Knowledge Transfer, Innovation and Growth

Recent empirical work has examined the extent to which national and international spillovers affect the functioning of a firm. Foreign direct investment and trade have been shown to serve as channels for the mediation of knowledge spillovers. The aim of this paper is to analyse whether, and to what extent, firm ability to innovate is induced by firm’s own R&D activity and what is the effect of factors external to firm. We first estimate the impact of firms' internal R&D capital and external R&D spillovers on innovation activity within an integrated dynamic model. In the second step, we proceed to estimate the impact of firms' innovations on productivity growth. Using firm-level innovation and accounting data for a large sample of Slovenian firms from 1996-2002, the paper produces some interesting findings. First, firm R&D expenditures as well as external knowledge spillovers, such as national and international public R&D subsidies, foreign ownership and intra-sector innovation spillovers foster the ability of firms to innovate. Second, innovations resulting from firm’s R&D may contribute substantially to its total factor productivity growth. Here, foreign ownership is shown to have a dual impact on firm’s TFP growth - while it enhances firm ability to innovate it also contributes to TFP growth via superior organization techniques and other channels of knowledge diffusion. These results, however, are not robust to different econometric techniques. By using matching techniques and firm propensity to innovate in order to match innovating firms with otherwise similar non-innovating firms we find no support for the importance of innovation on productivity growth.DYNREG, innovation, external knowledge spillovers, FDI, trade

Ownership Structure, Control and Firm Performance: The Effects of Vote Differentiated Shares

This paper contributes to the literature on ownership, control and performance by exploring these relationships for Swedish listed companies (1997-2002). We find that firms, on average, are making inferior investment decisions and that the use of dual-class shares have a negative effect on performance. According to our results concentration of ownership has a negative impact on investment performance and firm value when control instruments that separate votes from capital share are used. Marginal q is used as a measure of economic performance. It was presented in an article by Mueller and Reardon in 1993 and has recently been used in empirical studies of ownership and performance by among others Gugler and Yurtoglu (2003). Frequently Tobin’s q is used in studies of this type, but Tobin’s q has a number of disadvantages which can be circumvented by employing a marginal q. This study adds to earlier studies by investigating how the separation of vote and capital shares’ creates a wedge between the incentives and the ability to pursue value maximization. The relationships between the performance measure and different ownership characteristics like ownership concentration and foreign ownership are also investigated.marginal q; ownership structure; firm performance; investments; dual-class shares

Vertical Channel Analysis of the U.S. Milk Market

The objective of the research in this study is to evaluate the pricing and market conduct of milk manufacturers and retailers. Using data from a U.S. Midwestern state, we estimate a random coefficient logit demand model (RCL) to empirically investigate a range of possible scenarios in the milk supply chain. These include vertical leader-follower model with underlying Bertrand-Nash pricing, models allowing for nonlinear pricing contracts, and collusion scenarios at various levels in the supply chain. This study contributes to the literature in the following ways. First, it generalizes the RCL demand model via Box-Cox power transformation. While previous studies rely on ad hoc specified linear indirect utility, this procedure allows data to determine the functional form of utility. Power transformation parameters cannot be obtained analytically with product-level data, given that consumer choices are unobserved. We propose an algorithm to estimate the transformation and consumer heterogeneous taste parameters sequentially. The model is identified using annual variation in consumer demographics along with cross-sectional and time series variation in milk consumption. Finally, the milk choice set is allowed to vary across markets. It should be mentioned that jointly estimating the manufacturing sector, the vertical channel, and the retail sector will more likely yield reliable estimates of structural parameters vis-à-vis studies investigating food supply chain sectors in isolation. Several key results are obtained from the research. First, the estimate of demand “superelasticity”suggests that retailers have incentives to adjust retail markups to enhance their market power. Next, supply selection bias associated with imposing restriction on the demand-side framework is shown to have formidable policy implications. Namely, empirical results from the general demand show that retailers are more powerful than they would appear otherwise. In the face of high concentration and a small presence of Wall-Mart in these markets this seems a plausible scenario.Market conduct, random coefficient logit, vertical chain, Box-Cox power transformation, Agricultural and Food Policy, Demand and Price Analysis, Industrial Organization, D43, L13,

