploitation can go up or down, as market prices are stabilized.     

Match Specific Gains to Marriage: A Random Effects Ordered Response Model

A random effects ordered response model is used to analyze individuallife satisfaction. It is found that a substantial part of the unexplained variance in theindividual's life satisfaction can be ascribed to the household or marriage. It is further found thatthe age variable should be considered as a random effect on life satisfaction, i.e., an effectthat varies between households.