Institutions and Deposit Insurance: Empirical Evidence

Do banks’ responses to changes in deposit insurance vary across countries even if the countries have comparable institutions? If so, by how much? Using data on the financial performance of large banks in 15 financially and economically developed countries, we find that where deposit insurance has an effect, it is large and varies depending on the level of economic freedom, rule of law and corruption in the bank’s home country. As in prior papers, we show that during stable economic periods, increases in deposit insurance are associated with higher bank risk, both problem loans and leverage. In most, but not all, cases stronger institutions temper these effects. The institutions’ effects are substantial. For example, average changes in the rule of law double the impact of a change in deposit insurance on bank leverage. We contribute to the substantial literature in this area by showing that the institutional effects are significant even across a set of countries with comparable institutions; by conducting a careful calibration of the economic significance of the effects; by providing evidence that during stable periods changes in deposit insurance only affect bank risk and not other measures of performance; and finally by showing that the effects of both deposit insurance and institutions vary across stable and crisis economic periods. The stable period results are consistent with the moral hazard effects of deposit insurance, while the crisis period results are consistent with endogeneity concerns that poor bank performance could drive changes in regulations.     

Exploring bank website expectations across two task scenarios

This article compares consumer expectations of bank website functionality for two online task scenarios: information search and transaction. This study uses task technology fit theory and follows a novel methodological approach by using expectation ‘fit’ according to a set of website attributes. An online questionnaire, distributed through e-mail invitation, achieved a sample of 469 Internet users. This research finds several points of similarity and difference with regard to consumer expectations of website attributes according to task context and makes an important and original contribution to both practice and theory. For marketing practitioners, the findings inform how they might ‘manage’ expectations to facilitate positive website experiences. Theoretical contributions are made through integrating IS and Marketing theory to identify the impact of goal-directed behaviour on satisfaction with website attributes.     

Developing meaningfulness at work through emotional intelligence training

To date, there remains a significant gap in the human resource development (HRD) literature in understanding how training and development contributes to meaningful work. In addition, little is known about how individuals proactively make their work more meaningful. This article shows how emotional intelligence (EI) training promotes learning about sources of meaningful work and documents managers’ experiences of independently applying to the workplace what they have learnt about meaningfulness from their EI training. Data is collected from participant observations and interviews with trainers and managers attending three externally provided, ‘popular’ EI training courses. Interpreting the data through Lips‐Wiersma and Morris's model of meaningful work enables a clear articulation of managers’ capacity to shape their work environments to create four, interconnected sources of meaningfulness: inner development, expressing one's full potential, unity with others and serving others. The findings also reveal structural and agential constraints when individuals attempt to create meaningful work. Practically, the study demonstrates the importance of training to enhance work of value and significance and offers recommendations for practitioners.     

Output and input bias effects of U.S. direct payments

This study examines the national effect of U.S. direct payments on the extent and direction of biased technical change on U.S. agriculture. We also assess the economic significance of the estimated bias effects for economic policy modeling endeavors involving a reduction of domestic support payments. A two outputs (livestock and crops) and four inputs (labor, capital, land, and material) translog cost function was estimated from national time series (1948–2011) data. Results indicate that payments do not induce output‐biased technical change. We do find evidence of Hicksian bias that is land using and material input saving attributable to support payments. Global computable general equilibrium simulations suggest that price and output effects of discontinuing direct payments are 1/4 to 1/3 the size once the bias effects are incorporated.     

The influence of the environment on adventure tourism: from motivations to experiences

Inherent in most definitions of adventure tourism is the fact that it takes place in natural outdoor settings. Yet, the influence of this setting on the behaviour of adventure tourism consumers has yet to be adequately addressed. This study, therefore, investigates the relative strength and nature of environmental influences on adventure tourists in both motivations for participation and in the context of the experience. The results are based on questionnaires collected from 459 participants in adventure tourism activities along the southern coast of South Africa. They show that, although the majority of research on adventure tourism focuses on the ‘thrill’ involved, the environment is increasingly recognized as influential. The assessment of motivations, using a push and pull factor approach, demonstrates that the environment not only plays an important role in attracting adventure tourists towards specific destinations, but that they also seek out interactions with nature. In addition, participants suggested that the environment is an especially significant component of their experiences. The fact that the findings demonstrate the importance of the environment in both the motivations and experiences of adventure tourism participants, means that such an approach would make a definite contribution to discussions, planning, and policy linked to the adventure tourism industry.     

A new president in the White House: implications for Canadian agricultural trade

Canadian agricultural trade has experienced several volatile periods over the past 15 years. The Great Recession (2007–2009), the 2015–2016 global trade slowdown, unilateral policy actions by the United States against key trade allies and the multilateral system more generally, and the impacts of the Covid‐19 pandemic are among the most significant events during this period. Given the close integration of Canadian and US agricultural markets, the recent US election is likely to again impact the relative competitiveness of Canadian agricultural exports. While many observers suggest President‐elect Joe Biden will return to normal times regarding multilateral cooperation with key allies and international institutions such as the World Trade Organization, the new administration is likely to face headwinds given the significant fraying of ties with key trading partners and allies due to disruptive actions taken by his predecessor. This article provides an overview of potential implications of a Biden administration for Canada's agricultural trade. We start by reviewing recent trade shock events affecting Canada's agricultural trade with a particular focus on trade actions taken by the United States. Relevant components of the President‐elect Biden's platform, considerations affecting the implementation of this platform, and the implications of this for Canadian agricultural trade are considered.