Disasters and trade: did Hurricane Katrina affect US imports?

Hurricane Katrina (2005) was the most devastating natural disaster in US history since San Francisco in 1906. A budding literature on disasters and trade suggests that while the impact of natural disasters on small and/or developing countries is significant, the effects on developed countries is not significant. This paper adds to the literature by focusing on a single event for a developed country, the US. In so doing, the aggregation problems of panel studies of many disasters over many countries is avoided. The results suggest that while terrible, Katrina’s effect on US imports was not statistically significant. Estimates of the long-run cointegrating relationship of import demand detected neither the presence of extraordinarily more nor less imports during the period studied (1983:1 to 2008:2). Small, short-run decreases, then increases, can be attributed to the direct effect of a small decline in overall economic activity alone. Recent estimates for income and price elasticities are also obtained and the results compared to other recent shocks, namely, the mild recession of 1990–1991 and the recession and trade collapse in 2008.     

Friends with money

When banks and firms are connected through interpersonal linkages - such as their respective management having attended college or previously worked together - interest rates are markedly reduced, comparable with single shifts in credit ratings. These rate concessions do not appear to reflect sweetheart deals. Subsequent firm performance, such as future credit ratings or stock returns, improves following a connected deal, suggesting that social networks lead to either better information flow or better monitoring.     

Social Media Marketing Management: A Conceptual Framework

Managers today face many challenges when using social media in their marketing strategies. Drawing from social media literature, this study introduces a new framework to assist managers in developing and using social media as a marketing tool. This framework has four dimensions related to the actions managers perform when implementing and engaging with social media: messaging/projecting, monitoring, assessing, and responding. Each dimension of the framework may be applied differently based on the firm’s strategic direction or focus. The framework provides an opportunity for a firm to examine the entire scope of social media marketing from a broad strategic perspective as well as a more tactical perspective. Propositions formulated by the authors suggest how organizations with different strategic characteristics may manage social media differently. The study provides an understanding for managers of the variety of issues related to the specific aspects of maintaining a firm’s online presence based on a firm’s scope, culture, structure, and governance.     

An experimental investigation of accounting information’s influence on the individual giving process

In this study, we experimentally investigate accounting information’s role in the individual donation process. Specifically, we manipulate the presence of service efforts and accomplishments (SEA) information in conjunction with a typical fundraising request. We then investigate whether donors obtain comparative financial accounting information for the purpose of maximizing donation efficiency.In our experiment, potential donors felt that fundraising requests containing SEA disclosures were more informative than typical fundraising pleas. In addition, supplementing a standard fundraising request with summary SEA information significantly increased (1) the quality perception of the requesting charitable organization and (2) the percentage of potential donors who claimed they would donate to the requesting organization in the future. However, SEA information did not translate into increased actual giving in our study.Our experiment next offered actual donors the opportunity to obtain comparative financial information for the purpose of verifying efficient giving (i.e., donors could compare the soliciting organization to a similar organization). Although the majority of actual donors were unwilling to obtain this information, the vast majority of those viewing financial accounting information donated to the organization with the highest program-spending ratio. As such, our results support two seemingly opposed contentions: (1) only a minority of individual donors request and use financial information, however, (2) there is a need for increased accuracy of not-for-profit expense classification.     

UK Charity Retailing: Managing in a Newly Professionalised Sector

The charity retail sector has seen unprecedented growth in the UK over the past ten years. Alongside this growth charities have become progressively professionalised and commercialised and have begun to adopt strategies developed in commercial retail contexts. This paper unpacks this process of professionalisation examining exactly what it constitutes on the ground. It then goes on to consider in turn how this new professionalism has impacted on store managers. The paper closes in considering the challenges represented by these requirements and offers some suggestions for future research.     

The timing of pay

There exists large and persistent variation in not only how, but when employees are paid, a fact unexplained by existing theory. This paper develops a simple model of optimal pay timing for firms. When workers have self-control problems, they under-save and experience volatile consumption between paychecks. Thus, pay whose delivery matches the timing of workers' consumption needs will reduce wage costs. The model also explains why pay timing should be regulated (as it is in practice): although the worker benefits from a timing profile that smoothes her consumption, her lack of self-control induces her to attempt to undo the arrangement, either by renegotiating with her employer or by taking out payday loans. Regulation of pay timing and consumer borrowing is required to counter these efforts, helping the worker help herself.     

Simultaneous-Equation Regression Analysis of Sales and Advertising

A simultaneous-equation regression model is developed and tested against aggregative time series data. The test involves the model as well as hypotheses regarding the structural parameters. Restrictions on the structural parameters imply limits on the parameters of the reduced-form equations. Estimates of the reduced-form coefficients must fall within the implied intervals in order for the model to be in agreement with the data.     

Acceptance of Voluntary Whalewatching Codes of Conduct in West Scotland: The Effectiveness of Governmental Versus Industry-led Guidelines.

During the tourist season of 2000, thirty whalewatching tour-operators were interviewed as to whether they referred to a whalewatching code of conduct or guidelines during their activities. Eighty-six percent stated they referred to a code of conduct. The most frequently used code was one produced by a tour operators' association (43%). Three codes of conduct produced by environmental non-governmental organisations were also used frequently to occasionally. Only 27% of the operators surveyed were aware of whalewatching guidelines produced by the UK government and none of the operators referred to these guidelines when watching whales. This study indicates that the majority of whalewatching tour operators had accepted codes of conduct but preferences were for locally, or operator-produced, codes. It is suggested that in West Scotland whalewatching tour operators should be actively involved, alongside statutory bodies, in the monitoring and managing of whalewatching.     

Seal Management in Scotland: Tourist Perceptions and the Possible Impacts on the Scottish Tourism Industry

Fisheries organisations in Scotland have repeatedly called for culls of common and grey seals, despite their conservation status and no supporting scientific evidence. This current study investigated the opinion of tourists in West Scotland as to whether seal populations should be reduced to manage their increasing numbers. The study also looks at whether such a cull would influence tourist behaviour. In total 735 interviews were conducted. There were regional differences in levels of opinion but, on average, 60% of respondents believed that seals should not be regulated and 17% stated that the instigation of a cull would affect their decision to visit Scotland on holiday. In the Highlands of Scotland alone this could represent over £100 million in lost tourism income. A boycott by tourists to the Highlands, as the result of introducing seal culls, could equate to a financial loss equivalent to a third of the total value of Scottish fisheries. Tourism is Scotland's main industry and is particularly important for the economy of rural areas. Any further proposals for seal culls should seriously consider the negative and indirect impacts these culls could have, such as reductions in tourist numbers and tourism income to a region.