Global mobility orientation and the success of self-initiated expatriates in Greater China

We investigated 640 self-initiated expatriate academics residing in Greater China. We examined whether their inherent demographic characteristics (age/gender) and acquired demographic characteristics (marital status/seniority) differentiated their work outcomes regarding job adjustment, time to proficiency, performance and satisfaction. We also explored the associations between global mobility orientation and these four work outcomes and examined to what extent the demographic characteristics differentiated the relationships. Results support most hypothesized differences. We found that a global mobility orientation was associated with all the work outcomes, except satisfaction. For inherent demographic characteristics, we found support for our hypotheses that for individuals with less successful demographics (younger, male), there was a stronger relationship between global mobility orientation and the work outcomes.     

Export performance of the Asian miracle economies: The role of innovation and product variety

Traditional export models fall short of explaining the marked increase in exports of the Asian miracle economies in the post‐WWII period. A model showing that exports are driven by innovations, innovative competitiveness, demand and price competitiveness is estimated for China, India, Korea, Japan, Singapore and Taiwan over the period 1953–2010. The results demonstrate that innovation stocks and competitiveness are important determinants behind their success. Furthermore, innovation stocks and innovative competitiveness are shown to be less influential for export growth in China and India and their export booms have been fuelled by process rather than product innovation.     

Noise fit,estimation error and a Sharpe information criterion

When the in-sample Sharpe ratio is obtained by optimizing over a k-dimensional parameter space, it is a biased estimator for what can be expected on unseen data (out-of-sample). We derive (1) an unbiased estimator adjusting for both sources of bias: noise fit and estimation error. We then show (2) how to use the adjusted Sharpe ratio as model selection criterion analogously to the Akaike Information Criterion (AIC). Selecting a model with the highest adjusted Sharpe ratio selects the model with the highest estimated out-of-sample Sharpe ratio in the same way as selection by AIC does for the log-likelihood as a measure of fit.     

Can leadership compensate for deficient inclusiveness in global virtual teams?

Although the number of global virtual teams has been growing rapidly, it is still a great challenge to achieve internal collaboration across geographic, cultural, and linguistic barriers. Two factors that have been identified to improve productivity are inclusive group attitudes in the team and the right leadership from the team leader. Although there are strong indications that each of these concepts would have a favourable effect on team member performance, we set out to explore how they function in combination. More specifically, we hypothesise that inspirational motivation from a team leader can compensate for a lack of inclusive group attitudes in the form of team openness to language diversity. We also predict the positive effects of “inspirational motivation” leadership to be stronger than those of the “management by exception” style of leadership. Using responses from 174 team members and their 23 team leaders in the research and development department of a Danish manufacturing organisation, we confirm our hypotheses. This provides clear guidelines for HRM interventions in organisations using global virtual teams.     

The interaction between macroprudential policy and monetary policy: Overview

This paper presents the main findings of an International Banking Research Network initiative examining the interaction between monetary policy and macroprudential policy in determining international bank lending. We give an overview on the data, empirical specifications and results of the seven papers from the initiative. The papers are from a range of core and smaller advanced economies, and emerging markets . The main findings are as follows. First, there is evidence that macroprudential policy in recipient countries can partly offset the spillover effects of monetary policy conducted in core countries. Meanwhile, domestic macroprudential policy in core countries can also affect the cross‐border transmission of domestic monetary policy via lending abroad, by limiting the increase in lending by less strongly capitalized banks. Second, the findings highlight that studying heterogeneities across banks provides complementary insights to studies using more aggregate data and focusing on average effects. In particular, we find that individual bank characteristics such as bank size or GSIB status play a first‐order role in the transmission of these policies. Finally, the impacts differ considerably across prudential policy instruments, which also suggests the importance of more granular analysis.     

Living With Stigma: Spatial and Social Divisions in a Danish City

Inspired by Bourdieu's theory of homology between social, mental and spatial structures, this essay dissects the relationship between spatial and social divisions in the Danish city of Aalborg using varied data from official statistics, surveys, qualitative interviews and field observations. Spatial divisions reflect differences in the objective distribution of economic and cultural capital, and are accompanied by symbolic divisions in residents’ minds. Some nuances are, however, added to Bourdieu's homology argument, as there are discrepancies between objective distributions and mental schemes, such that the latter exaggerate and dramatize the former. The neighbourhood of Aalborg East is subjected to this symbolic exaggeration in the form of spatial stigma or territorial stigmatization. An analysis of residents’ strategies for coping with spatial stigma furthermore provides an illustration of Wacquant's claim that this stigmatization can be met with a range of socially patterned responses ranging from acceptance or indifference to recalcitrance.     

The German generation internship and the minimum wage introduction: evidence from big data

The new German minimum wage applies a specific exemption clause for internships, where internships that last up to three months are exempted while internships that exceed three months are due to the minimum wage. Negative minimum wage effects on internships are heavily debated as internships are mostly non-productive. Difference-in-difference analyses that exploit establishment and regional variation in the bite of the minimum wage do not show a reduction in the number of internships. In addition, we pursue an innovative approach by using Google search data to analyse how the search intensity for internships changed in course of the minimum wage introduction. Difference-in-difference comparisons with other countries in Europe do not reveal an effect on the search for internship positions in general, but we observe a significant reduction in Google search for ‘generation internship’. This suggests that the underlying societal phenomenon of a generation entering internships without a perspective for regular jobs has lost in relevance.     

From free to civilized trade: a European perspective

In the context of unfettered international competition, free trade tends to undermine basic moral concepts such as justice, dignity, and fairness. Therefore, we suggest moving to a new understanding of markets in international trade, which we call ‘civilized markets’. A civilized market tries to ensure that free entrepreneurship and open markets are eventually compatible with those basic and universal values that also serve as moral cornerstones of the European project. In order to accomplish a civilized market, we propose to establish a new European institution with a mandate to set and enforce minimum standards for goods sold on the European market.     

The effects of human capital composition on technological convergence

This paper empirically investigates whether the contribution of human capital to productivity growth depends on the composition of human capital and proximity to the technology frontier in a panel of 87 sample countries over the period 1970–2004. It tests the hypothesis that primary and secondary education is more suitable for imitation whereas tertiary education is more appropriate for innovation. The results show that the growth enhancing effects of higher education increase with proximity to the technology frontier only for high and medium income countries.     

The price-dividend relationship in inflationary and deflationary regimes

This paper argues that the linear price-dividend relationship as predicted in the Gordon [1962. The Investment, Financing, and Valuation of the Corporation. Irvin, Homewood, IL] model breaks down in regimes of high inflation and deflation. Using data for the US and the UK over the period from 1871 to 2002, nonlinear estimates support the prediction of the model.