On price equilibrium with multi-product firms

In this paper, we provide a result that shows existence and uniqueness of Nash equilibrium in cases in which existing methods are problematic. This result is based on a theorem by Kellogg (Proc Am Math Soc 60:207–210, 1976) that provides conditions for the existence of a unique fixed point. We apply it to the simple logit discrete choice model and the CES representative consumer model, where asymmetric cost firms produce multiple vertically and horizontally differentiated products and compete in prices.     

Understanding bilateral FDI flows in developing Asia

Unlike trade flows, there has been little to no detailed examination of foreign direct investment (FDI) flows between Asian economies. This paper uses bilateral FDI flows data to investigate trends in intra-Asian FDI flows over the period 1990–2005. It employs an augmented gravity model to identify the main determinants of intra-Asian FDI flows. Possible drivers of FDI flows, including transactional and informational distance (proxied by distance), real sector variables, financial variables and quality of institutions are examined.     

On incentive structures of a socialist economy

This paper considers an incentive structure B_T as an alternative to the incentive structure B_D recently suggested by Domar. Both of these incentive structures induce managers in a planned economy to provide the socially desirable output level while allowing them to set prices. In two aspects B_T is better than B_D. First, B_D works only if demand is elastic at the optimal output level while B_T works whether demand is elastic or inelastic at that level. Second, even when demand is elastic at the optimal level, there are circumstances for which output converges to the optimal level faster under B_T than under B_D.     

Upgrading peripheral wind sectors

The implementation of traditional policies does not consider institutional singularities in peripheral sectors. The main aim of this paper is to analyse the interaction among local capabilities and multinational agents to upgrade a peripheral wind sector. The case study conducted in the peripheral region of Galicia (Spain) emphasises the challenges concerning policy design and implementation in this kind of regions. The theoretical foundations are based on the systemic and evolutionary approach of the innovation system and the global value chain perspective. This combination enables to analyse how local contexts could shape governance patterns within value chains in peripheral regions. Likewise, the target approach is also applied concerning the design and implementation of a policy programme and its timing. Empirical evidences underline the complementarity of market size and foreign direct investment policies, as well as the diversification towards green transitions through enhancing local capabilities.     

Motivational bases for managing diversity: A model of leadership commitment

Given the limited effectiveness of equal employment opportunity and affirmative action programs in promoting minorities in the U.S., the onus to advance women and minority groups may depend on the voluntary efforts from corporate America. In this paper, we apply a general theory of commitment to help explain why top executives may be committed to managing diversity in organizations. We propose that top executive commitment can stem from instrumental, normative, or affective bases. Specifically, top executives may be motivated because of utility maximization, a moral obligation, or a personal desire to be associated with a program of social importance and/or to leave a positive legacy. We further explore the implications of the three motivational bases of top executive commitment to managing diversity on firm diversity outcomes, and we offer some propositions which can serve as a basis for future research.     

Influence of Culture on Earnings Management: A Note

This article examines the influence of national culture on earnings management across a broad cross-section of countries. In addition to examining the relation between culture and earnings management in general, two different types of earnings management are examined, namely, earnings smoothing and earnings discretion. Regression results indicate that, as expected, the cultural dimensions of uncertainty avoidance and individualism are significantly related to earnings management, even after controlling for investor protection and other legal institutional factors. Culture has a stronger relation with earnings smoothing than with earnings discretion, and cultural dimensions explain a greater percentage of the variation in aggregate earnings management and earnings smoothing than do investor protection variables. These findings suggest that there is a significant link between culture and cross-national differences in earnings management, especially in the form of earnings smoothing.     

The Geopolitics of Protected Areas

ABSTRACT

The conservation enterprise is embedded in ideas of the environment through which it promotes a vision of the world and the relations between the non-human and human. The papers in this forum analyse conservation from various vantage points to draw the links between geopolitics and conservation. The authors use three themes to demonstrate these links. The first theme draws on the concept of environmentality to show the mobilization of ecological rationalities and power towards the creation of protected areas. The second pays attention to networks formed across the distance, and how they influence the location and governance of protected areas. The third focuses on the strategies the conservation lobby uses to align local identities with global conservation ideals and goals. Collectively, these themes highlight features of conservation geopolitics.     

Quality Uncertainty as Resolution of the Bertrand Paradox

It is well‐known that product differentiation eliminates the Bertrand paradox (i.e. marginal cost pricing under duopoly). While differentiation is often justified with reference to the consumer's ‘preference for variety’, the conditions under which such a preference is likely to arise are rarely considered. We investigate this question in a setting in which uncertainty about product quality can endogenously generate either convex or non‐convex preferences. We show that even when two goods are ex ante homogeneous, quality uncertainty can eliminate the Bertrand paradox.