Consumer Acceptance of Second‐Generation GM Foods: The Case of Biofortified Cassava in the North‐east of Brazil

Biofortified staple foods are currently being developed to reduce problems of micronutrient malnutrition among the poor. This partly involves use of genetic modification. Yet, relatively little is known about consumer acceptance of such second‐generation genetically modified (GM) foods in developing countries. Here, we analyse consumer attitudes towards provitamin A GM cassava in the north‐east of Brazil. Based on stated preference data, mean willingness to pay is estimated at 60–70% above market prices for traditional cassava. This is higher than the results from similar studies in developed countries, which is plausible given that micronutrient malnutrition is more severe in developing countries. GM foods with enhanced nutritive attributes seem to be well received by poor consumers. However, the results also suggest that acceptance would be still higher if provitamin A were introduced to cassava through conventional breeding. Some policy implications are discussed.     

The Impact of Segment Reporting Under the IFRS 8 and SFAS 131 Management Approach: A Research Review

This paper evaluates the impact of adopting the management approach for segment reporting. We review studies of the effect of the application of SFAS 131 and IFRS 8 on the number of reported operating segments and items of disclosure, segment reporting gaps and reconciliations, entitywide geographic disclosures, and competitive harm and decision usefulness of segment information. We report on the advantages and disadvantages of the management approach and explore whether the concerns of critics of adopting the management approach in IFRS 8 have been realized. We also identify opportunities for important and policy‐relevant research in the area of segment reporting based on IFRS 8.     

The Legal and Economic Evolution of Workers Compensation: Prospects for Enhancing Choice in the System

ABSTRACT: Workers compensation in the United States has been designed as a no-fault system that provides comprehensive medical and income benefits to employees with work-related injuries. Under its no-fault concept and the exclusive remedy doctrine, injured workers relinquish the right to sue their employer in tort in exchange for prescribed, guaranteed benefits that are paid promptly without protracted disputes. However, there is considerable evidence of increasing litigation in and outside the system that is undermining its no-fault principles and siphoning resources away from the efficient delivery of benefits to injured workers. This article reviews the legal and economic developments that are reshaping workers compensation and the threats they pose. The authors argue for a comprehensive reexamination of the structure of the system to resolve the conflicts among its stakeholders and improve its efficiency. Specifically, the authors explore several potential measures that would enhance worker and employer choice to reconcile their interests while restoring the nofault foundation of the system.     

New Firm Survival: The Effects of Start-up Characteristics

This paper empirically examines the influence of operating activities and financial and investment decisions in the start-up year on post-entry survival, taking industry effects into account. Compared to traditional financial ratios, we find that funds flow measures are superior in identifying those start-up characteristics that are related to subsequent failure. In the first year, failed firms typically generate less cash flows, incur higher labour expenses, use more trade credit and financial debt, limit inventories and are cash constrained. Surprisingly, industry effects do not have a significant impact. From these results, we draw conclusions for public policy.     

China’s Growth,Stability, and Use of International Reserves

Since the onset of the global financial crisis, China and the U.S. have reduced their current-account imbalances as a share of GDP to less than half their pre-crisis levels. For China, the reduction in its current-account surplus post-crisis suggests a structural change. Panel regressions for a sample of almost 100 countries over 1983–2013 confirm that the relationship between current-account balances and economic variables changed in important ways after the financial crisis. China’s rebalancing has been accompanied by a decline in its reserves-to-GDP ratio and greater outward FDI that, in turn, has mitigated reserve hoarding.     

Guilt and giving: A process model of empathy and efficacy

This research develops a model of consumer response to charity appeals. Using the Extended Parallel Process Model from the fear appeal literature as a foundation, the current model proposes that empathy and self‐efficacy generate guilt and reduce maladaptive responses, which, in turn, shapes donation intention. The results demonstrate that the impact of empathy on charitable donation intention is fully mediated by guilt and maladaptive responses. The impact of self‐efficacy is partially mediated by guilt and maladaptive responses. Therefore, both empathy and self‐efficacy determine whether guilt or maladaptive responses result. This model clarifies the process through which guilt appeals operate, by identifying the roles of empathy and self‐efficacy. © 2008 Wiley Periodicals, Inc.     

Asymmetric Country-of-Origin Effects on Intraindustry Trade and the International Quality Race

A model of North–South intraindustry trade in quality differentiated products is proposed to examine the role of country-of-origin reputation in determining the competitive edge of emerging industries. It is shown that if consumers rationally harbor negative expectations about the quality of Southern products, economic progress in either the North or the South shifts the terms of trade against Southern exports, and worsens Southern producers' incentive to produce high-quality products. In addition, the paper illustrates the role of income redistributive policies in shifting consumer's demand in favor of Southern high-quality products.