Is polarization bad?

The adverse effects of political and social polarization on government policies are empirically well documented, yet some democracies seem to cope well or even benefit from diversity. In this paper we develop a theoretical model to show how elections in polarized societies contribute to improve quality of government. We consider both polarization among citizens and political actors (political polarization), where the second is endogenously determined by parties competing to win the support of the majority of voters. We find that more heterogeneous societies are more likely to be politically polarized, but that the divergence of positions in the political arena helps the electorate control government corruption by raising electoral stakes. Our results, which are consistent with the findings of a substantial empirical literature, suggest that, when funneled into political competition, polarization may help improving quality of government and policies.     

Knowledge Spillovers,ICT and Productivity Growth

This paper looks at the channels through which intangible assets affect productivity growth. The econometric analysis exploits a new data set on intangible investment (INTAN‐Invest) in conjunction with EUKLEMS productivity estimates for 10 EU member states from 1998 to 2007. We find that (a) the output elasticity of intangible capital depends upon ICT intensity, consistent with complementarities between ICT and intangible capital; (b) non‐R&D intangible capital has a higher estimated output elasticity than its factor share, as does (c) an index of labour composition. The last two findings are consistent with growth spillovers from investments in knowledge‐based/intangible capital and skills.     

Consumer Acceptance of the New Red-Fleshed Apple Variety

The aim of this study was to investigate consumer preference for the novel red-fleshed apple genotypes. The information presented provides us with insight into consumer propensity to accept a new variety with radical visible innovative attributes and societal demand for a more sustainable production. The survey was carried out on the population of a province in central Italy, where there is consumer demand for organic and high-quality foods. The consumers’ opinions contrasted greatly and can be divided into two groups. Over one quarter of the respondents declared that they did not like the innovative fruit. The cluster analysis and CHAID analyses were performed on the consumers’ responses to determine sample groupings. Three clusters were identified among the consumers with positive opinions, enthusiastic, health-conscious, and unmotivated illustrating how the hierarchical level of preferences of the potential consumers of the red-fleshed apple fruit are triggered by various motivations. The surveys also pointed out that most consumers of the sampled population were not biased against research activities producing innovative food products. A large number of consumers, especially women, declared that they were willing to pay a higher price considering the increased nutritional value of red-fleshed apple fruits. By examining the broad context of this study, decision-making researchers and operators of the fruit industry will be able to make informed and realistic predictions concerning possible future scenarios and to determine the possible effects and desirability.     

Supply chain management in the luxury industry: A first classification of companies and their strategies

This paper aims at analysing the supply management strategies in the luxury industry in order to find out (1) whether different clusters of companies could be identified within the luxury industry, on the base of a set of contingent variables derived from previous research, and (2) which supply chain strategy is currently applied within each cluster. Case study methodology is used. A sample of 15 Italian luxury companies, belonging to different industrial sectors, was taken into account.On the basis of five classification variables (company size, selling volume, product complexity, product fashionableness and brand reputation) four clusters are identified; these clusters present differences in terms of Supply Chain strategy, as well as in terms of practices for managing manufacturing, sourcing and distribution processes.     

UNIONS' RELATIVE CONCERNS AND STRIKES IN WAGE BARGAINING

We consider a model of wage determination with private information in an oligopoly. We investigate the effects of unions having relative concerns on the negotiated wage and the strike activity. We show that an increase of unions’ relative concerns has an ambiguous effect on the strike activity.     

Threshold estimation of Markov models with jumps and interest rate modeling

We reconstruct the level-dependent diffusion coefficient of a univariate semimartingale with jumps which is observed discretely. The consistency and asymptotic normality of our estimator are provided in the presence of both finite and infinite activity (finite variation) jumps. Our results rely on kernel estimation, using the properties of the local time of the data generating process, and the fact that it is possible to disentangle the discontinuous part of the state variable through those squared increments between observations not exceeding a suitable threshold function. We also reconstruct the drift and the jump intensity coefficients when they are level-dependent and jumps have finite activity, through consistent and asymptotically normal estimators. Simulated experiments show that the newly proposed estimators perform better in finite samples than alternative estimators, and this allows us to reexamine the estimation of a univariate model for the short term interest rate, for which we find fewer jumps and more variance due to the diffusion part than previous studies.     

Affective-symbolic and instrumental-independence psychological motives mediating effects of socio-demographic variables on daily car use

An empirical study investigates the extent to which affective-symbolic and instrumental-independence psychological motives mediate effects of socio-demographic variables on daily car use in Sweden. Questionnaire data from a mail survey to 1134 car users collected in 2007 were used to assess the relationships daily car use as driver or passenger have to sex, household type (single or cohabiting with or without children), and residential area (urban, semi-rural or rural). Reliable measures of affective-symbolic and instrumental-independence motives were constructed. The results show that households with children use the car more than households with no children, that men make more car trips as drivers than women who use the car as passenger more than men, and that households living in rural areas use the car more than households living in semi-rural areas who use the car more than households living in urban areas. An affective-symbolic motive partially mediates the relationship between the number of weekly car trips and sex, the instrumental-independence motive partially mediates the relationships between weekly car use and percent car use as driver and several of the socio-demographic variables (living in urban vs. rural residential area for both measures; sex and living in urban vs. semi-rural residential area for percent car use as driver). Of several other socio-demographic variables (age, employment, and income) affecting car use, only the relationship of the number of cars to percent car use as driver was (partially) mediated by the instrumental-independence motive.     

Adaptive Bayesian Networks for quantitative risk assessment of foreign body injuries in children

Injuries due to foreign body (FB) aspiration/ingestion/insertion represent a common public health issue in paediatric patients, which causes significant morbidity and mortality. The aim of this study is to present a Bayesian Network (BN) model for the identification of risk factors for FB injuries in children and provide their quantitative assessment. Combining a priori knowledge and observed data, a BN learning algorithm was used to generate the pattern of the relationships between possible causal factors of FB injuries. Finally, the BN was used for making inference on scenarios of interest, providing, for instance, the risk that an accident caused by a spherical object swallowed by a male child aged five while playing leads to hospitalization. BNs as a tool for quantitative risk assessment may assist in determining the hazard of consumer products giving an insight into their most influential specific features on the risk of experiencing severe injuries.     

Corporate Ethical Policies in Large Corporations in Argentina, Brazil and Spain

This paper examines the status of Corporate Ethical Policies (CEP) in large companies in Argentina, Brazil and Spain, with a special emphasis on Corporate Ethics Statements (CES), documents that define the firms’ philosophy, values and norms of conduct. It is based on a survey of the 500 largest companies in these nations. The findings reveal many similarities between these countries. Among other things, it emerges that most companies give consideration to ethics in business and have adopted some kind of formal or informal ethical policies. Regardless of whether or not they have a CES, companies agree that ethical conduct must be taken into account when selecting, appraising and promoting personnel as an important ethical policy. There is a growing tendency to draw up formal corporate ethics documents. These documents are perceived, first and foremost, as supporting the development of corporate culture. Most respondents believe that primary responsibility for ethical issues in the company rests with the CEO. Finally, the findings indicate that most companies that devote more resources to communicating and implementing CESs have two or more formal ethics documents. The main differences between the countries included in the study concern the emphasis given to specific aspects, such as avoiding misconduct or taking ethical criteria into account when selecting personnel. The emphasis is greatest in countries where corruption seems most prevalent.