Tax Impact on Corporate Income Remittances to and from Japan and the United States

This study examines the combined impact of bilateral tax treaties and domestic tax policies on corporate income remit- tances to and from Japan and thc United States. Thc study calculates the two-way flows of corporate reminanccs between these two coun- tries and 100 other countries. We find very significant differences in the tax treatment by these two countries across bolh remittance methods and countries. The study recommends that both govern- ments seek ways to promote greatcr worldwide uniformity in tax treatment of corporate income remittanccs.     

A View on the United States from Europe

The recent behaviour of the U.S. economy poses two conundrums: short-term interest rates are much lower than would normally be expected, and the yield curve is flat. These suggest to many European observers that U.S. economic prospects are not as rosy as often depicted. In particular, deficits in the federal budget and the current account are not sustainable in European eyes; and significant Fed tightening will be necessary, thus causing a significant deceleration of U.S. growth.JEL Classification E200,E600     

On the tax bias against investments in fixed assets: Empirical evidence from China

China's new Corporate Income Tax Law was passed in March 2007 and took effect on 1 January 2008. We take advantage of this tax law change and use a difference‐in‐differences approach to empirically estimate the impact of taxation on asset structure. Employing the Chinese Industrial Enterprises Database from 2002 to 2008 to implement the analysis, we find evidence suggesting the presence of tax bias against investments in fixed assets. We address two potential concerns about our analysis and argue that our conclusion is not China‐specific; it is a general lesson for modern finance theory that is portable to developed countries.     

Exporting and productivity in business services: Evidence from the United States

Does exporting make firms more productive, or do more productive firms choose to become exporters? This paper considers the link between exporting and productivity for a sample of firms in US business services. We find that larger, more productive firms are more likely to become exporters, but that these factors do not necessarily influence the extent of exporting. This conforms with previous literature that there is a self-selection effect into exporting. We then test for the effect of exporting on productivity levels after allowing for this selection effect. We model both the relationship between exporting and productivity, and a simultaneous relationship between export intensity and productivity after allowing for selection bias. In both cases we find an association, indicating that productivity is positively linked both to exporting and to increased exposure to international markets.     

International spillovers of knowledge and sectoral productivity growth: some evidence for Canada and the United States

This paper develops and tests a two-country model of a monopolistically competitive industry in which the production function shifts endogenously via national and international spillovers of knowledge. The basic version of this model implies that, in the long run, the growth rate of sectoral productivity is the same in each country. In support of this version, for a number of matched Canadian and US manufacturing industries, the paper finds that these two countries' rates of sectoral productivity growth tend to converge despite marked international differences in R and D.     

The Effects of Offshoring on Post‐displacement Wages: Evidence from the United States

This paper studies the effects of offshoring on post‐displacement wages using a large and nationally representative sample of US workers displaced from a manufacturing industry during the 1990s. The empirical results based on Mincerian regressions of individual re‐employment earnings on industry‐level offshoring proxies, show that the effects of offshoring on post‐displacement wages are negative, although not economically large. The preferred specifications suggest, in fact, that a one percentage point increase in offshoring in the pre‐displacement industry reduces earnings on the new job by approximately 0.3–0.6 per cent. These figures imply that the cumulative rise in offshoring over the sample period may have led to a drop of between US$110 and US$330 in the yearly re‐employment wages of US displaced workers. While the magnitude of the effect is largely independent of individual characteristics such as gender, age, occupation and educational level, it does depend on the duration of non‐employment and on workers’ industrial reallocation after displacement. In particular, the effects are relatively stronger for individuals who stay longer before finding a new job, as well as for those who leave the pre‐displacement industry after the job loss.     

The Prevalence of Nascent Entrepreneurs in the United States: Evidence from the Panel Study of Entrepreneurial Dynamics

The Panel Study of Entrepreneurial Dynamics (PSED) is a national longitudinal sample of 64,622 U.S. households that were contacted to find individuals who were actively engaged in starting new businesses. The PSED includes information on: the proportion and characteristics of the adult population involved in attempts to start new businesses, the kinds of activities nascent entrepreneurs undertake during the business startup process, and the proportion and characteristics of the start-up efforts that become infant firms. Prevalence rates for nascent entrepreneurs are reported by gender and ethnicity (whites, blacks and Hispanics) on such demographic variables as: age, education, household income, and urban context.     

中美消费者消费行为比较研究：以肯德基（KFC）为例

通过对中美两国大学生(n=795)的调查,测量和比较了两国年轻消费者对肯德基(KFC)的消费行为、品牌印象和重购意愿。相对美国被访者而言,中国被访者更愿意呆在肯德基餐厅里就餐,时间也更长;中国被访者对肯德基的正面印象更多;美国被访者对肯德基未来光顾的可能和满意之间的相关度高于中国被访者。     

Advertising Contribution to a Firm's Profit: Theory and Evidence from the Airline Industry in the United States

The author examined how to make advertising efficiency more effective in achieving the profit objective of a firm. The current study allowed profitability to be influenced by both multiple controllable efficiency factors (e.g., advertising efficiency and operations efficiency) and one uncontrollable environmental factor (i.e., growth timing). The results showed that advertising efficiency was most effective in driving up a publically-traded U.S. airline's profitability when the airline happened to grow its business later than average, whereas advertising efficiency was least effective when the firm ended up growing its business earlier than average. Also shown in the results was that drivers of profitability also included operations efficiency and growth timing.     

