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We examine a central tenet of real option theory – whether real options influence managerial thresholds for investment. In contrast to prior studies that have focused on whether real options influence discrete investment decisions, our focus is on empirically isolating real options’ effects on thresholds. In particular, we examine the real options inherent in acquisition decisions. Our model posits that there are good reasons why we might expect there to be information asymmetry around the value of real options. Accordingly, if managers have unique information about growth options we might expect to observe them lowering their thresholds, perhaps to the point where they are willing to accept negative market returns. We further expect that the degree of information asymmetry for firm-specific growth options should be higher than for industry-specific growth options. Finally, we believe that managerial thresholds will be more prone to influence from growth options than deferment options. While thresholds are unobservable, we are able to isolate the effects of real options on acquisition thresholds by borrowing a method used originally in labor economics to isolate the determinants of reservation wages. Using a sample of over 28,000 acquisitions in the U.S., we find strong support for the model. These findings suggest that firms with low thresholds may choose to acquire despite comparatively low expected performance.

We propose that in addition to its resources and capabilities, a firm’s capital structure and financial health will act as an important determinant of its attractiveness as an alliance partner. Alliances with leveraged firms are prone to unplanned termination due to financial distress, which puts at risk the value embedded in the collaboration. As a result, ceteris paribus, highly leveraged firms will be viewed as less desirable partners in the market for interfirm collaboration when compared to low leverage firms. In support of this proposition, we find that when forming an alliance firms tend to partner with other firms with similar levels of leverage: low-leverage firms partner with other low-leverage firms while high-leverage firms partner with other high-leverage firms, as well as with lower quality ones. Furthermore, we show that alliances with highly leveraged firms are more likely to involve equity participation as a form of ex post protection, especially when they involve partners with relatively lower leverage. Finally, we show that leverage is negatively related to the intensity of alliance activity, suggesting that firms also maintain lower leverage in their capital structure in order to attract potential partners. Overall our results imply that financial policies regarding capital structure have an important role to play in alliancing activity.

The Bureau of Economics in the Federal Trade Commission has a three-part role in the Agency and the strength of its functions changed over time depending on the preferences and ideology of the FTC’s leaders, developments in the field of economics, and the tenor of the times. The over-riding current role is to provide well considered, unbiased economic advice regarding antitrust and consumer protection law enforcement cases to the legal staff and the Commission. The second role, which long ago was primary, is to provide reports on investigations of various industries to the public and public officials. This role was more recently called research or “policy R&D”. A third role is to advocate for competition and markets both domestically and internationally. As a practical matter, the provision of economic advice to the FTC and to the legal staff has required that the economists wear “two hats,” helping the legal staff investigate cases and provide evidence to support law enforcement cases while also providing advice to the legal bureaus and to the Commission on which cases to pursue (thus providing “a second set of eyes” to evaluate cases). There is sometimes a tension in those functions because building a case is not the same as evaluating a case. Economists and the Bureau of Economics have provided such services to the FTC for over 100 years proving that a sub-organization can survive while playing roles that sometimes conflict. Such a life is not, however, always easy or fun.

Despite USA’s emphasis on children as consumers with great spending power, little is known about their actual spending preferences and how they might be linked to personal character traits such as materialism and gratitude. This study aims to address this literature gap by examining children’s spending preferences in an imaginary windfall scenario, as well as main and interactive effects of materialism and gratitude on such preferences.

This was a school-based research study. Survey methodology was used in which self-report measures were collected from 247 7-14-year-old children (58 per cent male).

Results suggest that materialism was significantly associated with saving resources and allocating less money to charity. Gratitude was related to more charitable giving. One interactive effect was found whereby the link between more materialism and saving was attenuated by high levels of gratitude. Contrary to expectations, no age or gender differences in spending preferences or materialism were found, but older children and girls reported higher gratitude than did younger children and boys.

Although cross-sectional data limit conclusions regarding directionality, the results have implications for understanding children’s consumer behavior, as well as children’s well-being, self-regulation and ability to delay gratification.

