Rezensionen

Ohne Zusammenfassung     

The role of securitization in mortgage renegotiation

We study the effects of securitization on renegotiation of distressed residential mortgages over the current financial crisis. Unlike prior studies, we employ unique data that directly observe lender renegotiation actions and cover more than 60% of the U.S. mortgage market. Exploiting within-servicer variation in these data, we find that bank-held loans are 26–36% more likely to be renegotiated than comparable securitized mortgages (4.2–5.7% in absolute terms). Also, modifications of bank-held loans are more efficient: conditional on a modification, bank-held loans have 9% lower post-modification default rates (3.5% in absolute terms). Our findings support the view that frictions introduced by securitization create a significant challenge to effective renegotiation of residential loans. We also provide evidence supporting the affordability focus of recent policy actions, such as the Home Affordability Modification Program.     

The effect of the innovative environment on exit of entrepreneurial firms

To foster ‘creative destruction,’ entrants must survive the turbulent conditions they face in their first crucial years in the industry. We investigate how the external knowledge milieu of an entrant, conceptualized as its innovative environment, causes systematic variation in survival patterns. We test our model from 3,431 firms in 33 industries over 80 years. We depict the innovative environment along two knowledge‐related dimensions, namely technology regime and technology intensity. While the aligned state of the innovative environment, where product innovation exists in tandem with abundant innovation opportunities, promotes entrant survival, we find that this beneficial effect is more pronounced for small entrants due to a possible mitigation of scale disadvantages. Copyright © 2006 John Wiley & Sons, Ltd.     

Salesmen-customer interaction: An experimental approach

The interaction between customers and salesmen often determines the final outcome of a retail transaction. Salesmen often use various cues about potential customer's byuing intentions in designing their sales presentation strategies. This study examines nonprice aspects of salesmen-customer interaction utilizing an experimental design. The results of the study show that salesmen respond differently to prospects with different characteristics.     

The performance effects of coaching: a multilevel analysis using hierarchical linear modeling

Drawing on the conceptual foundations of feedback and behavior modeling we investigate the effects of managers' coaching intensity on the performance of those they supervise, at multiple levels of an organizational hierarchy. Data from 328 sales associates reporting to 114 middle managers, and 93 middle managers reporting to 32 executive managers are used to test the research hypotheses. Using hierarchical linear modeling we find that managers' coaching intensity influences the performance of their subordinates after controlling for job satisfaction, and this effect weakens at greater hierarchical levels. Surprisingly, we do not observe any cross-level moderating effects of coaching intensity on the satisfaction–performance relationship. We discuss the implications of our findings for future research and practice.     

Adverse selection in mortgage securitization

Using several large data sets of mortgage loans originated between 2004 and 2007, we find that in the prime mortgage market, banks generally sold low-default-risk loans into the secondary market while retaining higher-default-risk loans in their portfolios. In contrast, these lenders retained loans with lower prepayment risk relative to loans they sold. Securitization strategy of lenders changed dramatically in 2007 as the crisis set in with most unwilling to retain higher-default-risk loans in return for lower prepayment risk. Contrary to the prime market, the subprime market does not exhibit any clear pattern of adverse selection.     

Do farmers really like farming? Indian farmers in transition

Few studies of agrarian transition examine what farmers themselves feel about farming. Are they cultivating out of choice or a lack of options? What distinguishes farmers who like farming from those who do not: their personal/household characteristics and endowments? The local ecology and regional economy? Or a mix of these and other factors? Understanding farmer satisfaction is important not only for assessing citizen wellbeing but also for agricultural productivity, since occupational satisfaction can affect a farmer’s incentive to invest and reveal production constraints. Using a unique all-India data-set which asked farmers, ‘Do you like farming?’ this paper provides answers and policy pointers, contributing a little-studied dimension to debates on the smallholder’s future and subjective wellbeing.