A dynamic analysis of the impacts of export taxes: The case of Argentinean soy and beef markets

Argentina plays an important role in the global soy market as one of the world's leading exporters of soy products. In an effort to shift its agricultural sector's focus to value‐added exports and to raise revenue, Argentina's government has maintained a regime of differential export taxes on soy products. In addition to soy products, Argentina is a major producer, consumer and exporter of beef. However, over the last decade it has relinquished much of its world market share as its beef exports have fallen because the government has periodically imposed a ban on exports of beef along with maintaining an export tax. As the soy and livestock sectors are inextricably linked, owing to both industries’ intensive land use and the utilisation of soymeal as a feed supplement for cattle, trade policies in one sector have pronounced cross‐sectoral impacts. This study develops a theoretical model of these different sectors and trade policies, incorporating the dynamic decisions of cattle stock management. The model is calibrated to real‐world data on the Argentinean economy, and the impacts of trade liberalisation are quantified. Key results show modelling the various intersectoral linkages and the dynamic implications of cattle stock is essential for obtaining accurate estimates.     

Deregulation,tax policy,and certainty: foundations of the U.S. recovery

Business Economics - This paper focuses on the impact that the change in direction of economic policy ushered in by the Trump administration has had on the performance of the U.S. economy. Since...     

Understanding road traffic risks from the street hawker’s perspective

This study explored street hawkers’ lived experiences and risks in traffic using the phenomenological case study design. Data from 24 hawkers at three hawking spots and field observations form the basis of our study. A stratified purposeful sampling scheme was employed to ensure a balance of gender and age. Thematic data analytic strategy was employed in the data analysis. We found that participants’ traffic incidents were mainly self-induced, attributable to their negligence on the road, indiscriminate road crossing and car-following behaviour. Our results suggest a perceived relationship between socio-demographic characteristics and personal traffic accident encounters. Also, we noted that the ability to manage traffic risk seem to influence hawkers’ traffic risk perceptions, with gender and age as possible mediators. As this study is exploratory, we recommend further scientific enquiry to explain these issues and to provide the basis for appropriate interventions to manage the road safety implications of this activity.     

Machiavellianism,social norms,and taxpayer compliance

This study is the first to examine the relationships among Machiavellianism, social norms and taxpayer intentions to fraudulently overstate their deductions. We theorize and empirically document that (a) high Machiavellian taxpayers report significantly less ethical social norms, suggesting that reported social norms are influenced by cognitive biases such as social projection and Machiavellian cynicism; (b) reported social norms are, in general, significantly associated with tax evasion intentions; (c) social norms partially mediate the relationship between Machiavellianism and evasion intentions. Our findings imply that experimental research that controls for key personality traits such as Machiavellianism will be necessary to test the effectiveness of potential interventions designed to enhance social norms and tax compliance. Our findings also raise questions regarding the validity of certain social norm measures used in recent studies, particularly in the case of high Machiavellians. In contrast to much prior research, gender was not associated with the likelihood of committing tax fraud in our multivariate models, suggesting that the higher levels of tax compliance often associated with females may be eroding.     

A causal analysis of psychological climate and leader behavior relationships

Individual perceptions of the work environment, or psychological climates, have been shown to be important determinants of work attitudes such as satisfaction and job involvement. However, little is known concerning the relationships between psychological climate and other variables that may lead to or cause these perceptions. This research examined causal relationships among dimensions of psychological climate and leader behavior. Specifically, the investigation attempted to determine whether leader behavior caused psychological climate, or whether psychological climate caused leader behavior. Eithty-five foremen from a truck manufacturing facility participated in the study over a 17-month period. Results of cross-lagged panel correlations and causal path analysis indicated that psychological climate caused leader behavior. Since one individual's perceptions of his/her work environment can only indirectly be linked to another person's (in this case, the leaders) behavior, an intervening variable is required to explain these findings. This variable may be a consensual or organizational climate.     

Due diligence and the demand for electricity: A cautionary tale

In 1983, the Washington Public Power Supply System (WPPSS) defaulted on tax-free revenue bonds issued to construct two of its five nuclear power plants. In subsequent litigation, the plaintiffs alleged that the bonds had been fraudulently issued because WPPSS and the other defendants should reasonably have known and disclosed that there was substantial uncertainty about the ability to meet the financial obligations created by the bonds. A model using plausible values for demand elasticities, recognized probabilities of events that would increase costs and delay construction and data used by WPPSS to construct demand forecasts for prospective bondholders suggests that such uncertainty was present at the time the bonds were issued. The values for demand elasticities and other parameters of the model were selected after a thorough review of the econometric literature on demand for electricity, beginning with the work of Fisher and Kaysen in 1962.     

Market efficiency, discount-rate changes, and stock returns: A long-term perspective

This paper examines the market efficiency issue by analyzing stock returns surrounding Fed announcements of discount-rate changes. Based on an analysis ofex post returns over a 58-year period, the results provide evidence of long-term market efficiency. Consistent with recent literature, the findings also reveal some predictability in return patterns where an active trading strategy based on directional reversals in the pattern of discount rate changes outperforms a passive buy-and-hold approach. The results indicate that the proposed active trading produces substantially higher risk-adjusted returns than the buy-and-hold strategy.     

Risky recreation: an exploration of factors influencing the likelihood of participation and the effects of experience

The purpose of this research was to systematically examine factors that may influence participation in risky recreational activities. Because more people participate in risky leisure activities, it is important to acquire a more in-depth understanding of the factors influencing their behaviours. We examine these issues in the context of a survey concerned with participation in the sport of mountain biking. Results revealed that experience influenced risk perceptions, expected affective outcomes, and the attractiveness or appeal of the activity. In addition, expected affective outcomes moderated the influence of experience on appeal. The likelihood of participation in a high-risk consumption activity was determined by affective outcome expectancies, appeal of the activity, risk perceptions, and prior experience. The results also indicated that the activity's appeal moderated the influence of perceived risk on the individual's likelihood of participation.