The Fama-French’s five-factor model relation with interest rates and macro variables

Innovations in variables describing future investment opportunities command a risk premium and are correlated with Fama-French factors. As showed in literature, shocks to the aggregate dividend yield and term spread, default spread, and one-month T-bill rate are proxies for HML and SMB factors. However, in the context of five-factor model, they cannot explain RMW. As CPI is related to operational profitability, and so does RMW, we include its unanticipated shocks in the set of macro variables and factors to help explaining the cross section of returns. In the presence of CPI, RMW loses its explanatory power, and, combined with term structure’s slope innovations, all Fama-French factors lose their explanatory ability and the pricing errors become statistically close to zero. We show that for US data, inflation’s innovations not only proxy for RMW, but a model including only excess market returns, shocks to CPI and term structure’s slope explain the cross section of average returns better than innovations to the previous literature’s four-variable set and Fama-French five-factor model.     

促进区域科技创新的财税激励机制探讨——以天津滨海新区为例

科技创新对区域经济的发展具有强大的支撑和引领作用,加强区域创新体系的建设,已成为推动我国区域经济发展的重要举措。而国家财税激励机制的健全和完善,是促进区域科技创新的有效手段之一。本文以天津滨海新区为例,阐述了财税政策激励区域科技创新的作用机理,分析了滨海新区科技创新的现状与区域经济发展的态势,提出了完善财税激励机制,促进区域科技创新与持续发展的建议。     

不完全契约视角下的工程设计创新风险分担研究

现阶段,我国工程设计通常采用标准设计,因为设计创新会带来一定的风险。在没有激励机制的制度保障下,设计单位往往在设计过程中采取规避风险的标准设计,这在现实生活中产生了一定的不利影响,也没有达到节能减排、低碳发展、保护环境的要求。本文通过对设计创新风险分担问题进行深入研究,旨在建立一种激励设计单位进行设计创新的机制,从根本上减少设计单位进行设计创新时可能遇到的损失。     

Variable selection and functional form uncertainty in cross-country growth regressions

Regression analyses of cross-country economic growth data are complicated by two main forms of model uncertainty: the uncertainty in selecting explanatory variables and the uncertainty in specifying the functional form of the regression function. Most discussions in the literature address these problems independently, yet a joint treatment is essential. We present a new framework that makes such a joint treatment possible, using flexible nonlinear models specified by Gaussian process priors and addressing the variable selection problem by means of Bayesian model averaging. Using this framework, we extend the linear model to allow for parameter heterogeneity of the type suggested by new growth theory, while taking into account the uncertainty in selecting explanatory variables. Controlling for variable selection uncertainty, we confirm the evidence in favor of parameter heterogeneity presented in several earlier studies. However, controlling for functional form uncertainty, we find that the effects of many of the explanatory variables identified in the literature are not robust across countries and variable selections.     

Inter‐firm R&D collaborations and green innovation value: The role of family firms' involvement and the moderating effects of proximity dimensions

The present paper investigates the relationship between the involvement of family firms in R&D collaborations aimed at developing green solutions and the value of resulting innovations. To dig into this relationship, the moderating effects of two proximity dimensions (i.e., geographical distance and technological relatedness) are also assessed. Analyses are based on a sample of 156 joint patents classified into the “Alternative energy production” field, as defined by the International Patent Classification Green Inventory and successfully filed at the United States Patent and Trademark Office in the period 1997–2010 by publicly listed companies. According to our conjectures, results reveal a positive relationship between the involvement of family firms and green innovation value. Moreover, our findings show that this relationship is hindered when partners are geographically distant or technologically proximate. Eventually, we contribute to the literature on green innovation by unveiling under which conditions inter‐firm R&D collaborations lead to more valuable innovations.     

Internal and External Antecedents of Process Innovation: A review and extension

Abstract

Innovation in public organizations is widely documented and has increasingly been the subject of empirical scrutiny. This article integrates the empirical evidence of the internal and external antecedents of process innovations in local governments and proposes directions for future research. The importance of the internal antecedents of organizational size, administrative capacity and organizational learning is uncovered using the meta-analytic support score method, but not in relation to external antecedents. Directions for further research are presented on the independent, joint and non-linear effects of antecedents on the adoption of innovation, and the implications of these arguments on the future study of innovation in local governments are considered from a structural contingency perspective.     

Household tenure choice and migration

A model of the joint tenure choice and migration decision is estimated. Unlike previous work that has considered each decision separately or examined the premigration tenure status choice jointly with the migration decision, this analysis addresses change in tenure status as well. The empirical findings indicate that variables often thought to affect either or both tenure status of the residence location change decision have offsetting or augmenting effects on their joint probabilities which are masked if the decisions are examined independently.     

