Integration of financial and management accounting systems: The mediating influence of a consistent financial language on controllership effectiveness

Two fundamental options exist for management accounting system (MAS) design: Either financial records can be used as a database for management accounting (integrated accounting system design), or the MAS can be based upon a separate system, i.e., a third set of books beside financial and tax accounting records. Since the 1990s, many German-speaking firms have changed from the second to the first option, which has instigated a highly controversial debate.Our paper contributes to this debate by empirically analyzing (1) whether the integration of financial and management accounting has a positive impact on controllership effectiveness, and (2) what causal inferences relate both variables. We use structural equation modelling for a sample of 149 dyads surveyed from German top 1500 firms. We identify no significant effect of the technical aspects of MAS integration, but a fully mediating influence of a consistent financial language on controllership effectiveness. Our results thus imply that consistency with financial reporting is an important property of MAS design from management's point of view.     

Merchanting and Current Account Balances

Merchanting is goods trade that does not cross the border of the firm's country of residence. Merchanting grew strongly in the last decade in several European economies and has become an important determinant of these countries’ current account. Because merchanting firms reinvest their earnings abroad to expand their international activities, this practice raises national savings in the home country without increasing domestic investment. This paper examines the empirical linkages between merchanting and the current account balance. Using a sample of 53 countries during 1980–2011, it shows that merchanting activity is a determinant of the medium‐term current account balance.     

(When) Does Tit‐for‐tat Diplomacy in Trade Policy Pay Off?

In international relations, short‐run incentives for non‐cooperation often dominate. Yet, (external) institutions for enforcing cooperation are hampered by national sovereignty, supposedly strengthening the role of self‐enforcing mechanisms. This paper examines their scope with a focus on contingent protection aka tit‐for‐tat in trade policy. Highlighting various strategies in a partial equilibrium framework, we show that retaliation of non‐cooperative behaviour by limiting market access works as a disciplining device quite independently of supply and demand parameters. Our empirical findings are consistent with the theoretical results in that countries more frequently involved in WTO‐mediated disputes entailing tit‐for‐tat strategies pursue on average more liberal trade regimes.     

Breast cancer risk perceptions and breast cancer worry: what predicts what?

This longitudinal study explored the relationship between perceived breast cancer risk and worry. We measured both absolute and comparative risk perceptions, and also used the Gail algorithm to assess the accuracy of participants' risk perceptions. Three hundred and one women ages 40–75 participated in a two‐part study assessing how format of breast cancer risk presentation affected perceptions of risk. Relative to their Gail scores, women were biased pessimistically about their own absolute breast cancer risk and yet largely accurate about their comparative breast cancer risk. Perceived comparative risk, but not perceived absolute risk or biases in absolute or comparative risk, predicted subsequent worry. Worry predicted subsequent perceived absolute risk and biases in absolute and comparative risk. These results suggest that women's emotional reactions to breast cancer risk are based on accurate (unbiased) perceptions of their comparative risks. In turn, greater worry prompts a re‐evaluation of absolute risk as well as changes in risk biases. Implications for screening are discussed.     

Süchtige Sammler

Wohnungsdesorganisation bei Sucht - Chaotische Wohnverh?ltnisse lassen sich oft auf eine Suchterkrankung zurückführen. Dabei kann man einen deutlichen Unterschied zwischen Wohnungen von Menschen mit einer Kaufsucht und denen von Menschen mit psychischen St?rungen und Verhaltensst?rungen durch psychotrope Substanzen beobachten.     

Exploring the antecedents of social liabilities in CVC triads—A dynamic social network perspective

This study addresses the emergence of social liabilities by taking a social network perspective on intra- and interorganizational network configurations using the hitherto unexplored example of the corporate venture capital (CVC) triad (CVC unit, corporate business unit, and portfolio company). We investigate social capital and social liability resulting from network formation and transformation and assess their impact on interorganizational knowledge transfer and creation. Examining 12 CVC triads in Germany, we identify new antecedents of social liability, show that social capital can initially facilitate knowledge transfer and creation, and that structural and personal lock-ins may eventually turn that capital into a liability. We make key theoretical contributions to the social network and CVC literature.