An empirical analysis of national and local advertising effect on price elasticity

This paper investigates the interaction effect of advertising and price on the market share of a consumer nondurable product. We postulate a model in which local advertising is thought to primarily affect the consumers' purchase by making the demand more price sensitive, and national advertising to affect the consumers' preference, thus making the demand less price sensitive. Moreover, we hypothesize that local advertising interaction will have more immediate effect, while national advertising interaction will have longer term interaction effects. We apply these ideas empirically, and find support for our hypotheses. Thus, the interaction effect of advertising and price can be characterized by both increased and decreased price sensitivity, depending on the type of advertising. Moreover, these effects may be present simultaneously for the same product.     

Consumers’ Appreciation of Regional Certification Labels: A Pan‐European Study

Successful regional products, such as Florida oranges, Idaho potatoes and Parma ham, often have to compete against products passing themselves off as the authentic product using the exact same name. This unfair competition misleads consumers, discourages small‐ and medium‐sized enterprises (SMEs) from marketing products based on their region of origin, and may end up hurting rural economies. To protect consumers, and support SMEs and rural economies, many countries around the world have introduced regulations enabling SMEs to legally protect the names of their regional products. The success of these regulations largely depends on consumers’ appreciation of regional certification labels that inform consumers that the name of the regional product is protected and that it denotes the authentic product. To gain an understanding about consumers’ appreciation of regional certification labels, this paper investigates consumers’ image of these labels and proposes a model that relates this image to consumers’ willingness to buy and pay for protected regional products. The model is tested based on Regulation No. 2081/92 that was introduced by the EEC allowing European SMEs to protect their regional products and market their products with a protected‐designation‐of‐origin (PDO) label. Structural equation modelling results suggest that consumers’ image of regional certification labels consists of a quality warranty dimension and an economic support dimension, which positively relate to consumers’ willingness to buy and pay for the protected regional product. Protecting regional products and marketing them with regional certification labels may be beneficial for SMEs producing and marketing regional products. Policy and managerial implications are discussed.     

Design-Based Properties of Linear Calibrated Estimators of a Finite Population Total

We extend Godambe's famous nonexistence theorem to classes of linear calibrated estimators. We also propose a new method for comparing sampling strategies in the design‐based framework without recourse to simulation.     

In search of E. I. DuPont de Nemours & Company: the perils of archival research

The purpose of this paper is to describe the pitfalls of archival research into the bookkeeping records of a specific firm, E. I. DuPont de Nemours & Co., and how it may lead to misinterpretation and misdirection. Traditionally, the bookkeeping records of an individual or organization have provided a great deal of information to researchers who use the records for many different research projects. Such research is costly, however. The researcher is concerned with the analytical techniques of the historian, or even the detective; the time-consuming, methodical routine of familiarization with the records; and the analysis and interpretation of the significance of the techniques and trends evident in the data base. The sources for this traditional archival research project were many, varied, and often contradictory. For the record books of the DuPont Company, an early 19th century gunpowder manufactory, the process of understanding, interpreting, and validating the record keeping led to a number of misleading, confusing, and time-consuming issues which had to be resolved. These issues may have implications for other accounting historians since the need to search for the 'story' behind a particular research project will in all likelihood be encountered in the course of other research. Researchers must understand that they are able to rely on secondary sources, when they exist, only as long as they remain circumspect when depending on the secondary interpretation of primary sources, and that even the primary sources themselves may lead the researcher astray.     

INFLATION,NONOPTIMAL MONETARY ARRANGEMENTS AND THE BANKING IMPUTATION IN THE NATIONAL ACCOUNTS*

This paper demonstrates, with the use of some recent developments in neoclassical monetary theory, that the banking imputation problem in the national accounts arises because of the regulation of banks by Authorities. It demonstrates as well that the banking imputation problem is a manifestation of the failure of the Authorities to provide optimal monetary arrangements. Some comments on existing imputations, in the light of this theory, are provided.