Who are Advisory Services Leaving Out? A Critical Reflection on ‘Hard to Reach’ Farmers

Although the Common Agricultural Policy of the European Union has broadened its objectives to integrate social issues, several hard-to-reach groups of farmers and workers continue to be ignored by advisory services and associated policies. Connecting with these groups has a strong potential to increase the economic and social cohesion of European agricultures. We interviewed over 1,000 farmers across Europe and identified features of these groups that are often overlooked by advisory services. We critically reflected on the social cohorts omitted from advisory services and how they could be better reached; they include farm labourers, new entrants or ‘career changers’, and later adopters. We clarify the different types of advisors in the advisory landscape, distinguishing between those who are linked to or independent from sales of inputs or technologies. We make concrete recommendations about how to engage advisors with hard-to-reach groups, with approaches suited to different national contexts of Agricultural Knowledge and Innovation Systems (AKIS); thus contributing to the ‘AKIS dimension of National Strategic Plans of the next Common Agricultural Policy, 2023–2027. We argue for the more effective use of advances in the social sciences through a better understanding of advice as social interaction which can bolster the inclusiveness of public policies.     

Volatility linkages in the spot and futures market in Australia: a copula approach

To better characterize the dependence structure of the joint returns distribution, we propose to blend copula functions with Asymmetric GARCH (AGARCH) models, which are allowed for generalized error distribution. We model the copula’s marginals by the AGARCH processes that can differentiate between the impacts of positive and negative shocks on the returns volatility while taking the large kurtosis of the returns into account. An application of the procedure is elaborated on the All Ordinaries Index and its corresponding Share Price Index on future contracts in Australia. The findings reveal that the two spot and future markets show a strong right tail dependence but no left tail dependence. This provides a very useful knowledge for the risk management and hedging in futures markets.     

An econometric approach to estimating support prices and measures of productivity change in public hospitals

In industry sectors where market prices for goods and services are unavailable, it is common to use estimated output and input distance functions to estimate rates of productivity change. It is also possible, but less common, to use estimated distance functions to estimate the normalised support (or efficient) prices of individual inputs and outputs. A problem that arises in the econometric estimation of these functions is that more than one variable in the estimating equation may be endogenous. In such cases, maximum likelihood estimation can lead to biased and inconsistent parameter estimates. To solve the problem, we use linear programming to construct a quantity index. The distance function is then written in the form of a conventional stochastic frontier model where the explanatory variables are unambiguously exogenous. We use this approach to estimate productivity indexes, measures of environmental change, levels of efficiency, and support prices for a sample of Australian public hospitals.     

Antecedents of commitment to a parent company and to a local operation: empirical evidence from western employees working for multinational companies in Vietnam

Rising business of multinational companies in Asia has been paralleled with an increase in the number of western expatriates sent overseas. This has created challenges for the multinational companies as how to develop dual commitment of these expatriates to the parent companies and to the local operations during international assignments. In this study, we simultaneously examined the nature of dual organizational commitment among 254 western expatriates currently working for the subsidiaries of the multinational companies in Vietnam, and investigated specific antecedents of the dual commitment by using multi-dimensional approach. The results confirmed the existence of two distinct commitment foci and proved that the commitment to a parent company was stronger than that to a local operation. Tenure in a parent company, clarity of repatriation process, promotion and compensation were responsible for the differences in level of commitments with regard to two foci. While promotion, compensation and clarity of repatriation process more significantly predicted components of parent company commitment, pre-departure training was more associated with components of local operation commitment. Pre-departure training, promotion, compensation and transformational leadership were primarily indicated to predict dual commitment in terms of high levels to both foci. The results were discussed in the light of dual commitment and international human resource management.     

Permanent trading impacts and bond yields

We analyse four years of transaction data for euro-area sovereign bonds traded on the MTS electronic platforms. In order to measure the informational content of trading activity, we estimate the permanent price response to trades. We not only find strong evidence of information asymmetry in sovereign bond markets, but also show the relevance of information asymmetry in explaining the cross-sectional variations of bond yields across a wide range of bond maturities and countries. Our results confirm that trades of more recently issued bonds and longer maturity bonds have a greater permanent effect on prices. We compare the price impact of trades for bonds across different maturity categories and find that trades of French and German bonds have the highest long-term price impact in the short maturity class, whereas trades of German bonds have the highest permanent price impact in the long maturity class. More importantly, we study the cross-section of bond yields and find that after controlling for conventional factors, investors demand higher yields for bonds with larger permanent trading impact. Interestingly, when investors face increased market uncertainty, they require even higher compensation for information asymmetry.     

Land Reform and Farm Production in the Northern Uplands of Vietnam*

Economic theory suggests that increased tenure security will lead to increased productivity. However, existing literature on the relationship between land tenure and land productivity provides inconclusive evidence. The present paper analyzes the impact of land reform on chemical fertilizer use and land productivity of rural farms in the Northern Uplands of Vietnam using a panel dataset collected before and after land reform. The results show that land reform has positive effects on both chemical fertilizer use and land productivity, but the level of influence is different between land privatization and land titling. Relevant policy implications are thus derived for the promotion of farm production in the region.     

Effects of family structure and socialization on materialism: a life course study in Thailand

Consumer researchers have long been interested in understanding the development of materialistic attitudes and values in different cultural settings. The life course approach, which has developed recently as an interdisciplinary programme for studying various aspects of behaviour, was used as an overarching framework for studying the development of materialism in Thailand. Specifically, the paper first presents the general conceptual framework that serves as a blueprint for discussing theoretical perspectives. Next, hypotheses derived from life course perspectives are formulated, and a survey of young adults (ages 20 to 32) is used to test them. We found that family disruption influences materialism only among those young adults from lower social classes. Findings of this paper have implications for theory development and suggest directions for future research.     

Cost and environmental efficiency of rice farms in South Korea

We examine cost and nutrient use efficiency of farms and determine the cost to move farms to nutrient‐efficient operation using Data Envelopment Analysis (DEA) with a dataset of 96 rice farms in Gangwon province of South Korea from 2003 to 2007. Our findings show that improvements in technical efficiency would result in both lower production costs and better environmental performance. It is, however, not costless for farms to move from their current operation to the environmentally efficient operation. On average, this movement would increase production costs by 119% but benefit the water system through an approximately 69% reduction in eutrofying power (EP). The average estimated cost of each EP kg of aggregate nutrient reduction is approximately one thousand two hundred won. For technically efficient farms, there is a trade‐off between cost and environmental efficiency. We also find that the environmental performance of farms varies across farms and regions. We suggest that agri‐environmental policies should be (re)designed to improve both cost and environmental performance of rice farms.     

Zur normativ-ökonomischen Fundierung einer makroprudenziellen Versicherungsregulierung

Current microprudential regulation of the insurance industry is primarily focused on the protection of the institution’s individual solvency. The necessity for a regulation that would focus on the system as a whole is neglected by pointing out that the insurance industry does not cause systemic risk like the banking system. Contrary to this opinion, we show that from a normative perspective there are some economic reasons which may justify a macroprudential approach to insurance regulation. What is important in that respect is the very purpose of the regulation.