The Substitution Effect of Mobile Games on Console Games: An Empirical Analysis of the Japanese Video Game Industry

In this paper, we discuss the substitution effects between mobile games and console games. We estimate such effects by a fixed-effect regression with instrumental variables using panel data of about 100,000 observations. The results showed that the substitution effects of playing smart devices on 3DS, Wii, and PSP were recognizable, but did not have significant effects on PS3, and the substitution effects on PSP were very small. Therefore, mobile games had a substitution effect on casual console games, or on console games in which the play situation resembled mobile games. In addition, the substitution effects were at most about 0.1. The substitution effects were small. Our results indicate that mobile games represent the pioneers in the new market of gaming at least during our observation period. But new games and traditional games will coexist for a while.     

A Conceptual Framework for Understanding the Effects of Corporate Social Marketing on Consumer Behavior

This theoretical paper develops a conceptual framework that explains how companies can influence consumer behavior in terms of both social and business benefits through their corporate social marketing (CSM) initiatives. Drawing from the source credibility literature, the article asserts that the effectiveness of CSM depends largely on the corporate credibility of a company in supporting a social cause (“CSM credibility”). Based on this assertion, the framework identifies ten different antecedents of CSM credibility, which are organized into (1) attributes of the company, (2) attributes of the CSM initiative, and (3) attributes of the cause. Furthermore, this framework shows that CSM credibility affects the two examined consequences, intended prosocial behavior and consumer loyalty. Several research and managerial implications are developed based on the propositions specified in the framework.     

Effects of different dimensions of corporate social responsibility on corporate financial performance in tourism-related industries

Although the stakeholder framework proposes the multidimensionality of corporate social responsibility (CSR) (Clarkson, 1995), previous research has yet to investigate the relationship between certain dimensions of CSR and corporate financial performance (CFP) in tourism-related industries. The purpose of this study was to disaggregate CSR into five dimensions based on corporate voluntary activities for five primary stakeholder issues: (1) employee relations, (2) product quality, (3) community relations, (4) environmental issues, and (5) diversity issues, and examine how each dimension would affect financial performance among firms within four tourism-related industries (airline, casino, hotel, and restaurant). While all CSR dimensions were proposed to have positive financial effects, results revealed that each dimension had a differential effect on both short-term and future profitability and that such financial impacts varied across the four industries. The findings can provide tourism managers with insights into which dimensions of CSR activities would improve their companies’ financial performance.     

Response of double-auction markets to instantaneous Selling�CBuying signals with stochastic Bid�CAsk spread

Statistical properties of order-driven double-auction markets with Bid–Ask spread are investigated through the dynamical quantities such as response function. We first attempt to utilize the so-called Madhavan–Richardson–Roomans model (MRR for short) to simulate the stochastic process of the price-change in empirical data sets (say, EUR/JPY or USD/JPY exchange rates) in which the Bid–Ask spread fluctuates in time. We find that the MRR theory apparently fails to simulate so much as the qualitative behaviour (‘non-monotonic’ behaviour) of the response function R(l) (l denotes the difference of times at which the response function is evaluated) calculated from the data. Especially, we confirm that the stochastic nature of the Bid–Ask spread causes apparent deviations from a linear relationship between the R(l) and the auto-correlation function C(l), namely, R(l) μ -C(l){R(l) \propto -C(l)}. To make the microscopic model of double-auction markets having stochastic Bid–Ask spread, we use the minority game with a finite market history length and find numerically that appropriate extension of the game shows quite similar behaviour of the response function to the empirical evidence. We also reveal that the minority game modeling with the adaptive (‘annealed’) look-up table reproduces the non-linear relationship R(l) μ -f(C(l)){R(l) \propto -f(C(l))} (f(x) stands for a non-linear function leading to ‘λ-shapes’) more effectively than the fixed (‘quenched’) look-up table does.     

The Optimal Tariff Formula in a Two-Period Economy

The optimal tariff formula is derived for a large country trading both consumption goods and an investment good in a two-period economy. The formula greatly simplifies the results of the standard one-period economy where both consumption goods and real capital are traded with or without a non-traded good; in particular, the results do not depend on the relative intensities of the two goods.
JEL Classification Numbers: D11, F11, F34.     

Dynamic Patterns of Trade Imbalances with Recursive Preference

Based on the recursive preference approach, the dynamic and global properties of the two‐country open economy are examined with one good and inputs of labor and capital, with capital being freely traded internationally. First, by showing that the world's consumption increases (decreases) with an increase (decrease) in the world's capital, the global stability of the economy is obtained. Secondly, the nonmonotonicity of consumption between impatient country 1 and patient country 2 is established. Thirdly, with the Cobb–Douglas‐type production function and country 1's technological superiority, the dynamic trade patterns and the asset–debt position are derived.     

On the selection of forecasting models

It is standard in applied work to select forecasting models by ranking candidate models by their prediction mean squared error (PMSE) in simulated out-of-sample (SOOS) forecasts. Alternatively, forecast models may be selected using information criteria (IC). We compare the asymptotic and finite-sample properties of these methods in terms of their ability to mimimize the true out-of-sample PMSE, allowing for possible misspecification of the forecast models under consideration. We show that under suitable conditions the IC method will be consistent for the best approximating model among the candidate models. In contrast, under standard assumptions the SOOS method, whether based on recursive or rolling regressions, will select overparameterized models with positive probability, resulting in excessive finite-sample PMSEs.     

Technological innovation and diffusion of wind power in Japan

The purpose of this paper is to analyze the diffusion of wind power in Japan by focusing on the value chain and the interaction between technology and markets and to contribute towards recommendations on technology policy and management. This paper proposes a framework for analyzing the early stage diffusion of wind power systems by combining the use of several approaches considering wind power system as a complex technological system. Firstly, the business system approach is used as an analytical framework by focusing on efficiency, effectiveness and development criteria. As a second approach, the technological trajectory was analyzed based on the concept of technological disequilibrium and the evolutionary patterns of innovation of wind power generation systems were analyzed and the relationship between innovations at the sub-system, modular, and system level was identified. We apply the framework to investigate why wind power diffusion has not picked up momentum in Japan.The results include the following: (1) Technological imbalances within the product system were solved by technological innovation (2) The wind power business in Japan is insufficiently effective due to organizational disequilibrium (3) The technology system has begun to evolve in the direction of micro grid systems. (4) It is important to consider the demand-pull measures for wind power generation so that Japanese institution can have a “time slot” for ”learning by doing” to catch up and accelerate diffusion of wind power generation, including institutional reform of RPS law. Also further technological development related to stabilizing unstable wind energy is required.