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Capital Investment (capital + investment)
Kinds of Capital Investment Terms modified by Capital Investment Selected AbstractsCapital Investment and Earnings: International EvidenceCORPORATE GOVERNANCE, Issue 5 2009Ahmet Can Inci ABSTRACT Manuscript Type: Empirical Research Question/Issue: We examine the nature of the dynamic linkage (causality) between earnings and capital investment using firm-level data from around the world to see whether the legal environment, including corporate governance and monitoring mechanisms, and financial development are important in the profitability of capital investment. Research Findings/Insights: Using firms in 40 countries over the period 1988,2004, we find that the causality from earnings to capital investment is positive and strong in almost all countries, irrespective of the type of legal system and the degree of financial development. However, the causality from capital investment to earnings is generally negative for firms in civil law and financially undeveloped countries, while the causality is generally positive in common law and financially developed countries. Therefore, our international cross-country study enables us to find that the legal system and financial development are factors in the determination of the profitability of capital investment. Theoretical/Academic Implications: Our findings imply that internal financing is a significant constraint for capital investment, which provides support for the pecking order theory even for financially developed markets and for the free cash flow theory. Common law and financially developed countries tend to provide better shareholder protection with more efficient corporate governance and better investment decisions. Practitioner/Policy Implications: To encourage managers to make capital investments in value-increasing projects, it is important to further improve a legal environment that includes corporate governance, monitoring, and incentive mechanisms. Financial development that includes effective financial regulatory agencies should be sought. [source] Connecting Optimal Capital Investment and Equity ReturnsFINANCIAL MANAGEMENT, Issue 2 2005R. Burt Porter Economic theory predicts a contemporaneous correlation between equity returns and investment growth that is only weakly present in the data. By modifying the firm's production function to include a lag between investment decisions and expenditures, and after correcting for the temporal aggregation of investment, I find the predicted correlation to be present in the data. I estimate the model for 31 industries and find that investment returns are highly correlated with the industry portfolio equity returns. Further, the portion of investment returns orthogonal to equity returns is associated positively with changes in profitability and negatively with lagged differences between equity and investment returns. [source] What Fraction of a Capital Investment is Sunk Costs?THE JOURNAL OF INDUSTRIAL ECONOMICS, Issue 3 2000Marcus Asplund To what extent are capital investments sunk costs? This question is addressed by examining the salvage values of discarded metalworking machinery. Even though such assets are expected to be non-specific, many discarded assets are scrapped rather than sold on second-hand markets. Econometric results suggest that firms can only expect to get back 20,50 percent of the initial price of a ,new' machine once it is installed. The results also indicate differences in value-age profiles across firms, but provide only weak support for the hypothesis that salvage values are particularly low during recessions. [source] Capital Investment under Alternative Marketing Scenarios in the Hog Industry: A Real Option ApproachCANADIAN JOURNAL OF AGRICULTURAL ECONOMICS, Issue 3 2002Adam Maung This paper uses a real option approach to analyze the impact of alternative marketing contracts on the decision to invest in a cooperatively owned hog facility. For the numerical analysis of the impact, this paper uses a simulation method that incorporates early exercise, multiple-state variables, multi-choice decisions and temporal optimality. The results show that the option values that stem from the value of waiting to invest and choosing between alternative marketing methods amounts to 20,36% of the initial investment. Further, having an option to choose an alternative marketing method with different risk structure does add to the value of waiting to invest. Having an option to enter a 15-year marketing contract increases the value of waiting by as much as $117,097 for the pork production example in this paper. Finally, the value of the option to wait is unilaterally lower under a risk-reducing contract scenario than under a spot market alternative. This could explain the explosion in hog production facility investment during the 1990s when prevalence of contract production increased. Les auteurs ont recouru à l'approche du choix véritable pour analyser l'impact d'autres solutions de mise en marché sur la capacité d'investir ou pas dans un élevage de porcs exploitéà la manière d'une coopérative. Aux fins de l'analyse, on s'est servi d'une méthode de simulation intégrant une brève campagne, de multiples variables d'État, des décisions à choix multiple et des conditions optimales dans le temps. Les résultats indiquent que l'existence d'un choix réel permettant à l'exploitant d'attendre avant d'investir et de sélectionner entre plusieurs méthodes de mise en marché représente 20 à 36 pour cent de l'investissement initial. Par ailleurs, le fait d'avoir accès à une autre méthode de mise en marché, à structure de risque différente, ne donne pas plus de valeur à la capacité d'attendre avant de procéder aux investissements. La possibilité de signer une