Found 9 article(s) for author 'Equity'

Collective Risk and Distributional Equity in Climate Change Bargaining

Collective Risk and Distributional Equity in Climate Change Bargaining. Dustin Tingley, 2019, Paper, “International climate negotiations occur against the backdrop of increasing collective risk: the likelihood of catastrophic economic loss due to climate change will continue to increase unless and until global mitigation efforts are sufficient to prevent it. We introduce a novel alternating-offers bargaining model that incorporates this characteristic feature of climate change. We test the model using an incentivized experiment. We manipulate two important distributional equity principles: capacity to pay for mitigation of climate change and vulnerability to its potentially catastrophic effects. Our results show that less vulnerable parties do not exploit the greater vulnerability of their bargaining partners. They are, rather, more generous. Conversely, parties with greater capacity are less generous in their offers. Both collective risk itself and its importance in light of the recent Intergovernmental Panel on Climate Change report make it all the more urgent to better understand this crucial strategic feature of climate change bargaining.Link

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How Democratic Is the Euro?

How Democratic Is the Euro? Dani Rodrik, June 11, 2018, Opinion, “If the European Union is to remain viable and democratic at the same time, policymakers will have to pay closer attention to the demanding requirements of delegating decisions to unelected bodies. They should promote such a delegation of sovereignty only when it truly enhances the long-term performance of their democracies.Link

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The Real Effects of Capital Controls: Firm-Level Evidence from a Policy Experiment

The Real Effects of Capital Controls: Firm-Level Evidence from a Policy Experiment. Laura Alfaro, June 2017, Paper, “This paper evaluates the effects of capital controls on firm-level stock returns and real investment using data from Brazil. On average, there is a statistically significant drop in cumulative abnormal returns consistent with an increase in the cost of capital for Brazilian firms following capital control announcements. Large firms and the largest exporting firms appear less negatively affected compared to external-finance-dependent firms, and capital controls on equity inflows have a more negative announcement effect on equity returns than those on debt inflows. Overall, the findings have implications for macro-finance models that abstract from heterogeneity at the firm level to examine the optimality of capital control taxation.Link

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Brexit’s Blow To Globalization

Brexit’s Blow To Globalization. Carmen Reinhart, June 29. 2016, Opinion. “The United Kingdom’s Brexit referendum has shaken equity and financial markets around the world. As in prior episodes of contagious financial turmoil, the victory of the “Leave” vote sent skittish global investors toward the usual safe havens. US Treasury bonds rose, and the dollar, Swiss franc, and yen appreciated, most markedly against sterling.Link

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Good cop, bad cop: Complementarities between debt and equity in disciplining management

Good cop, bad cop: Complementarities between debt and equity in disciplining management, Lucy White, October 2014, Paper. “We demonstrate an inherent conflict between ex ante efficient monitoring and liquidation decisions by outside claimholders. We show it can be useful to commit to inefficient liquidation when monitors fail to produce information: this provides stronger incentives to monitor. The implication for firm capital structure is that more information is generated about firm prospects – and hence firm value increases – when a firm’s cash flow is split into a ‘safe’ claim (debt) and a ‘risky’ claim (equity) compared to…” Link

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Resisting the Iron Cage: The Effects of Bureaucratic Reforms to Promote Equity

Resisting the Iron Cage: The Effects of Bureaucratic Reforms to Promote Equity. Frank Dobbin, September 2014, Paper. “Organization scholars since Max Weber have argued that formal personnel systems can prevent discrimination. Studies show both positive and negative effects. We draw on sociological and psychological literatures to develop a nuanced theory of the effects of bureaucracy. Drawing on self-perception and contact theories, we contend that initiatives that engage managers in promoting diversity, such as special recruitment and training programs, will increase diversity…” Link

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The Real Effects of Capital Controls: Liquidity Constraints, Exporters, and Firm Investment

The Real Effects of Capital Controls: Liquidity Constraints, Exporters, and Firm Investment. Laura Alfaro, May 2014, Paper. “This paper evaluates the effects of capital controls on firm-level stock returns and real investment using data from Brazil. Theory suggests that the imposition of capital controls can drive up the cost of capital and curb investment. Credit constraints are also more likely to bind for firms that are more dependent on external finance. The data suggest that there is a significant decline in cumulative abnormal returns for Brazilian firms following the imposition of capital controls in 2008-2009 consistent with…” Link verified August 21, 2014

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Prodigy Network: Democratizing Real Estate Design and Financing

Prodigy Network: Democratizing Real Estate Design and Financing. Karim R. Lakhani, March 2014, Case. “This case follows Rodrigo Nino, founder and CEO of commercial real estate development company Prodigy Network, as he develops an equity-based crowdfunding model for small investors to access commercial real estate in Colombia, then tries out the model in the U.S. U.S. regulations, starting with the Securities Act of 1933, effectively barred sponsors from soliciting small investors for large commercial real estate. However…” May require purchase or user account. Link Verified October 11, 2014

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Does Equity Pass the Laugh Test? A Response to Oliar and Springman

Does Equity Pass the Laugh Test? A Response to Oliar and Springman. Henry Smith, 2009, Paper, “Dotan Oliar and Christopher Sprigman explore an example of a norm system-the one among stand-up comedians against joke theft-and show why it is likely superior to use of copyright to protect rights in jokes. In the course of their study they document both how formal copyright law is unsuited to protecting comedic material and what type of norm system, enforced by other comics and booking agents, has sprung up in its stead. From a property point of view, the likely bi-causal relationship between the development of the antiplagiarism norm and the rise of narrative, observational, and social commentary-style comedy out of earlier vaudeville and post-vaudeville styles is now, thanks to Oliar and Sprigman, one of the better documented cases of Demsetzian development we have.Link

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