The impact of environmental information on professional purchasers' choice of products

Professional food purchasers are an important group of people since they influence what alternatives of a food product consumers will have the possibility to choose between. The aim of the present study was to investigate the inclination among professional purchasers to choose food products associated with more benign environmental consequences. Information about product price, total use of energy, emission of greenhouse gases and use of pesticides associated with production and consumption of one kilogram of minced beef and fresh apples was varied systematically in order to study the relative influence on product preference. Product price was found to influence product preference more than any of the three environmentally related factors. Introduction of a labeling system that indicated whether the environmental impacts associated with a food product during its life cycle were ‘better’ or ‘worse’ than an average product partly increased the effect of environmental information. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.     

The state as the investor of last resort: a comparative study of banking crises in Denmark and Sweden

This article addresses the role of the state in bailouts, i.e. government objectives and measures during banking crises. Our main question concerns the incentives and measures that governments pursue in a state of a systemic banking crisis, and why they are launched. What have been the objectives and operations when a government has decided to act as an investor of last resort and take control of commercial banks? The answer is limited to cover the financial history of two countries. The study unveils government interventions in the latest crises in Denmark and Sweden, and critically analyse which objectives justified the setting up of organisations for financial stability. The two country-cases differ in terms of historical experience, context, and time-period. We compare intrinsic principles and perceptions for government intervention, with a focus on bailouts and state-owned banks. We argue that the implementation of measures dates back to the early phases of capitalism in the 19th century i.e. is part of a historical institutional pattern. The similarities shown indicate that there is an international standard for a public–private arrangement ensuring financial stability. Our results relate to the discussion of launching effective and legitimate state policies during and after a systemic banking crisis.     

Energy and machines. Energy capital ratios in Europe and Latin America. 1875–1970

The relationship between energy and capital is one of the most important aspects of modern economic growth. Machines need energy to produce all the goods we enjoy; energy would be far less useful for humankind in absence of machines. However, the great majority of the economic models do not take into account the elasticities of substitution (or complementaries) between these two main variables. Actually, energy is absent in many growth models and discussions on diverging economic development paths. We approach this relevant issue from a new perspective: energy and capital relations during 100 years. We use the latest estimations of capital stock (machinery and equipment) and energy consumption for Latin America and compare them with those of Western Europe. The energy–capital ratio (how much energy is used per unit of capital) could be a predictor of economic growth, thus providing stylised facts about the timing and causes of the different modernisation patterns of these regions and showing us some answers on the long-run relationship between energy consumption and capital accumulation.     

Corporate Diversification and the Cost of Debt

The Journal of Real Estate Finance and Economics - This paper investigates whether corporate diversification by property type and by geography reduces the costs of debt capital. It employs...     

On the provision of incentives in finance experiments

Monetary incentives are a procedural pillar in experimental economics. By applying four distinct monetary incentive schemes in three experimental finance applications, we investigate the impact of an incentive scheme’s salience on results and elicit subjects’ perception of the experienced scheme. We find (1) no differences in results between salient schemes but a significant impact if the incentive scheme is non-salient. (2) The number of previous participations has a significant impact on the perception of the incentive scheme by subjects: it strongly correlates with subjects’ motives for participation, positively contributes to subjects’ understanding of the incentive scheme, but has no influence on subjects’ motivation within the experiment. (3) Subjects favor more salient over less- or non-salient schemes in the gain domain and negatively evaluate high salience in the loss domain.     

About time: the narrowing gender wage gap in Austria

Empirica - We examine the gender wage gap in Austria from 2005 to 2017 using data from EU-SILC. The raw gap of hourly wages declined from 18.6 log points in 2005 to 14.9 log points in 2017. We use...     

Commodity prices and fiscal policy design: Procyclical despite a rule

Recent studies offer evidence of reduced fiscal procyclicality to commodity price changes in resource‐rich countries—a feature commonly attributed to the adoption of fiscal policy rules. We revisit this issue and find that, by controlling for global activity shocks while allowing for time‐varying changes in both fiscal policy and the volatility of shocks, this finding does not hold. To show this we develop a time‐varying dynamic factor model, allowing for a multiple of shocks, stochastic volatility and time‐varying parameters, and estimate it on data for Norway, whose handling of resource wealth is often cited as exemplary.