entente de commercialisation de quinze ans accroît la valeur de l'attente de jusqu'à 117,097 $ pour le type d'élevage porcin retenu comme exemple. Enfin, l'existence d'une entente de commercialisation atténuant les risques réduit unilatéralement la valeur de l'option « attente », comparativement à ce qui se produit quand l'éleveur n'a d'autre choix qu'écouler ses bêtes sur le marché au comptant. Ces résultats pourraient expliquer l'explosion des investissements observée dans le secteur du porc au cours des années 90, où la production sous contrat avait sensiblement augmenté. [source] Management Support for Portfolio Companies of Venture Capital Firms: An Empirical Study of German Venture Capital InvestmentsBRITISH JOURNAL OF MANAGEMENT, Issue 3 2001Michael Schefczyk To date, there is a dearth of research on strategic antecedents and consequences of management support activities which German venture capital firms (VCFs) provide for the portfolio companies (PCs) they have invested in. This article provides insights regarding such support practices, their main determinants and impacts on the economic performance of PCs. Hypotheses were derived regarding usage of various types of management support, typical functional foci of management support and the influence of VCF and PC characteristics on management support practice. Hypotheses also cover relationships between type, intensity, and frequency of management support and PC performance. Data for 103 PCs of 12 German VCFs indicate the VCFs can improve the performance of their PCs by providing consultative management support, including active involvement in key functional decisions. [source] American Business and Political Power: Public Opinion, Elections and Democracy; Stuck in Neutral: Business and the Politics of Human Capital investment; Does Business Learn?JOURNAL OF POLICY ANALYSIS AND MANAGEMENT, Issue 4 2001Graham K. Wilson [source] Capital Investment and Earnings: International EvidenceCORPORATE GOVERNANCE, Issue 5 2009Ahmet Can Inci ABSTRACT Manuscript Type: Empirical Research Question/Issue: We examine the nature of the dynamic linkage (causality) between earnings and capital investment using firm-level data from around the world to see whether the legal environment, including corporate governance and monitoring mechanisms, and financial development are important in the profitability of capital investment. Research Findings/Insights: Using firms in 40 countries over the period 1988,2004, we find that the causality from earnings to capital investment is positive and strong in almost all countries, irrespective of the type of legal system and the degree of financial development. However, the causality from capital investment to earnings is generally negative for firms in civil law and financially undeveloped countries, while the causality is generally positive in common law and financially developed countries. Therefore, our international cross-country study enables us to find that the legal system and financial development are factors in the determination of the profitability of capital investment. Theoretical/Academic Implications: Our findings imply that internal financing is a significant constraint for capital investment, which provides support for the pecking order theory even for financially developed markets and for the free cash flow theory. Common law and financially developed countries tend to provide better shareholder protection with more efficient corporate governance and better investment decisions. Practitioner/Policy Implications: To encourage managers to make capital investments in value-increasing projects, it is important to further improve a legal environment that includes corporate governance, monitoring, and incentive mechanisms. Financial development that includes effective financial regulatory agencies should be sought. [source] THE PRIVATE FINANCING OF NHS HOSPITALS: POLITICS, POLICY AND PRACTICEECONOMIC AFFAIRS, Issue 1 2009Mark Hellowell This article outlines and critiques the main fiscal and economic rationales for the Private Finance Initiative and examines the impact of the policy on the long-term financial viability of NHS trusts. It concludes that the PFI funding of capital investment is highly problematic. Its high costs can have a negative impact on the finances of health systems. [source] MIGRATION, GLOBALISATION AND THE SPIRIT OF PETER BAUERECONOMIC AFFAIRS, Issue 4 2003Daniel T. Griswold Lord Bauer understood that the human freedom of movement plays a vital role in development. Today, internal and cross-border migration generates hard-currency remittances that raise living standards and capital investment in the country of origin, promotes greater trade and investment ties between destination and origin countries, and raises a country's stock of human and physical capital when migrants return with new skills and investment funds. Immigration can also stimulate political and social reform when migrants return or foreign-born immigrants arrive with new ideas and experiences. Relaxing the pervasive controls on the international movement of people remains a huge piece of unfinished business on the market-driven development agenda. [source] The expansion of the south-western fisheries in late medieval EnglandECONOMIC HISTORY REVIEW, Issue 3 2000Maryanne Kowaleski This article argues that the expansion of marine fishing in south-western England from the late fourteenth century to the early sixteenth was part of the maritime sector's critical, but unappreciated, contribution to the rising prosperity of the region. Revenues from fishing represented a substantial supplement to the income of the fisher-farmers who dominated the industry; promoted employment in ancillary industries such as fish curing; improved the seasonal distribution of maritime work; and stimulated