Freedom of choice between unitary and two-tier boards: An empirical analysis

We examine board structure in France, which since 1966 has allowed firms the freedom to choose between unitary and two-tier boards. We analyze how this choice relates to characteristics of the firm and its environment. Firms with severe asymmetric information tend to opt for unitary boards; firms with a potential for private benefits extraction tend to adopt two-tier boards. Chief executive officer turnover is more sensitive to performance at firms with two-tier boards, indicating greater monitoring. Our results are broadly consistent with the Adams and Ferreira (2007) model and suggest that gains result from allowing freedom of contract about board structure.     

Cost-effectiveness of ceritinib in previously untreated anaplastic lymphoma kinase-positive metastatic non-small cell lung cancer in the United States

Aims: To assess the cost-effectiveness of first-line ceritinib vs crizotinib and platinum doublet chemotherapy for anaplastic lymphoma kinase (ALK)-positive metastatic non-small cell lung cancer (NSCLC) from a US third-party payer’s perspective.

Materials and methods: A partitioned survival model with three health states (stable disease, progressive disease, death) was developed over a 20-year time horizon. Ceritinib’s efficacy inputs (progression-free and overall survival) were estimated from ASCEND-4; parametric survival models extrapolated data beyond the trial period. The relative efficacy of ceritinib vs chemotherapy was obtained from ASCEND-4, the relative efficacy of ceritinib vs crizotinib was estimated using a matching-adjusted indirect comparison based on ASCEND-4 and PROFILE 1014. Drug acquisition, treatment administration, adverse event management, and medical costs were obtained from publicly available databases and the literature, and inflated to 2016?US dollars. Treatment-specific stable-state utilities were derived from trials and progressive-state utility from the literature. Incremental costs per quality-adjusted life year (QALY) were estimated for ceritinib vs each comparator. Cost-effectiveness was assessed based on US willingness-to-pay thresholds. Deterministic and probabilistic sensitivity analyses were performed to test model robustness.

Results: In the base case, first-line ceritinib was associated with total direct costs of $299,777 and 3.28 QALYs (from 4.61 life years gained [LYG]) over 20 years. First-line crizotinib and chemotherapy were associated with 2.73 and 2.41 QALYs, 3.92 and 3.53 LYG, and $263,172 and $228,184 total direct costs, respectively. The incremental cost per QALY gained was $66,064 for ceritinib vs crizotinib and $81,645 for ceritinib vs chemotherapy. In the first 2 years following treatment initiation, ceritinib dominated crizotinib by conferring greater health benefits at reduced total costs. Results were robust to deterministic and probabilistic sensitivity analyses.

Limitations: In the absence of head-to-head trials, an indirect comparison method was used.

Conclusions: Ceritinib is cost-effective compared to crizotinib and chemotherapy in the treatment of previously untreated ALK-positive metastatic NCSLC in the US.     

What divides the first and second generations? Family time of arrival and educational outcomes for immigrant youth

In this article, I develop a measure of host country experience, which I call “relative time of arrival,” to explore differences between first- and second-generation immigrants. This measure is finer than immigrant generation and expands on the widely used measures of years since migration and age at migration. It is scaled so that zero indicates that a child was born in the same year that the family migrated, and the negative side of the scale measures parents' host country experience before the child's birth. I then use relative time of arrival to assess whether parents' host country experience before birth matters and generally find that it does not. I also study the dividing line between the first and second generations, specifically, whether there are differences in educational outcomes between early arriving first-generation immigrants and second-generation immigrants whose parents arrived shortly before birth. For most outcomes considered, I find that the transition between the first and second generations is relatively smooth, indicating that these groups are not as distinct as often thought. Thus, observed differences between the first and second generations are driven by the lower performance of late-arriving first-generation children.     