The results suggest that materialism, with its emphasis on consumption, and gratitude, with its positive feedback loop that encourages prosocial connections, are particularly relevant avenues to continue examining in future research on youth consumer patterns.

Gratitude not only promotes social connectedness but also is more environmentally sustainable in promoting appreciation for what one has rather than wanting more. Uncovering ways that these characteristics are linked to hypothetical and, ultimately, actual spending behavior reflects a meaningful contribution to the field.

This paper fills gaps in the literature by examining links between specific character traits and potential spending behaviors, with deeper implications for children’s psychosocial development, self-regulation and environmental sustainability.

In recent years, there has been a decline in the number of cities seeking to host the Olympic Games, with several cities withdrawing from the bid process following referenda. The debate around bidding have hinged on the costs and benefits of hosting events, with little consideration as to the benefits of a bid itself. The purpose of this paper is to identify the ways in which Olympic bids be leveraged for positive outcomes, regardless of the outcomes of the bid.

This research employs a content analysis, examining the 16 bid responses to the question in the International Olympic Committee Candidate questionnaire: “What will be the benefits of bidding for the Olympic Games for your city/region, irrespective of the outcome of the bid?”.

This research found that bid cities do attempt to use the Olympic bid process as a leveraging resource, with four unique opportunities arising from this; national and city pride, Olympism, the formation of networks, and global focus. These provide the opportunities for Olympic bid cities to achieve the following strategic objectives: nation and community building, sport participation, business opportunities, enhancing image and profile, and to push through infrastructural projects.

There has been little consideration as to the ways an Olympic bid can be used to leverage positive outcomes for a city or a nation, and therefore this research contributes to the literature on leveraging mega-events. The research also has practical value, in providing potential bidders with information regarding positive outcomes whether the bid is successful or not.

The purpose of this paper is to examine changes in patients' satisfaction after their doctor has participated in a brief educational intervention on medicolegal risk management.

Questionnaire completed by ambulatory patients, measuring satisfaction with their doctor's communication skills before and three months after the doctor participated in a three hour workshop on medicolegal risk management. 75 obstetrician/gynaecologists (O&Gs) and 99 general practitioners (GPs) were each rated by 60 of their patients following a consultation in their clinical rooms.

Patient satisfaction as evidenced by change to “complete satisfaction” with doctor's communication skills and overall satisfaction with the clinical encounter.

Participants had high initial patient satisfaction ratings and these were found to have improved across all parameters three months after the educational intervention.

The educational intervention was successful in improving doctors' communication skills as evidenced by enhanced patient satisfaction in all key areas, including those most frequently associated with patient complaint, litigation and adverse outcome.

This paper explores four works of contemporary fiction to illuminate formal and informal regulation of sex. The paper’s co-authors frame analysis with the story of their creation of a transdisciplinary course, entitled “Regulating Sex: Historical and Cultural Encounters,” in which students mined literature for social critique, became immersed in the study of law and its limits, and developed increased sensitivity to power, its uses, and abuses. The paper demonstrates the value theoretically and pedagogically of third-wave feminisms, wild zones, and contact zones as analytic constructs and contends that including sex and sexualities in conversations transforms personal experience, education, society, and culture, including law.

Research models and practices change rapidly. While evidence of such changes includes cross-campus collaborations and multi-authored scholarship, faculty development opportunities also signal what is to come. In this case study, authors representing diverse disciplines examine what faculty development programs reveal about the future of academic research. The authors offer an analysis of faculty support programs across the country as a foundation, and then provide an examination of initiatives in place at their four-year regional comprehensive institution in the United States. The authors then report on the outcomes of these programs for research productivity, with a focus on opportunities that were available to all faculty across the university. Finally, the authors offer perspective on the future of academic research based on findings from examining these programs. The authors suggest that the future of research will focus on (1) collaborative design(s) of research-related support, (2) support structures and programs that encourage and facilitate cross-campus and interdisciplinary research collaborations and sharing, (3) incentive for integrating areas of research with teaching and service, and relatedly (4) programs that encourage faculty to span academic research with industry or community partnerships and collaborations, especially ones that can generate revenue or produce future research, development, or funding streams.