Taxing Large Businesses: Cooperative Compliance in Action

Intereconomics - Cooperative compliance represents a shift in thinking for tax administrations, away from a deterrence approach where taxpayers are coerced to comply with tax rules and threatened...     

Where Do Financial Constraints Originate from? An Empirical Analysis of Adverse Selection and Moral Hazard in Capital Markets

Despite the voluminous and growing literature on financial constraints, the origins of the constraints are hardly ever empirically analyzed. This paper offers such an analysis. We study, in particular, the empirical prevalence of adverse selection and moral hazard in capital markets using a unique survey data on Finnish small and medium-sized enterprises (SMEs). The survey data suggest that adverse selection is empirically more prevalent than moral hazard in the capital markets that the SMEs face. We also find that of the variables indicating the presence of adverse selection and moral hazard, the former has more explanatory power in regressions modeling the availability of external finance to the SMEs than the latter. Finally, we document that our proxies for adverse selection and moral hazard are inversely related to the age of firms, just like Peter Diamond’s (1989) model predicts.     

The effect of cost management knowledge on the relationship between budgetary participation and managerial performance

This study investigates the relationship between budget participation (BP), cost management knowledge and managerial performance. It draws on relevant previous research in the theory of work performance and accounting to formulate the research questions. Eighty-three managers from Finnish companies participated in the study. Data were collected from the managers using a mail questionnaire. The results indicate that managers’ cost management knowledge, and especially the balanced perspective of cost management knowledge, moderates the effect of BP on self-perception of managerial performance. It was specifically found that the effect of BP on perceived managerial performance becomes more positive when managers’ cost management knowledge increases. High perception of managerial performance is obtained when both the BP and managers’ cost management knowledge are high. Our results suggest that organizations should improve the cost management knowledge of managers who participate in the budgeting process.     

On becoming a sociomaterial researcher: Exploring epistemological practices grounded in a relational,performative ontology

What is the role of the researcher in a world that is continuously enacted and reconfigured in sociomaterial practices, a world in which subject and object, structure and agency, body and mind, knower and known, are assumed to be ontologically inseparable? In this article, I explore this question by drawing on my own experiences of reconsidering essentialist and representationalist assumptions, and becoming a sociomaterial researcher. My exploration draws on my experiences of conducting a qualitative longitudinal case study at the Swedish Migration Board. Specifically, I show what it can mean to ‘invite materiality’ into interviews, examine the conditions of possibility to become in certain ways by tracing the genealogy of practices, and engage with data relationally rather than categorically. By accounting for my experience of working through these practices, I aim to develop and articulate an understanding of what the ontological position underlying a sociomaterial approach implies for epistemology, and of how we can act (or, rather, intra-act) more creatively and responsibly as sociomaterial researchers. Moreover, I highlight differences in the kinds of knowledge that a sociomaterial approach grounded in relational and performative onto-epistemologies, as opposed to a socio-material approach, grounded in critical realism, produce about the unfolding of organizational practices—specifically, the practices unfolding in the reception area of the Swedish Migration Board. The paper contributes to the current debate on sociomaterial approaches, and in particular to the development of practices available to draw upon for researchers taking a sociomaterial approach.     

More or less travel: personal mobility trends in the Swedish population focusing gender and cohort

This study explores mainstream trends and countertrends in the development of spatial mobility in the Swedish population. Tracing incipient change in travel behaviour is important for understanding the preconditions for social and environmental sustainability. We use data from the Swedish national travel surveys, conducted intermittently over almost 30 years (1978–2006), covering both daily and long-distance mobility. International travel is included for the last decade. With respect to mainstream trends, the results primarily concern the continuation of the spatial extension of overall mobility and of the motorization and individualization of travel modes, as well as an upward convergence between women’s and men’s mobility. When it comes to countertrends, substantial reductions in daily mobility and long-distance domestic travel are observed among the young.     

Working capital management in the automotive industry: Financial value chain analysis

Financial value chain analysis is used to examine working capital management by cycle times in the value chain of the automotive industry during 2006–2008. The applied method offers a holistic view of the value chain from raw materials to the end customers. The average cash conversion cycle of the value chain of the automotive industry was 67 days. According to the study, the change of cycle times of working capital followed mainly the change of cycle time of inventories. The position of the stages of the value chain measured by the cash conversion cycle did not change substantially from 2006 to 2008.     

New roles for end-users in innovative public procurement: case study on user engaging property procurement

Improving valued outcomes of public procurement lies in user and community co-production. Applying insight from network role theory, this case study tackles challenges faced by both procurer and supplier in interacting with diverse service end-users in various procurement situations. The findings are based on interview, participant observation, and documentation data from three innovative property procurement projects. We suggest four situation-specific roles end-users adopt: conventional, cooperative, collaborative, and controlling. The article reasserts the dispute of viewing end-user’s role only through interpretation of either private-sector consumer or public-sector citizen, while a mix of both views is needed.