Can Income Inequality be Affected by the Interaction Between ICTs and Human Capital?: The Evidence from Developing Countries

Income inequality in developing countries remains a major concern. It has been established that higher inequality makes a greater proportion of the population vulnerable to poverty. This paper aimed to analyse the effect of the interaction between ICTs and human capital on income inequality in developing countries. Covering 89 developing countries for the period 2000 to 2015 and based on panel fixed effects instrumental variables technique, this study finds that the interaction between ICTs and human capital reduces overall income inequality on the one hand, and on the other, leads to an increase in the income shares of the poorest, and in particular relative to the richest in developing countries. Furthermore, the interaction between ICTs and human capital reinforces the impact of ICTs on income inequality in developing countries. These results suggest that prioritizing the acquisition of human capital by the poorest, as well as promoting access to and use of ICTs for the benefit of the poorest would significantly contribute to reduce overall income inequality and increase income shares of the poorest in developing countries.

     

Inclusive human resource management in freelancers' employment relationships: The role of organizational needs and freelancers' psychological contracts

This study aimed to advance our understanding of inclusive human resource management (HRM) in freelance employment. We examined organizational needs and freelancers' psychological contracts with a qualitative interview study among eight dyads of HR managers and freelancers. Although the findings showed that organisations and freelancers have different interests, both parties agreed on what inclusive HRM entails in freelancers' employment relationships. However, within the dyads, the content of the psychological contract was not always viewed the same by HR managers and freelancers. Hence, negotiating mutual expectations when implementing inclusive HRM to avoid psychological contract breach appeared important. Furthermore, organizational needs did not seem to be considered when designing inclusive HRM. Due to this lack of strategic fit, organisations may waste opportunities of tapping into the full potential of hiring freelancers. The findings provide organisations insight in considering freelancers as potential sources of competitive advantage.     

Localized sentiment trading in heterogeneous labor markets: evidence from free agent signings

We show that free agent signings in U.S. professional sports are associated with localized sentiment trading effects. Responses are influenced by player performance, labor contract and sport structure characteristics unique to each league. Football signings lack guarantees and are noisy signals while the most informative baseball signings reflect player performance. Sentiment effects of basketball signings are mixed. Investors respond positively to contract extension announcements, but negatively to new contract negotiations, with either the current team or a different franchise. Exceptions are for free agents with high performance rankings or who are perceived to improve the odds of winning a championship. We also provide some evidence that sentiment trading is driven primarily by retail investors.

     

Access to paved roads,gender, and youth unemployment in rural areas: Evidence from sub-Saharan Africa

The poor development of road infrastructure is one of the main obstacles to economic activity and therefore to employment in rural areas of sub-Saharan Africa (SSA). Using cross-sectional data from 31 SSA countries, this study examines, from a gender perspective, the effect of access to paved roads on youth unemployment in rural areas in the region. The seemingly unrelated bivariate probit framework has been adopted in analysing the data. This approach is used for addressing the possible endogeneity bias that occurs when the dependent variable and regressor are both endogenous and binary. The major finding of this study reveals that access to paved roads in rural areas reduces the probability that young people will face unemployment. The aforementioned is more pronounced for young women than for young men. Moreover, the greater the proximity to the road increases, the greater its reducing effect on the probability of young people being unemployed. It is therefore important that the development of road infrastructure in rural areas be at the centre of public policies to address youth unemployment in SSA countries. This will significantly increase women's empowerment, through their participation in the labour market, and the full economic participation of young people.     

Gender inequality in asset ownership and women's food security in sub-Saharan Africa

Unequal asset rights remain an important driver of gender inequality and food insecurity in sub-Saharan Africa (SSA). Using cross-sectional data from 31 SSA countries, this study examines the effect of gender inequality in asset ownership on women's food security in the region. The seemingly unrelated (SUR) bivariate probit framework has been adopted in analysing the data. This approach is used for addressing the possible endogeneity bias that occurs when the dependent variable and regressor are both endogenous and binary. The major finding of this study reveals that gender inequality in asset ownership increases women's risk of facing food insecurity. The aforementioned is more pronounced for women who are undereducated, live in rural areas, and suffer various forms of discrimination. It is therefore important that more egalitarian laws on asset ownership and inheritance be adopted in all SSA countries. This will significantly increase women's specific food security and thus contribute to improving inclusiveness in these countries.