International differences in emissions intensity and emissions content of global trade

Understanding international differences in the emissions intensity of trade and production is essential to understanding the effects of greenhouse gas limitation policies. We develop data on emissions from 41 industrial sectors in 39 countries and estimate the CO₂ emissions intensity of production and trade. We find no evidence that developing countries specialize in emissions-intensive sectors; instead, our evidence suggests that emissions intensities differ systematically across countries because of differences in production techniques. Our results confirm that international differences in emissions intensity are substantial, but suggest that they do not play a significant factor in determining patterns of trade.     

Repeated testing for outliers

Summary The paper deals with the type I error probabilities when a single outlier test is applied repeatedly to a sample. In the case in which multiple outliers are present, expressions for the power loss due to masking are derived.     

Do financial analysts compel firms to make accounting decisions? Evidence from goodwill impairments

Review of Accounting Studies - This paper examines whether financial analysts’ presence compels recognition of goodwill impairments. Analysts could impact managers’ impairment decisions...     

Propaganda’s Place in Strategic Communication: The Case of ISIL’s Dabiq Magazine

This study explores how extremist groups use propaganda as a form of strategic communication. The theoretical foundation used was an adaption of neo-institutional theory for strategic communication. The sample was an issue of Dabiq, an online propaganda magazine, from the Islamic State in Iraq and the Levant (ISIL). The qualitative method employed was ethnographic content analysis. The study found ISIL used Dabiq as a form of strategic communication to achieve organizational goals in compliance with neo-institutional theory. Furthermore, ISIL used strategic communication in a similar manner as nonextremist groups; it sought to advance its organization as being superior to rival ones. These findings indicate that neo-institutional theory can further understanding of how extremist groups use propaganda, as strategic communication, to achieve organizational goals. This is accomplished by analyzing the functions specified in neo-institutional theory that propagandists attempt to fulfill. In general, this study offers evidence that the academic field of strategic communication offers significant potential to advance propaganda theory. If neo-institutional theory, as adapted for strategic communication, can explain and predict what a propagandist does, other strategic communication perspectives might offer the same ability to analyze propaganda and develop propaganda theory.     

The Nature and Persistence of Initial Public Offering Aftermarket Returns Predictability

This paper examines the predictability of monthly aftermarket returns of initial public offerings during the first six years of trading. Predictability is tested under the null hypothesis of random walk using a Markov chain analysis. The evidence shows that excess returns of IPOs (adjusted for the return on the equally weighted NASDAQ index) demonstrate non-random walk behavior through the first five years of trading and random walk behavior in the sixth year. This is accompanied by predictability of monthly excess returns conditioned on the two previous months' excess returns. A trading strategy is offered to capitalize on the predictability patterns. Implementing the trading strategy is not possible due to institutional barriers, providing additional explanation for why IPOs do not reach their intrinsic values for extended periods of time.     

Urbanization with and without industrialization

We document a strong positive relationship between natural resource exports and urbanization in a sample of 116 developing nations over the period 1960–2010. In countries that are heavily dependent on resource exports, urbanization appears to be concentrated in “consumption cities” where the economies consist primarily of non-tradable services. These contrast with “production cities” that are more dependent on manufacturing in countries that have industrialized. Consumption cities in resource exporters also appear to perform worse along several measures of welfare. We offer a simple model of structural change that can explain the observed patterns of urbanization and the associated differences in city types. We note that although the development literature often assumes that urbanization is synonymous with industrialization, patterns differ markedly across developing countries. We discuss several possible implications for policy.     

New Venture Performance in China,Japan, and the United States: The Impact of Formalized Market Information Processes

New venture companies, starting from small entities comprising entrepreneurs and their teams, start to grow in scale by instigating formalized processes to enhance management efficiency. This includes the use of formalized processes for collecting and disseminating market information. Despite the fact that utilizing market information is one of the fundamental factors of market orientation, little is known about the way market information is processed in new venture companies. The first aim of this research was to investigate the impact of formalized market information acquisition and utilization on new venture performance. The second objective was to investigate the effect of organizational formalization on the acquisition and utilization of market information in new venture firms. The final goal was to explore the extent to which these relationships vary in different cultural contexts. Based on an extensive literature review and interviews with managers in China, Japan, and the United States, a conceptual framework is developed that relates formalized market information processes to new venture performance in the three countries. The conceptual model is tested with data collected from 453 new venture companies in these countries. The results suggest that the use of a formalized process of market information utilization has a positive effect on new venture performance regardless of country. The analysis also indicates that the effect of organizational formalization, in general, differs between countries. Organizational formalization is associated with increased formalized utilization of market information only in the United States; the relationship does not apply in the two Asian countries studied. Taken together, these results suggest that in the Asian countries, organizational formalization improves information collection, while in the United States, it also improves the utilization of information throughout the organization. One implication of these results may be the potential of added benefits accruing to organizational formalization in new ventures in countries with high levels of individualism and/or high levels of power distance, where organizational power is concentrated in formal vertical reporting relationships, as opposed to informal horizontal peer‐to‐peer networks.