Economies of scope in Norwegian hospital production - A DEA analysis

From 2002 the Norwegian hospital sector is to be transferred from county to state ownership, organised through regional semiautonomous companies. A major motivation for the reform is to allow for more specialised hospital production. If there are economies or diseconomies of scope, the production of hospital services in a region could become more efficient by exploiting any cost savings that may stem from an optimal division of service production between units. While the theory of economics of scope is well developed, applications have chiefly been concerned with testing for natural monopoly, and few studies of hospital production have been concerned with scope. This paper estimates a multiple output cost function from data on Norwegian hospitals using the non-parametric Data Envelopment Analysis (DEA) method. The cost function is specified with total running costs as the only input, but with seven different outputs to focus on the properties of the output transformation frontier. To overcome the methodological assumption of convexity inherent in DEA, the sample is split into relative specialised and differentiated hospitals, before comparing costs. This partitioning is achieved through grouping as specialised the first and fifth quintiles of the hospitals ranked by the share of the relevant output, since in fact no hospital is fully specialised by producing only one output, or nothing of an output. Exploring scope economies of the best practice cost frontier along three different dimensions, strong economies are found for surgical and medical services, intermediate for inpatient and outpatient production, while elective and emergency care cases have only week economies of scope, which may not be statistically significant. Results for the output mix of individual observations, reveal both economies and diseconomies in the last of these three dimensions. Contrary to these results, average efficiencies are found to be lower for differentiated than specialised hospitals, in all of the dimensions mentioned, although the differences are not very large. Since the DEA method measures hospitals with the largest production of each output as efficient by default, the results for average efficiency may be due to the methods employed.Hospital performance; DEA; Economies of Scope

Marketing Cooperatives' Re-engineering: Influences among Organizational Attributes, Strategic Attributes & Performance

ABSTRACT In this paper we expand the agribusiness co-op literature by studying the re-engineering process of marketing cooperatives (co-ops). More specifically we discuss and empirically examine organizational innovations adopted by marketing co-ops in Greece. We hypothesize three types of relationships: a) the influence of organizational (i.e., collective ownership, control and cost/benefit allocation) and strategic (i.e., market and brand orientation) attributes on organizational performance; b) the influence of organizational attributes on market orientation; and c) influences among strategic attributes. Data for this study were collected from a largescale survey with CEOs of marketing co-op in Greece. The results show that strategic attributes have a much greater influence on organizational performance than organizational attributes have, as only a few among the examined elements of re-engineered attributes have a (marginal) positive influence on performance. This result raises the question whether the influence of the re-engineered structures on performance has been over-emphasized in the co-op literature. Moreover, the results demonstrate positive influences among the strategic attributes of co-ops, contrary to the non-significant results of organizational attributes on market orientation. This may imply that organizational attributes do not seem to act as drivers or barriers to the adoption of strategic attributes, and, hence, reinforces the conclusion that emphasis in co-op theory and practice should also be also placed on the strategies and tactics that co-ops should adopt and implement in order to capture market benefits. Keywords: marketing cooperatives, attributes, organizational, strategic, performance, Greec

Scenario Analysis of New Zealand’s Sheep Meat and Beef Sector Over The Next 10 To 15 Years

This paper identifies and synthesises strategic opportunities and challenges facing New Zealand’s sheep meat and beef sector over the next 10 to 15 years. A Delphi survey draws on the sector’s collective knowledge and identifies areas of consensus and divergence of opinion. Using the results of this survey, as well as looking at other key industry features and mega-trends affecting the sector, four scenarios are developed that portray various possible futures where the industry has adapted or failed to adapt to the challenges and opportunities it is presented with. While the paper concludes that there is a generally positive outlook for the sector it notes that carrying on as normal is unlikely to provide the desired outcomes identified by the sector.Sheep, beef, scenario analysis, strategic analysis, Agricultural and Food Policy, Consumer/Household Economics, Demand and Price Analysis, Environmental Economics and Policy, Farm Management, Livestock Production/Industries,

