The Effect of Scarcity on the Purchase Intentions of Prevention and Promotion Motivated Consumers

This study investigates the influence of consumers’ motivational orientations (“prevention” vs. “promotion”) on their susceptibility to demand‐based versus supply‐based scarcity, measured by purchase intention scores. Prevention‐focused participants were more inclined to adopt a product when it was perceived to be demand‐scarce rather than supply‐scarce, while those who were identified as promotion‐focused responded positively to scarcity attributed to supply shortfall. In addition, products that could be associated with a prevention motive enhanced purchase intentions when presented as demand‐scarce but not if perceived to be supply‐scarce; conversely, products associated with the promotion motive scored better if the scarcity was seen to be supply‐generated rather than demand‐generated. Lastly, messages focused on prevention were more effective than those focused on promotion in the case of perceived demand scarcity, whereas the converse holds true for supply scarcity. These findings highlight the importance of understanding the motivational differences underlying the effectiveness of scarcity appeals. They furthermore suggest the strategic implication that improved intention to purchase occurs when the regulatory focus evoked by a scarcity‐related message is compatible with the appeal it communicates.     

Testing vertical price transmission for Vietnam's Robusta coffee

Vietnam has undergone market reforms over the last three decades; and as a consequence, the coffee sector has become increasingly market‐driven. The success of the government's liberalisation policies in terms of market efficiency is investigated by examining the transmission of both positive and negative price changes for Robusta coffee between export and farmgate prices. We used a threshold vector error correction model and high‐frequency daily data. The primary result here is that of a symmetric price transmission between export and farm‐level prices. This result holds when tested with weekly price data, derived from the daily data. Farmgate prices respond faster to decreases than increases in export prices when the long‐run deviation exceeds a certain threshold. These price changes are transmitted within several days. This research also confirms the importance of transaction costs, and other price frictions mostly ignored in prior analyses for coffee.     

Developing energy conservation and carbon reduction indicators for the hotel industry in Taiwan

This study develops and weights energy conservation and carbon reduction (ECCR) indicators for the hotel industry in Taiwan to create an instrument to help address climate change. Eighteen semi-structured interviews were conducted with senior hotel managers, environmental specialists, and government officials to identify the preliminary ECCR framework. An expert panel then was invited to review the structure of ECCR criteria and the compiled criteria in a structure for item modification. An analytic network process questionnaire survey was employed to determine the relative weights of the criteria. The data analysis reveals seven categories in the ECCR framework: communication and participation, top management commitment, energy, water, waste, building, and purchasing. A total of 32 indicators were identified and prioritized in terms of their relative importance to ECCR contributions. The results of this study suggest that the success of ECCR implementation depends primarily on management support and staff engagement. Hotel operators can improve their environmental management by initiating ECCR practices based on the proposed ECCR indicators.     

Farmers,Biodiversity and Plant Protection: Developing a Learning Environment for Sustainable Tree Cropping Systems

More diverse, perennial cropping systems often have better natural mechanisms for keeping pests at bay. But while scientists emphasise the broad benefits of conservation in terms of effective ecosystem functioning, farmers are more interested in biodiversity for the provision of food or of services such as shade or windbreaks. Because of their limited knowledge of the role of biodiversity in plant protection, farmers sometimes unconsciously disturb natural regulatory mechanisms. Some citrus farmers in Vietnam introduced sapodilla as an intercrop to diversify their source of income, and because this fruit tree requires little care. However, this apparently worthwhile attempt to combine two valuable crops has misfired. The ecological conditions that traditionally sustained natural pest control in citrus have been disturbed, thus trapping farmers in the pesticide treadmill. The weaver ant Oecophylla smaragdina stopped protecting citrus from stinkbugs and leaf-feeding caterpillars after facing competition from the black ant Dolichoderus thoracicus, which favours sapodilla trees as a nesting habitat. To avoid similar scenarios in the future, methods for linking scientific research on ecosystem functions with farmers' own knowledge, experience and priorities are presented. Examples are given of ways in which farmers in perennial cropping systems learn, and how scientists can facilitate this learning process.     

THE IMPACT OF ANTI‐TERRORISM EXPENDITURE ON ECONOMIC GROWTH AND WELFARE

This paper examines the effects of increasing anti‐terrorism expenditure on economic growth rate and social welfare. It is shown that: (i) spending the least amount possible on anti‐terrorism expenditure will lead to a maximum economic growth rate; and (ii) to achieve maximum social welfare, the government should allocate its budget to anti‐terrorism expenditure. The results shed light on why the US government has chosen to uphold and pursue its anti‐terrorism policies in recent years to present day.     

The stock closing calland futures price behavior: Evidence from the Taiwan futures market

This study examines the behavior of futures prices around stock market close before and after changes to the batching period of the stock closing call. On July 1, 2002, the Taiwan Stock Exchange expanded the length of the batching period roughly 10‐fold, from an average of 30 seconds to 5 minutes. This change presents an opportunity to analyze how a stock closing method affects the behavior of index futures prices. Empirical results indicate that an increase in the length of the batching period affects the return volatility and trading volume of index futures contracts around stock market close. Furthermore, preclose stock returns have a great impact on extended futures returns when the batching period of the stock closing call is long. © 2007 Wiley Periodicals, Inc. Jrl Fut Mark 27:1003–1019, 2007     

法律作为合约安排

科斯提出交易费用解释了制度之存在,但其未将之操作化,令庇古式外部性理论借之还魂了。张五常将租值消散、交易费用与制度费用等同视之,避免了此一缺憾。在此理解下,法律是合约安排,而非吓阻诱因。法律作为合约安排,才能合理解释物权效力与过失责任之现实存在。更重要的是,法律作为合约,必然要求了法律的规范体系性,而法律作为诱因,则令法律工具化,失去其规范之本质。法律内在价值,例如自由或正义,也只有在此才有意义。     

VIX option pricing

Substantial progress has been made in developing more realistic option pricing models for S&P 500 index (SPX) options. Empirically, however, it is not known whether and by how much each generalization of SPX price dynamics improves VIX option pricing. This article fills this gap by first deriving a VIX option model that reconciles the most general price processes of the SPX in the literature. The relative empirical performance of several models of distinct interest is examined. Our results show that state‐dependent price jumps and volatility jumps are important for pricing VIX options. © 2009 Wiley Periodicals, Inc. Jrl Fut Mark 29:523–543, 2009     

Demand for milk quantity and safety in urban China: evidence from Beijing and Harbin

Urban households account for most of the milk consumption in China, but their consumption is hampered by safety concerns. Using survey data collected in Beijing and Harbin in 2010, this paper simultaneously analyses urban households' milk consumption using a multiple linear model and their willingness‐to‐pay for milk safety using an ordered choice model. The results of this study show that as income increases, urban households consume more milk and are willing to pay a higher premium for milk safety. Modern food marketing channels play a positive role in stimulating milk consumption and building consumers' confidence in milk safety. The growth in the elderly population influences milk consumption positively, but their demand for milk safety is negatively affected by higher price. The combined analysis of households' demand for milk quantity and safety may be useful to the Chinese government in promoting the development of the domestic milk industry and to dairy firms in exploring the milk market in China.