Nonparametric inference based on conditional moment inequalities

This paper develops methods of inference for nonparametric and semiparametric parameters defined by conditional moment inequalities and/or equalities. The parameters need not be identified. Confidence sets and tests are introduced. The correct uniform asymptotic size of these procedures is established. The false coverage probabilities and power of the CS’s and tests are established for fixed alternatives and some local alternatives. Finite-sample simulation results are given for a nonparametric conditional quantile model with censoring and a nonparametric conditional treatment effect model. The recommended CS/test uses a Cramér–von-Mises-type test statistic and employs a generalized moment selection critical value.     

Book Review

Book Review

Book Review     

Keeping Two Sets of Books: The Relationship Between Tax and Incentive Transfer Prices

Multinational enterprises use two types of transfer prices: the tax transfer price to achieve optimal tax outcomes and the incentive transfer price to provide appropriate incentives to offshore managers. The two optimal transfer prices are independent if taxable income is assessed using the formula apportionment approach. Under the separate entity approach, however, they are interdependent: they both decrease as the penalty for noncompliance with the arm's length principle increases; and the tax transfer price decreases and the incentive transfer price increases as the marginal cost of production increases. We also examine the case where the incentive transfer price is negotiated rather than dictated by the parent. The results are robust to different market structures and tax environments.     

Econometric modeling of technical change

The purpose of this paper is to present a new approach to econometric modeling of substitution and technical change. Substitution is determined by observable variables, such as prices of output and inputs and shares of inputs in the value of output. Our principal innovation is to represent the rate and biases of technical change by unobservable or latent variables. This representation is considerably more flexible than the constant time trends employed in the previous literature. An added advantage of the new representation is that the latent variables can be projected into the future, so that the rate and bias of technical change can be incorporated into econometric projections.     

When do high‐level managers believe they can influence the stock price? Antecedents of stock price expectancy cognitions

Stock based rewards are often used to motivate high‐level managers to take actions to increase the stock price of the firm. However, numerous constraints may weaken the perceived link between individual effort and stock price appreciation for many recipients. This study introduces a new construct, stock price expectancy, which we define as individuals' perceptions of influence over their firm's stock price. We examined its antecedents in a sample of 349 high‐level U.S. managers and found that employment at corporate headquarters, firm size, hierarchical level, and contact with investment analysts predicted stock price expectancy perceptions. © 2010 Wiley Periodicals, Inc.     

A proposed configurable approach for recommendation systems via data mining techniques

This study presents a configurable approach for recommendations which determines the suitable recommendation method for each field based on the characteristics of its data, the method includes determining the suitable technique for selecting a representative sample of the provided data. Then selecting the suitable feature weighting measure to provide a correct weight for each feature based on its effect on the recommendations. Finally, selecting the suitable algorithm to provide the required recommendations. The proposed configurable approach could be applied on different domains. The experiments have revealed that the approach is able to provide recommendations with only 0.89 error rate percentage.     

Gender, emotion and power in work relationships

We offer a theoretical account of how gender and emotion combine to influence the development of power in work relationships. We document the profound impact gender has on the display, perception and evaluation of emotion in the workplace. We illustrate the reciprocal relationship between emotion and power, and identify cycles of powerlessness that prevent women from developing and leveraging power in their work relationships. By exploring the nexus of gender, emotion and power in work relationships, we offer new insights into how the gendering of emotion creates and perpetuates gender differences in power in organizations. Implications for research and practice are offered.     

Motivational bases for managing diversity: A model of leadership commitment

Given the limited effectiveness of equal employment opportunity and affirmative action programs in promoting minorities in the U.S., the onus to advance women and minority groups may depend on the voluntary efforts from corporate America. In this paper, we apply a general theory of commitment to help explain why top executives may be committed to managing diversity in organizations. We propose that top executive commitment can stem from instrumental, normative, or affective bases. Specifically, top executives may be motivated because of utility maximization, a moral obligation, or a personal desire to be associated with a program of social importance and/or to leave a positive legacy. We further explore the implications of the three motivational bases of top executive commitment to managing diversity on firm diversity outcomes, and we offer some propositions which can serve as a basis for future research.