The theme park experience: An analysis of pleasure, arousal and satisfaction

This article analyses how visitor emotions in a theme park environment influence satisfaction and behavioural intentions. Emotions consist of two independent dimensions, i.e. pleasure and arousal. Two competing models were tested. The first model is derived from the environmental psychology research stream as developed by (An Approach to Environmental Psychology, MIT Press, Cambridge, 1974), where the visitor's arousal generates pleasure and, in turn, approach/avoidance behaviour. This emotion-cognition model is supported by Zajonc and Markus (1984). The second model to be tested is based on Lazarus’ (Emotion and Adaptation, Oxford University Press, New York, 1991) cognitive theory of emotions. In this latter model, emotions are elicited by visitors’ disconfirmation of the theme park. Using confirmatory factor analysis, it was supported that the cognitive theory of emotions better explains the effect of pleasure on satisfaction and loyalty. Additionally, consumers’ willingness to pay more for the service is more likely to be induced by disconfirmation than by satisfaction alone. Managerial implications concerning the cognitive–affective sequence of satisfaction are discussed.     

Financial consequences of mutual fund mergers

This study examines the impact of mutual fund mergers on performance and investment flows of target and acquiring funds. Results indicate some improvements in the post-merger performance for target funds shareholders. Results also confirm prior evidence of negative net asset flows in target funds in the pre-merger period as well as negative, but not significant, net asset flows in the years following the merger. However, a more detailed analysis allows us to observe that this lack of significance in the negative reaction of investors to mutual fund mergers is explained by the compensation of abnormally high inflows and outflows in the resultant funds. These substantial flows are significantly above the average in their market segment, especially regarding money flows. This finding provides evidence that investors pay attention to mutual fund mergers, especially institutional investors who are concentrated on the market possibilities resulting from these organizational processes.     

The KPSS test with two structural breaks

In this paper, we generalize the KPSS-type test to allow for two structural breaks. Seven models have been defined depending on the way that structural breaks affect the time series behaviour. The paper derives the limit distribution of the test under both the null and the alternative hypotheses and conducts a set of simulation experiments to analyse the performance in finite samples. Finally, we illustrate the application of the statistics through the analysis of real GDP and real per capita GDP for 22 developed countries.      

The impact of social media and offline influences on consumer behaviour. An analysis of the low-cost airline industry

This study analyses the impact of social media as well as offline environments upon tourist online purchase and recommendation behaviour of low-cost airline services. Drawing on the Theory of Reasoned Action (TRA), this research considers the effect of offline social influences (interpersonal and external influences) and analyses online Consumer-to-Consumer (C2C) information exchanges as a driver of customer attitude towards online purchases. We propose that these factors improve online repurchase intentions and positive word-of-mouth communication (WOM and e-WOM) in low-cost settings. Using structural equation modelling, the conceptual model is tested with a sample of 441 Spanish Internet buyers of low-cost airline services. Interpersonal offline influences (e.g. friends, relatives, and family) have a significant effect on online repurchase intentions and WOM but do not affect e-WOM. External offline influences (e.g. media and experts), however, only affect consumer intentions to recommend future purchases of low-cost airline services on social networking travel sites and have no effect on online repurchase intentions or WOM. Findings also show that online C2C information exchanges influence attitude which, in turn, has a significant effect on repurchase intentions WOM and e-WOM.     

Why are crude oil prices high when global activity is weak?

There have been substantial increases in liquidity in recent years and real oil prices have almost returned to the high levels achieved before the global financial crisis. Unanticipated increases in global real M2 led to statistically significant increases in real oil prices. The historical impact of global real M2 on the real price of crude oil is important in the recovery of oil prices over 2009 to 2011.     

A guide to the computation of stationarity tests

In this paper we compare ways of computing stationarity tests. We show that whereas some of the procedures recommended lead to inconsistency of the tests, it is still possible to compute a test with good properties in finite sample in terms of empirical size and power. The guidance suggested in the paper is illustrated by testing for the purchasing power parity hypothesis in some developed countries.

Continua of Hahn-unsatisfactory equilibria: Some examples

Quantity-constrained fix-price equilibria may occur even at Walrasian equilibrium prices. Structurally stable examples are given to support the claim that there may be a continuum of such equilibria, even in a neighborhood of the Walrasian one.     

The Role of Ethics in Economics and Management: Galbraith–Drucker approaches

Ethics has been linked to virtue, considering it within an individual sphere. It has also been related to good social behaviour or even religious factors, and so on. In general, economic thinkers have not questioned some of the basic principles which help to shape the fundamental ethical criteria in economic behaviour. The pursuit of individual interest has been identified as pecuniary profit maximization and, in this sense, Peter Drucker states that this has been the fundamental motivation of any economic agent, even before capitalism was born and Galbraith pointed out that the lack of consideration of other motivations, apart from earning money, has been one of the biggest mistakes in economics. The main goal of this paper is to analyse the Drucker and Galbraith approaches on ethics.