Asymmetric volatility of basis and the theory of storage

The theory of storage states that the marginal convenience yield on inventory falls at a decreasing rate as inventory increases. Previous literature has tested this hypothesis using the so‐called “direct test” approach, which employs a direct measurement of inventory levels, or the “indirect test” approach, which examines the relative variation of spot and futures prices and the relative variation of negative basis to positive basis as alternative proxies for inventory levels. The rationale behind the indirect test is based on the hypothesis that futures prices are less variable than spot prices when inventory is low, and have similar variability when inventory is high. The authors propose a “unified test” of the theory of storage that incorporates aspects of both direct and indirect tests in an ARMAX‐asymmetric GARCH model framework. © 2005 Wiley Periodicals, Inc. Jrl Fut Mark 25:399–418, 2005     

LE SYSTEME ACTUEL DE COMPTABILITE NATIONALE ET LA PLANIFICATION

The present system of national accounting (revised SNA and existing national systems) is a good framework for physical projections of goods and services produced by enterprises. It is less well suited to planning in value terms, because data on income are poor and the system is badly adapted to analysis at the level of decision-making centers of the relationships of production, prices, income, and investment; the picture which it gives of the non-market economy is inadequate; and it yields a static view of successive states of the economy, the last accented by the scarcity of structural information. The usefulness of the accounts for the formation of economic policy varies greatly according to the problems considered. Important for general aspects of economic policy in the relatively short term, they are limited in terms of fine decisions on public intervention in the market economy, and for the relatively detailed study of economic policy in the public sector itself. These shortcomings, although in part remediable, raise questions concerning the scope, object, flexibility, and spacial and temporal coverage of national accounting. Finally, the newly emerging needs of planning, especially those arising from the extension of the dialogue between social groups, the attempts at planning in value terms, and the increasing interest in the non-market economy, suggest a need for some deconsolidation of the system. To answer these demands, a more flexible system is needed. Such a system might comprise two stages. One, a statistical framework and presentation of data, would remain close to business and public accounting. The other, a more abstract and elaborate framework for macro-economic analysis, would correspond in large part to the present system. This system would include, around the central nucleus, a number of satellite accounts, consistent with the nucleus but articulated with it by very flexible and diverse rules. It could be extended to new fields where quantification without valuation is possible.     

Sustainable Development in Supply Chain Management: The Role of Organizational Learning for Policy Implementation

Implementing sustainable policies in supply chains is a significant challenge for businesses. Recent evidence has shown that failure to manage supply chains responsibly can have significant impacts on firms' reputation and financial performance. In this paper, we develop a conceptual framework, which focuses on organizational learning, and outline specific channels through which firms can generate learning processes and build appropriate capabilities to successfully implement social and environmental supply chain policies. Drawing on 57 in‐depth interviews from a cross‐sectional sample of seven UK and nine German companies, we empirically assess our conceptual framework in accordance with a grounded, in‐depth case study analysis approach. We find compelling evidence to suggest that organizational learning is an important factor for a successful implementation of sustainable supply chain management. Organizational learning is often established as a result of training, knowledge acquisition, stakeholder engagement and collaboration between intra‐organizational and inter‐organizational partners, including suppliers and NGOs. Nonetheless, our results also emphasize that firms often have few systematic processes through which organizational learning is developed, and that such learning processes are often ad hoc at best, which in turn has significant implications for the responsible supply chain practices. Copyright © 2014 John Wiley & Sons, Ltd and ERP Environment     

Government Revenue and Child and Maternal Mortality

Open Economies Review - Most maternal and child deaths result from inadequate access to the critical determinants of health: clean water, sanitation, education and healthcare, which are also among...     

The effects of a monetary incentive and the ethnicity of the sponsor's signature on the rate and quality of response to A mail survey

The purpose of the current study was to investigate the effects of a monetary incentive and the ethnicity of the sponsor's signature on the rate and quality of response to a mail survey. Six hundred subjects were randomly assigned to four groups. One group received a mail survey from “Leroy Jefferson,” apparently a Black individual, with a 25% monetary incentive included. Group two also received a questionnaire from “Leroy Jefferson,” but without the monetary incentive. Groups three (25 ϕ included) and four (no monetary incentive) were sent questionnaires from “John Richardson,” an ethnically unidentifiable sponsor. The questionnaire was a 16-item attitudes towards Black scale. The results of the study demonstrated the value of a monetary incentive in increasing the rate of response. The name of the sponsor, however, did not affect either the rate of response or the quality of response (i. e. the scores on the attitude scale). The authors wish to thank Manhattan College, School of Business, for the grant which made this study possible.     

MERGERS AND PROFITABILITY: A MANAGERIAL SUCCESS STORY?*

Since 1983 expenditure on acquisitions in the UK has more than doubled in real terms, despite the fact that the consensus of opinion in the academic literature is that acquisitions are not, on average, performance enhancing for the acquiring firm. Such literature, however, relates mainly to the acquisition of large, public companies. Drawing on survey evidence from 146 of the UK's top 500 companies, this article reports the results from a survey which encompasses all takeovers. The study revealed that is the expected reward of increased profitabililty which is used in ex-post evaluation. The major finding of the study is, however, that managers firmly perceive that their takeover activity has been performance enhancing for their company. The evidence presented does suggest that the integration of small acquisitions into an existing organizational structure may be achieved without severe problems of loss of control, and the subsequent decline in performance which beset large acquisitions     

Perceptions of HR practices and innovative work behavior: the moderating effect of an innovative climate

Abstract

The purposes of this paper are to explore the effect that perceived HR practices have on the innovative work behavior (IWB) of individual workers and to examine the role that an innovative climate plays in this relationship. We hypothesize that employees will show greater IWB if they perceive the organizational climate to support innovation and perceive the presence of HR practices related to a compensation system, training and development, information sharing, and supportive supervision. Using data from 463 individuals in four Dutch manufacturing companies, the study tests the effects of employees’ perceptions of HR practices and of an innovative climate on their innovative behaviors. We found that employee perceptions of a compensation system are negatively related to IWB, and that employee perceptions of information sharing and supportive supervision are positively related to IWB. The effect of perceptions of information sharing and training and development on IWB are moderated by an innovative climate, in such a way that information sharing has a stronger effect on IWB and training and development a weaker one. Managers can stimulate innovative behavior by investing in information sharing, supportive supervision, and establishing an innovative climate.     

Trust Deterioration in an International Buyer-Supplier Relationship

Despite an abundance of research on inter-organizational trust, researchers are only beginning to understand the process of trust deterioration as an inter-organizational phenomenon. This paper presents a case study examining the deteriorating relationship between two international high-tech firms. We surveyed respondents from the supplier firm to identify major elements that reduced the supplier's trust in its customer, using the dimensions of trust identified by Mayer et al. (1995). While violations of ability, integrity, and benevolence all contributed to trust reduction, early violations of trustee benevolence contributed importantly to trust deterioration. Over time, the relationship became "sensitive," and respondents reported many incidents of trust violation. Managers reported primarily integrity- and benevolence-related incidents, while no pattern emerged among operations personnel. We examine the results in light of Hosmer's (1995) ethically-based trust principles. The supplier and customer would likely differ in their opinion of whether the customer was acting "ethically." This suggests that scholars need to examine how many principles can be violated before trust is eliminated, and whether any of the principles are particularly salient in business relationships.