How the Rapid Development of VoIP Technologies Affects Consumer Welfare and the Market

Abstract

The impact of Voice over Internet Protocol (VoIP) growth on other telecommunication services, such as landlines and mobile telephony, has gained significant interest in Korea recently. An emerging alternative to landline telecommunications, VoIP is experiencing explosive growth in demand and is providing significant economic utility to consumers. The rapid growth of smart phones has also created a considerable amount of controversy regarding the potential impact of VoIP on the mobile phone market. This study provides quantitative estimations of consumer surplus for landline, mobile and VoIP services in the Korean telecommunications market using monthly call data from January of 2006 to June of 2009, a period when VoIP services grew rapidly. Empirical analyses are conducted to estimate consumer surplus based on the demand functions of each telecommunication service. Additional analyses are conducted on consumer surplus change as well. Policy implications for the rapid growth of VoIP and its impact on consumer surplus change are also discussed.     

Emotions,trading practices and communication in transnational itinerant trade: encounters between ‘Rucksack Russians’ and their customers in the late nineteenth- and early twentieth-century Finland

ABSTRACT

This article examines relations between ‘Rucksack Russians’, itinerant traders from Russian Karelia, and their local customers in late nineteenth- and early twentieth-century rural Finland. Finland was a part of the Russian Empire, but, according to Finnish law, itinerant trade was illegal for people without citizenship rights in the Grand Duchy. The trade was, thus, illicit, although often seen through the fingers. We study trader–customer relations through emotions, trading practices and communication, with a special focus on the consumption of women. We argue that analysing the relations from these perspectives deepens the understanding of the functions of itinerant trade for the shaping of a consumer society. For access to a consumer perspective, we use ethnographic questionnaires, a source type that historians have acknowledged only in recent decades. The questionnaires complement and nuance the predominantly negative attitudes towards itinerant trade conveyed in the newspapers, which mainly represent the viewpoints of the authorities and local merchants. Through the theoretical perspectives and through shifting focus from the consumption of the elite to that of that of the lower strata of society, the article offers a fresh take on such aspects of trader–consumer relations that previous historical research on itinerant trade has overlooked.     

Women's opportunities in Swedish society

Abstract

Research in economic history has been accompanied by rapidly developing research in social history. Demographic history, the family and social change, together with popular movements, have been taken up as objects of study. The three Swedish studies discussed here arise from projects in these fields. The studies of Sten Carlsson and Kerstin Moberg form part of projects in the Department of History at the University of Uppsala on ‘the family in demographic and social change in Sweden after 1800’ and on ‘functions of the class society: popular movements’. Gunhild Kyle's study is part of a project in the Department of History at the University of Gothenburg on ‘women in industrial society’.     

Espen Moe,Governance, Growth and Global Leadership: The Role of the State in Technological Progress, 1750–2000

Abstract

The concept of the ‘dissolution of estate society’ (standssamfunnets opplesning) has not been much used in Norwegian historical research. The great process of social change which took place in the 19th century, the main features of which have their counterparts in the social development of the other Scandinavian countries, has been discussed within other conceptual contexts. Norwegian historians have often stressed the contrast between an urban society and an agricultural society based on self-sufficiency, or between the people and their administrators. In economic history the changes which came with industrialization, and the shift from an agricultural economy based on self-sufficiency to an agricultural economy based on buying and selling, have been the subject of much research. In social and political history the subjects which have aroused the greatest interest have been the struggles of the farmers as well against the bureaucracy as against the commercial capitalism of the towns, and the role of the farmers in the movement towards political democracy.     

