Run length distributions and economic design of [`(X)]\bar X charts with unknown process variance

The run length distribution of charts with unknown process variance is analized using numerical integration. Both traditional chart limits and a method due to Hillier are considered. It is shown that setting control limits based on the pooled standard deviation, as opposed to the average sample standard deviation, provides better run length performance due to its smaller mean square error. The effect of an unknown process variance is shown to increase the area under both tails of the run length distribution. If Hillier’s method is used instead, only the right tail of the run length distribution is increased. Collani’s model for the economic design of charts is extended to the case of unknown process variance by writing his standardized objective function in terms of average run lengths.     

Subjective Economic Risk to Beneficiaries in Notional Defined Contribution Accounts

This article aims to quantify the aggregate subjective economic risk to which beneficiaries would be exposed if a retirement pension system based on notional account philosophy were introduced. We use scenario generation techniques to make projections of the factors that determine the real expected internal rate of return (IRR) and the expected replacement rate (RR) for the beneficiary according to six retirement formulae based on the most widely accepted rates or indices. We then apply the model to the case of Spain. Our projections are based on Herce and Alonso's macroeconomic scenario 2000–2050 (2000) and include information about the past performance of the indices and the time period the forecast is to cover. The results of the IRR calculation—average value, standard deviation, and value‐at‐risk (VaR)—are analyzed both in objective terms and for different degrees of participants' risk aversion.     

A Reconsideration of Tax Shield Valuation

A quarter‐century ago, Miles and Ezzell (1980) solved the valuation problem of a firm that follows a constant leverage ratio L = D/S. However, to this day, the proper discounting of free cash flows and the computation of WACC are often misunderstood by scholars and practitioners alike. For example, it is common for textbooks and fairness opinions to discount free cash flows at WACC with beta input β _S = [1 + (1 ? τ)L]β_u, although the latter is not consistent with the assumption of constant leverage. This confusion extends to the valuation of tax shields and the proper implementation of adjusted present value procedures. In this paper, we derive a general result on the value of tax shields, obtain the correct value of tax shields for perpetuities, and state the correct valuation formulas for arbitrary cash flows under a constant leverage financial policy.     

The relationship between managers' environmental perceptions,environmental management and firm performance in Spanish hotels: a whole framework

The examination of the possible direct link between environmental protection and firm performance has generally produced mixed results. This paper contributes to the literature by considering the antecedents of hotel managers' environmental attitudes to check whether perceptions of the external and internal factors are behind the adoption of a proactive environmental management. The study also tests whether or not the resource‐based view of the hotel mediates the positive relationships of proactive environmental management and improved environmental performance with competitive advantage and financial performance. This contribution is original because this study develops a comprehensive whole picture of this path process, which has previously only been partially discussed in the literature. Copyright © 2010 John Wiley & Sons, Ltd.     

Creative Destruction as Economic Pattern of Europe＇s Small-Scale Audiovisual Media Markets and Minority-Language Film Industries

The small cinematography model as well as its incorporation into creation of the European digital space emerges as a paradigm of the creative destruction phenomenon in the way that Sombart spoke about and, afterwards, Schumpeter disseminated it seven decades ago. Working from this perspective, the University of Santiago de Compostela （USC）＇ audiovisual research group has been looking for the barriers the small cinema in original version must overcome and has even tested some of its findings in different geopolitical areas such as Lusophony,     

Jobs and the Future of the US Economy: Possibilities and Limits

This paper reviews the presentations and discussions had at the conference on ??Jobs And The Future of the US Economy: Possibilities and Limits?? held at Howard University shortly after the late 2000??s financial crisis. The paper begins with the historical context in which the conference was placed and reviews the various points made by topic. The paper concludes with an outline of potential alternative eventualities facing the economy were the US not to adopt the policies presented.     

Not all group members are created equal: heterogeneous abilities in inter-group contests

Experimental Economics - Competition between groups is ubiquitous in social and economic life, and typically occurs between groups that are not created equal. Here we experimentally investigate the...     

The potential of international coastal mass tourism destinations to generate creative capital

This paper introduces a new line of research in international coastal mass tourism destinations. Such destinations have started to function in a more complex and potentially beneficial way, acting as transitional areas between the global city and local territory while at the same time developing their own unique characteristics. From this perspective, such destinations can potentially become environments for creativity and innovation, two factors that act as economic driving forces in the so-called “knowledge society”, thereby promoting the sustainable development of the destination from a socioeconomic perspective.

The methodology used herein develops 10 indicators that are calculated and mapped out for two case studies which examine the same geographical context and comparable populations in order to demonstrate the creative capacity of a location whose economy is heavily reliant on tourism. The results show that tourist destinations have greater potential for generating creative capital than non-tourist destinations. Therefore, the consolidation of international mass tourism destinations as creative and innovative spaces which are capable of generating creative capital without losing their competitiveness as tourist destinations merits a reconception of their current role in global–local networks.     

Planning a Master’s Level Curriculum According to Career Space Recommendations Using Concept Mapping Techniques

Nowadays the European Universities are worried about how to adapt higher education to the new European Higher Education Area, as proposed in the Bologna Magna Charta Universitatum of 1998, and signed by 32 European Education Ministers. One of the key points in this higher education reform was the introduction of new Master’s level curricula. These Masters will look for the professional specialization and they will have to be adapted to the specific skills demanded by the society. This paper presents the results from a cooperation project – funded by the AECI (International Cooperation Spanish Agency) and developed between the University of Seville (Spain) and the Catholic University of Asuncion (Paraguay) – by about the planning of a new master’s level curriculum in digital signal processing (DSP) area, taking into account the Bologna principles and the conclusions obtained by the Career Space Consortium. A scientific method from social science, known as concept mapping techniques, was used to perform this planning. Basically, the idea of concept mapping consists of compiling the opinion from actors belonging to different environments (lecturers, researchers, workers, businessmen, etc.) related to DSP applications. The compiled data were statistically computed to cluster the opinions of the different agents. The result will be a master’s level curricula adapted to the environment requirements and the social settings.