Regulation And The Rise In Asset-Based Mutual Fund Management Fees

In this article I explain why asset‐based fees are common for mutual fund management companies and why the average fee has increased recently. I argue that Securities and Exchange Commission fee regulations make alternative fee types illegal or unattractive. Management companies can maintain higher fees because regulations and brand‐name capital partly insulate them from competition and because investors cannot easily distinguish between performance‐oriented and marketing‐oriented fund companies. Index funds and unit investment trusts may offer competition to mutual funds in the future because they are designed to minimize management fees.     

Orange County Bankruptcy: Financial Contagion in the Municipal Bond and Bank Equity Markets

We examine the spillover wealth effects of the Orange County, California bankruptcy announcement in December 1994 on municipal bonds, municipal bond funds, and bank stocks. This bankruptcy is prominent because of unprecedented losses and because it was caused by a highly leveraged derivatives strategy rather than a shortage of tax revenues and excess spending. We find contagion in the bond market with significantly negative abnormal returns for municipal bond funds without direct exposure to Orange County and for non‐Orange County municipal bonds. In addition, our findings suggest the contagion spills over to the common stocks of investment and commercial banks that deal in or use derivatives; however, the equities of banks unexposed to derivatives are not affected.     

Creditors’ and Shareholders’ Reporting Demands in Public Versus Private Firms: Evidence from Europe*

In this study we investigate whether the importance of accounting information in contracting and communication with shareholders and creditors affects earnings timeliness in publicly disclosed general‐purpose financial statements. To operationalize the relationship between timeliness demands and the importance of accounting information to shareholders and creditors, we compare the (asymmetry in) earnings timeliness of public firms with that of private firms. We attribute public versus private firm differences in timeliness to shareholders’ demands when a country’s institutions provide strong investor protection. Similarly, we attribute these differences to creditors’ demands when the institutions provide strong creditor protection. Our analysis of public and private firms in 13 Western European countries suggests that creditors and shareholders have different timeliness demands. In particular, we find that the public versus private firm difference in asymmetric timeliness is not associated with a country’s degree of investor protection but positively associated with a country’s degree of creditor protection. The results further suggest that shareholders demand symmetric rather than asymmetric timeliness. An important implication of our study is that general‐purpose financial statements are responsive to creditors’ reporting demands, which contrasts with the idea that these — primarily private — creditors would use special‐purpose reports.     

Cross‐Country Evidence on Labor Market Institutions and Young Adult Employment through the Financial Crisis

I develop and analyze a set of cross‐country facts regarding employment and wage setting institutions over the decade surrounding the 2008 financial crisis. Among long‐industrialized countries, young adult employment declined more than prime age employment over this time period. I show that differences in countries' wage setting institutions strongly predict variations in the magnitude of declines in young adult employment. Both unconditionally and conditional on changes in macroeconomic conditions, young adult employment declined 5 percentage points less in countries where wage setting is driven by collective bargaining arrangements than in countries with statutory wage floors. Evidence on the evolution of legislated minimum wage rates and of an asymmetry in the relationship between growth and young adult employment suggest an important role for a standard “wage rigidity” mechanism.     

柴达木循环经济的分析

主要介绍了位于青海省的柴达木盆地蕴涵着丰富的自然资源,通过近两代人的不懈努力对盐湖资源的开发和利用,同时也对不同的自然资源进行可行性分析,不断地开发和利用新技术使国家的自然资源进行了有效的利用,同时为国家和社会创造了巨大的社会效益和经济效益。对钾盐资源、金属镁资源、天然气资源、煤资源的利用进行了全方位的经济分析。     

Is the Best Interest of the Child Best for Children? Educational Attainment and Child Custody Assignment

Between the 1970s and 1990s, state custody laws moved from maternal preference to the “best interests of the child” doctrine, which gives fathers and mothers equal treatment in child custody assignment. We exploit exogenous variation across states in the timing of this custody law change to estimate the long-term implications of exposure to a gender-neutral custody law regime. We find that childhood exposure to gender neutral custody laws has a negative effect on educational attainment. A child exposed to gender neutral custody law is less likely to graduate from high school by 1.5 to 2.0 percentage points.     

Graduated Punishments in Public Good Games

I explain the ubiquitous use of graduated punishments by studying a repeated public good game in which a social planner imperfectly monitors agents to detect shirkers. Agents’ cost of contributing is private information and administering punishments is costly. Using graduated punishments can be optimal for two reasons. It increases the price of future wrongdoing (temporal spillover effect) and it can lead to bad types revealing themselves (screening effect). The temporal spillover effect is always present if graduated punishments prevail, but screening need not occur if agents face a finite horizon. Whether or not a screening effect is exploited has a substantial impact on both outcomes and actual punishments. If the temporal spillover effect is sufficiently strong, then first‐time shirkers are merely warned.     

The U.K. Conference and Meetings Industry

Abstract

During the last ten years, the U.K. meetings industry has developed rapidly. Regard for the industry and competition amongst venues is growing. The industry is attracting increasing levels of attention, while an intensified incidence of venues other than hotels are competing within this sector. This progressive expansion of demand experienced by the industry heightens the importance of the quality provision for customers when differentiating between venues. The ultimate aim of the research is to determine whether gaps exist between the attributes employed to assess the quality and desirability of a U.K. conference venue-firstly by conference organizers and conference delegates and secondly between their perceptions and the characteristics of the product provided. This paper presents an approach to the development of a research instrument to measure and compare an inventory of service quality attributes as perceived by meetings organizers and delegates.     

Illegal waste disposal: Enforcement actions and decentralized environmental policy

Environmental non-compliance is affected by the decentralized shaping of environmental policy by local governments and enforcement actions by public bodies. Illegal waste disposal is examined in a relevant national case, by means of an original regionally disaggregated panel dataset for Italy, a country which witnesses heterogeneous environmental performances across regions and a decentralized policy system. Our empirical analysis produces two main insights of strong policy interest. First, commitment to a more stringent waste policy tends to increase illegal disposal of waste. Second, a nonlinear bell shaped relationship exists between the number of inspections and the quantity of illegal disposal. The key message is that deterrence might only result after a relatively high level of controls is implemented.