Defaults and advice in self-customization procedures of insurance

The customization of insurance products is a crucial factor for the success of many insurance companies because it allows customers to tailor the insurance according to their specific needs. Customization can lead to increased customer satisfaction and loyalty. Focusing on two vertical customization methods, by-attribute and by-alternative customization, we experimentally analyze the influence of defaults. Moreover, we compare the effect of defaults to the influence of stated advice. Our results demonstrate that defaults enhance the likelihood of choosing premium insurance compared to a situation without defaults for both the by-attribute customization and the by-alternative customization. However, the customization process itself has no influence on default acceptance. If insurance companies combine a default with extensive advice (i.?e., advice that provides an explanation for why the advice is given), customers are most likely to choose the premium insurance.     

Impediments to Communication in Financial Institutions: Implications for the Risk Management Organization

This article investigates the question of how risk management should be embedded in a financial firm’s hierarchy. We answer this question by combining capital market theory with game-theoretic thinking. We develop a theory for the integration of risk management into an organization, based on private information and differences in preferences. Our model compares the payoffs from uninformed decision-making, solo decision-making, joint voting decision-making, and coordinated decision-making when information about a project’s expected return and risk is dispersed in the organization. Our findings have a number of implications for the organization of risk management.     

Taking part in technology education: elements in students’ motivation

The purpose of this study was to determine the elements motivating comprehensive school students to study technology education. In addition, we tried to discover how students' motivation towards technology education developed over the period leading up to their school experience and the effect this might have on their future involvement with technology. The research was carried out as a qualitative case study and the material was collected through individual theme interviews. The study group consisted of four 15 to 16-year-old students, each representing a totally different case of motivation towards technology education. In choosing individuals for the study the main criteria were gender and negative or positive motivation towards technology education. This study found that the artefact to be made in school and the student’s freedom of choice had the most significant effect on motivation. Although, we must be careful with final conclusions as the research group was relatively small.     

The Influences of Socio-cultural Interaction upon Children's Thinking and Actions in Prescribed and Open-Ended Problem Solving Situations (An Investigation Involving Design and Technology Lessons in English and Finnish Primary Schools)

The purpose of this study was to explore the value and impact of social interaction upon children's design and technological thinking and actions. The study was based on the assumption that constructivistic driven and open-ended, creative design learning contexts enabled children to form, as well as to reconstruct, their designing and making capabilities and knowledge. Children were required, by means of open and closed teaching methods, to technologically create a particular product which used sound for a chosen purpose.The resultant multiple data collection processes, using videos of children working, examination of children's completed projects and semi-structured interview techniques, enabled the authors to analyse childrens' acquisition of Design and Technology (D&T) knowledge.Pupil's capabilities were seen to be enhanced through their direct, active, socio-cultural interactions, within a range of classroom settings, and involving different teaching methods, with respect to the primary curricula in UK and Finland.     

Unsolved problems of world trade policy

Talks began early in March in Geneva between the members of the extended EEC and their trading partners. These negotiations are being held in accordance with GATT Statute which insists that third countries must be compensated for any disadvantages they may suffer as a consequence of Great Britain, Denmark and Ireland joining the EEC.     

Economic and political effects on currency clustering dynamics

The symbolic performance of a currency describes its position in the FX markets independent of a base currency and allows the study of central bank policy and the assessment of economic and political developments