Opposing Prêt-à-Porter: Mills,Guilds and Government on Ready-made Clothing in Early Nineteenth-Century Stockholm

Abstract

This article discusses how economic thought constituted an institutional obstacle to the development of a consumer society in Sweden, during the decades around the year 1800, with reference to the production and distribution of ready-made clothing. The analysis is based on the discussions sparked by the Stockholm Tailor's Guild's repeated applications for permission to open a ‘clothes warehouse’. The article examines the positions taken by the different actors on the local arena and on the state level. It argues that although rivalry over the local market and conflicts between different corporate bodies did play a role, the decisive factor in deciding the question was the role and position of the Swedish textile industry. Appeals to what was beneficial and of practical use to Stockholm inhabitants were countered by warnings of increased smuggling and weakened control over the quality of industrial and craft products, as well as arguments concerning the optimal uses of the country's workforce. Thus, an apparently simple application for permission to sew clothes together, and then sell them, developed into a discussion of the entire basis of Swedish society's economic structure.     

Catastrophic Shocks and Capital Markets: A Comparative Analysis by Disaster and Sector

Abstract

This paper provides an analysis of the impact of natural, industrial and terrorist disasters on the Australian capital market using the Box and Tiao intervention analysis and the data on daily returns in the following 10 market sectors: consumer discretionary, consumer staples, energy, financial, healthcare, industrial, information technology, materials, telecommunication services and utilities. Inter alia, it was found that the shocks provided by natural disasters have an influence on market sector returns, depending upon the sector in question. The sectors most sensitive to disasters of any type are the consumer discretionary, financial services and materials sectors while the most significant single event during the past 8 years would appear to be the September 11 terrorist attack, at least in terms of its impact upon the capital market.     

Revising price history: consumer price index for Norway 1492–2018

ABSTRACT

The paper presents a new combined annual cost of living and consumer price index for Norway covering 1492–2018, indicating that Norwegian price history has to be revised. The new historical price index is constructed on a significantly richer data material, which also makes it cover a longer period of price history than the existing one. This is made possible by the compilation of quantitative data from numerous sources, mostly originating from the eighteenth, nineteenth and early twentieth centuries, with grain prices stretching back to 1492. The new combined cost of living and consumer price index is constructed by a Laspeyres approach with shifting baskets for commodities and expenditure groups.

The index makes it possible to follow annual inflation and deflation in Norway for a period of 526 years. When comparing to existing indices, the new series reveals that revisions are needed in Norwegian price history. These make the historical price development more in line with those of the neighbouring countries and more in line with the pattern of wholesale prices.     

Heterogeneity in the persistence of relative prices: What do the Japanese cities tell us?

This paper employs diverse measures of persistence to analyze the convergence speed of intercity relative prices in Japan using consumer price subindices during 1970–2002. Regardless of the persistence measures, the median estimated half-lives are found to be less than two years in the vast majority of CPI items considered, which is compatible with economic models based on price rigidities. However, there exists a large heterogeneity in the persistence not just between tradable and nontradable items as is widely known, but within the categories of tradables or nontradables. The heterogeneity is substantive across cities in each CPI item as well. Our findings are robust to a subsample analysis though it points toward a presence of structural change around 1985. We conjecture that the extent of heterogeneity across CPI items is linked to the degree of tradability and market structure, while physical distance and relative city size may play some roles in the heterogeneity across cities. J. Japanese Int. Economies 21 (2) (2007) 260–286.     

The non-globalisation of modern food retailing: the case of the failed Coop Norden merger

ABSTRACT

By discussing the creation and subsequent failure of Coop Norden, set up by the Scandinavian consumer co-operatives in 2002 as a common wholesale and food retail enterprise, this article provides insights into the nature of the Scandinavian food retail sector and co-operative enterprises in an era of globalisation. The article combines recent research on the globalisation of retailing with the academic literature on the economic position and development of consumer co-operative enterprises. The article concludes that the failure of Coop Norden can be seen as the natural consequence of two inherent problems: 1. A flawed vision among co-operative managers on how globalisation would impact retailing and 2. A misalignment between Danish, Norwegian and Swedish co-operative agendas. The article is based on comprehensive studies of the internal co-operative archives in Denmark and Norway.     