Incentive Pay and Firm Performance: Moderating Roles of Procedural Justice Climate and Environmental Turbulence

In connection with the literature on strategic reward and agency theory, this study investigates the effects of incentive pay on employee outcomes and firm performance. We identify employee outcomes, such as commitment and competence, as mediating processes that explain the effects of incentive pay on firm performance. We further propose procedural justice climate and environmental turbulence as boundary conditions that determine the strength of the effects of incentive pay on employee outcomes. The research model is tested using multisource data collected at three time points over a five‐year period from 227 Korean companies. Our analysis confirmed that incentive pay enhanced employee commitment and competence, which, in turn, improved the operational and financial performances of firms. The effect of incentive pay on employee commitment was negative for firms with a low procedural justice climate, but positive for firms operated under a highly turbulent environment. By contrast, the effect of incentive pay on employee competence was positive only for firms operated under a stable environment. This study enriches the literature by presenting and validating plausible underlying mechanisms and boundary conditions under which strategic performance–contingent incentive pay affects firm performance. © 2015 Wiley Periodicals, Inc.     

Quasi-maximum likelihood estimation and testing for nonlinear models with endogenous explanatory variables

I propose a quasi-maximum likelihood framework for estimating nonlinear models with continuous or discrete endogenous explanatory variables. Joint and two-step estimation procedures are considered. The joint procedure is a quasi-limited information maximum likelihood procedure, as one or both of the log likelihoods may be misspecified. The two-step control function approach is computationally simple and leads to straightforward tests of endogeneity. In the case of discrete endogenous explanatory variables, I argue that the control function approach can be applied with generalized residuals to obtain average partial effects. I show how the results apply to nonlinear models for fractional and nonnegative responses.     

金融创新激励机制及其运用

在国际经济和金融一体化的浪潮中,金融创新作为金融机构追求利润最大化的一种手段其重要性是显而易见的。在这种背景下,探讨如何建立适应我国国情的金融创新激励机制显得尤为重要。本文旨在介绍激励金融创新的几种因素以及如何利用这些激励因素来促进我国的金融创新。     

Can breakthrough innovations serve the poor (bop) and create reputational (CSR) value? Indian case studies

Though radical and complex reengineered product innovations are not discussed much in either the ‘Corporate Social Responsibility’ (CSR) or the ‘Base of the Income Pyramid’ (BoP) literature, both support the premise that if an innovation serves the poor, then it will generate CSR gains. To test this assumption with respect to breakthrough technological innovations, the present paper proposes a theoretical construct and uses it to examine two innovations launched in India, namely genetically modified cotton seeds and a HIV/AIDS drugs cocktail. Because firms decide on innovation outlays to maximize profit without including an explicit CSR component, it develops indicators to examine if any involuntary CSR effort was embedded in the innovation strategy. It confirms that though firms do not invest in innovation to earn CSR credit, some breakthrough technological innovations, not all, can trigger CSR returns. There are tradeoffs between CSR effort and BoP innovation market value. Higher the consumer surplus generated by the innovation, better the bargaining position of the innovator vis-à-vis contestations. The windows of opportunity for generating BoP market value and CSR value are context specific. A robust business strategy rather than philanthropy is needed for breakthrough technological innovations to be marketed to BoP communities.     

Supply chain and logistics innovations with the Belt and Road Initiative

The Belt and Road Initiative (BRI) is a massive, ambitious, long-term project initiated by the Chinese government, with participation from many other countries, to facilitate trade and improve logistics in an effort to promote global economic development. In this paper, we identified the supply chain and logistics innovations linked to the BRI. These innovations include new routes and modes for global trade, new supply chain design, reduction of cross-border logistics frictions, and entrepreneurial development. Examples of some of these innovations are emerging, while new ones are being developed. These innovations can enable businesses to improve their operational performances and create economic value. At the same time, to realize the full potentials of BRI, new work processes and technologies, incentive alignment, collaborations among businesses, and optimized planning are needed. This provides great opportunities for researchers to explore how to overcome barriers and achieve the full values of BRI.     

Realizing innovation in services

This article describes a number of innovation forms that are of special relevance to firms in the service industry. Not only technological innovations but also organizational innovations have been distinguished. In the service industry organizational innovations seem to play a significant role. The literature on innovations makes little mention of new organizational arrangements in services. Based on the service management literature a scheme with three forms of organizational innovation and one form of technological innovation is developed. This scheme is illustrated and elaborated in ten case studies of firms in various service industries. The case studies shed some light on innovations in multi-unit forms, combinations of services and co-operation with customers. On a basis of the service management literature and the case studies some of the main processes supporting the (organizational) innovations are analysed.     