解析美国巨额贸易逆差形成的原因

随着近年来经济全球化进程的加快,美国出现了全球所独有的巨额贸易逆差,并呈现出不断扩大的趋势,分析其贸易逆差形成的原因具有十分重要的现实意义。本文结合当今全球贸易的新特点,重点分析了美国制造业商品贸易的变化,指出美国信息产业等诸多产业已经转移到新兴工业化国家,尤其是亚洲国家。这种全球性的产业转移和技术扩散引致美国制造业国际竞争力下降是其巨额贸易逆差形成和扩大的主要原因。     

The Role of Refund Expectations in Savings: Evidence from Volunteer Income Tax Preparation Programs in the United States

Millions of households in the United States receive federal income tax refunds annually, many for substantial amounts. Consumers can use the proceeds of income tax refunds for spending and saving, but tests of prior programs to encourage savings show low take‐up rates. This field study shows that the majority of tax filers make no estimate of their refund amount in advance, but that consumers who are able to estimate their refund in advance of completing their tax returns tend to be reasonably accurate in their estimates. Moreover, taxpayers who estimate their refunds before filing their taxes are more likely to save their refunds than those who do not. These results highlight the importance of expectations and planning with respect to savings decisions.     

The effects of market orientation on subsidiary performance: Empirical evidence from MNCs in Turkey

Much scholarly work has been devoted to studying the performance implications of market orientation. This study examines the direct and indirect effects of market orientation on financial performance of the subsidiaries of MNCs located in Turkey. The findings indicate that a market orientation affects financial performance of MNC subsidiaries that operate in diverse and complex economic, cultural, and political environments of the Middle East. Moreover, authors demonstrate that the customer-related mechanisms (customer satisfaction and retention) mediate the market orientation–performance relationship. The paper also discusses the theoretical and practical implications of study findings.     

Cuba: A comparison of work values on Castro's Island with those in the United States

In this empirical study of work values differences between Cuba and the United States, the data reveal findings that confirm the expectations of the conventional wisdom on individualism for a comparison between a Latin culture‐communist system and an Anglo culture‐capitalist system. However, the study findings for collectivism defy this conventional wisdom. Given the dearth of empirical research on Cuba for 50‐plus years, this study should serve as a starting point for subsequent investigation of Cuban work values. Additionally, it should provide preliminary information on the Cuban work attitudes and behaviors for U.S. business interested in engaging in commerce in postembargo Cuba. © 2007 Wiley Periodicals, Inc.     

The Social Norms of Tax Compliance: Evidence from Australia,Singapore, and the United States

Tax compliance is a concern to governments around the world. Prior research (Alm, J. and I. Sanchez: 1995, KYKLOS 48, 3–19) has attributed unexplained inter-country differences in compliance rates to differences in social norms. Economics researchers studying tax compliance in the United States (U.S.) (see for example J. Andreoni et al.: 1998, Journal of Economic Literature 36, 818–860) have called for more attention to social (as opposed to economic) influences on tax compliance. In this study, we extend this prior research by explicitly examining the role of social norms [Cialdini, R. and M. Trost: 1998, The Handbook of Social Psychology (Oxford University Press, New York)] on tax compliance in three different countries. We test our research hypotheses using a hypothetical compliance scenario, which was administered in Australia, Singapore, and the U.S. There were differences in compliance rates and social norms among the three countries. Factor analysis of the social norm questions identified three distinct social norm constructs. Two of these factors were significant in explaining tax compliance behavior. The first and most influential factor was taxpayers’ own personal moral beliefs, along with the beliefs of those close to them (e.g., friends and important others). The second significant factor represented societal views of proper behavior. We conclude that social norms help to explain tax compliance intentions and why tax compliance rates are higher than would be predicted by strictly economic models. Donna D. Bobek is an Associate Professor in the Kenneth G. Dixon School of Accounting at the University of Central Florida. Her research focuses on taxpayer and tax professional judgment and decision-making, with an emphasis on ethical decision-making. Donna has published in a number of academic journals including Accounting, Organizations & Society, Behavioral Research in Accounting, the Journal of the American Taxation Association, Advances in Taxation and Advances in Behavioral Accounting Research. John T. Sweeney is the Ted Saldin Distinguished Professor of Accounting and the Chair of the Department of Accounting at Washington State University. His research interests include accounting ethics and organizational justice. He has published in a number of accounting research journals, including Accounting, Organizations, & Society, The Accounting Review, Behavioral Research in Accounting, the Journal of Accounting & Public Policy, the Journal of Business Ethics, and Research on Accounting Ethics. Robin W. Roberts is the Al and Nancy Burnett Eminent Scholar and Director of the Kenneth G. Dixon School of Accounting at the University of Central Florida. His recent research focuses on ethics and regulation in the accounting profession and on corporate social responsibility. Robin has published in a number of academic journals including Accounting and the Public Interest, Accounting, Organizations & Society, Advances in Accounting, Auditing: A Journal of Practice & Theory, Critical Perspectives on Accounting, Journal of Accounting and Public Policy, Journal of Accounting Research, Journal of Business Ethics, Public Budgeting, Accounting & Financial Management, and Research in Governmental and Nonprofit Accounting.     

