Price convergence in an online virtual world

This paper tests for the existence of price convergence using a unique data set from the largest online game, World of Warcraft. It provides a controlled setting without the usual obstacles that make testing price convergence difficult. These difficulties include trade barriers, transportation costs, imperfections and restrictions in capital markets, and differences in productivity growth. The data set consists of eight structurally identical copies, or worlds, of a virtual macroeconomy. We use the non-linear convergence test developed by Phillips and Sul (Econometrica 75(6):1771–1855, 2007), and find price convergence in all eight worlds. We further develop our own simple band of inaction test for price convergence, and under reasonable parameters find price convergence in all eight worlds.     

从世界休闲渔业出现的问题看中国休闲渔业的发展

本文认为中国的休闲渔业发展正在兴起,而世界一些国家与地区的休闲渔业已经出现了一些问题,例如与商业捕捞业争夺有限的渔业资源、休闲渔业对渔业资源出现了破坏等.如何趋利避害,笔者提出中国休闲渔业发展应注意的几个问题.     

Deposit insurance and subsidized recapitalizations

The 2007–2009 financial crisis saw a vast expansion in deposit insurance guarantees around the world and yet our understanding of the design and consequences of deposit insurance schemes is in its infancy. We provide a new rationale for the provision of deposit insurance. In our model the banking sector exhibits both adverse selection and moral hazard, which implies that the social benefits of bank monitoring must for incentive reasons be shared between depositors and banks. Consequently, socially too few deposits are made in equilibrium. Deposit insurance – or, equivalently, bank recapitalization – corrects this market failure. We find that deposit insurance should be funded not by banks or depositors but out of general taxation. The optimal level of deposit insurance varies inversely with the quality of the banking system. Hence, when the soundness of the financial sector is uncertain, governments should consider supporting deposit insurance schemes and undertaking subsidized recapitalizations.     

Beyond the exchange--the future of B2B

Using the Internet to facilitate business-to-business commerce promises many benefits, such as dramatic cost reductions and greater access to buyers and sellers. Yet little is known about how B2B e-commerce will evolve. The authors argue that changes in the financial services industry over the past two decades provide important clues. Exchanges, they say, are not the primary source of value in information-intensive markets; value tends to accumulate among a diverse group of specialists that focus on such tasks as packaging, standard setting, arbitrage, and information management. Because scale and liquidity are vitally important to efficient trading, today's exchanges will consolidate into a relatively small set of mega-exchanges. Originators will handle the origination and aggregation of complex transactions before sending them on to mega-exchanges for execution. E-speculators, seeking to capitalize on an abundance of market information, will tend to concentrate where relatively standardized products can be transferred easily among a large group of buyers. In many markets, a handful of independent solution providers with well-known brand names and solid reputations will thrive alongside mega-exchanges. Sell-side asset exchanges will create the networks and provide the tools to allow suppliers to trade orders among themselves, sometimes after initial transactions with customers are made on the mega-exchanges. For many companies, traditional skills in such areas as product development, manufacturing, and marketing may become relatively less important, while the ability to understand and capitalize on market dynamics may become considerably more important.     

Effective Costs and Chemical Use in United States Agricultural Production: Using the Environment as a "Free" Input

A cost–function–based production model is used to represent patterns of input use and output production in U.S. agriculture, and the implied costs of induced reductions in risk from agricultural chemicals ("bad outputs"). We estimate and evaluate shadow values for these harmful outputs, and the implied input– and output–specific substitution patterns, with a focus on the impacts on pesticide demand and its quality and quantity components. Using state–level data we find these measures to be statistically significant, vary substantively by region, and imply increased demand for effective pesticides associated with improvements in quality from embodied technology.     

The cost implications of waste reduction: factor demand, competitiveness and policy implications

Manufacturing produces both good and “bad” outputs, such as waste, which have negative environmental effects. Economic (e.g., tax) and non-economic (e.g., reputation) incentives encourage firms to reduce waste. However, such practices are costly because decreases in output produced or increases in inputs used may accompany waste reduction. We employ a cost function approach to evaluate patterns of output and waste production and capital, labor, and materials use, for UK manufacturing plants. We find that costs of waste reduction generally imply increasing materials use and capital and labor input saving, but vary by county, region, and industry.

Watershed management in an urban setting: process, scale and administration

Efforts in post-industrial countries to refine environment and planning administration in the face of unprecedented urban growth have important implications for ecological systems and human quality of life. This paper uses the case of an urban riparian corridor in South East Queensland, Australia to contribute to understandings of interactions between land use planning processes, watershed management initiatives and broader administrative structures in urban and rapidly urbanising settings. In particular it examines the understudied application of watershed management to an urban setting. Analysis of changes to the structure and function of urban riparian corridor management over time show that changes have occurred as a result of broader policy and institutional change in three distinct phases: top-down watershed management policy (1996-2000), regional natural resource and population growth management policy (2001-2005) and the recent re-emergence of local government as the dominant actor in a multilevel networked context (2006-2008). Trends toward regional scale approaches and increased urban planning initiatives have tended to concentrate responsibilities for urban environmental management with local government. This is in contrast to most rural natural resource management experience, and highlights the importance of meta-governance frameworks in ensuring the enduring applicability of the watershed management model to urban and rapidly urbanising catchments.     

The macrodynamics of business cycles: A comparative evaluation Mohammed H.I. Dore Oxford: Blackwell Publishers, 1993, 242 pp.

In his latest book, Mohammed Dore has provided a much needed exposition of macroeconomic and business cycle theory since the advent of Keynes' General Theory. The book provides under one cover extended derivations of the main models that must be mastered if one is to be proficient in macroeconomic theory. It is, however, much more than just an expository volume; it is also a work of highly structured evaluation and criticism. The theories considered fall into the broad classifications of New Classical, New Keynesian, and endogenous cycle theories. The theories are rated on how well they account for ten stylized facts describing business cycles. The winner of the Dore sweepstakes is Richard M. Goodwin's endogenous cycle theory. While heartily endorsing Dore's criticism of representative agent models, this review expresses reservations about abandoning micro foundations.