Search results

We discuss the valuation of credit derivatives in extreme regimes such as when the time-to-maturity is short, or when payoff is contingent upon a large number of defaults, as with senior tranches of collateralized debt obligations. In these cases, risk aversion may play an important role, especially when there is little liquidity, and utility-indifference valuation may apply. Specifically, we analyze how short-term yield spreads from defaultable bonds in a structural model may be raised due to investor risk aversion.

As demographic changes impact the workplace, governments, organizations, and workers are looking for ways to sustain optimal working lives at higher ages. Workplace flexibility has been introduced as a potential way workers can have more satisfying working lives until their retirement ages. This chapter presents a critical review of the literature on workplace flexibility across the lifespan. It discusses how flexibility has been conceptualized across different disciplines, and postulates a definition that captures the joint roles of employer and employee in negotiating workplace flexibility that contributes to both employee and organization benefits. Moreover, it reviews how flexibility has been theorized and investigated in relation to older workers. The chapter ends with a future research agenda for advancing understanding of how workplace flexibility may enhance working experiences of older workers, and in particular focuses on the critical investigation of uses of flexibility in relation to older workers.

Individual, interpersonal, and societal transformation will require continually working through the past. In this chapter, I process how inequalities contextualized my identity formation in the Southeastern United States. Racism, colonization, environmental degradation, misogyny, and homophobia shaped the institutions central to my Appalachian socialization – namely family, education, and law. Then, when the criminal punishment system interfered with one of my earliest intimate relationships, it sparked my interest and commitment to prison abolition. Ultimately, I find creativity and accountability, both personally and structurally, essential for potential transformation.

A large literature over several decades reveals both extensive concern with the question of time-varying betas and an emerging consensus that betas are in fact time-varying, leading to the prominence of the conditional CAPM. Set against that background, we assess the dynamics in realized betas, vis-à-vis the dynamics in the underlying realized market variance and individual equity covariances with the market. Working in the recently popularized framework of realized volatility, we are led to a framework of nonlinear fractional cointegration: although realized variances and covariances are very highly persistent and well approximated as fractionally integrated, realized betas, which are simple nonlinear functions of those realized variances and covariances, are less persistent and arguably best modeled as stationary I(0) processes. We conclude by drawing implications for asset pricing and portfolio management.

Purpose – This chapter aims to contribute to the policy debate on private sector involvement in traditionally core defence activities through rigorous economic analysis. Punishment and correction in the US military prisons have traditionally been considered as a core activity that has been governed, regulated and managed by the military service personnel. It has been shown however, that military facilities such as stockades and brigs have often failed to meet their correctional objectives – a quality issue.

Methodology – The chapter constructs a case study to illustrate the method of analysis. Well-trained and motivated military custodial personnel play an important correctional role but are not available in sufficient numbers in military prisons. It is therefore proposed to source these services through the private sector. Specifically, the chapter proposes that private sector providers should provide custodial personnel for stockades and brigs. Traditionally the private sector has been employed to reduce costs, rather than improve quality. This chapter adapts and applies the framework developed by Hart, Shleifer and Vishny (1997) to study the governance model and incentive regime that could enable the use of the private sector, reduce the risk of excessive cost cutting and enable quality outcomes to be achieved.

Findings – This chapter argues that private sector involvement could effectively increase the contestability of supply.

Implications – The chapter demonstrates the scope for private sector involvement to increase quality, rather than just decrease costs. It follows that the private sector can contribute to core national security outcomes. However, this implication needs significantly more exploration for specific contexts.

Value – The adopted mode of analysis provides a template for rigorous analysis of similar proposals in the future.

The purpose of this conceptual study is to explain the way in which employees influence social innovation in the employee–organization relationship, such as job crafting, i-deals, New World of Work, talent management, or high performance work practices.

This study applies a practice perspective in order to explain how employees affect their employee–organization relationship and thus influence the outcomes of social innovation.

The theoretical exploration suggest that employees can engage in the enactment of the employee–organization relationship in three ways: enacting employment relationships, enacting employment practices, and enacting employment practices’ outcomes. In doing so, they can draw on interpretive schemes, resources, and norms for realizing the benefits of social innovation for themselves and/or their employer.

Although organizations have started social innovation initiatives that allow employees to actively shape the employee–organization relationship, existing studies still treat employees as inactive recipients in the relationship with their employer. As a result, it remains unclear how social innovation in employee–organization relationships is implemented in practice and thus, how social innovation provides benefits to the employee and the organization. The originality of this study is its focus on how employees, as (pro-)active constituents, shape the employee–organization relationship, for finding better explanations of the outcomes of social innovation initiatives.