Understanding the relationship between holiday taking and self‐assessed health: an exploratory study of senior tourism

The senior market is particularly attractive to the tourism industry. Alongside evidence of a growing propensity to travel and spend, consumption is often deliberately linked to low seasons, balancing out the peaks and valleys for tourism suppliers. Health is one variable which is particularly significant to this consumer. Personal health influences all patterns of consumer behaviour regardless of age, although the full extent to which this models senior tourism activity is unclear. An exploratory qualitative study was undertaken in the spring of 2005, with 22 senior consumers (aged 55 years plus) interviewed. Utilizing the earlier work by Zimmer et al.into self‐assessed health as a framework, travel propensity, the perceived effects of travel and factors inhibiting full participation were questioned. Conclusions drawn outline both a senior tourism typology and areas for future research. Notably the relationship between caregiving and tourism consumption is singled out for further investigation.     

Large trades and intraday futures price behavior

This study examines the effects of large trades executed by outside customer on the prices of futures contracts traded on the Chicago Mercantile Exchange. We find that, on average, large buyer-initiated trades have a larger permanent price impact (information effect) than large seller-initiated trades, whereas the opposite is found for the temporary price impact (liquidity effects) of large trades. These results are consistent with previous findings for block and institutional trades in equity markets. However, we also find that the information effects of large sells are larger than large buys in bearish markets, whereas the results are the reverse in bullish markets. The liquidity price effects of buys are larger than the liquidity price effects of sells in bearish markets whereas the reverse results hold in bullish markets. Our results are consistent with the hypothesis that the current economic condition is a key determinant of asymmetric price effects between large buys and large sells. © 2008 Wiley Periodicals, Inc. Jrl Fut Mark 28:1147–1181, 2008     

Why effective spreads on NASDAQ were higher than on the New York stock exchange in the 1990s

Two hypotheses have been advanced to explain why spreads on NASDAQ were substantially higher than those on the NYSE in the 1990s: “collusion” and “preferencing and payment for order flow.” We present data on all actively traded stocks in these markets of relative effective spreads (RES), aggregated monthly over 1987–1999 and advance a third hypothesis: NASDAQ “SOES-day-trading.” We estimate NASDAQ and NYSE informed-trade losses and gains to market makers and other liquidity providers on six trade sizes, and find that losses on trades we ascribe to SOES day traders were substantially greater than those on other trades, offset somewhat by gains from small-trade-size investors. NASDAQ market makers' response to these losses and additional operations costs incurred to reduce the losses resulted in greater RES and increased trading within the best quotes, predominantly on larger trade sizes. The data are consistent with the “SOES-day-trading” hypotheses, but not with the other two. Furthermore, the mandatory SOES “experiment” provides insights into the negative effects of automated trading systems (such as ECNs, which now dominate NASDAQ) when their design does not adequately consider opportunistic traders.     

Emergence versus neoclassical reductions in economics

ABSTRACT

Many epistemic anomalies of the neoclassical research programme originate from its ontologically reductionist meta-axioms, which predicate how economic macro-systems are constituted from their micro-entities and how the latter behave – namely atomistic aggregativity, normative equilibration and global instrumental rationality. This paper explores the metaphysical foundations of the premise of emergence and argues that it can be a remedy to the ills of neoclassical reductions, and a foundational epistemic principle in a progressive systemic research programme in economics, which would bridge existing streams of ‘heterodox’ economic theory.     

Sales promotions for preorder products: The role of time‐of‐release

Preorder offers are increasingly common for many types of products and services. Sales promotions, such as price discounts and free gifts, are frequently used to raise offer attractiveness and elicit a stronger sales response. Through a series of experiments, we show that a preorder promotion's effectiveness depends on whether it matches the construal level associated with timing of the featured product's release. When a match occurs, it increases consumers’ positive affect leading to higher purchase intention directly or by raising the perceived certainty of new product quality. In addition, we find interesting differences related to promotion type. Specifically, we show that a larger discount promotes low‐level construals, which leads to stronger purchase intentions only when the product is scheduled for near‐future release. Since a gift may elicit either high‐ or low‐level construals, a premium offer of higher perceived value leads to stronger purchase intentions regardless of release timing.     

