Strategic Interaction and Trade Policymaking: Formal Analysis and Simulation

This paper introduces a simple game‐theoretic model and a Monte Carlo simulation of trade negotiations with the aim of identifying the nature of the selection bias that may threaten valid inference from empirical tests relying on data from trade disputes. Insights from the formal model are used to critically engage recent empirical analyses. This model is applied more specifically to the American use of Section 301 as an instrument to prise open foreign markets. The results of the game‐theoretical model and the Monte Carlo simulation demonstrate that, despite significant statistical results, models of trade negotiations might potentially suffer from misspecification due to non‐random selection effects.     

Can Short Restrictions Actually Increase Informed Short Selling?

We use the 2008 short selling regulations to test whether short sale restrictions can increase informed short selling. For the preborrow requirement, we find more negative price reactions to short interest announcements though no reliable increase in the price impact of short sales volume. For the stocks with banned short sales, we find an increase in the price impact of short sale volume though no reliable change in the price reaction to short interest announcements. Both restrictions, however, are associated with increased informed trading. Our results suggest that short restrictions will not reduce informed short selling and may actually result in an increase by increasing the proportion of informed short sellers..     

Strategic Choice and Performance in Late Movers: Influence of the Top Management Team's External Ties

This work examines how the strategic choice and performance of late movers are influenced by the top management team's external ties, inside and outside the firm's industry. Using a multiyear sample of firms from the computer industry, we found that intra-industry trade-association ties of top managers led to the adoption of a resource-imitation strategy by late movers while extra-industry importation and professional-association ties led to the adoption of a resource-substitution strategy. We also found that trade association ties had a negative effect on the performance of late movers using resource-substitution, while top managers' service on other firms' boards had a positive influence on the performance of those firms. Our findings not only confirm the importance of the role of fit in strategy and performance, but they also highlight the importance of the management and control of boundary-spanning activities.     

Product quality and competition: evidence from the broadband industry

Access to high-quality broadband internet is important in many different respects such as in communication, education, commerce and information acquisition. We investigate the relationship between the number of broadband providers in an area and the quality of broadband service provided where download speed is used as a proxy for quality. We find that increased competition in an area positively affects the access to fast download speeds. This finding is robust to three different top download speeds tested. Additionally, a theoretical model is provided which shows that competition can decrease the profits associated with offering slow speeds; this gives an incentive for providers to offer higher speeds as a way to increase profits.     

The role of financial sector competition for monetary policy

Abstract In this paper, we examine the impact of competition in the banking industry on financial market activity. In particular, we explore this issue in a setting where banks simultaneously insure individuals against liquidity risk and offer loans to promote intertemporal consumption smoothing. In addition, spatial separation and private information generate a transactions role for money. Interestingly, we demonstrate that the industrial organization of the financial system bears significant implications for the effects of monetary policy. Under perfect competition, higher rates of money growth lead to lower interest rates and a higher volume of lending activity. In contrast, in a monopoly banking sector, money growth restricts the availability of funds and raises the cost of borrowing.     

Yield effects of agricultural cooperative membership in developing countries: A meta-analysis

This study uses a meta-analysis to synthesize the effects of agricultural cooperative membership on the yield of crops and livestock. It collects 158 estimated yield effects from 42 studies, covering 19 developing countries. Our analysis finds evidence that there exists positive publication bias in the empirical literature, confirming that researchers and journals have a preference to publish articles that report positive and significant results. After correcting for publication bias, we find that cooperative membership has a small-sized and insignificant effect on the yield. The meta-regression analysis reveals that variation in the reported yield effects can be largely explained by the study attributes such as the sample type (full sample vs. subsample), membership ratio, econometric approaches (instrumental-variable based parametric approach, non-parametric approach or ordinary least square regression), effect size types (average treatment effects on the treated, average treatment effects, or coefficient), agro-product type (grain or others), and climate zones (tropical or non-tropical).     

英格兰银行的内幕

蜚声国际的英国中央银行为英国带来了空前的繁荣,但其中却包含着泡沫一个房产泡沫。英格兰银行会使这种繁荣持续下去吗?     

Simon,Raymond. Public Relations Management,Cases and Simulations. Columbus,Ohio: Grid,Inc., 1977

This study represents an initial empirical test of a new construct--attitude toward on-line advertising format (A_format). An on-line survey was used to examine both antecedents and consequences of A_format for each of six on-line ad formats (e.g., pop-ups, banners, skyscrapers). Regression analyses revealed A_formatto be significantly related to attitude toward the ad (A_ad) for all formats. Furthermore, A_format was significantly related to self-reported on-line ad behaviors such as clickthrough. Overall, the results strongly suggest that the nature of the on-line ad format is an important characteristic that influences on-line advertising response.     

Dynamic simulations on overshooting of flexible commodity prices with a modified arbitrage condition

Applying a Neo‐Keynesian approach, this study investigates whether in the short run flexible commodity prices overshoot their long‐run equilibrium whenever there is a monetary change. Two differential equations are generated depicting the adjustment paths for commodity prices and prices of manufactures. With a modified arbitrage condition that incorporates convenience yield, flexible commodity prices are shown to overshoot their long‐run equilibrium when compared with less‐flexible prices of manufactured goods. Simulation results support the breakdown of money neutrality in the short run. Inflation rate and degree of rigidity of prices of manufactures are shown to have a significant effect on the adjustment paths. Convenience yield did not influence the adjustment mechanism.