A Durable Replacement Model for Symbolic versus Utilitarian Consumption: An Integrated Cultural and Socio-economic Perspective

Abstract

The accumulated knowledge on durable consumption has traditionally been premised upon identifying personal factors (e.g. demographics or psychographics) underlying the purchase decision. On a broader scope, however, consumer behavior is shaped by cultural and social factors, and our understanding would be incomplete without these considerations. To this end, this study sets out to provide an integrative framework on durable consumption. Specifically, the proposed framework explores whether cultural differences do exist in the perception of a selected durable (e.g. automobile) on the symbolic/utilitarian dimension, which in turn, may affect the length of the replacement cycle, likelihood of upgrading to a higher status model, as well as, inertia towards remaining within the same product-type in the category (e.g. sedan, SUV, minivan, pickup truck). Applying a multinomial logit model to Korean and US automobile transaction data, the finding reveal that Korean consumers tend to have shorter replacement cycles, engage in more upgrades but are less likely to change the product-type than American consumers. Considerations of cultural and socio-economic factors as key drivers of the differences in perception and behavior are put forward. Managerial implications and directions for future research are also discussed.     

Skandinaviska Banken i del svenska bankväsendets historia 1914 –1939

Abstract

In analyses of the prerequisites of the industrial revolution in Europe, interest during recent times has centred to a large extent upon proto-industrialisation, or the period of industrial growth in agrarian society prior to the modern industrialisation of the nineteenth century. It has been claimed that the development of industry in agrarian society was significant because it created industrial employment, capitalistic social relationships with wage-paid labour and capital accumulation, and inter-regional markets.¹ In this way proto-industrialisation prepared the ground for the west European industrial revolution, creating conditions crucially different, for example, from the ones prevailing in those underdeveloped countries which sought in vain to achieve industrialisation during the twentieth century.²     

Food,fare and nutrition some reflections on the historical development of food consumption

Abstract

Cajsa Warg's old maxim ‘One eats what there is’ — apparently self-explanatory in its simplicity — has a different significance for the understanding of the historical development of food consumption and diet from what might be expected at first glance. The absolute food surplus which industrial and post-industrial society has generated during the last century has helped to conceal certain essential links between food consumption and more general economic and social development in fare-industrial society which was not characterised by self-generating and constantly increasing growth. The assumption of food scarcity in former times, allied to a paucity of research in this field, has among other things conjured up an image of a continual improvement and increase in food consumption coupled with the massive rise in productive capacity during the most recent centuries.     

Investment in Finland, 1860–1979

Abstract

Before the First World War, Finland was clearly an agrarian developing country. Following international models, the beginnings of new manufacturing based on machine technology had been introduced to complement traditional iron manufacturing, miscelleaneous handicraft production of consumer goods and sawmills driven by water-power. Between the two world wars the newly independent country developed its wood and paper manufacturing energetically, thus attempting to secure a foothold in western markets. Owing to favourable development in agriculture and forestry, home-market industry gained considerable strength. Agriculture still accounted for over a third of total production and employed approximately one half of the labour force.     

Consumption,Credit, and Macroeconomic Policies: Theory and Evidence from the United States

Abstract

The paper examines determinants of private consumption in the USA. The empirical model includes disposable income, the University of Michigan consumer sentiment index, the interest rate, and the real effective exchange rate. Anticipated movements in these determinants are likely to affect planned consumption, while unanticipated changes determine cyclical consumption. Fluctuations in private consumption are mostly cyclical with respect to changes in disposable income and the consumers’ sentiment index. In contrast, an increase in the interest rate decreases both planned and cyclical consumption. Fiscal policy has a direct negative effect on cyclical consumption, which is not dependent on the interest rate. Monetary growth, in contrast, increases liquidity to finance both planned and cyclical private consumption.     

Real effective exchange rates and purchasing-power-parity convergence: Empirical evidence for Denmark, 1875–2002

Abstract

Official nominal and real effective krone-rate indices compiled by the Danmarks Nationalbank are available only for the most recent decades. This article makes an attempt to overcome this data shortage by constructing long historical time-series indices of nominal and real effective krone rates for the period 1875–2002. Furthermore, the article presents a first exploratory examination of the empirical evidence regarding long-run relative purchasing-power-parity (PPP) convergence based on univariate unit-root testing of the two new long time-series indices for the real effective krone rate, with respectively consumer prices and wholesale prices as deflators. The fastest mean reversion towards relative PPP seems to have occurred in those periods where Denmark has pursued a fixed-exchange-rate policy vis-à-vis the majority of its trading partners and thus in those periods with the lowest volatility in the nominal effective krone rate.     

