Ambiguous framings of political consumerism: means or end,product or process orientation?

For dealing with various societal problems, ‘political’/‘ethical’/‘responsible’ consumerism is often discussed as an effective democratic and participatory tool. However, political consumerism – along with its tools, such as product labelling – is often conceived and discussed in oversimplified ways. Instead, the tension between scientific complexity, knowledge uncertainty and a codified, standardized label involves extensive political strategy, interest conflicts and simplified framings of the consumers’ roles as political decision makers. The purpose of this paper is to analyse how criteria for organic food labelling have been simplified, or framed, within various versions of political consumerism in policy debates. The more general purpose is to examine variations of what consumerism may entail theoretically and practically. Examples are chosen of organic food labelling in the US. The analysis is based on framing theory. The first distinction is made between framings surrounding the extrinsic and intrinsic values of consumerism (i.e. consumer empowerment towards an external goal, or as an overriding principle of democracy). The second distinction is between product‐ and process‐oriented consumerism (i.e. consumer empowerment with regard to the purchased goods or concerning the ‘invisible’ production and disposal processes). These distinctions may facilitate critical examinations of criteria, processes and communication of consumer‐related policies.     

Firm competition and incentive pay: Rent seeking at work

Empirical evidence shows that competition among firms generates steep incentives inside firms. Incentive pay stimulates productive investments but may generate inefficient rent-seeking investments. I show that competition reduces firms’ profits and thereby the inefficient investments, which makes steep incentives attractive.     

Unemployment and gang crime: can prosperity backfire?

In this paper, we study how unemployment affects gang crime. We examine a model of criminal gangs and suggest that a substitution effect between petty crime and severe crime is at work. In the model, non-monetary valuation of gang membership is private knowledge. Thus, the leaders face a trade-off between less crime per member in large gangs and more crime per member in small gangs. A decrease in unemployment may result in a switch from a large gang that requires petty crime to a small gang that requires severe crime.     

Judiciaries in corrupt societies

Recent empirical work shows that judicial dependence can explain high levels of corruption. This paper examines how the dependence of judiciaries influences corruption at different levels of the government in a model where the central government, low-level officials, and the judiciary are corrupt. In the model, the central government sells offices to low-level officials and demands ex-post payments enforced by the judiciary. Because an independent judiciary can rule against the central authority and accept bribes from stealing low-level officials, it reduces corruption at the higher level of government but promotes corruption at the lower level. Therefore, even if highly corrupt, an independent judiciary may reduce total corruption.     

Evaluating early warning indicators of banking crises: Satisfying policy requirements

Ideally, early warning indicators (EWI) of banking crises should be evaluated on the basis of their performance relative to the macroprudential policy maker’s decision problem. We translate several practical aspects of this problem — such as difficulties in assessing the costs and benefits of various policy measures, as well as requirements for the timing and stability of EWIs — into statistical evaluation criteria. Applying the criteria to a set of potential EWIs, we find that the credit-to-GDP gap and a new indicator, the debt service ratio (DSR), consistently outperform other measures. The credit-to-GDP gap is the best indicator at longer horizons, whereas the DSR dominates at shorter horizons.     

Firm‐Level Competition and Exchange Rate Exposure: Evidence from a Global Survey of Firms

We examine the effect of competition on exchange rate exposure using survey data from 55 countries. We find that exposure increases with the intensity of competition. Exposure is higher when firms face price competition in international and domestic product markets and when rivals compete using an unfair financial advantage. Furthermore, competition is a leading determinant of exposure, dominating the usual determinants. Exposure also increases with several determinants not previously empirically examined, such as firm‐level financial constraints. These results hold for small, large, foreign‐involved, and purely domestic firms. Finally, import‐only firms have higher exposure than export‐only firms. Our survey results are likely to capture exposure before firms’ hedging actions.     

Management in the “neo-paternalistic organization”: The case of worksite health promotion at Scania

This paper proposes a qualitative study of Work Site Health Promotion (WHP) at the large Swedish producer of trucks and buses, Scania. While the concept of WHP implies that it is employees’ improved health at work that is strived for, we suggest that its main area of intervention is neither the work environment, nor what employees do at work, but employees’ lifestyles. To capture the potential of WHP for the management of organization, we introduce the concept of “neo-paternalistic organizational control.” By this term we want to draw attention to how WHP shares paternalistic approaches’ tendency of disregarding the professional-private divide, while also drawing attention to how this extra-professional control dimension is at once less intrusive and more discriminatory than what is traditionally referred to as paternalism in the literature on managerial control.     

Tests for cointegration rank and the initial condition

Many economic events involve initial observations that substantially deviate from long-run steady state. Such initial conditions are known to affect the power of univariate unit root tests diversely, whereas their impact on multivariate tests is largely unknown. This paper investigates the impact of the initial condition on the power of tests for cointegration rank, such as Johansen??s widely used likelihood ratio test, tests with prior adjustment for deterministic terms, and a test based on the eigenvalues of the companion matrix. We find that the power of the likelihood ratio test is increasing in the magnitude of the initial condition, whereas the power of the other tests is generally decreasing. We exploit these findings in an application to price convergence.     

Hospitalization due to stroke and myocardial infarction in self-employed individuals and small business owners compared with paid employees in Sweden—a 5-year study

Small Business Economics - Analysing Swedish population register data, the aim of the present study is to investigate differences in acute cardiovascular disease (CVD) in terms of stroke and...     

Taxation, Labor Market Policy and High-Impact Entrepreneurship

Public policy affects the prevalence and performance of both productive and high-impact entrepreneurship. High-impact entrepreneurship prospers when knowledge is successfully generated and exploited in the economy. This process depends on complementary key actors who use their competencies in what we denote a competence bloc. Although variations in economic contexts make prescribing a general panacea impossible, a number of relevant policy areas that affect key actors can be identified. In this paper this is done in the areas of tax policy and labor market policy. It is shown that high and/or distortive taxes and heavy labor market regulations impinge on the creation and functioning of competence blocs, thereby reducing high-impact entrepreneurship.