The effects of eWOM characteristics on consumer ratings: evidence from TripAdvisor.com

Abstract

Given the rise of online review communities, the management of consumer ratings has gained much attention in the recent years. In this study, we use data from Tripadvisor.com and examine the number of stars that a review receives. Specifically, we address how a star rating is determined by the components in the focal review as well as the preceding reviews of other consumers. Our qualitative and quantitative analyses provide interesting findings as follows. A star rating has a positive relationship with the focal review’s valence. That is, the more positive a review is, the greater number of stars a review receives. The reviews of other consumers also play a role in determining a star rating of the focal review suggesting social influence among consumers. Interestingly, a review with lengthy content leads to a lower star rating only when using smartphones. We conclude with theoretical and managerial implications.     

The Dual Legality of Marijuana in the United States: Implications of Conflicting Government Policies on Consumer Well-being

Academics have recently become interested in the process by which socially controversial behaviors or practices (i.e., gambling, cosmetic procedures, drug use) become acceptable or legitimate. This article examines the “dual legality” of marijuana and its impact on consumer-related hazards through the lens of current legislation and extant literature. Simply stated, what are the implications of conflicting government policies for consumers' well-being? The intended contributions of this work are to offer significant insights into an issue of current topical and public policy importance for consumers' interests. Importantly, this work will serve as a foundation for future research on this unique product in its implications for consumers who are fundamentally altering the way in which a product is viewed and regulated.     

The effect of investor origin on firm performance: Domestic and foreign direct investment in the United States

This paper evaluates the causal relationship between the source of origin of FDI and the performance of the target firm. The empirical analysis uses new data on a comprehensive sample of public U.S. firms that received FDI between 1979 and 2006. To account for the possibility that performance differences arise due to the selection of superior target firm rather than the change in ownership, I use propensity score matching to create similar comparison groups of target firms prior to acquisitions. The analysis reveals three major findings. First, acquiring firms from industrialized countries lead to labor productivity increases of 13% in the target firm three years after the acquisition compared to targets acquired by domestic firms. Firms that received developing country firm acquisitions, on the other hand, exhibit lower labor productivity gains four years after acquisition, compared to targets acquired by domestic firms. Second, targets receiving FDI by firms from industrial and developing countries also experience increases in profits, compared with firms receiving acquisition by domestic firms from the United States. Third, compared with domestic acquisitions, foreign industrial firm acquisition FDI tends to increase their targets' employment and sales, whereas targets acquired by firms located in developing countries experience a decrease in both revenues and total number of employees. These findings suggest that target firms are subject to significantly different restructuring processes depending on the origin of the acquiring firm.     

Measuring Corporate Citizenship in Two Countries: The Case of the United States and France

Based on an extensive review of the literature and field surveys, the paper proposes a conceptualization and operationalization of corporate citizenship meaningful in two countries: the United States and France. A survey of 210 American and 120 French managers provides support for the proposed definition of corporate citizenship as a construct including the four correlated factors of economic, legal, ethical, and discretionary citizenship. The managerial implications of the research and directions for future research are discussed.     

Electronic Word-of-Mouth in Social Networking Sites: A Cross-Cultural Study of the United States and China

ABSTRACT

Understanding electronic word-of-mouth (eWOM) in social networking sites (SNSs) is crucial as consumers have potential to reach global audiences quickly and easily. This article presents the first cross-cultural study on eWOM in SNSs by examining social relationship variables between the United States and China. Specifically, social capital, tie strength, trust, and interpersonal influence were examined as potential predictors of eWOM communication in the emerging online social channels. The results suggest that national culture plays a significant factor that affects consumers’ engagement in eWOM in SNSs in the two countries. Theoretical and managerial implications for global Internet marketers were presented and discussed.     

Is foreign direct investment a channel of knowledge spillovers? Evidence from Japan's FDI in the United States

Recent empirical work has examined the extent to which international trade fosters international “spillovers” of technological information. FDI is an alternate, potentially equally important channel for the mediation of such knowledge spillovers. I introduce a framework for measuring international knowledge spillovers at the firm level, and I use this framework to directly test the hypothesis that FDI is a channel of knowledge spillovers for Japanese multinationals undertaking direct investments in the United States. Using an original firm-level panel data set on Japanese firms' FDI and innovative activity, I find evidence that FDI increases the flow of knowledge spillovers both from and to the investing Japanese firms.