On Monetary Analysis of Derivatives

Financial derivatives are products whose price is linked with that of an underlying asset. The relationship between these two prices has been studied in depth, and the following conclusions have been reached: (1) the volatility of underlying asset's price decreases after the introduction of derivatives, (2) the price discovery effect improves, (3) the liquidity of the underlying asset's market increases, (4) the bid-ask spread decreases together, and (5) the noise component of prices decreases. Those results are microeconomic and are not coherent with a macroeconomic analysis of derivatives. Derivatives tend to change the effectiveness of monetary policy actions by modifying the instruments that can be used. Derivatives have a monetary nature that has not been yet recognized by central banks and international organizations such as the International Monetary Fund and the Bank for International Settlements. This monetary nature can be evident by testing the relationship between derivatives and the interest rate. The consciousness of the monetary nature of derivatives would impose the quantification of transactions at least by the institutions that hold them, such as banks and other financial operators, and consequently by national authorities.     

Are loyalty shares an effective antidote against short‐termism? Empirical evidence from Italy

Corporate short‐termism is arguably one of the main causes of economic, social, and environmental unsustainability. This paper studies the effectiveness of loyalty shares—shares granting extra dividends or voting rights to shareholders holding them for a specified period of time—in limiting short‐termism. Although there are arguments both supporting (antidote view) and opposing (poison view) loyalty shares' effectiveness, empirical evidence on the theme is scant. By employing earnings management as a proxy for corporate short‐termism and by relying on a hand‐collected database of Italian firms, we find that loyalty shares can serve as an effective antidote against short‐termism. This study contributes to academic literature on corporate governance and accounting and informs the debate among policymakers on loyalty shares' effectiveness.     

Trade effects of geographical indication policy: The EU case

Using a new detailed dataset on country-product information on European Union (EU) Geographical Indications (GIs), we study the impact of this food quality policy on trade margins over the 1996–2014 period. We consider the effect of GIs on both intra- and extra-EU trade margins (extensive and intensive), as well as on export (and import) unit values. Our main results show that GIs affect trade flows differently depending on whether GIs are produced by the exporter or importer country. The presence of GIs in the exporter country systematically exerts a positive trade effect on both the extensive and intensive trade margin. When registered only in the importer country, GIs seem to act weakly as a trade-reducing measure, at least at the intensive trade margin. In addition, GIs positively affect export prices, consistent with the idea that GI products are perceived by consumers as higher quality goods. Importantly, extra-EU trade margins react similarly to those on intra-EU trade. These results have clear and interesting implications concerning the EU strategy of promoting the protection of GIs worldwide.     

Liberalization Only at the Margins? Analysing the Growth of Temporary Work in German Core Manufacturing Sectors

Drawing on workers’ surveys and workplace interviews, this article investigates the growth of temporary work in German manufacturing sectors since the 1980s. Findings partly confirm a ‘dualization’ scenario as workers without industry‐specific vocational training are more likely to be on a temporary contract than skilled workers, and the gap has widened over time. However, also skilled workers have become increasingly vulnerable to casualization due to job routine and the erosion of industrial relations. Evidence confirms the crucial role of institutions in supporting the linkage between specific skills and employment stability, and suggests that the liberalization of the employment relationship has the potential to advance also in the core of the German economy.     

The notion of informal learning within policies for the validation of nonformal and informal learning: A comparison between Austria and Italy

In 2012, European Union Member States committed to implement policies for the Validation of Nonformal and Informal Learning (VNFIL). In this article, we examine Austria and Italy and ask how VNFIL policies in these two countries relate to informal learning (IL) and how this can be interpreted from a workplace learning (WPL) perspective. The notion of IL in VNFIL is largely based on a psychological understanding of learning. We argue that a WPL perspective complements this understanding and serves to better understand learning at work. Based on assumptions concerning the influence of national education and training systems on VNFIL, a comparison is made along three categories: the preferred type of VNFIL, the notion of IL, and the references to workplaces. Despite preferences for summative types of VNFIL, Austria acknowledges a range of types, while Italy is still in the process of development and prefers the so-called autonomous type. Findings suggest a minimalistic understanding of IL in Austria contrasting with Italy, in which IL is seen as firmly embedded within Lifelong Learning. The references to workplaces are weak in both countries. We finally address the role of employers as a delicate issue for VNFIL, when embedded in educational policies.     

