Risk preference heterogeneity in group contests

We analyze the first model of a group contest with players that are heterogeneous in their risk preferences. In our model, individuals’ preferences are represented by a utility function exhibiting a generalized form of constant absolute risk aversion, allowing us to consider any combination of risk-averse, risk-neutral, and risk-loving players. We begin by proving equilibrium existence and uniqueness under both linear and convex investment costs. Then, we explore how the sorting of a compatible set of players by their risk attitudes into competing groups affects aggregate investment. With linear costs, a balanced sorting (i.e., minimizing the variance in risk attitudes across groups) always produces an aggregate investment level that is at least as high as an unbalanced sorting (i.e., maximizing the variance in risk attitudes across groups). Under convex costs, however, identifying which sorting is optimal is more nuanced and depends on preference and cost parameters.     

Whose village? Stakeholder interests in the urban renewal of Hubei old village in Shenzhen

This article examines the urban regeneration process of Hubei old village in Shenzen, and focuses on interest sharing among stakeholders. Urban regeneration processes are driven by the decreasing availability of construction land in Shenzhen’s city centre due to rapid urbanization and an unplanned, overcrowded urban core. The solution accepted by most stakeholders, i.e., local government, private developers, and urban villagers, is to generate land revenue through the demolition of urban villages like Hubei old village, thus clearing way for Shenzen’s urban development and transformation. However, tenants and small business operators do not benefit from the rising land and property value, and thus do not share the interests of other stakeholders. A further complication to Shenzen’s urban regeneration process is added by those who do not live in Hubei old village but have vocally fought to preserve its architectural heritage. By examining the urban regeneration process of Hubei old village in Shenzhen, this article provides a case study of the complex dynamics of the Hubei urban regeneration program and participatory planning process, taking as a starting point a question posed by an urban villager during an interview: “whose village?”, i.e., who has the right to make decisions on behalf of the urban village?     

Accounting for diverse risk attitudes in measures of risk perceptions: A case study of climate change risk for small-scale citrus farmers in Indonesia

Climate change is likely to generate severe impacts on smallholder farmers in developing countries. As key drivers of adaptation, climate risk perceptions are highly heterogeneous, varying both across people and context, and are complex, being defined as behaviour which varies across both impact and likelihood dimensions in non-linear ways. Yet most studies examining risk perceptions are unable to disentangle the role of perceptions regarding impacts from those regarding the likelihood of climate-related events taking place. This paper presents a decomposition and associated analysis of survey-based ‘risk perception’ measures. The decomposition we apply allows independent accounting for perceptions over frequencies and impacts linking to behavioural patterns of risk attitude. The approach presented here draws on a detailed 2017 survey of 500 farmers in rural Indonesia to generate insights into the relationship between risk perceptions and extension services, accessibility of information, and other factors. Results show that risk perceptions are generated from complex interaction between perceived future frequencies and outcomes of climate events and indicate differential impacts of extension services across these perceptions. This paper also presents empirical support for the use of information and communication technology based extension as an efficient extension tool to reach more farmers than in traditional methods.     

The trade-offs between economic efficiency and job creation in olive grove smallholdings

Cooperation among farmers is an effective alternative to reduce production costs in smallholdings of traditional olive groves and increase their low profitability. However, an increase in efficiency reduces working hours and the labour required for the management of farms. This fact can lead to negative effects in rural areas, especially considering the importance of the social aspect of the crop. Therefore, to contribute to the global discussion on the transition towards more sustainable farming, it is important to know, ex ante, what level of employment is generated by olive groves and what could be lost under more competitive and efficient scenarios. The purpose of the work is to quantify the expected impact on employment by the implementation of cooperative management methods in order to generate true and accurate information that can be used in the design of future policies that aim to increase the economic profitability of small olive farms. The results make clear that this way of managing farms, by increasing the efficiency of agricultural work, has a significant negative impact on employment. However, this management formula does encourage the professionalisation of the sector by generating quality employment, in addition to contributing to the preservation of small farms and the socio-cultural and territorial benefits they generate.     

