Multiple Criteria Assessment of Insulating Materials with a Group Decision Framework Incorporating Outranking Preference Model and Characteristic Class Profiles

We present a group decision making framework for evaluating sustainability of the insulating materials. We tested thirteen materials on a model that was applied to retrofit a traditional rural building through roof’s insulation. To evaluate the materials from the socio-economic and environmental viewpoints, we combined life cycle costing and assessment with an adaptive comfort evaluation. In this way, the performances of each coating material were measured in terms of an incurred reduction of costs and consumption of resources, maintenance of the cultural and historic significance of buildings, and a guaranteed indoor thermal comfort. The comprehensive assessment of the materials involved their assignment to one of the three preference-ordered sustainability classes. For this purpose, we used a multiple criteria decision analysis approach that accounted for preferences of a few tens of rural buildings’ owners. The proposed methodological framework incorporated an outranking-based preference model to compare the insulating materials with the characteristic class profiles while using the weights derived from the revised Simos procedure. The initial sorting recommendation for each material was validated against the outcomes of robustness analysis that combined the preferences of individual stakeholders either at the output or at the input level. The analysis revealed that the most favorable materials in terms of their overall sustainability were glass wool, hemp fibres, kenaf fibres, polystyrene foam, polyurethane, and rock wool.     

Changes in Polish Farmers’ Attitudes Toward Risk After Poland’s Accession to the EU

This article presents the econometric estimation of the risk attitudes of Polish farmers. For that purpose, a model of production under risk has been employed. The research is based on data from the Polish Farm Accountancy Data Network (FADN), from the years 2004–2010. For the Polish farming sector, risk-related considerations became increasingly important after Poland’s EU accession in 2004. After the accession, Polish agriculture was affected by market liberalization, which was somewhat mitigated by CAP support. To examine the risk aversion of Polish farmers, an estimation procedure based on Antle’s (1987) approach has been applied. This study suggests that, as was the case in other countries, risk aversion decreased following EU accession, that is, the Arrow-Pratt measure of absolute risk aversion based on producers specializing in field crops systematically decreased over the analyzed period.     

Genetically modified foods: Consumer awareness,opinions and attitudes in selected EU countries

The dynamic development of biotechnology in recent years has raised serious public concerns about the possible risks arising from genetically modified organisms (GMOs). The aim of this study was to investigate consumer opinions regarding genetically modified (GM) foods. The research also aimed at verifying the differences in the attitudes of respondents from two, relatively culturally diverse research sites. To obtain empirical data a face‐to‐face survey was conducted in 2015. It covered a total of 976 randomly selected individuals. The study was performed in the capital of the United Kingdom—London and the Polish capital—Warsaw. The results of the study show that almost half of the respondents were familiar with the GMO concept. According to the respondents, the greatest benefits arising from the genetic modification are: enhanced shelf‐life of food and crops' resistance to extreme climatic conditions. The main disadvantages were: unpredictable consequences of deoxyribonucleic acid (DNA) modification, production of species‐specific toxins and food allergenicity. Over two thirds of people surveyed support the idea of the obligatory labeling of GM foods. The information presented on food packaging should primarily include potential contraindications to the consumption, indication that food was produced using transgenic sources and a warning about potential allergenicity. An almost equal number of respondents showed intention for purchasing GM food products, an intention to act otherwise, or was not decided. As many as 27.7% of survey participants showed negative attitudes toward GM foods, whereas only 19.8% predominantly positive. It is worth noticing that, with only one exception, no statistically significant differences were observed between the opinions of Polish and British respondents.     

R&D Investments in Markets with Network Effects

We consider process R&D investments of firms in markets with network effects and incomplete product compatibility. Our results indicate that network effects increase the firms’ individual investments in R&D. The presence of network effects weakens the positive impact of R&D cooperation on firms’ R&D investments. Further, we show that R&D competition can bring socially optimal level of investment, and this is not possible in markets without network effects. Finally, our results suggest that innovation policy oriented at promoting R&D cooperation between enterprises can be counterproductive in markets with network effects and incomplete product compatibility.

     

Die Problematik des Verbraucherschutzes in der Volksrepublik Polen

Zusammenfassung In letzter Zeit hat das Problem des Verbraucherschutzes in Polen sehr an Bedeutung gewonnen. Dies hängt damit zusammen, daß eine bessere Befriedigung der aktuellen Bedürfnisse der Bevölkerung in den Vordergrund gerückt worden ist, was auch in politischen und wirtschaftlichen Programmen zum Ausdruck kommt.Der Artikel behandelt die in diesem Bereich herrschenden Tendenzen und informiert über die wichtigsten Lösungen der Grundprobleme des Verbraucherschutzes.Die Autoren heben mit Nachdruck hervor, daß in den sozialistischen Ländern infolge der Vergesellschaftlichung der Wirtschaft der Verbraucherschutz sich auf zweierlei Weise entwickeln kann: und zwar durch entsprechende Stimulierung der Produktion und des Angebotes. Auf diese Weise wird eine Möglichkeit geschaffen, nicht nur die Folgen, sondern vor allem die Ursachen, welche das Verbraucherinteresse bedrohen, zu eliminieren.