负激励理论:产生、模型分析与应用

激励机制包括正激励和负激励两种类型,当正激励由于边际效益递减作用不大时可以采取负激励。负激励的理论基础是行为修正理论,它利用人们对意外损失的关注大于对意外获得的心理规律降低企业激励成本。负激励既有正面效应也存在负面效应,负激励余弦曲线是阐释负激励的正负效应的一种数理工具。负激励在企业管理中的运用表现为风险薪酬制度、降薪降职制度和末位淘汰制度。     

Agglomeration in an innovative and differentiated industry with heterogeneous knowledge spillovers

This paper introduces an agent-based simulation model to study the technological development, the economic performance of firms and the evolution of agglomerations in a differentiated industry. The analysis is based on the interaction and behavior of firms, which might share knowledge but at the same time are competitors on the goods markets. Firms do not only compete with quantities they can also introduce process and product innovations. The level of knowledge of a firm describes the capabilities to perform innovations. Knowledge can be accumulated by investing in R&D and by knowledge spillover, which depend on geographical and technological proximity. Simulation runs show that there is an incentive to agglomerate in young industries and that geographical proximity enhances innovation, especially the number of product innovations.      

Boundary‐spanning search and firms' green innovation: The moderating role of resource orchestration capability

Building on resource‐based theory and resource orchestration theory, we investigate the impact of two characteristics of boundary‐spanning search, search breadth and search depth, on firms' exploitative and exploratory green innovations. We also examine the moderating role of resource orchestration capability. The results of data analysis from 186 manufacturing firms in China show that both search breadth and search depth have inverted U‐shaped relationships with exploitative and exploratory green innovations. Furthermore, resource orchestration capability is found to moderate the inverted U‐shaped relationship between boundary‐spanning search and green innovation. Specifically, with high resource orchestration capability, the inverted U‐shaped relationships of search breadth with exploitative and exploratory green innovations are flattened, whereas the relationships of search depth with exploitative and exploratory green innovations are almost linear. Our research contributes to the literature on green innovation by uncovering the complex effects of boundary‐spanning search on exploitative and exploratory green innovations.     

Incentives and revenue sharing in college football: Spreading the wealth or giving away the game?

The incentive mechanism literature is mostly theoretical since data limitations typically prohibit the testing of predictions. This paper offers an empirical study of the relationship between incentives and economic performance as applied to conference revenue sharing in college football. Revenue sharing acts as a disincentive to build a stronger team since the pecuniary rewards of team success are diminished if a team must share these rewards with conference opponents. This proposition is tested using data on team performance and revenue sharing rules in Division I-A college football. The results confirm the main theoretical proposition – conferences which share more, tend to be weaker.     

L‐moments skewness and kurtosis as measures of regional convergence and cohesion

The paper deals with the statistical modeling of convergence and cohesion over time with the use of kurtosis, skewness and L‐moments. Changes in the shape of the distribution related to the spatial allocation of socio‐economic phenomena are considered as an evidence of global shift, divergence or convergence. Cross‐sectional time‐series statistical modeling of variables of interest is to overpass the minors of econometric theoretical models of convergence and cohesion determinants. L‐moments perform much more stable and interpretable than classical measures. Empirical evidence of panel data proves that one pure pattern (global shift, polarization or cohesion) rarely exists and joint analysis is required.     

Supplier relationship-specific investments and the role of safeguards for supplier innovation sharing

The vast majority of the supplier innovation literature has focused on how buying firms can effectively “pull” innovations from their suppliers. Yet, we know remarkably little about the factors that contribute to a supplier voluntarily “pushing” innovations to its customers. The present study addresses this research gap in the context of industrial buyer–supplier relationships and with a specific focus on relationship-specific investments. Drawing on theory from the relationship-marketing literature and on transaction cost theory, we devise and test a proposed theoretical model that links the level of a supplier's relationship-specific investments to its sharing of innovative ideas regarding products and processes with customers. The model also considers the role of contract length, relationship age, and buyer–supplier cooperation as possible safeguards. The empirical results suggest that a supplier's relationship-specific investments encourage a supplier to suggest ideas of process innovations but to refrain from suggestions about product innovations. The latter effect, however, can be attenuated by appropriate formal and informal safeguards.     

Sustainable entrepreneurship,innovation, and business models: Integrative framework and propositions for future research

This article introduces the business models for sustainability innovation (BMfSI) framework to study how business models mediate between sustainability innovations and business cases for sustainability. The BMfSI framework integrates two major perspectives (implicitly) found in the sustainable business model literature. The first is the agency perspective. It takes into consideration that some form of agency is needed, that is, “someone” who takes decisions and acts. Sustainable entrepreneurs are discussed as those agents who align their new or existing business models with sustainability innovations in order to be successful in business and to create value with and for stakeholders. The second perspective is the systems perspective, which acknowledges that business models are always embedded within sociotechnical contexts through which, for example, public policies, private financing, or stakeholder interests influence whether and how business models can be developed. The agency and systems perspectives are integrated in the so‐called business model mediation space. This theoretical notion embraces the decisions and activities pursued by sustainable entrepreneurs as they align their business models with sustainability innovations on the one hand and the influence of environmental contingencies, barriers, and stakeholders from the sociotechnical context on the other hand. The paper concludes with propositions for future research derived from the BMfSI framework.