Is the environment‐friendly factor attractive to customers when purchasing electric vehicles? Evidence from South Korea

In a bid to reduce greenhouse gas emissions, several countries worldwide are implementing policies to promote electric vehicles (EVs). However, contrary to expectations, the diffusion speed of EVs has been rather slow in South Korea. This study analyzes consumer preferences for the technological and environmental attributes of EVs and derives policy and environmental implications to promote market diffusion of EVs in South Korea. We conduct a choice‐based conjoint survey of 1,008 consumers in South Korea and estimate the consumer utility function using a mixed logit model considering consumer heterogeneity. Based on the consumer utility function, we analyze consumers' willingness‐to‐pay (WTP) for EV attributes such as driving range, charging method, charging time, autonomous driving function, carbon dioxide (CO₂) reduction rate, and purchase price. The results indicate that the current low acceptance of EVs is due to their relatively high price and lack of a battery charging technology that satisfies consumers' expectations of the charging method and time. One interesting finding is that Korean consumers have a relatively higher WTP for the CO₂ reduction rate of EVs than consumers in other countries; however, they do not consider CO₂ reduction over other technological attributes when choosing EVs. This implies that the rate of CO₂ reduction of EVs is not an important factor for South Korean consumers when buying EVs. We also calculate the effect of CO₂ reduction with the market penetration of EVs and find that CO₂ reduction through the diffusion of EVs depends on the country's electricity generation mix.     

数字偏好、尾数定价与线上非对称价格黏性

文章基于京东、苏宁、国美、天猫四家电商经营的六大类家电的价格数据，分析了数字偏好、尾数定价对中国线上市场价格黏性的非对称性的影响效应。研究发现，中国线上市场确实存在明显的数字偏好现象，具体有数字“0”“8”“9”，其中数字“9”为最受欢迎的尾数。基于Logit模型进一步发现：数字“0”“8”“9”对于产品价格变化存在非对称的影响作用；随着数字“0”“8”“9”结尾的位数越多，其阻碍价格变化的能力越强，非对称的影响作用也越加明显；若产品价格提高，以偏好数字结尾会显著降低价格变化的可能性；节日效应会显著削弱由偏好尾数给价格变化带来的负向阻碍作用，甚至成为加快价格上涨的一个重要因素。     

Bringing back Thrift Week: Neo-liberalism and the rediscovery of thrift

The paper examines and compares the movements for promoting working-class savings in the modern USA and in Great Britain in the 19th century. It explores the use of savings as a technology for managing individuals’ behaviour and motives and the nature of the government objectives which are served by these parallel projects.     

Adapting financial rationality: Is a new paradigm emerging?

We discuss the implications of an alternative to the efficient market hypothesis (EMH) the adaptive market hypothesis (AMH). The AMH advances a theoretical basis for a new financial paradigm which can better model such phenomena as the recent financial crisis. The AMH regards the financial market order as evolving, tentative and defined by creative destruction in which trading strategies are introduced, mutate to survive, or face abandonment. The concept of investor rationality is less helpful than the distinction between investment strategies which are more or less well adapted to the prevailing market environment. We outline how a more systematic and grounded basis for behavioural finance can be developed in line with the latter approach. Based on this we develop testable hypotheses allowing the AMH to be distinguished from the EMH. Finally, we discuss how the AMH can aid our understanding of important issues in finance. A central insight is that in the survival of richest, as opposed to fittest, implied by the AMH there is much room for misallocation of resources as price and value uncouple. In this shifting financial market order the regulatory State features as a further market in which the vote market verifies or disrupts market conditions.     

快速城镇化进程中保障失地农民就业的政府角色定位--基于罗尔斯的正义原则分析

失地农民这个特殊群体是伴随我国快速城镇化的发展政策产生的,保障这个群体的就业,使这个社会“最不利者”群体享有自由和平等,政府理应充当重要的角色。本文基于罗尔斯正义原则的启示,从公平时序性角度出发,认为政府对失地农民应充当三种角色,即起点公平的支持者、过程公平的引导者和协调者、结果公平的保障者。     

Engineering Hedonic Attributes to Generate Perceptions of Luxury: Consumer Perception of an Everyday Sound

For the last twenty years, the perception of hedonic attributes has been a problematic matter in consumer research. We argue that the perception of a hedonic product attribute should not be considered as an irreducible holistic experience, but rather as a complex set of sensory experiences, the components of which are identifiable and quantifiable. We provide evidence for this position by proposing a reliable method linking the features of product-related sound stimuli to consumer perception of hedonic attributes. To our knowledge, this study is the first of its kind offering a detailed investigation of consumer perception of everyday sounds (as opposed to music). We discuss managerial and consumer-level implications of the findings and provide an agenda for future research.