A Qualitative Study of Student-Centered Learning Practices in New England High Schools

In early 2015, the Nellie Mae Education Foundation (NMEF) contracted with the UMass Donahue Institute (UMDI) to conduct a qualitative study examining the implementation of student-centered learning (SCL) practices in select public high schools in New England. This study extends lines of inquiry explored through a prior (2014) project that UMDI conducted for NMEF. The 2014 study employed survey methodology to examine the prevalence of student-centered practices in public high schools across New England. The present study builds upon the investigation, using a variety of qualitative methods to further probe the richness and complexity of SCL approaches in use across the region. Specifically, this study was designed to address what student-centered practices "look like" in an array of contexts. The study also addresses the perceived impacts that SCL approaches have on students, staff, and schools. Additionally, it highlights the broad array of factors within and beyond school walls that reportedly foster and challenge the implementation of SCL practices. This study seeks to help NMEF understand the intricacies of SCL and provides strategic considerations for how Nellie Mae can promote the adoption and development of student-centered practices in the region.Nellie Mae organizes student-centered learning by four tenets: (1) learning is personalized; (2) learning is competency-based; (3) learning takes place anytime, anywhere; and (4) students take ownership.Specifically, the study addresses five research questions:What are the characteristics of student-centered practices in relation to the four SCL tenets? How are SCL approaches implemented?What are the salient contextual factors (e.g., systems, structures, policies, procedures) associated with the implementation of SCL practices? How do they support, impede, and otherwise shape the adoption, development, and implementation of SCL approaches?How are schools with moderate and high levels of SCL implementation organized to foster SCL practices? What mechanisms are in place to promote student-centered learning?What is the role of SCL approaches in schools and classrooms? In what ways, if at all, are they embedded in the goals and practices of schools and classrooms?What is the quality of SCL instructional practices in study schools? What relationships, if any, do administrators and educators perceive between these approaches and student learning

Understanding the Socio-Economic Distribution and Consequences of Patterns of Multiple Deprivation: An Application of Self-Organising Maps. ESRI WP302. June 2009

In this paper we apply self organising maps (SOM) to a detailed set of material deprivation indicators from the Irish component of European Union Community Statistics on Income and Living Conditions (EU-SILC). The first stage of our analysis involves the identification and description of sixteen clusters of multiple deprivation that allow us to provide a detailed account of such deprivation in contemporary Ireland. In going beyond this mapping stage, we consider both patterns of socio-economic differentiation in relation to cluster membership and the extent to which such membership contributes to our understanding of the manner in which individuals experience their economic circumstances. Our analysis makes clear the continuing importance of traditional forms of stratification relating to factors such as income, social class and housing tenure in accounting for patterns of multiple deprivation. However, it also confirms the role of acute life events and life cycle and location influences. It suggests that debates relating to the extent to which poverty and social exclusion have become individualized should take particular care to distinguish between different kinds of outcomes. Further analysis demonstrates that the SOM approach is considerably more successful than a comparable latent class analysis in identifying those exposed to subjective economic stress. This finding, combined with those relating to the role of socio-economic factors in accounting for cluster membership, confirms that a focus on a set of eight SOM macro clusters seems most appropriate if our interest lies in broad patterns stratification. For other purposes differentiation within clusters, which clearly takes a systematic form, may prove to be crucial

Learning from 20 Years of Payments for Ecosystem Services in Costa Rica

Costa Rica's Payments for Ecosystems Services (PES) programme has become something of an icon in the world of conservation. Its innovative blend of economic and regulatory instruments - and its hitches and successes - provide a valuable source of inspiration for other countries that are looking for effective ways to conserve and regenerate ecosystems. Since 1997, nearly one million hectares of forest in Costa Rica have been part of the PES programme at one time or another, and forest cover has now returned to over 50 per cent of the country's land area, from a low of just 20 per cent in the 1980s. What lessons can be learnt from the 20 years since it was founded? Also published in Spanish, this paper is for local practitioners, international researchers and donors who are interested in the Costa Rican experience