Loan Loss Severity and Optimal Mortgage Default

This paper tests the contingent claims model of mortgage default in its ruthless or frictionless form. The principal tests of the model are based on an unconventional source of data, namely, loan loss severities on defaulted mortgages. The frictionless model has well-defined predictions about loss severities which we test in detail. The data analyzed include a random sample of all mortgages originated during the period 1975–90 and purchased by Freddie Mac, as well as the loss severities on all mortgages purchased by Freddie Mac which defaulted during the period. The frictionless model does not do well in these tests.     

Do satisfying walking and cycling trips result in more future trips with active travel modes? An exploratory study

Previous studies have indicated that travel satisfaction - the experienced emotions during, and cognitive evaluation of, a trip - can be affected by travel mode choice and other trip characteristics. However, as satisfactory trips might improve a person's attitude towards the used mode, persons may be more likely to use that same mode for future trips of the same kind. Hence, a cyclical process between travel mode choice and travel satisfaction might occur. In this paper we begin to analyse this process—using a structural equation modelling approach on cross-sectional data—for people who engage in walking and cycling for leisure trips in the Belgian city of Ghent. The focus on walking and cycling reflects recent studies indicating that active travel is often associated with the highest levels of travel satisfaction. Results of this exploratory analysis offer tentative support for the idea of a cyclical process: the evaluation of walking and cycling trips positively affects the respondents' attitude towards the respective mode, which in turn has a positive effect on choosing that mode.     

Farmland for tomorrow in densely populated areas

The paper describes the results of a research that aimed to come up with a well structured method to estimate future farmland requirements in densely populated areas. By using in depth interviews, scenario analysis and strategic orientation rounds, a method is developed to support policy optimization and to explore alternative future developments. The method is applied to the case of agriculture in the Flemish part of Belgium to show the feasibility of the model and to provide input for the discussion among policy makers in Flanders. The research results can be used by policy makers to build a new Spatial Plan Flanders for the period 2007–2013.     

Residents’ attitudes toward future tourism development in terms of community well-being and attachment

This study explores residents’ attitudes toward future tourism development based on their community well-being (CWB) and community attachment. Focusing on the case of Gamcheon Culture Village in Busan, South Korea, which was developed during an urban regeneration project in 2009, an exploratory factor analysis was conducted. The main findings of this study are: (1) CWB is supported by five variables including income effects, social participation, safety service, infrastructure service, and environmental effect; (2) not only does CWB influence community attachment but attachment also effects residents’ attitudes; and (3) the most effective variable of CWB is income effect, and safety service for community attachment. These results can help to provide effective strategies to encourage residents to have positive attitudes about further tourism development in a community-based tourism destination.     

Relationship between HEXACO personality factors and emotional labour of service providers in the tourism industry

This study aimed to 1) explore to what extent service providers’ emotional labour is affected by personality as measured using HEXACO personality factors, 2) analyze the affect of emotional labour on the performance of required emotional display rules, and 3) investigate differences in emotional labour depending on service providers’ demographic characteristics. From a questionnaire survey of employees in different service sectors in Korea, four HEXACO personality factors, Extraversion, Agreeableness, Conscientiousness, and Openness were found to have a positive influence on emotional labour. Deep acting has a positive influence on the requirement to display positive emotions and a negative influence on the requirement to hide negative emotions. Demographic variables generally do not affect emotional labour. This study provides practical information about employees to managers in the service industry. It could help in recruitment, the management of human resources, and enhance a company’s service assessment.     

Understanding Japanese tourists’ shopping preferences using the Decision Tree Analysis method

This study was designed to assess the factors affecting Japanese tourists’ shopping preference and intention to revisit Korea. The analytical method applied in this study was Decision Tree Analysis, which is under-utilized in tourism studies. A total of 300 questionnaires were collected on the basis of on-site survey method and used for data analysis. Among interesting findings, three groups including ‘respondents who were satisfied, accompanied, and spent US$50–300 on shopping’, ‘respondents who were satisfied, accompanied, and had a shopping expenditure of US$300–1000’ and ‘respondents who were satisfied, accompanied, and had a shopping expenditure of US$1000–5000,’ showed a high level of intention to return to Korea for the purpose of shopping. In addition, two groups ‘those who were interested in shopping in Korea, preferred a shopping mall as a shopping destination, and had an educational level of below high school’ and ‘those who were interested in shopping in Korea, preferred a shopping mall as a shopping destination, and had an educational level of a college graduate or above’ showed a higher level interest in merchandise than in shopping venue attractiveness.