Endogenous business cycle propagation and the persistence problem: The role of labor-market frictions

Contrasting sharply with a recent trend in DSGE modeling, we propose a business cycle model where frictions and shocks are chosen with parsimony. The model emphasizes a few labor-market frictions and shocks to monetary policy and technology. The model, estimated from U.S. quarterly postwar data, accounts well for important differences in the serial correlation of the growth rates of aggregate quantities, the size of aggregate fluctuations and key comovements, including the correlation between hours and labor productivity. Despite its simplicity, the model offers an answer to the persistence problem (Chari et al., 2000) that does not rely on multiple frictions and adjustment lags or ad hoc backward-looking components. We conclude modern DSGE models need not embed large batteries of frictions and shocks to account for the salient features of postwar business cycles.     

Does accounting quality change following a switch from U.S. GAAP to IFRS? Evidence from Germany

This study examines whether accounting quality changed following a switch from U.S. GAAP to IFRS. Using a sample of German high tech firms that transitioned to IFRS from U.S. GAAP in 2005, we find that accounting numbers under IFRS generally exhibit more earnings management, less timely loss recognition, and less value relevance compared to those under U.S. GAAP. In addition, after analyzing the accounting quality of firms that applied IFRS throughout the entire sample period, we find that, for the metrics suggesting a decline in accounting quality for both groups of firms, the change is significantly more pronounced for firms switching to IFRS from U.S. GAAP. Overall, our findings indicate that the application of U.S. GAAP generally resulted in higher accounting quality than application of IFRS, and a transition from U.S. GAAP to IFRS reduced accounting quality. Our findings provide the first evidence on the potential consequences of a switch from U.S. GAAP to IFRS.     

Virtual worlds

Games, role‐playing, and simulations as developmental tools have been used in education since the 1800s. An emerging form of collaborative game play is virtual worlds; however, the use of virtual worlds in leadership education has not been fully investigated. The purpose of this article is to (a) demonstrate how virtual worlds are a viable venue for leadership education, and (b) present a hierarchy of skills sets that can be developed in virtual world settings. In doing so, this article provides evidence that virtual worlds can be used as a new instructional delivery environment for leadership education as the appeal and intrinsic nature of virtual environments aligns well with the experiential framework of leadership education.     

Developing an evolutionary tourism partnership model

Partnerships have become a popular tourism management strategy for leveraging scarce resources in an era of fiscal constraint. Despite this popularity, little empirical research has been done to explain the processes that occur when such interactions take place. An evolutionary model is presented based on an empirical study of three tourism partnerships, a review of existing tourism partnership case studies, and the integration of emerging theory from the organizational behavior field. The model suggests that tourism partnerships begin in a context of environmental forces and evolve sequentially through problem-setting, direction-setting, and structuring phases. Special facultative skills are needed to sustain and nurture tourism partnerships.     

New technology and changing organisational forms: implications for managerial control and skills

Changes in organisational forms are central to the way new technologies impact on the future of work and employment. Drawing on case–study evidence of a call centre and its client relations and a multinational IT firm and its partnership with a government department, this paper explores the implications for skill and managerial control.