Reductions in Real versus Tariff Barriers: The Impact on Industry Concentration

Economic integration has had ambiguous effects on industry concentration. The literature on the topic proposes various explanations for these empirical findings. This paper provides an additional theoretical argument. It shows that in a world of monopolistic competition, integration alone (modeled as a reduction of trade barriers) may exert opposing forces on industry concentration, depending on whether the barrier consists of real (frictional) or tariff costs. In particular, the Herfindahl index of industry concentration falls for a reduction in real costs, but rises for a reduction in tariff costs. The reason is that real barriers burn up resources, such that industry profitability is reduced, reducing entry, and resulting in fewer firms and a correspondingly higher concentration. Under a tariff barrier, the redistributed tariff revenue stabilizes industry profitability, resulting in more firms and a lower concentration.     

The role of the exchange rate in Canadian monetary policy: evidence from a TVP-BVAR model

A time-varying parameters Bayesian structural vector autoregression (TVP-BVAR) model with stochastic volatility is employed to characterize the monetary policy stance of the Bank of Canada (BoC) in terms of an interest rate rule linking the policy rate to the output gap, inflation and the exchange rate. Using quarterly bilateral Canadian–US data, we find such an interest rate rule to have little explanatory power for the early part of our sample starting in the mid-1980s, but to become more suitable to explain interest rate dynamics from the mid-1990s onwards. Whereas the exchange rate turns out to be the major determinant of the policy rate in the 1980s, its importance declines throughout the 1990s and 2000s, although it continues to be influential even towards the end of the sample period ending in 2015Q2. We also find interest rate shocks to have become more effective in influencing the macroeconomy over time, indicating that the BoC has continually gained monetary policy credibility. We associate this development with the BoC successively de-emphasizing the role of the exchange rate in informing interest rate decisions, thereby alleviating the potential monetary policy conflict between targeting the exchange rate and maintaining the price stability goal.     

Luxury patient experience (LPX): review,conceptualization, and future research directions

ABSTRACT

The article offers a much-needed definition and conceptualization of the luxury patient experience (LPX) through applying customer experience (CX) theory to the patient experience (PX). The author highlights the important differences between the luxury patient, regular patient, and/or patient on the bottom of the service pyramid. The article proposes the implications these differences have for successfully managing the luxury patient experience. Based upon an investigation of prior customer experience and patient experience research, the article submits a definition of both, patient experience and luxury patient experience. The luxury patient experience conceptualization will influence service providers and their experience design and implementation practices. The article outlines fruitful avenues for future research in the patient luxury experience domain by proposing a shift from healthcare to wealthcare.     

Systematic literature review on entrepreneurial orientation in nonprofit organizations – Far more than business-like behavior

While entrepreneurial orientation (EO) in nonprofit organizations (NPOs) is often considered as another business-like behavior, the present systematic literature review changes this perspective by revealing that the construct refers to several specific third sector organizations' qualities and leverages financial and mission goals simultaneously. EO as a strategic posture of organizations is already well established in management and strategy literature whereas corresponding insights in NPOs are indeed expanded, but fragmented. To develop this research stream, a systematic literature review was conducted, that analyses the results of 76 studies about EO in NPOs. Besides describing current findings, this paper generates a comprehensive overview of applied constructs, drivers influencing EO, and goals promoted by this strategic posture. The context-specific modification of the construct leads to the presumption that EO does not predominantly target business-like initiatives, but holds a lot of potential meeting NPO's core challenges, such as the fulfillment of various stakeholders' expectations or diverse resources acquisition. The discussion elaborates to what extent EO serves as a viable alternative to highly discussed third sector developments of business approximation.     

Works council ‘disaffection’ and establishment survivability

This article investigates the association between a measure of works council heterogeneity and plant closings in Germany, 2006–2015. Two datasets are used to identify failed establishments, while institutional heterogeneity is captured by management perceptions of the role of the works council in managerial decision making and also by allowing for works council learning. The potential moderating role of sectoral collective bargaining is also examined. We report that works councils per se are not associated with plant closure. Rather, it is establishments with disaffected councils that display higher rates of closure. The latter result does not obtain where such establishments are covered by sectoral agreements; an outcome that is consistent with the literature on the mitigation of rent-seeking behaviour, and one that also receives support from our finding that plants with dissonant councils are more likely than their consensual counterparts to transition into sectoral bargaining coverage. On the other hand, there is only limited evidence of works council learning.     

How to design virus containment policies? A joint analysis of economic and epidemic dynamics under the COVID-19 pandemic

Journal of Economic Interaction and Coordination - We analyze the impact of different designs of COVID-19-related lockdown policies on economic loss and mortality using a micro-level simulation...     

CSR activity in response to the Paris Agreement exit

In 2017, U.S. President Donald Trump announced his intention to withdraw the United States from the Paris Agreement. Although there were concerns that the exit would impede the global effort to reduce greenhouse gas emissions, the environmental performance of U.S. firms in carbon-intensive sectors improved after the announcement at a significantly higher pace than firms in other sectors. Moreover, our findings are concentrated among firms exposed to higher public attention. One implication is that firms under greater public scrutiny used the United States' departure from the agreement as an opportunity to credibly signal their commitment to combating global climate change.