High Inflation and Real Wages

Empirical data show that real wages fall sharply during periods of high inflation. This paper suggests a simple general equilibrium explanation, without relying on nominal rigidities. It presents an intertemporal two-sector model with a credit channel of monetary transmission. In this setting, inflation reduces real wages through (1) a decline of the capital stock, and (2) a shift in relative prices. The two effects are additive and make the decline in real wages exceed the decline in per capita GDP. This mechanism may contribute to rising poverty during periods of high inflation. Copyright 2004, International Monetary Fund

Tone from the Top in Risk Management: A Complementarity Perspective on How Control Systems Influence Risk Awareness

Prompted by the weaknesses of standardized risk management approaches in the aftermath of the 2008 financial crisis, scholars, regulators, and practitioners alike emphasize the importance of creating a risk-aware culture in organizations. Recent insights highlight the special role of tone from the top as crucial driver of risk awareness. In this study, we take a systems-perspective on control system design to investigate the role of tone from the top in creating risk awareness. In particular, we argue that both interactive and diagnostic use of budgets and performance measures interact with tone from the top in managing risk awareness. Our results show that interactive control strengthens the effect of tone from the top on risk awareness, while tone from the top and diagnostic control are, on average, not interrelated with regard to creating risk awareness. To shed light on the boundary conditions of the proposed interdependencies, we further investigate whether the predicted interdependencies are sensitive to the level of perceived environmental uncertainty. We find that the effect of tone from the top and interactive control becomes significantly stronger in a situation of high perceived environmental uncertainty. Most interestingly, tone from the top and diagnostic control are complements with regard to risk awareness in settings of low perceived environmental uncertainty and substitutes at high levels of perceived environmental uncertainty.Series: Department of Strategy and Innovation Working Paper Serie

Kaiser, T.: Aussagekraft von Bestandsdaten für die Pflege- und Entwicklungsplanung am Beispiel des Niedersächsischen Drömlings

Im Januar 2003 wurde das Naturschutzgroßprojekt „Niedersächsischer Drömling“ mit einem Fördervolumen von 10 Mio. Euro über eine Laufzeit von 10 Jahren gestartet. Das niedersächsische Projekt stellt eine Ergänzung zum sachsen-anhaltischen Projekt dar, das in den Jahren 1992 bis 2003 umgesetzt wurde. Dem eigentlichen Projekt vorangestellt war in Niedersachsen ein schwieriger 14-jähriger Projektvorlauf, in dessen letzter Phase von 1998 bis 2001 ein Erprobungs- und Entwicklungsvorhaben (E+E-Vorhaben) vom Bundesamt für Naturschutz gefördert wurde. Im Rahmen dieses E+E- Vorhabens „Erprobung alternativer Planungsschritte bei Pflege- und Entwicklungsplänen am Beispiel des niedersächsischen Drömlings“ wurde erstmals für ein Naturschutzgroßprojekt ein Pflege- und Entwicklungsplan (PEP) unter Einbeziehung aller Betroffenen konsensual erarbeitet

Reinhold Brennecke – 70 Jahre

Am 27. Dezember diesen Jahres vollendet Herr Reinhold Brennecke sein 70. Lebensjahr. Als engagierter Naturschützer ist er in der Region bekannt und geachtet, als Vogelkundler und neuerdings vermehrt auch als Geschichtsforscher hat er sich über die Region hinaus einen Namen gemacht. Mehr als 30 Jahre leitet er nunmehr die Ornithologische Arbeitsgemeinschaft Haldensleben (OAG) - ein Anlass, seinen Lebensweg nachzuzeichnen und seine Verdienste zu würdigen

Amazon’s HQ2 Site Selection Criteria: The New ‘Gold Standard’ in FDI Decision-Making

In 2017–2018, Seattle-based Tech behemoth Amazon executed a highly publicised location-finding process for a $5 billion investment project, dubbed ‘HQ2’. Owing to the combination of high investment volume and the company’s unique public exposure, the HQ2 process is on course to becoming a basic yardstick for future foreign direct investment (FDI) projects all over the world. This article compiles the company’s previously unpublished site selection criteria and develops an evidence-based system of investment decision arguments which is employed to test the currently dominant approaches in location decision theory - behavioural, neoclassical, and institutional. Our results identify gaps vis-à-vis this emerging ‘Gold Standard’ and we propose the addition of a fourth, project-oriented approach to theory to fill the detected shortcomings. Furthermore, this system equips policymakers with a tool to evaluate their investment attraction strategies based on the decision criteria extracted from the HQ2 process

Population growth in random environments: which stochastic calculus?

Refereed scientific paper on stochastic differential equation models of population growth in random environments with resolution of the controversy on the use of Itô or Stratonovich calculus (extension to density-dependent noise intensities). The paper is in press in the Bulletin of ISI containing the Proceedings of the 56th Session of the ISI (2007). An electronic version is available

Itô versus Stratonovich calculus in random population growth

Paper that resolves the controversy on whether to use Itô or Stratonovich calculus on stochastic differential equation models applied to poulation growth in random environments

Equações diferenciais estocásticas e aplicações biológicas

Invited dissemination paper on biological applications of stochastic differential equations

Crecimiento y extinción en ambientes que varían aleatoriamente: modelamiento y optimización mediante ecuaciones diferenciales estocásticas

This paper presents a brief overview of a range of applications of stochastic differential equations (SDE) in describing the growth of wildlife populations living in randomly varying environments and the associated risks of extinction, including profit optimization issues in the particular case of fish or other populations subjected to harvesting. The same basic ideas apply also to the growth of individual animals and how to optimize the profit of the farmers that raise such animals