Sustainable Development and the Consumer: Exploring the Role of Carbon Labelling in Retail Supply Chains

This empirical article contributes to the sustainable development debate by examining consumer responses to carbon labels within a real world context. Given the limitations of methodologies that use self‐reported or intended measures of purchasing behaviour, we use the loyalty card data of the largest supermarket retailer in the UK to measure the impact of carbon labels on sales by different consumer segments. The data show that the trial of carbon labels on supermarket own brand products has had no discernible impact on shifting demand to lower carbon products. In order to explore possible reasons for lack of impact, nine focus groups were held using purposive sampling by retailer consumer segments to allow an exploration of awareness, understanding and use of carbon labels. The findings from the focus groups identified possible reasons for this lack of impact: lack of awareness and understanding of carbon labelling; constraining or facilitating social and cultural influences; and the heterogeneous nature of consumers. As a result, a number of implications for stakeholders are discussed. Copyright © 2013 John Wiley & Sons, Ltd and ERP Environment.     

Anti-competitive effects of resale-below-cost laws

We show that resale-below-cost laws enable producers to impose industrywide price-floors to retailers. This mechanism suppresses downstream competition but also dampens upstream competition, leading to higher prices. Price-floor may be more profitable for producers than resale price maintenance contracts and, while resale price maintenance may have ambiguous effect on welfare, price-floors always harm welfare. Retailers' buyer power appears as a key element for a price-floor to work out.     

Social Capital Effects on the Career and Development Outcomes of HR Professionals

HR professionals’ roles require them to be responsive to both employee needs and top management strategies. However, the need to respond to the often competing employee and strategic agendas makes relationship‐building efforts challenging. This study examines the social capital characteristics of HR professionals and the impact on receipt of network benefits and career outcomes. Results indicate that HR professionals benefit from relationships with other HR professionals for career sponsorship and role‐related benefits. However, it is contacts who are in higher positions or in other organizations that transfer the most influential benefits, which in turn relate to objective career outcomes. Few benefits are obtained from contacts in non‐HR functions. The results illuminate relationship development opportunities for HR professionals. © 2015 Wiley Periodicals, Inc.     

Changes in Income Distributions and the Role of Tax‐Benefit Policy During the Great Recession: An International Perspective

In this paper, we examine the impact of the economic crisis and the policy reaction on inequality and relative poverty in four European countries: France, Germany, Ireland and the UK. The period examined, 2008–13, was one of great economic turmoil, yet it is unclear whether changes in inequality and poverty rates over this time period were mainly driven by changes in market income distributions or by tax‐benefit policy reforms. We disentangle these effects by producing counterfactual (‘no reform') scenarios using tax‐benefit microsimulation and representative household surveys for each country. For the first stage of the Great Recession, we find that the policy reaction contributed to stabilising or even decreasing inequality and relative poverty in the UK, France and, especially, Ireland. Market income changes nonetheless pushed up inequality and relative poverty in France. Relative poverty increased in Germany as a result of policy responses combined with market income changes. Subsequent policy reforms, in the later stage of the crisis, had markedly different cross‐country effects, decreasing overall poverty in France, increasing it in Ireland, and giving mixed effects for different subgroups in Germany and the UK.     

International Integration and Growth: A Further Investigation on Developing Countries

The paper examines empirically the linkages between international integration and economic growth in a panel of 47 developing countries and 18 trade blocs over the period 1970–1989. Specifically, it attempts to identify through which channel(s) – notably, specialization according to comparative advantage and increased efficiency, exploitation of increasing returns from larger market, and technology spillovers through investment and trade–trade blocs can affect the economic growth of their member countries. The results suggest that (1) intra-bloc trade does not affect growth significantly; (2) income diversion among member countries contributes positively and significantly to growth; and (3) the size of the trade bloc does matter in the sense that the bigger is not always the better for the welfare of the member countries.     

Taxation,redistribution, and observability in social dilemmas

In the presence of social dilemmas, cooperation is more difficult to achieve when populations are heterogeneous because of conflicting interests within groups. We examine cooperation in the context of a nonlinear common pool resource game, in which individuals have unequal extraction capacities and have to decide on their extraction of resources from the common pool. We introduce monetary and nonmonetary mechanisms in this environment. The two monetary mechanisms are tax extraction and redistribution of the tax revenue. These include a Pigovian per‐unit tax mechanism and an increasing block tax that only taxes units extracted above the social optimum. Another mechanism varies the observability of individual decisions. We find that the two tax and redistribution mechanisms reduce extraction, increase efficiency, and decrease inequality within groups. In contrast, observability impacts only the baseline condition by encouraging free‐riding instead of creating moral pressure to cooperate.     

Rousseau's notion of envy: A comparison with modern economic theory

Abstract

The concept of envy is present both in Rousseau's economic philosophy and in modern economic theory. This paper compares these different uses of the concept and studies the relevance of the definition of envy adopted on each side, taking into account what is at stake when a notion of envy is introduced. It will be shown that Rousseau's envy cannot be expressed by modern conceptions of envy. Nevertheless, it enlightens the debate between the two competing notions of envy present in modern economic theory, revealing that the existence of envy questions the notion of self-interest.     

Economic and environmental impact of the CAP mid-term review on arable crop farming in South-western France

The issue addressed in this paper is whether implementation of the CAP MTR, (involving decoupled payments reduced by “modulations” and subject to cross-compliance measures) can be effective in improving the environmental impact of arable farming. The focus is on two French cross-compliance measures (compulsory buffer strips along rivers and crop diversity). A farm-level bio-economic model incorporating yield uncertainty is built and adjusted to represent two typical arable farms in the Southwest of France. The model also combines agro-environmental indicators. The results indicate that a simple decoupling of direct payments, without cross-compliance measures, has no impact on allocations between different crops. If cross-compliance measures are imposed, a small reduction in the cultivated area of irrigated crops is observed. The penalty levied (1% of the total subsidy paid) when farmers do not comply with the “buffer strips” requirement is sufficient for both farm-types. Decoupling and modulation result in a fall in the total gross margin of around 3%, principally because of the 5% modulation rate, while the “buffer strips” requirement leads to a further decrease of around 1%. Moreover, this requirement improves the environmental indicators at the farm level.     

The propensity to hedge using futures contracts: the case of potato futures contracts

This paper studies why UK non-financial firms hedge with potato futures contracts. It is found that the financial characteristics of firms in the sample play an important role in influencing the propensity to hedge. For example, it is found that firms that hedge are on average larger than firms that do not hedge. Firms that hedge also have more volatile earnings. Furthermore, firms that do hedge appear to want to smooth earnings to reduce the costs of financial distress and avoid entering the highest tax threshold.     

Communication instruction: What is being done to develop the communication skills of accounting students?

A survey was conducted to determine what colleges and universities are doing to improve accounting students' communication skills and how they are doing it. Results indicate that much is already being done to improve the communication skills of accounting students, and that more programs are being planned. The survey revealed that accounting students at most of the responding colleges and universities have access to formal instruction in business communication, and that some communication programs are tailored for accounting majors. In addition to communication programs already in effect at the time of the survey, several schools were planning to add either an accounting communication course or an integrated skills program.