Antico-classico = anti-classico?

1noneembargoed_20131013Treu, MartinaTreu, Martin

The economic regulation of quality in the Italian VQPRD sector: which perspectives?

The Appellation of Origin system is aimed at reducing consumer's information costs, assuring a minimum quality standard and wine typicity, as well as maintaining a diversified supply in order to satisfy consumer s tastes heterogeneity. The effectiveness of the system is menaced by quantity and quality uncertainty, free riding phenomena, vertical relationships complexity and hold- up risks. The long term risk of the drop of the collective reputation of the Appellation justifies the economic regulation of the supply by the sectorial Organizations. Thus, it is necessary to evaluate ther role in the construction of the competitive advantage of the quality wine system. Then, the question that we address in this paper is that of the effectiveness of the supply regulation of quantity and quality in the Italian system of Appellation of Origin. We analyze the current context of the Italian Appellation of Origin Chianti Classico and the mechanisms of the supply economic regulation. At first, we describe the structural and commercial characteristics of the Appellation, the vertical relationships among the agents, the trend of the most important economic indicators of the Appellation. Then, we provide an analysis of the current mechanisms of the economic regulation of supply, from the specific production requirement s to the role of the sectorial organisation in the Appellation quality strategy. Finally, we point out the problems and the possible evolutions of the Appellation of Origin's system, in the context of the Reform of the CMO of wine.Appellation of Origin, collective reputation, economic regulation of supply, sectorial organizations, Agribusiness,

The Cost of Ignorance: Reputational Mark-up in the Market for Tuscan Red Wines

This paper argues that imperfectly informed consumers use simple signals to identify the characteristics of wine. The geographical denomination and vintage of a wine as well as the characteristics of a particular wine will be considered here. However, the specific characteristics of a wine are difficult to ascertain ex ante given the enormous product variety. The reputation of a denomination will thus be an important guide for consumers when assessing individual wines. Denomination reputation is a function of average quality as revealed by the past performance of producers. The impact of past performance increases over time, since producers consider improved average quality to be an important factor in enhancing the price, but this necessitates monitoring of members in the denomination. The market and pricing of Tuscan red wines provide a natural experiment because there are a number of denominations of different age, each of which is typically undergoing a process of gradual increase in quality standards over time. Furthermore, Tuscan red wines are easily comparable because of great similarities in climate and choice of grape varieties, soil and exposure to sun etc. We show that new denominations have a lower average quality score and that price differentials between denominations are linked to differences in average quality, although consumers tend to exaggerate the quality gap between prestige denominations and new denominations. Thus, a producer in an old denomination benefits from a substantial mark-up relative to an equally good producer from a new denomination. Since ambitious producers in new denominations suffer from price ‘discrimination’ it can be expected that they will produce vineyard branded but denomination neutral wines, provided they can overcome the large fixed costs associated with that strategy. We show that denomination neutral wines do indeed have a stronger price-quality relationship than denomination specific wines.wine; Tuscany; price-quality relationship

What is Radical Recursion?

Recursion or self-reference is a key feature of contemporary research and writing in semiotics. The paper begins by focusing on the role of recursion in poststructuralism. It is suggested that much of what passes for recursion in this field is in fact not recursive all the way down. After the paradoxical meaning of radical recursion is adumbrated, topology is employed to provide some examples. The properties of the Moebius strip prove helpful in bringing out the dialectical nature of radical recursion. The Moebius is employed to explore the recursive interplay of terms that are classically regarded as binary opposites: identity and difference, object and subject, continuity and discontinuity, etc. To realize radical recursion in an even more concrete manner, a higher-dimensional counterpart of the Moebius strip is utilized, namely, the Klein bottle. The presentation concludes by enlisting phenomenological philosopher Maurice Merleau-Ponty’s concept of depth to interpret the Klein bottle’s extra dimension

Inside the black box of collective reputation

The literature on collective reputation is still in its infancy. Despite the existence of a (limited) number of valuable theoretical works studying the process of collective reputation building, there is still no comprehensive analysis of this concept. In addition, due to data limitation, there are no empirical studies testing the determinants of group reputation. This work intends to provide a comprehensive analysis of reputational equilibria within coalitions of agents. In order to do so, we design a static and dynamic (over 30 years) study on the universe of coalitions of companies, within the wine market, looking at the role exerted by the characteristics of the coalition itself (its age and size), the rules set and the actions put forward by the group of agents in order to reach and maintain a certain level of collective reputation, and the context in which they operate. Results shed new lights into this ubiquitous phenomenon.reputation, collective reputation, asymmetric information, quality standards, wine.

Family money, relational life and (class) relative wealth: an empirical analysis on life satisfaction of secondary school students

We investigate factors affecting happiness on a sample of Italian secondary school students. We find that money matters since family’s house ownership, mortgages and (class) relative wealth significantly affect life satisfaction. Other crucial factors are geographical residence (those living in Milan are significantly less happy), mother’s occupation, trust on family and friendships. Even though we cannot rule out inverse causality and other forms of endogeneity, the characteristics of many of the significant regressors such as family wealth, parental job and geographical residence (not under the decisional power of the student) suggest a direct causality nexus for these factors.life satisfaction; secondary school; wealth

Seasonal changes in dry matter yield from Karst pastures as influenced by morphoclimatic features

Pastures are strongly affected by local environmental variables in terms of their species richness, plant composition and herbage production. A multi-site monitoring study was conducted over three years to investigate the influence of morphoclimatic factors on the seasonal variations in dry matter (DM) yield from Karst pastures. Seven sites located on the Italian and Slovenian Karst regions were investigated that differed in terms of their geological and geomorphological features, as well as their soil types. At each site, the daily DM yield (kg ha-1 d-1) was determined using Corral-Fenlon method which permits to simulate herbage utilization from grazing herds. The morphoclimatic features were also analysed, with the aim to evaluate the link between seasonal DM yield and geomorphological and environmental factors. Generalized non-linear mixed models were built to study the observed seasonal variations in DM yield, using day of the year (DOY), growing degree days (GDD), and cumulative rainfall. Furthermore, environmental descriptors were included in the model in order to evaluate their effects on DM yield. The seasonal variations in yield showed two growing periods (spring and late summer), which were described by Gaussian curves. For the spring growing period, the model improved when the interaction between soil granulometry and growing degree days corresponding to the curve peak was taken into account. This confirms the influence of soil type and air temperature on pasture yield. For the late summer growing period, the interaction between the sand classes and the number of rainy days from the beginning of the period to the peak of the curve improved the model. The curve parameters of our models are correlated with environmental descriptors depending on the lithology and particle size of soils. The results are essential for the optimization of pasture management and avoiding degradation due to over- or under-grazing

Management Quality Measurement: Using Data Envelopment Analysis (DEA) Estimation Approach for Banks in Brazil

While the quality of a bank's management is generally acknowledged to be a key contributor to a financial institutional failure, it is usually not calculated for lack of an objective measure. This paper presents a new paradigm approach for quantifying a bank's managerial efficiency, using a data envelopment analysis (DEA) model that combines multiple inputs and outputs to compute a scalar measure of efficiency and management quality. The analysis of the largest 50 Brazilian banks over a twelve-year period from 1995 to 2006 shows significant differences in management quality scores between institutions. Hence, this new metric provides an important, but previously missing, modelling element for the early identification of troubled banks and can be used as a tool for off-site bank supervision in Brazil.Data Envelopment Analysis, DEA, Banks, Brazil