The use of credit default swaps by bond mutual funds: Liquidity provision and counterparty risk

Corporate bond mutual funds increased their selling of credit protection in the credit default swaps (CDS) market during the 2007–2008 financial crisis. This trading activity was primarily in multi-name CDS, greater among larger and established funds, and directed toward counterparty dealers in financial distress. Funds that sold credit protection during the crisis experienced greater credit market risk and superior post-crisis performance, consistent with higher expected returns from liquidity provision. Funds using Lehman Brothers as a counterparty experienced abnormal outflows and returns of –2% immediately following Lehman's bankruptcy, suggesting that funds’ opportunistic trading in CDS exposed investors to counterparty risk.     

Fixed and random effects models: making an informed choice

This paper assesses the options available to researchers analysing multilevel (including longitudinal) data, with the aim of supporting good methodological decision-making. Given the confusion in the literature about the key properties of fixed and random effects (FE and RE) models, we present these models’ capabilities and limitations. We also discuss the within-between RE model, sometimes misleadingly labelled a ‘hybrid’ model, showing that it is the most general of the three, with all the strengths of the other two. As such, and because it allows for important extensions—notably random slopes—we argue it should be used (as a starting point at least) in all multilevel analyses. We develop the argument through simulations, evaluating how these models cope with some likely mis-specifications. These simulations reveal that (1) failing to include random slopes can generate anti-conservative standard errors, and (2) assuming random intercepts are Normally distributed, when they are not, introduces only modest biases. These results strengthen the case for the use of, and need for, these models.

     

When Do Expert Teams Fail to Create Impactful Inventions?

We investigate the salience of expertise in creating high impact inventions and question experts’ ability to deploy novel ideas. Specifically, we examine the relationships between expertise, component originality, and a team's structural holes’ position in the collaborative network and propose that, in relative terms, expert teams create lower impact inventions if they deploy more original components and if they occupy structural holes. We test and confirm our hypotheses in a sample of semiconductor firms. In post‐hoc analyses, we find a three‐way interaction where the negative effect of structural holes almost disappears when an expert team experiments with original components whereas an increase in non‐redundancy is detrimental when teams with high expertise use familiar components. Our findings inform a foundational view of the invention process and provide novel insights into the contingent benefits of domain expertise.     

Who Has a Seat at the Table in Impact Investing? Addressing Inequality by Giving Voice

Journal of Business Ethics - Despite recognizing the importance of impact investing in combating complex societal challenges, researchers have yet to examine the capacity of the field to address...     

Revisiting carbon Kuznets curves with endogenous breaks modeling: evidence of decoupling and saturation (but few inverted-Us) for individual OECD countries

This paper tests for a carbon Kuznets curve (CKC) by examining the carbon emissions per capita–GDP per capita relationship individually, for 21 OECD countries over 1870–2010 using a reduced-form, linear model that allows for multiple endogenously determined breaks. This approach addresses several important econometric and modeling issues, e.g., (1) it is highly flexible and can approximate complicated nonlinear relationships without presuming a priori any particular relationship; (2) it avoids the nonlinear transformations of potentially nonstationary income. For 10 of 14 countries that were ultimately estimated, the uncovered emission–income relationship was either (1) decoupling—where income no longer affected emissions in a statistically significant way, (2) saturation—where the emissions elasticity of income is declining, less than proportional, but still positive, or (3) no transition—where the emissions elasticity of income is (or very near) unity. For only four countries did the emissions–income relationship become negative—i.e., a CKC. In concert with previous work, we conclude that the finding of a CKC is country-specific and that the shared timing among countries is important in income-environment transitions.