The moderating role of anticipated affective ambivalence in the formation of entrepreneurial intentions

Students’ predictions of the affective consequences of starting their own business encompass, simultaneously, positive and negative thoughts and feelings (anticipated affective ambivalence). We theorize that anticipated affective ambivalence constitutes a significant element in the entrepreneurial process holding a central role in the realization of entrepreneurial intentions. In the herein presented research, we propose and test a model within which anticipated affective ambivalence is expected to moderate the impact of attitudes towards entrepreneurship (ATT), subjective norms (SN), and perceived behavioral control (PBC) on entrepreneurial intention. Results from a large sample of university student participants found that anticipated affective ambivalence moderated the effects of ATT and SN on entrepreneurial intention (INT) but not the effect of PBC on INT. Theoretically the findings introduce affective ambivalence in the area of nascent entrepreneurship and within the Theory of Planned Behavior model. Practically, the study highlights affective ambivalence in the context of universities’ increasing interest to promote entrepreneurship and to develop suitable educational programs.     

Economic Effects of the Consumer‐oriented Genetically Modified Products in Markets with a Labelling Regime

This paper builds on the literature on the economic effects of the second‐generation, consumer‐oriented genetically modified products (GMPs). It analyses the market and welfare impacts of the introduction of these new products in markets, like the EU, that mandate the segregation and labelling of the first‐generation, producer‐oriented GMPs. Developing an empirically relevant model of heterogeneous consumers and producers, the study determines the effects of the consumer‐oriented GMPs on the markets of conventional, GM and organic products, and the welfare of consumers and agricultural producers. Analytical results indicate that the market effects of the new GMPs are case specific and depend on: (i) the consumer valuation of the quality‐enhancing attribute of the new GMP; (ii) the level of consumer aversion to GMOs; (iii) the strength of consumer preference for organic products; and (iv) the production costs and marketing margins in the different supply channels. The policy on the labelling of the first‐generation GMPs does not affect the impacts of the second‐generation GMPs on the quantities and market shares of the different products. However, it does affect their price effects and welfare implications. The introduction of consumer‐oriented GMPs under a mandatory labelling regime can result in losses for some GM consumers and all producers of the conventional product.     

THE ECONOMICS OF HEALTH AND SAFETY AT WORK: AN INTERDICIPLINARY REVIEW OF THE THEORY AND POLICY

Abstract This paper engages in an interdisciplinary survey of the current state of knowledge related to the theory, determinants and consequences of occupational safety and health (OSH). It first describes the fundamental theoretical construct of compensating wage differentials, which is used by economists to understand the optimal provision of OSH in a perfectly competitive labour market. The plethora of incentives faced by workers and firms in job and insurance markets that determine the ultimate level of OSH are discussed in detail. The extensive empirical evidence from the hedonic wage and stated choice approaches used to assess the value of OSH is reviewed. The causes of inefficiency and inequity in the market for OSH, such as externalities, moral hazard in compensation insurance, systematic biases in individual risk perception/well‐being and labour market segregation are subsequently examined. The implications of government intervention and regulation for tackling the aforementioned inefficiencies in OSH are then considered. Finally, the survey identifies areas of future research interests and suggests indicators and priorities for policy initiatives that can improve the health and safety of workers in modern job markets.     

STATE DEPENDENCE IN LABOR MARKET FLUCTUATIONS

This article documents state dependence in labor market fluctuations. Using a Threshold Vector Autoregression (TVAR) model, we establish that the unemployment rate, the job separation rate, and the job-finding rate (JFR) exhibit a larger response to productivity shocks during periods with low aggregate productivity. A Diamond–Mortensen–Pissarides model with endogenous job separation and on-the-job search replicates these empirical regularities well. We calibrate the model to match the standard deviation of the job-transition rates explained by productivity shocks in the TVAR, and show that the model explains 88% of the state dependence in the unemployment rate, 76% for the separation rate and 36% for the JFR. The key channel underpinning state dependence in both job separation and JFRs is the interaction of the firm's reservation productivity level and the distribution of match-specific idiosyncratic productivity. Results are robust across several variations to the baseline model.     

Integrated Resort Development: The Case of Cavo Sidero,Crete

Many governments have encouraged integrated resort development in an attempt to improve the well-being of the local population by generating jobs and increasing income, and because of the easier control of tourism activities within their boundaries. However, most research reports various adverse environmental and social impacts. Because of the difficulty of assessing the impacts that may result from the construction of integrated resorts, the majority of research has been conducted after their construction. This study is an impact assessment carried out prior to a large-scale development that examines whether an integrated resort proposed for development at Cavo Sidero, Crete, will result in positive impacts for the destination and the local community, and it investigates whether any conflicting interests have arisen within stakeholder groups. Through primary research examining various stakeholder groups it is revealed that economic impacts are perceived as mostly positive, while social and environmental impacts, in many cases, are viewed as negative, and that conflicting interests have arisen between different stakeholder groups.     

‘Information communication technology’ innovation in a non-high technology sector: achieving competitive advantage in the shipping industry

The global marketplace is resulting in an ever-increasing networked and digitalised landscape where organisations compete as integrated supply chains. This paper explores the impact that the digital networked environment has on the traditional shipping services industry. The research contribution has four aspects: (1) most research efforts focus on high technology sectors; this research emphasises the need for information communication technology (ICT) adoption in a non-high technology sector; (2) the research highlights the importance of ICT in achieving competitive advantage in the complex environment of shipping; (3) complexity principles are applied to the discussion on ICT; and (4) the link between ICT and the development of dynamic capabilities is created.     

Efficiency and formation of expectations: evidence from the European investment survey

The European Commission conducts an annual survey regarding planned and realized business fixed investment across various manufacturing sectors in Euroland. In this study we investigate the predictive content of survey-based expectations on investment. In addition, we empirically test the rationality of respondents both in a time series as well as in a panel context. According to our results, based on pooling the data, efficiency is rejected since expectations are biased predictors of actual outcomes. Furthermore, expectations revisions are found to be correlated with components of the information set known at the time of decision making. Finally, our results qualify regressive expectations as the mechanism that more adequately describes the formation of expectations.     

Efficiency of the California electricity reserves market

We test the efficiency of the California electricity reserves market by examining systematic differences between its day- and hour-ahead prices. We uncover significant day-ahead premia, which we attribute to market design characteristics. On the demand side, the market design established a principal–agent relationship between the markets' buyers (principal) and their supervisory authority (agent). The agent had very limited incentives to shift reserve purchases to the lower priced hour-ahead markets. On the supply side, the market design raised substantial entry barriers by precluding purely speculative trading and by introducing a complicated code of conduct that induced uncertainty about which actions were subject to regulatory scrutiny. We use a high-dimensional vector moving average model to estimate the premia and conduct correct inferences. To obtain exact maximum likelihood estimates of the model, we develop a new EM algorithm that seamlessly incorporates missing data and applies directly to general moving average time series models. Our algorithm uses only analytical expressions: the Kalman filter and a fixed interval smoother in the E step and least squares-type regressions in the M step. Copyright © 2007 John Wiley & Sons, Ltd.