The Fractal Structure of Real Estate Investment Trust Returns: The Search for Evidence of Market Segmentation and Nonlinear Dependency

This article presents a further test for market segmentation between the real estate market and the capital markets. We use rescaled range analysis developed in the fractal geometry literature to test for nonlinear trends in the returns series for different asset classes. We make three major conclusions: (1) the stock market displays tendencies consistent with a random walk, (2) portfolios of mortgage and equity REIT returns display tendencies consistent with a random walk and, (3) conditional upon the methods used, segmentation does not exist between different real estate markets and between the real estate and stock markets.     

Determining the number of factors after stationary univariate transformations

A very common practice when extracting factors from non-stationary multivariate time series is to differentiate each variable in the system. As a consequence, the ratio between variances and the dynamic dependence of the common and idiosyncratic differentiated components may change with respect to the original components. In this paper, we analyze the effects of these changes on the finite sample properties of several procedures to determine the number of factors. In particular, we consider the information criteria of Bai and Ng (Econometrica 70(1):191–221, 2002), the edge distribution of Onatski (Rev Econ Stat 92(4):1004–1016, 2010) and the ratios of eigenvalues proposed by Ahn and Horenstein (Econometrica 81(3):1203–1227, 2013). The performance of these procedures when implemented to differentiated variables depends on both the ratios between variances and dependencies of the differentiated factor and idiosyncratic noises. Furthermore, we also analyze the role of the number of factors in the original non-stationary system as well as of its temporal and cross-sectional dimensions. Finally, we implement the different procedures to determine the number of common factors in a system of inflation rates in 15 euro area countries.     

Job Securityand Product Market Competition

In the present paper, we relate the extent of job security offered to incumbent managers to the extent of competition among firms in the product market, where the extent of job security is measured by the probability that an incumbent manager continues to be employed by his current firm and the extent of competition is measured by the degree of differentiation between competing brands. We demonstrate that when competition between firms intensifies and "on-the-job training" is relatively more conducive to reducing the variable costs of production, firms tend to offer reduced (increased) job security to incumbent managers, provided that the degree of differentiation between competing products is sufficiently large (small), respectively. If "on-the-job training" is relatively more conducive to reducing the fixed costs of production, however, the previous result is reversed.     

Exclusionary Equilibria in Health-Care Markets

We have demonstrated that when providers of health insurance are perceived to be differentiated by consumers, circumstances may arise under which they find it advantageous to restrict the set of health-care providers that they approve to their customers. Even if all health-care providers are equally qualified and efficient, payers may choose to contract with a selected subset of them in order to secure more favorable contract terms. Moreover, in a concentrated health-care market that consists of two health insurance companies (payers) and two health-care providers (hospitals), both payers may choose to contract with only one of the hospitals while excluding the other completely from the market. When consumers' valuation of an extended choice of providers is small in comparison with the extent of differentiation that exists between the payers, such an exclusionary outcome is the unique equilibrium of the game.     

Water trade in Andalusia. Virtual water: An alternative way to manage water use

The main idea of this paper is to analyse the relationships between the productive process and the commercial trade with water resources used by them. For that, the first goal is to find out, by means of the estimation of virtual water, the exported crops which have the highest water consumption. Similarly, we analyse the crops that are imported and therefore, might contribute to save water. The second objective is to put forward new ways to save water by means of the virtual water trade.This first conclusion contradicts not only the comparative advantages theory but also the environmental sustainability logic. The previous conclusion is derived from the great exports of water via potatoes and vegetables, and also via citrus fruit and orchards; and, on the other hand, from the imports, such as cereals and arable crops, with lower water requirements. The second conclusion affirms as Andalusia utilises large amounts of water in its exports, and in turn, it does not produce goods with low water requirements, the potential saving would be very significant if the terms of our trade were the other way round. We are convinced that the agricultural sector must modify the use of water to a great extent in order to reach significant water savings and an environmental sustainability path.     

Food consumption,lifestyle patterns,and body mass index of a group of white South African students

There is worldwide concern that higher education students are increasingly engaging in unhealthy eating and lifestyle practices. A total of 488 white students participated in a study aimed at investigating the current food consumption and related lifestyle patterns of students at a South African residential university. The respondents’ self‐reported weight and height was used to calculate their body mass index (BMI). Closed and open‐ended questions measured aspects of the respondents’ usual eating patterns and lifestyles. The meal patterns and composition confirmed Western‐orientated food practices, as the majority consumed three meals a day, with in‐between meal snacking, and a different meal pattern over weekends. Respondents’ food intake was further characterized by a low intake of fruit, vegetables, and dairy products and frequent consumption of foods high in fat, sugar, and sodium. Although the majority (66.8%) of the study group were classified as normal weight according to their BMI, when comparing males and females, more males than females were overweight and obese. Only 54% of the males had a normal weight compared to 82% of the females. There was, however, no statistically significant difference (p = 0.149) between how males and females in the different BMI groups felt about their weight. The study also explored the relationships between the respondents’ BMI, gender, food consumption patterns, and type of residence. The features of the food consumption patterns were depicted according to whether breakfast was eaten or not; snacking activity between meals; the consumption of ready‐prepared convenience meals, fast foods; home‐cooked meals; and eating out. There were no statistical significant differences between the BMI categories of males and females regarding their habit to eat breakfast or not; and to snack between meals either during the morning, in the afternoon or after supper. Similarly, no statistical significant differences were noted when relating the BMI categories of the gender groups to the frequency of consumption of ready‐prepared, convenience type meals, fast foods, and home‐cooked meals. However, a statistical significant difference (p‐value 0.006) was found between BMI categories per gender and general frequency of eating out. No statistical differences was noted between BMI categories, gender and place of residence irrespective of the type, whether the student lived with parents, independently in a flat or apartment, or a house with friends or a room, or in a university residence.     

In search of the roots of corporate reputation management: Being a consistent corporate social performer

Corporate social performance (CSP) has received a particularly high share of attention as one of the main determinants of corporate reputation. However, few studies have tested the extent to which the relationship between CSP and corporate reputation may be affected by industry, country, or other context-related variables. Besides, some conceptual thinking suggests that the impact of CSP on corporate reputation may vary according to the level of consistency of a firm's behaviors. However, this view has not been empirically addressed. For this reason, the main objective of this study is to explore the impact of consistency in CSP management on corporate reputation. Specifically, we analyze both the effect of CSP internal consistency (or consistency between environmental and social performance) and CSP consistency over time on corporate reputation. The results based on data from an international sample of 133 companies for the period 2011 to 2016, support either CSP internal consistency or CSP consistency over time (positive increment of CSP over time) positively affecting corporate reputation. The results also confirm the moderation effect of CSP internal consistency on the relationship between CSP and corporate reputation. These results reveal that consistency in social responsibility management helps a firm to consolidate its corporate reputation.     

The Role of Non-Binding Pledges in Social Dilemmas with Mitigation and Adaptation

Environmental and Resource Economics - This study presents experimental results on the role that non-binding pledges have on the ability of groups to manage a threat of probabilistic group damages...