An Empirical Study of Firm Size and Competitiveness in German Life Insurance

Based on a purely rank-oriented approach, this empirical study analyzes to what extent superior firm size in German life industry generally translates into corporate advantages for the companies concerned. It turns out that while modest advantages with some criteria are measurable, any such benefits are usually outweighed by unquantifiable factors unrelated to firm size. Confining the study to a highly homogeneous subgroup of life insurers, however, reveals substantial corporate advantages in a number of areas, thereby confirming well-established theoretical reasoning.     

Machine learning in individual claims reserving

Machine learning techniques make it feasible to calculate claims reserves on individual claims data. This paper illustrates how these techniques can be used by providing an explicit example in individual claims reserving.     

Foreign Direct Investments and Domestic Employment of German SMEs: The Moderating Effect of Owner Management

Despite considerable research, the relationship between foreign direct investment (FDI) and domestic employment is still inconclusive. The present paper contributes to extant research by providing differentiated findings on the FDI and domestic employment relationship. We examine how horizontal and vertical FDI impact domestic employment and how the effects are contingent on the ownership structure of the firm. Testing hypotheses on a dataset of 1,079 German small and medium‐sized enterprises (SMEs) shows that horizontal FDI has a positive influence, whereas vertical FDI has a negative influence on domestic employment. Furthermore, domestic downsizing due to the establishment of foreign production subsidiaries is less severe in owner‐managed SMEs.     

False Discoveries und Fehlinterpretationen wissenschaftlicher Ergebnisse

High-quality science communication to the public depends to a large extent on the way research findings are translated into comprehensible language and common speech. In this communicative process, a reasonable evaluation of the trustworthiness of empirical findings, based on an adequate interpretation of statistical analyses, is absolutely crucial. This paper’s authors argue that the credibility of science is jeopardised by two compromising developments within science itself: on the one hand, an inflation of ostensible empirical evidence related to misuses and misinterpretations of the concept of statistical significance, and, on the other, a sensationalist overvaluation of the results of single studies instead of an adequate representation of the available body of evidence in a given scientific field.