Multiple wage-bargaining systems in the single European currency area

Little attention in the EMU literature has been paid to theinteraction between central bank monetary rules and systemsof collective wage bargaining. Analytically and empirically,coordinated wage-bargaining systems respond with real wage restraintto non-accommodating monetary policy. Since wage determinationis dominated by collective bargaining in all the EMU memberstates and wage coordination within the member states has grownsince 1980, this is a topic of potential importance. In particular,the replacement of the Bundesbank, directly targeting Germaninflation, by a European Central Bank (ECB) targeting Europeaninflation will remove a major institutional support of wagerestraint in Germany. The consequences of this for EMU are workedout under two scenarios, that inflation expectations will begenerated by ECB monetary policy and that they will reflectGerman inflation outcomes. Possible institutional developmentsare discussed including government union bargains. The Bundesbankalso played a major role in maintaining fiscal rectitude: forunderlying structural reasons, therefore, it is possible thatGermany will move to a period of fiscal activism with wage restraintand low inflation purchased through social contract negotiations.     

Institutions and economic performance: evidence from the labour market

We analyse the institutional determinants of economic performance,taking European labour-market institutions as a case in point.European economic growth after the Second World War was basedon Fordist technologies, a setting to which the continent'sinstitutions of solidaristic wage bargaining were ideally suited.They eased distributive conflicts and delivered wage moderation,which in turn supported high investment. The wage compressionthat was a corollary of their operation was of little consequenceso long as the dominant technologies were such that firms couldrely on a relatively homogeneous labour force. But as Fordismgave way to diversified quality production, which relied moreon highly skilled workers, the centralization of bargainingand the compression of wages became impediments rather thanaids to growth. Assuming that growth will rely even more inthe future on rapidly changing, science-based, skilled-labour-intensivetechnologies, countries with centralized labour-market institutionswill have to move still further in the direction of decentralization.Whether Europe in particular can accommodate these demands willhelp to determine whether it is able to re-establish a fullemployment economy in the twenty-first century.     

Factors Influencing Successful Brand Extensions

Organisations frequently follow brand extension strategies. This paper investigates the impact of category similarity, brand reputation, perceived risk and consumer innovativeness on the success of brand extensions in FMCG, durable goods and services sectors. A set of hypotheses were developed and tested in a study amongst 701 consumers. The findings show that extensions into categories more similar to the original brand tend to be more readily accepted. Likewise, the reputation of the original brand is an important factor influencing the success of the extension. These findings are consistent across FMCG, durable goods and services brands. However, perceived risk about the extension category was only found to enhance acceptability of extensions for durable goods and services brands. Innovative consumers are more positively disposed towards service brand extensions than FMCG and durable goods brand extensions.     

Environmental concern and environmental behaviour among the Norwegian public

Current studies indicate that the most accurate predictor of actual buying behaviour is consumer attitudes (Glendon and McKenna, Human Safety and Risk Management , London: Chapman and Hall, 1995). This study seeks to investigate questions relating to the extent to which attitudes on safety and risk issues are critical to safety-related behaviour. The dispositional view of human behaviour implies behavioural consistency across different behaviours performed in different situations, as long as the behaviours are instances of the same underlying disposition. The present study tests this hypothesis in relation to health and environmental behaviour. Both direct and indirect effects are investigated. An additional aim was to test for gender differences as well as differences due to age and educational level. The results are based on survey data of a representative sample of the Norwegian population given self-completion questionnaires during the period 1997-98. A total of 1450 respondents replied to the questionnaire. Health attitudes and the Health Value Scale correlated strongly with health behaviour and environmental concern with environmental behaviour. Attitude towards illness prevention was important for both behavioural dimensions. Health behaviour influenced environmental behaviour in an indirect way, through health attitudes. The results imply that it can be useful to study dispositional concepts. When appropriately applied, they yield useful information. It is important to focus on specific attitudes and related specific behaviours in order to change behavioural practices. In addition, it seems possible to change environmental and consumer behaviour through changing health     

The state as the investor of last resort: a comparative study of banking crises in Denmark and Sweden

This article addresses the role of the state in bailouts, i.e. government objectives and measures during banking crises. Our main question concerns the incentives and measures that governments pursue in a state of a systemic banking crisis, and why they are launched. What have been the objectives and operations when a government has decided to act as an investor of last resort and take control of commercial banks? The answer is limited to cover the financial history of two countries. The study unveils government interventions in the latest crises in Denmark and Sweden, and critically analyse which objectives justified the setting up of organisations for financial stability. The two country-cases differ in terms of historical experience, context, and time-period. We compare intrinsic principles and perceptions for government intervention, with a focus on bailouts and state-owned banks. We argue that the implementation of measures dates back to the early phases of capitalism in the 19th century i.e. is part of a historical institutional pattern. The similarities shown indicate that there is an international standard for a public–private arrangement ensuring financial stability. Our results relate to the discussion of launching effective and legitimate state policies during and after a systemic banking crisis.     

The choices for Scandinavian social democracy in comparative perspective

Scandinavian social democracy represents one of the most systematicattempts to shape economic institutions and policies in pursuitof equality and full employment. Increasingly, however, thesegoals have eluded governments, and their institutional supportshave eroded. This paper seeks to understand this shift througha comparative analysis that places particular emphasis on theinteraction between macroeconomic policies and wage-bargaininginstitutions. It is argued that the nature of this interaction,and the associated economic effects, have been changed by newtechnology, capital market integration, and service-sector expansion.As a result, centralized wage-bargaining institutions and accommodatingmacroeconomic policy regimes have been undermined, and socialdemocracy increasingly faces a choice between the promotionof equality and employment for all.     

Market structure and bid-ask spreads: IBIS vs Nasdaq

A comparison is made between the bid-ask spreads of 30 high volume German stocks traded on IBIS and 30 high volume US stocks traded on Nasdaq. IBIS and Nasdaq are best described as agency and dealer auction markets, respectively. On average, the market spread for these IBIS and Nasdaq stocks is the same, but for the 10 most active stocks in each market, IBIS spreads are considerably lower. For these latter stocks, IBIS spreads change in a predictable manner throughout the day. Nasdaq spreads do not. The critical factor appears to be the unrestricted access of suppliers of immediacy that is distinctive for agency auction markets.     

Rezensionen

Ohne Zusammenfassung     

Category characteristics' effects on brand extension attitudes: A research note

Prior studies on attitudes towards brand extensions focus mainly on the effects of the perceived fit between the brand extension and the extension category. This exploratory paper contributes by describing two studies of how the following four extension category characteristics affect consumers' attitudes towards brand extensions: (1) the awareness set size; (2) the perceived similarity among existing brands; (3) the perceived category familiarity; and (4) overall category attitudes. Results from two studies suggest that consumers evaluate brand extensions more favorably when the awareness set size is small or when their attitude towards the extension category is favorable. Consequently, brand managers must analyze the extension category carefully when developing brand extensions.     

Die Probleme des festen Realkapitals

Ohne Zusammenfassung