infonet-economy

This paper proposes bootstrap tests for the validity of instrumental variables (IV) in just identified treatment effect models with endogeneity. We demonstrate that the IV assumptions required for the identification of the local average treatment effect (LATE) allow us to both point identify and bound the mean potential outcomes (i) of the always takers (those treated irrespective...

Research Question/Issue: Our study seeks to explain the relationship between publicly listed family-controlled firms (FCFs) and investor and employee outcomes before and during the global financial crisis. Theoretically, we develop
hypotheses suggesting that FCF resilience is beneficial to both investor and employees. Employing a large firm-level data set of 2,949 firms across...

Common wisdom suggests that managerial empathy (i.e., the mental process of taking a consumer perspective) helps executives separate their personal consumption preferences from those of consumers, thereby preventing egocentric preference predictions. The results of the present investigation, however, show exactly the opposite. First, the authors find that managerial empathy...

More and more companies are publicly taking a stand on social and political issues such as gay marriage legislation. This paper argues that this type of engagement, which can be called ‘‘corporate political advocacy,'' raises new conceptual and normative challenges especially for theories of corporate responsibility. Furthermore, it poses practical challenges for managers...

Workshop Description:
In this workshop, the focus was on faculty motivation as a major driver for the integration of sustainability into higher education institutions. For instance, discussion groups with students at the University of St. Gallen suggest that faculty’s authenticity in presenting sustainability issues is of major importance in order to fully integrate...

While complaint management has received much attention, customer compliments and their systematic handling have been largely ignored. Based on two empirical studies, this article suggests that customer compliments bear great potential for benefiting firms, and gives recommendations on how managers can enable, stimulate, and amplify positive customer feedback.

Based on an empirical analysis of European corporations, we investigate the impact of sovereign risk on the pricing of corporate credit risk. In our paper, we show that sovereign credit default swaps (CDS) are positively correlated with corresponding corporate CDS spreads and are a significant factor for corporate CDS pricing models. We also find that this impact increases throughout...