Behaviour of Belgian firms in the context of globalisation : lessons from the conference on “International Trade : Threats and Opportunities in a Globalised World”

The article summarises the main lessons of the Bank’s 2010 conference which focused on international trade and foreign direct investment. The research is based on a microeconomic approach to the behaviour of Belgian firms, with reference to developments in the scientific literature on the subject. Firms active internationally have specific characteristics : they are larger and more productive than firms concentrating on the home market. The costs of entering international markets determine their globalisation strategies, be it in terms of timing, the number of markets canvassed, or the choice between exporting and foreign direct investment. Information technologies have a key role in the development of trade in services, especially for analytical work. It is also shown that, in the face of increased competition from Asian products, firms are tending to concentrate their exports on their leading products and to upgrade quality. The international activities of some firms also have positive repercussions on the productivity and globalisation decisions of firms active solely on the home market. Finally, the impact of globalisation on employment is analysed from various angles. In general, trade with low-wage countries tends to increase demand for skilled labour in Belgium and to reduce demand for unskilled labour. The effects of offshoring are comparable. Finally, while multinationals manage their workforce more flexibly than domestic firms, they have nevertheless been the source of substantial job creation, particularly where the subsidiaries of foreign multinationals are concerned.international trade, foreign direct investment, microeconomic analysis, firm heterogeneity, internationalisation, spillovers, multi-product firms, multinational firms, offshoring, employment, skills

Lessons of the Wage Dynamics Network

The Wage Dynamics Network (WDN) is a temporary research network with the main objective of identifying the characteristics of wage dynamics and drawing conclusions from them in monetary policy terms. The paper presents the main findings of this research work. Notably, the intersectoral wage differential can be partly attributed to differences in profitability and the degree of competition to which the sectors are exposed. Nominal wages are adjusted less frequently than prices and adjustments generally tend to be made at regular intervals rather than in response to the economic climate. Wage rigidity not only affects existing workers, but also new recruits. The euro area, and Belgium in particular, is marked more by rigid real wages than nominal wages. Real wage rigidity implies a low optimal inflation rate and tends to complicate the conduct of monetary policy since it triggers greater fluctuations in output and employment and makes inflation more persistent. Furthermore, in a monetary union, countries with higher real wage rigidity suffer a loss of competitiveness in the event of negative productivity shocks. Institutions underlying wagesetting generally play an important role in the way in which firms and economies react to shocks. The heterogeneity of these institutions within the euro area therefore presents a real challenge for monetary policy.firms’ behavior, wage rigidity, employment, monetary policy, labour market flexibility, labour market institutions, economic shocks

Untangling the multiple effects of slack resources on firms’ exporting behavior

This is the author accepted manuscript. The final version is available from Elsevier via the DOI in this record.Drawing on a behavioral theory perspective, we investigate how distinct types of slack resources affect distinct aspects of firms’ exporting behavior. Using longitudinal data of Belgian manufacturing firms, we find that financial and human resource (HR) slack affect the probability of exporting positively at a diminishing rate. Controlling for the export decision, we find that HR slack affects export intensity negatively, while financial and HR slack affect export diversity positively at a diminishing rate. Findings are economically meaningful, especially for new exporters. Taken together, our study adds new insights at the nexus of the international business and slack literatures.Research Foundation - Flander

Thorium nanochemistry: The solution structure of the Th(iv)-hydroxo pentamer

Tetravalent thorium exhibits a strong tendency towards hydrolysis and subsequent polymerization. Polymeric species play a crucial role in understanding thorium solution chemistry, since their presence causes apparent solubility several orders of magnitude higher than predicted by thermodynamic data bases. Although electrospray mass spectrometry (ESI MS) identifies Th(iv) dimers and pentamers unequivocally as dominant species close to the solubility limit, the molecular structure of Th 5(OH) y polymers was hitherto unknown. In the present study, X-ray absorption fine structure (XAFS) spectroscopy, high energy X-ray scattering (HEXS) measurements, and quantum chemical calculations are combined to solve the pentamer structure. The most favourable structure is represented by two Th(iv) dimers linked by a central Th(iv) cation through hydroxide bridges. © 2012 The Royal Society of Chemistry

Optimal irrigation management strategies under weather uncertainty and risk

Climate change will affect agricultural production through changes in water supply, such that optimal irrigation management strategies gain importance. For the Marchfeld region, we firstly analyze with a stochastic dynamic programming approach the probability of investing into either a water-saving drip or a sprinkler irrigation system until 2040. Secondly, we develop optimal irrigation management portfolios for different degrees of risk aversion using climate data from a statistical model and the simulations for specific crops of the biophysical process model EPIC (Environmental Policy Integrated Climate). Investment in drip irrigation systems is not profitable. Sprinkler irrigation has a positive probability of being adopted for the production of sugar beets and carrots and therefore mostly shows a 100% share in the portfolio optimization