Emotional support from a digital assistant in technology-mediated services: Effects on customer satisfaction and behavioral persistence

In their traditional role, digital assistants in technology-mediated services provide customers with information, guidance, and suggestions. However, as the opportunities offered by technology and artificial intelligence increase, digital assistants can also provide emotional support, which refers to empathetic, reassuring expressions for customers who have failed or succeeded in fulfilling a task. We show across four experiments that emotional support offered by a digital assistant increases customer satisfaction (Study 1 and 2) and persistence (Study 3 and 4) in using technology-mediated services. The increase in satisfaction occurs via the perceived warmth of the digital assistant, and the increase in persistence via the serial mediation of perceived warmth and satisfaction. Further, the results of a moderated serial mediation show that the effect on persistence only occurs when a digital (but not when a human) assistant provides emotional support in technology-mediated services. Finally, the effect of emotional support on persistence occurs independently of the digital assistant's embodiment. Practitioners learn how to imbue technology-mediated services with a human touch, inducing favorable customer outcomes.     

Facing the pain of others: perspectives on international volunteer tourism between agency and spectatorship

This paper aims to contribute to the ongoing academic debate on volunteer tourism by reviewing the volunteer tourists' experience in light of their encounter with poverty and sufferance. Through the analysis of data collected from semi-structured in-depth interviews with a group of 29 young Italian adults, the author examines the different ways in which volunteer tourists construct and negotiate their role as agents of change during their vacations abroad. Results show that the expectations of providing effective help to the local communities is often challenged by the limitations and constraints of the volunteer tourism experience and, as a consequence, volunteer tourists need to find new ways of making sense of their experiences abroad. Looking at the work of French sociologist [Boltanski, L. (1999). Distant suffering. Morality, media and politics. Cambridge: Cambridge University Press] on the ways in which spectators respond to the distant suffering of others, this paper argues that, in order to avoid an oversimplification and a trivialisation of the volunteer tourism experience, the volunteers' participation needs to be addressed primarily as a matter of spectatorship, rather than as a question of agency.     

Impacts of urban sprawl and commuting: a modelling study for Italy

This paper aims to analyse empirically the intricate relationship between urban sprawl and commuting, a process that started a few decades ago in Italy. Using a mobility impact index based on commuting data for 1981 and 1991, we quantify the impact of commuting for seven major Italian urban areas, comprising in total 739 municipalities (communes). Our modelling experiment highlights the effect of sprawl at the commune level, while taking into account the variability of communes across geographical location and level of polycentrism. Causal relationships between spatial developments and explanatory factors related to changes in urban density are analysed using multivariate cross-section regression analysis and Causal Path Analysis (CPA). Our empirical results confirm the expectation that sprawl is accompanied by intensive travel movements and associated environmental effects.     

The Gender Impact of Social Protection Policies: A Critical Review of the Evidence

Abstract

Over the course of the neoliberal era, social protection policies have been transformed dramatically; these changes have had profound gender implications. Since the early 1980s, welfare state regimes around the world have shifted away from ‘universalism' towards ‘targeting'. More recently, there has been a further shift—especially in industrialized countries—away from the male-breadwinner to the adult worker model. Despite the progressivity implied by this latter shift, important issues of gender inequality remain unresolved (even in Nordic countries where levels of gender equity are higher than elsewhere). This paper presents a critical review of social protection policies, examined from a gender perspective. The analysis presents a conceptual framework on gender and the welfare state, and examines the experience of major industrialized and developing countries in engendering social policy. In particular, this paper provides a careful examination of care-related programs, since this domain is particularly important to understanding the gendered effects of social protection policies. Finally, the gendered implications of the global crisis and subsequent policy measures are examined.