Investor protection through model case procedures – implementing collective goals and individual rights under the 2012 Amendment of the German Capital Markets Model Case Act (KapMuG)

The German Capital Markets Model Case Act (KapMuG) and its amendment of 2012 highlight some fundamentals of collective redress in civil law countries at the example of model case procedures in the field of investor protection. That is why a survey of the ongoing activities of the European Union in the area of collective redress and of its repercussions on the member state level forms a suitable basis for the following analysis of the 2012 amendment of the KapMuG. It clearly brings into focus a shift from sector-specific regulation with an emphasis on the cross-border aspect of protecting consumers towards a “coherent approach” strengthening the enforcement of EU law. As a result, regulatory policy and collective redress are two sides of the same coin today. With respect to the KapMuG such a development brings about some tension between its aim to aggregate small individual claims as efficiently as possible and the dominant role of individual procedural rights in German civil procedure. This conflict can be illustrated by some specific rules of the KapMuG: its scope of application, the three-tier procedure of a model case procedure, the newly introduced notification of claims and the new opt-out settlement under the amended §§ 17-19

Agent-based model with asymmetric trading and herding for complex financial systems

Background: For complex financial systems, the negative and positive return-volatility correlations, i.e., the so-called leverage and anti-leverage effects, are particularly important for the understanding of the price dynamics. However, the microscopic origination of the leverage and anti-leverage effects is still not understood, and how to produce these effects in agent-based modeling remains open. On the other hand, in constructing microscopic models, it is a promising conception to determine model parameters from empirical data rather than from statistical fitting of the results. Methods: To study the microscopic origination of the return-volatility correlation in financial systems, we take into account the individual and collective behaviors of investors in real markets, and construct an agent-based model. The agents are linked with each other and trade in groups, and particularly, two novel microscopic mechanisms, i.e., investors' asymmetric trading and herding in bull and bear markets, are introduced. Further, we propose effective methods to determine the key parameters in our model from historical market data. Results: With the model parameters determined for six representative stock-market indices in the world respectively, we obtain the corresponding leverage or anti-leverage effect from the simulation, and the effect is in agreement with the empirical one on amplitude and duration. At the same time, our model produces other features of the real markets, such as the fat-tail distribution of returns and the long-term correlation of volatilities. Conclusions: We reveal that for the leverage and anti-leverage effects, both the investors' asymmetric trading and herding are essential generation mechanisms. These two microscopic mechanisms and the methods for the determination of the key parameters can be applied to other complex systems with similar asymmetries.Comment: 17 pages, 6 figure

Opportunities for private sector participation in agricultural water development and management

Irrigation management / Private sector / Public sector / Public policy / Private investment / Participatory management / Privatization / Financing / Farmers / Households / Water harvesting / Africa South of Sahara

Making market information services work better for the poor in Uganda:

"There is growing pressure for farmers in countries such as Uganda to accelerate their efforts to commercialize production in the face of increasing market competition from neighboring countries and across the world. To assist farmers, a new generation of low cost market information services is being developed that takes advantage of information and communication technologies such as FM radios, mobile phones, and internet-based communications systems, to enable farmers to monitor and adjust to dynamic market conditions in local, national, and export markets. Although there is much interest in market information from farmers, other market chain actors, and service providers, there is skepticism from funding agencies to support such services over the long term, due to past failures. This study therefore aims to evaluate how farmers access and use market information to improve their market decision making. It also evaluates whether there are any advantages of collective action in using market information to improve marketing decisions. This is considered an important point of analysis as virtually all extension plans in Uganda currently use farmer groups as key element of their learning and intervention strategies. Survey results found that all farmers interviewed were able to access market information through radio and mobile phones. In Uganda, up to 94 percent of farmers interviewed owned a radio and 25 percent of farmers owned mobile phones. Up to 52 percent of farmers indicated that receiving Market Information Services (MIS) had a positive impact on their business, and 39 percent stated that it had a lot of impact in terms of decision making and stabilizing incomes." authors' abstractMarket Information Services, Group Marketing, Collective action, FM Radio, Mobile Phone, SMS, income,

What Workers Say: Employee Voice in the Anglo-American Workplace

[Excerpt] This book is about employee voice in the workplaces of the highly developed Anglo-American economies: the United States, Canada, the United Kingdom, Ireland, Australia, and New Zealand. These are among the most economically successful countries in the world. Despite being located in three different geographic areas, the Anglo-American countries have a common language and legal tradition, have close economic and political ties, and are linked by flows of people, goods, and capital. Many of the same firms operate in each country. The unions in each pay more attention to their counterparts within the group than to unions in other countries. The Anglo-American brand of capitalism – market oriented and open to competition, with modest welfare sates and income transfer systems – differentiates the countries from countries in the “social dialogue” model of the European Union (although the United Kingdom and Ireland are part of the Union) and from the highly unionized labor system in Scandinavia

What determines women's participation in collective action? Evidence from a western Ugandan coffee cooperative

Women smallholders face greater constraints than men in accessing capital and commodity markets in Sub-Saharan Africa. Collective action has been promoted to remedy those disadvantages. Using survey data of 421 women members and 210 nonmembers of a coffee producer cooperative in Western Uganda, this study investigates the determinants of women's participation in cooperatives and women's intensity of participation. The results highlight the importance of access to and control over land for women to join the cooperative in the first place. Participation intensity is measured through women's participation in collective coffee marketing and share capital contributions. It is found that duration of membership, access to extension services, more equal intrahousehold power relations, and joint land ownership positively influence women's ability to commit to collective action. These findings demonstrate the embeddedness of collective action in gender relations and the positive value of women's active participation for agricultural-marketing cooperatives