Observations on technical change and paretian welfare economics

Summary This article brings together two major topics of economic theory: technical change and Paretian welfare economics. Until now, the tendency has been to study these topics separately. By introducing economic search behaviour in the first phase of technical change, the analysis of technical change is broadened by means of a link between this behaviour and so-called virtual goods. The concept of Pareto optimality is broadened by expanding the space of goods with new and virtual goods. The question is whether the generalized Paretian theory makes it possible to compareex post equilibria after the process of technical change with theex post situation before this process takes place. Although generalized Pareto optimality does not allow a welfare judgement on aprocess of technical change, the theory still provides us with an explanation for the allocation of resources of R&D in terms of consumer preferences and with an analytical device to compare actual economic structures with a generalized Pareto optimum in a static setting.If they (i.e. economists) are to perform their guiding task as conscientiously as possible, it is first necessary that they themselves have proper insight into the regrettably narrow limits of what economics has to offer to politics in terms of purely economic criteria; secondly, that they are aware of the foundations and the substance of their additional sociopolitical valuations and finally, that they do not fail to make these known when advising society. (Hennipman, 1995, p. 174).This article is a condensed revised version of my Prof. dr Pieter Hennipman Lecture of February 23, 1993. Some time after the presentation of the lecture, I had the opportunity to discuss several issues with my beloved teacher. No doubt this version benefited from his comments. 1 A notable exception is K.J. Arrow (1962, pp. 210–228).     

论消费需求新趋势及其对企业营销工作的影响

当今社会的消费需求呈现出不少新的特征,在需求层次、价值取向、消费手段等方面都发生了质的变化.这些变化对企业营销工作带来了许多新的问题,企业应积极转变营销观念,寻找新的营销策略.     

Men at work. Wages and industriousness in southern Sweden 1500–1850

ABSTRACT

In his classic works on the industrious revolution, Jan de Vries argues that demand for new consumer goods trigged eighteenth century Europeans to work more. This implies that industrious behaviour and new consumption patterns were two parallel and interdependent processes that preceded the industrial revolution. However, there is an alternative explanation for any increase in labour output on household level, namely that the labourers were forced to work more to meet ends. An indication of this could be that day labourers’ relative wages decreased over time. In this article, we investigate this by studying wages from annual and casual labour in southern Sweden and compare their levels with consumption baskets.     

Modeling the Behavior of the KRW/USD Exchange Rate and Policy Implications

Abstract

This paper examines the behavior of the KRW/USD exchange rate based on four major models. Using the mean absolute percent error (MAPE) as the criterion, the purchasing power parity (PPP) model using the relative producer price index (PPI) performs the best, followed by the extended investment saving-liquidity preference money supply (IS-LM) model, the Frankel model, the purchasing power parity model based on the relative consumer price index (CPI), the Dornbusch model, the Frenkel model, and the uncovered interest parity model. The generalized Box–Cox model indicates that the log-log form for the PPP model can be rejected.     

Land ownership in the nordic countries

Abstract

The article examines the relationship between the Norwegian State and international cartels and trusts in the interwar years. In this period, Norway was at the forefront with regard to implementing legislation regulating cartels, yet the legislation was not an antitrust legislation in the modern sense. It was aimed not only at protecting consumer interests, but more importantly at defending domestic businesses against foreign monopolies and cartels. In the article we examine how the Norwegian authorities interacted with international cartels and trusts in seven different cases in the interwar period. The study shows that although there was a deep seated scepticism towards concentration of market power in Norway, cartels received support from the Norwegian government when they were deemed to be beneficial to Norwegian economic interests. The legislation was used to foster the development of domestic cartels, while at the same time it was employed as a tool to limit the operations of foreign cartels and trusts.