Transgender Transitioning and Change of Self-Reported Sexual Orientation

Objective: Sexual orientation is usually considered to be determined in early life and stable in the course of adulthood. In contrast, some transgender individuals report a change in sexual orientation. A common reason for this phenomenon is not known. Methods: We included 115 transsexual persons (70 male-to-female "MtF" and 45 female-to-male "FtM") patients from our endocrine outpatient clinic, who completed a questionnaire, retrospectively evaluating the history of their gender transition phase. The questionnaire focused on sexual orientation and recalled time points of changes in sexual orientation in the context of transition. Participants were further asked to provide a personal concept for a potential change in sexual orientation. Results: In total, 32.9% (n = 23) MtF reported a change in sexual orientation in contrast to 22.2% (n = 10) FtM transsexual persons (p = 0.132). Out of these patients, 39.1% (MtF) and 60% (FtM) reported a change in sexual orientation before having undergone any sex reassignment surgery. FtM that had initially been sexually oriented towards males (= androphilic), were significantly more likely to report on a change in sexual orientation than gynephilic, analloerotic or bisexual FtM (p = 0.012). Similarly, gynephilic MtF reported a change in sexual orientation more frequently than androphilic, analloerotic or bisexual MtF transsexual persons (p = 0.05). Conclusion: In line with earlier reports, we reveal that a change in self-reported sexual orientation is frequent and does not solely occur in the context of particular transition events. Transsexual persons that are attracted by individuals of the opposite biological sex are more likely to change sexual orientation. Qualitative reports suggest that the individual's biography, autogynephilic and autoandrophilic sexual arousal, confusion before and after transitioning, social and self-acceptance, as well as concept of sexual orientation itself may explain this phenomenon

Residency time of agonists does not affect the stability of GPCR–arrestin complexes

Background and purpose: The interaction of arrestins with G-protein coupled receptors (GPCRs) desensitizes agonist-dependent receptor responses and often leads to receptor internalization. GPCRs that internalize without arrestin have been classified as "class A" GPCRs whereas "class B" GPCRs co-internalize with arrestin into endosomes. The interaction of arrestins with GPCRs requires both agonist activation and receptor phosphorylation. Here, we ask the question whether agonists with very slow off-rates can cause the formation of particularly stable receptor-arrestin complexes. Experimental approach: The stability of GPCR-arrestin-3 complexes at two class A GPCRs, the β2 -adrenoceptor and the μ opioid receptor, was assessed using two different techniques, fluorescence resonance energy transfer (FRET) and fluorescence recovery after photobleaching (FRAP) employing several ligands with very different off-rates. Arrestin trafficking was determined by confocal microscopy. Key results: Upon agonist washout, GPCR-arrestin-3 complexes showed markedly different dissociation rates in single-cell FRET experiments. In FRAP experiments, however, all full agonists led to the formation of receptor-arrestin complexes of identical stability whereas the complex between the μ receptor and arrestin-3 induced by the partial agonist morphine was less stable. Agonists with very slow off-rates could not mediate the co-internalization of arrestin-3 with class A GPCRs into endosomes. Conclusions and implications: Agonist off-rates do not affect the stability of GPCR-arrestin complexes but phosphorylation patterns do. Our results imply that orthosteric agonists are not able to pharmacologically convert class A into class B GPCRs

FINGER AND THUMB FORCES DURING BOWLING SHOTS

The purpose of this study was to measure the forces exerted to a bowling ball by thumb and fingers during two different shots. For this task, an instrumented bowling ball was designed and produced, which allowed for force measurement and display of vector diagrams. The highest force is applied by the thumb (up to 120N), followed by middle and the ring finger. The overall moment applied to the ball by thumb and fingers during twisting of the ball reaches 3 Nm

Carbon Pricing Revenues Could Close Infrastructure Access Gaps

Introducing a price on greenhouse gas emissions would not only contribute to reducing the risk of dangerous anthropogenic climate change, but would also generate substantial public revenues. Some of these revenues could be used to cover investment needs for infrastructure providing access to water, sanitation, electricity, telecommunications, and transport. In this way, emission pricing could promote sustainable socio-economic development by safeguarding the stability of natural systems which constitute the material basis of economies, while at the same time providing public goods that are essential for human well-being. For a scenario that is consistent with limiting global warming to below 2°C, we find that domestic carbon pricing (without redistribution of revenues across countries) has substantial potential to close existing access gaps for water, sanitation, electricity, and telecommunication. However, for the majority of countries carbon pricing revenues would not be sufficient to pave all unpaved roads, and for most countries in Sub-Saharan Africa they would be insufficient to provide universal access to all types of infrastructure except water. If some fraction of the global revenues of carbon pricing is redistributed, e.g., via the Green Climate Fund, more ambitious infrastructure access goals could be achieved in developing countries. Our paper also bears relevance for the design of climate finance mechanisms, as it suggests that supporting carbon pricing policies instead of project based finance might not only permit cost-efficient emission reductions, but also leverage public revenues to promote human development goals