From fork to farm: Impacts of more sustainable diets in the EU-27 on the agricultural sector

The implications of dietary changes for the environment and for human health are well documented, but the impacts on the agricultural sector are less well researched. We fill this gap by specifying scenarios in which European consumers' diets approximate the EAT-Lancet dietary recommendations to varying degrees and estimate the effects on agricultural production, incomes and emissions using an agro-economic modelling framework. The combination of different models allows for a detailed assessment of consequences for the agricultural sector from the global through European NUTS2 level to the farm level at different time scales. Shifting European consumption towards the EAT-Lancet recommendations leads to decreasing production of animal-based products, while production of fruits and vegetables increases sharply. The results indicate that the agricultural sector could benefit from a dietary shift, though the results are mixed at country, regional and farm levels. In particular, countries and regions that are highly specialised in animal farming are likely to lose income—at least in the short run—while regions with higher shares of vegetable and fruit farms can expect income gains. In Germany, pig and poultry farms may experience losses of up to 34% of their income, whereas farms with a high share of vegetables could gain more than 30% in income. Our results have implications for the policies to assist these extensive structural adjustments in response to widespread dietary changes.     

Estimating aggregate autoregressive processes when only macro data are available

The aggregation of individual random AR(1) models generally leads to an AR(∞$\infty$) process. We provide two consistent estimators of aggregate dynamics based on either a parametric regression or a minimum distance approach for use when only macro data are available. Notably, both estimators allow us to recover some moments of the cross-sectional distribution of the autoregressive parameter. Both estimators perform very well in our Monte-Carlo experiment, even with finite samples.     

Taxation and Market Power

We analyze the incidence and welfare effects of unit sales tax increases in experimental monopoly and Bertrand markets. We find, in line with economic theory, that firms with no market power are able to shift a high share of the tax burden to consumers, independent of whether buyers are automated or human players. In monopoly markets, a monopolist bears a large share of the burden of a tax increase. With human buyers, however, this share is smaller than with automated buyers, as the presence of human buyers constrains the pricing behaviour of a monopolist. Several control treatments corroborate this finding.     

Course Allocation via Stable Matching

The allocation of students to courses is a wide-spread and repeated task in higher education, often accomplished by a simple first-come first-served (FCFS) procedure. FCFS is neither stable nor strategy-proof, however. The Nobel Prize in Economic Sciences was awarded to Al Roth and Lloyd Shapley for their work on the theory of stable allocations. This theory was influential in many areas, but found surprisingly little application in course allocation as of yet. In this paper, different approaches for course allocation with a focus on appropriate stable matching mechanisms are surveyed. Two such mechanisms are discussed in more detail, the Gale-Shapley student optimal stable mechanism (SOSM) and the efficiency adjusted deferred acceptance mechanism (EADAM). EADAM can be seen as a fundamental recent contribution which recovers efficiency losses from SOSM at the expense of strategy-proofness. In addition to these two important mechanisms, a survey of recent extensions with respect to the assignment of schedules of courses rather than individual courses is provided. The survey of the theoretical literature is complemented with results of a field experiment, which help understand the benefits of stable matching mechanisms in course allocation applications.     

Antecedents of M&A success: The role of strategic complementarity,cultural fit,and degree and speed of integration

In this paper, we develop a comprehensive model of M&A success. We integrate fundamental constructs of different schools and discuss their interdependencies with M&A success. Our theoretical framework was tested empirically across a sample of 106 SME transactions in the machinery, electronic, and logistic industries in the German‐speaking part of Central Europe. The results of our study support the demand for an integrative perspective and theory on M&A. M&A success is a function of strategic complementarity, cultural fit, and the degree of integration. Strategic complementarity also positively influences cultural fit and the degree of integration. Cultural fit positively influences M&A success, but surprisingly has a negative impact on the speed and degree of integration. The degree of integration is positively related to speed of integration. Copyright © 2013 John Wiley & Sons, Ltd.     

Using surveys of business perceptions as a guide to growth‐enhancing fiscal reforms

This paper assesses the merits of using business perceptions of growth constraints as a guide to growth‐enhancing fiscal policy reforms. Using endogenous growth models in which the government levies an income tax to provide public inputs to the production of private firms, the paper demonstrates that such perceptions of growth constraints may be misleading from a policy perspective. In particular, firms can be expected to systematically overestimate the growth‐enhancing effects of lower tax rates relative to public services and public capital, and underestimate the growth‐enhancing effects of greater provision of public capital relative to taxation and public services. In addition, we show that firms rank different public services and different types of public capital according to the actual costs they impose on firms. It is then shown that these theoretical predictions regarding how firms rank constraints correspond closely to the observed ranking of constraints by firms in the World Bank's Enterprise Surveys.     

Testing Alternative Models Of New Product Diffusion

This paper reports upon the testing of the comparative performance of eight epidemic based diffusion models on data describing the diffusion of camcorders and CD players in the UK and cars in West Germany. Standard epidemic models of new product diffusion are modified to allow for the influence of economic factors and compared to a recent model proposed by Karshenas and Stoneman. The performance of the Karshenas and Stoneman model is good, but so is that of an alternative model in the Marketing literature proposed by Easingwood, Mahajan and Muller.     

That Sounds Sweet: Using Cross‐Modal Correspondences to Communicate Gustatory Attributes

Building on existing research into sound symbolism and cross‐modal correspondences, this article proposes that cross‐modal correspondences—systematic mappings between different sensory modalities—can be used to communicate nonmusical, low‐level sensory properties such as basic tastes through music. A series of three experiments demonstrates that cross‐modal correspondences enable people to systematically encode basic taste properties into parameters in musical space (Experiment 1), and that they are able to correctly decode basic taste information embedded in complex musical compositions (Experiments 2 and 3). The results also suggest some culture‐specificity to these mappings, given that decoding performance, while still above chance levels, was lower in Indian participants than in those from the United States (Experiment 3). Implications and potential applications of these findings are discussed.     

Secure and Sustainable Benchmarking in Clouds

Cloud computing entails a novel security threat: The cloud service provider is entrusted with the data of all its customers. This may not be sustainable for highly confidential data. Encryption, or more generally cryptography, may provide a solution by computing on data encrypted by the customers. While this solution is theoretically appealing, it raises a number of research questions in information system design.