An analysis of the construct “involvement” in consumer behaviour

The aim of this paper is to analyse the construct involvement. Specifically, the present work extends the sphere of study of the construct involvement at brand level, applying it to Denominations of Origin (D.O.s). Hence, after an overview of the concept, it suggests a cognitive approach to the measurement of involvement. It proposes as indicators the number of values associated with this designation, the centrality of these values and the intensity of the association. In this delimitation of the concept, a model is presented that is set within the framework of an analysis of the decision-making process adopted by consumers when purchasing wine. This postulates that temporary involvement with a D.O. has explanatory power, as does the direct effect of the regular outcomes of a permanent involvement with such a designation on the process in question. In addition, a correlation is proposed between the state of temporary involvement with a D.O. and the continuing consequences of a permanent involvement with this designation.     

The effect of a destination branding strategy for rural tourism on the perceived value of the conservation of the indigenous resources of the rural tourism destination: the case of Spain

The identification of mechanisms that encourage the tourism sector to contribute to sustainable conservation is of great interest. The present work proposes the use of destination branding based on contribution to the conservation of the indigenous resources of the rural tourist destination, and studies the effect this has on perceived value for the tourist visiting the destination. A scale of destination brand identity is validated, along with a scale for destination brand positioning and another for perceived value, as viewed by the tourist, of contribution to sustainable conservation. The perceived value scale offers an overall perspective which includes: functional-affective factors; benefits–sacrifices; the pre-visit stage; and the stay in the rural tourism location. These findings make a new contribution to both literature and to the professional sector.     

Rybczynski's Theorem in the Heckscher-Ohlin World — Anything Goes

We demonstrate that Rybczynski's classic comparative statics can be reversed in a Heckscher-Ohlin world when preferences in each country favor the exported commodity. This taste bias has empirical support. An increase in the endowment of a factor of production can lead to an absolute curtailment in the production of the commodity using that factor intensively, and an absolute expansion of the commodity using relatively little of the same factor. This outcome - which we call “Reverse Rybczynski” - implies immiserizing factor growth. We present a simple analytical example that delivers this result with unique pre- and post-growth equilibria. In this example, production occurs within the cone of diversification, such that factor price equalization holds. We also provide general conditions that determine the sign of Rybczynski's comparative statics.     

Entry restrictions and the determination of quality

Entry restrictions are a common form of regulation in markets and occupations, either as a means of limiting the size of a market or affecting the quality of products or services provided by it. This paper analyzes demand, cost and informational characteristics that affect the impact of this type of policies on the quality mix of products provided by an industry and the welfare of its consumers. Selective increases in the costs of entry such as licensing requirements and direct restrictions with competitive bidding for entry rights are considered. We analyze the effects of these policies on entry decisions and also the additional selection effects that are obtained when exit is allowed for and the rights to participate in an industry can be freely traded.     

Country Risk,Regulation, and Liquidity Transformation in Palestine and Neighboring Countries

This study analyzes the impact of economic, financial, and political instability on the liquidity transformation of banks operating in unstable environments. Our main goal is to assess the relationship between overall risk in a country and liquidity transformation. With this goal in mind, we use a sample of five Middle Eastern countries during the period 2005–2010. Our results showed that the high-risk environment has a significant and negative impact on both liquidity transformation and the extension of credit. In addition, we conclude that high capital requirements may reduce further lending, while imposing liquidity requirements seems to be a better strategy for enhancing liquidity transformation.     

Examples of unit tax superiority for a price-discriminating monopolist

This paper compares the welfare effects of per-unit and ad valorem taxes in four pervasive price discrimination schemes: quantity discounts, two-part tariffs, bundling, and package size price discrimination. The paper shows by example that per-unit taxes may welfare dominate ad valorem tariffs in a market with a monopoly that maximizes profits by engaging in second-degree price discrimination.     

The Latino Assumption: A Research Note

The Latino assumption refers to the presumption that individuals residing in the United States and its commonwealths who have descended from Latin American countries and Spain constitute a homogeneous panethnic social identity. Inappropriately studying individuals of Latin American and Spanish descent as a homogeneous group in leisure research may result in threats to internal validity, statistical conclusion, and external validity. This article examines these issues and the historical context of the Latino assumption.