Analysing the impact of restructuring transportation,production and distribution on costs and environment – a case from the Thai Rubber industry

Transportation and distribution are key elements to successful supply chains, however there is some disagreement regarding the impact of distribution and transportation restructuring on costs and the environment. This paper explores the use of an optimisation model of Thailand’s rubber industry supply chain, to assess the impact of distribution and transportation on costs and greenhouse gas emissions. It has previously been observed that there is a positive correlation between transportation cost reduction and environmental impact, nevertheless the correlation is not clearly established when the distribution system is restructured. This paper is divided into two parts: the first part examines the impact of transportation service capacity on distribution decisions; the second part of the paper aims to examine the impact of restructuring the distribution network considering multi-modal options on cost and greenhouse gas emissions. For both parts a scenario analysis is utilised in conjunction with an optimisation model to derive the best possible answer in terms of costs and GHG emissions. In this paper, the results obtained indicate that the impact on cost minimisation from the increase in rail freight service capacity is marginal, while the impact on GHG emission minimisation is more significant. In terms of short-sea shipping prices and service capacity, the scenario analysis shows a slight positive impact on cost minimisation but no positive or negative impact on GHG emission minimisation. Results also confirm that in terms of economic advantages, distribution network restructuring provides greater benefit to the industry than does capacity development for the transportation service.     

Imitation and the evolution of Walrasian behavior: Theoretically fragile but behaviorally robust

A well-known result by Vega-Redondo (1997) [18] implies that in symmetric Cournot oligopolies, imitation leads to the Walrasian outcome. We show that this result is not robust to the slightest asymmetry in costs, since every outcome where agents choose identical actions will be played some fraction of the time in the long run. We then conduct experiments to check this fragility. We obtain that, contrary to the theoretical prediction, the Walrasian outcome is a good predictor of market outcomes. Finally, we suggest a new theory based on a mix of imitation and other learning processes that explains subjects' behavior fairly well.     

Human capital in OECD countries: Technical change,efficiency and productivity

The aim of this paper is to analyse the role of human capital in the productivity gains of the OECD countries in the period 1965-90, breaking down the productivity gains into technical change and gains in efficiency. For this purpose we use both a stochastic frontier approach and a non-parametric approach (DEA) and calculate Malmquist indices of productivity. The results obtained indicate the existence of both a level effect (a higher level of human capital raises labour productivity) and a rate effect (a higher level of human capital affects positively the rate of technical change) associated with human capital. The differences among countries in endowments of human capital have worked against labour productivity convergence, since the richer countries, thanks to their greater endowment of human capital, have experienced higher rates of technical change.     

Social comparisons in wage delegation: experimental evidence

We make two main contributions in this article. We examine whether social comparisons affects workers’ performance when a firm can choose workers’ wages or let them choose their own. Firms can delegate the wage decision to neither, one or both workers in the firm. We vary the information workers receive, finding that social comparisons concerning both wages and decision rights affect workers’ performance. Our second contribution is methodological. We find that our treatment effects are present with both stated effort and a real-effort task, which suggests that both approaches may yield similar results in labor experiments.     

Selectivity in hierarchical social systems

We consider a selection process and a hierarchical institution in a dynamic model as in Harrington (1998) [4], where agents are “climbing the pyramid” in a rank-order contest based on the “up or out” policy. Agents are matched in pairs to compete, and each pair faces a particular environment. They are ranked according to the quality of their performances in this particular environment, and a fraction of the highest ranked agents are promoted. The size of this fraction characterizes the selectivity of the process, and we distinguish between local and global selectivity. We study the role of the degree of selectivity in the dynamic process where types of agent differ in their expected performances. Surprisingly, we find that an increase in the selectivity of the process can be detrimental to the agents with the highest expected performances and can increase the survivability of the lesser performing. However, if the selectivity decreases, the only survivor is the agent with the highest expected performance.