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Problems of consumer protection in the People's Republic of Poland

The problems of consumer protection have come to the fore in Poland as of late. An important reason has been that in recent political and economic programmes, more emphasis has been placed on the necessity of better provision for the population's current needs.The article presents contemporary developments in this respect and informs about different attempts in the doctrine and practice of law to solve the basic problems of consumer protection. The authors emphasize that in socialist countries consumer protection can be achieved not only by strengthening the position of the individual consumer but also, due to the public ownership of the means of production, by adequate stimulation of production and supply. This provides for the opportunity to deal not only with the consequences but also with the determinants of violations of the consumer interest.The following problem areas are treated in the paper together with the solutions attempted in Polish law and in political and administrative practice: (1) problems connected with the creation of large monopolistic production units (more consideration of manufacturer than of consumer interests in decisions concerning content and quality of production; unreasonable pricing; producer-dictated terms of trade between producer and retailer); (2) the treatment of final consumers (terms of contracts favorable to the seller; tendencies of large organizations to bureaucratic and magisterial treatment of their customers); (3) quality deficiencies in products and the preventive and protective measures taken (quality marks and quality control; warranties; producer liability).

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Ewa towska ist Leiterin der Zivilrechtsabteilung des Instituts für Staat und Recht der Polnischen Akademie der Wissenschaften, 00330 Warszawa, Nowy Swiat 72. Stanisaw Sotysiski und Jacek Trojanek sind wissenschaftliche Mitarbeiter der Adam-Mickiewicz-Universität, Juristische Fakultät, 61–809 Poznan, ul. Czerwonej Armii 90. Czeslawa ulawska ist wissenschaftliche Mitarbeiterin der ökonomischen Akademie, Institut für Ökonomik und Warenverkehr, 31–510 Kraków, Rakowicka 27.     

A glimpse through the veil of ignorance: Equality of opportunity and support for redistribution

This study is an experimental investigation into preference for redistribution of income. It had been hypothesized that (belief in) equality of opportunity in a society diminishes support for the welfare state. This could potentially explain the low taxes and social benefits in the United States vis-a-vis Europe. To verify this hypothesis, participants in an experiment were assigned different “Probabilities of Winning” and matched in groups of four. Next, before finding out who would actually win, they selected preferred transfers to be paid by the winners to the group as a whole. It was found that the average transfers were about 20% lower in the sessions in which winning was determined by performance in a task rather than by sheer luck. This difference cannot be explained by overconfidence in predicting own score. It corroborates the conjecture that perceived determinants of success (i.e. whether poverty results from laziness or bad luck) affect the support for redistribution. On the other hand, greater inequality of opportunity measured simply by dispersion of Probabilities of Winning within a group did not lead to higher transfers.     

How should firms selectively hedge? Resolving the selective hedging puzzle

We provide a model of intertemporal hedging consistent with selective hedging, a widespread practice corroborated by recent empirical studies. We argue that the optimal hedge is a value hedge involving total current value of future earnings. More importantly, the hedging decision is independent of risk preferences of the firm or agent. Our closed-form solutions imply several implications for the risk management policy in a firm. In order to lock in profits a hedge increase is recommended in favorable states of nature, while in bad states the firm should decrease the hedge and wait. Our main new empirical implication is that selective hedging should be more prevalent in industries where managers are exposed to convex cash flow structures and are more likely to “value hedge” their exposures.     

Financial Distress Prediction in an International Context: A Review and Empirical Analysis of Altman's Z‐Score Model

This paper assesses the classification performance of the Z‐Score model in predicting bankruptcy and other types of firm distress, with the goal of examining the model's usefulness for all parties, especially banks that operate internationally and need to assess the failure risk of firms. We analyze the performance of the Z‐Score model for firms from 31 European and three non‐European countries using different modifications of the original model. This study is the first to offer such a comprehensive international analysis. Except for the United States and China, the firms in the sample are primarily private, and include non‐financial companies across all industrial sectors. We use the original Z′′‐Score model developed by Altman, Corporate Financial Distress: A Complete Guide to Predicting, Avoiding, and Dealing with Bankruptcy (1983) for private and public manufacturing and non‐manufacturing firms. While there is some evidence that Z‐Score models of bankruptcy prediction have been outperformed by competing market‐based or hazard models, in other studies, Z‐Score models perform very well. Without a comprehensive international comparison, however, the results of competing models are difficult to generalize. This study offers evidence that the general Z‐Score model works reasonably well for most countries (the prediction accuracy is approximately 0.75) and classification accuracy can be improved further (above 0.90) by using country‐specific estimation that incorporates additional variables.     

A note on the estimation of total weight in chemical balance weighing designs

Summary This paper studies the problem of estimation of the total weight of objects using a chemical balance weighing design under the restriction |L−R| ≤a, whereL andR represent the number of objects placed on the left and right pans, respectively. A lower bound for the variance of the estimated total weight is given and a necessary and sufficient condition for this lower bound to be attained is obtained. Finally, weighing designs for which this lower bound is attainable are constructed.     

When product type experimental design is optimal? Brief survey and new results

In the paper the problem of optimum experimental design for estimating parameters of multivariate regression functions is considered. We address the question: under what conditions one can compose the optimal design from partial designs, obtained by considering partial regressions, which depend on reduced number of variables. After reinterpreting and reviewing briefly existing results we provide some new conditions.