capital investment in ships, nets, and other equipment because of the share system that characterized the division of profits within fishing enterprises. In offering what was probably the chief source of employment within the maritime sector, fishing also provided the ,nursery of seamen' so prized by the Tudor navy, and built the navigational experience that underpinned later voyages of exploration. [source] CAN THE HUMAN CAPITAL APPROACH EXPLAIN LIFE-CYCLE WAGE DIFFERENTIALS BETWEEN RACES AND SEXES?ECONOMIC INQUIRY, Issue 1 2007HUOYING WU Using data from the National Longitudinal Survey of Youth,1979 cohort (NLSY79), this paper shows the importance of postschool human capital investment in describing both gender and racial wage gaps. The empirical results suggest that male-female wage gaps, regardless of race, are mainly caused by gender differences in the human capital production process; generally, men gain more work experience and therefore have lower marginal costs of human capital production. Black-white lifetime wage differentials could partly result from higher implicit interest rates for blacks, while the deterioration of black males' relative economic status as they age can be attributed to higher depreciation rates of their human capital stock. (JEL J24, J30, C61) [source] Why Study Large Projects?EUROPEAN FINANCIAL MANAGEMENT, Issue 2 2004An Introduction to Research on Project Finance G32; G34; L22; G31 Abstract Despite the fact that more than $200 billion of capital investment was financed through project companies in 2001, an amount that grew at a compound annual rate of almost 20% during the 1990s, there has been very little academic research on project finance. The purpose of this article is to explain why project finance in general and why large projects in particular merit separate academic research and instruction. In short, there are significant opportunities to study the relationship among structural attributes (i.e., high leverage, contractual details, and concentrated equity ownership), managerial incentives, and asset values, as well as improve current practice in this rapidly growing field of finance. [source] The Regulation of Media Markets in selected EU Accession States in Central and Eastern EuropeEUROPEAN LAW JOURNAL, Issue 3 2003Alison Harcourt When formulating media laws in the early 1990s, these countries were presented with models put forth by advisors from the US and EU Member States. Advisors proposed models based upon their own domestic policy and/or organisation agendas. A resulting ,battle of the models' can be observed with different experts and actors lobbying for the adoption of contrasting regulatory models. Underlying this were often political, economic and trade interests. In particular, ,Western' governments were interested in guaranteeing the opening of new markets, and the stability of these new media markets for Western capital investment, as well as wider political concerns of consolidating democracy in Europe. Interest groups and NGOs wished to transfer their ideas to Eastern Europe often in advocacy of their own agendas in an enlarged Europe. [source] Does Hedging Affect Firm Value?FINANCIAL MANAGEMENT, Issue 1 2006Evidence from the US Airline Industry Does hedging add value to the firm, and if so, is the source of the added value consistent with hedging theory? We investigate jet fuel hedging behavior of firms in the US airline industry during 1992,2003 to examine whether such hedging is a source of value for these companies. We illustrate that the investment and financing climate in the airline industry conforms well to the theoretical framework of Froot, Scharfstein, and Stein (1993). In general, airline industry investment opportunities correlate positively with jet fuel costs, while higher fuel costs are consistent with lower cash flow. Given that jet fuel costs are hedgeable, airlines with a desire for expansion may find value in hedging future purchases of jet fuel. Our results show that jet fuel hedging is positively related to airline firm value. The coefficients on the hedging variables in our regression analysis suggest that the "hedging premium" is greater than the 5% documented in Allayannis and Weston (2001), and might be as large as 10%. We find that the positive relation between hedging and value increases in capital investment, and that most of the hedging premium is attributable to the interaction of hedging with investment. This result is consistent with the assertion that the principal benefit of jet fuel hedging by airlines comes from reduction of underinvestment costs. [source] Business Optimism for Small, Medium and Large Firms: Does It Explain Investment?,FISCAL STUDIES, Issue 2 2007Ciaran Driver We use UK survey data on variation in business optimism by manufacturing size group to estimate the determinants of optimism using OLS and SURE. There are similarities across the size groups but also some differences: the medium-size group seems to have been unusually affected by real interest rates in recent years. We also model investment authorisations, conditional on business optimism. Again, there are similarities across the size groups. However, the largest-size group, and possibly also the medium-size group, seem to be investing less in recent years in relation to reported optimism. By contrast, capital investment by smaller-sized firms has been stable in relation to business optimism. Some tentative explanations for these findings are explored. [source] Social Polarization and the Politics of Low Income Mortgage Lending in the United StatesGEOGRAFISKA ANNALER SERIES B: HUMAN GEOGRAPHY, Issue 3 2003Jason Hackworth ABSTRACT The structured inequalities of capital investment and disinvestment are prominent themes in critical urban and regional research, but many accounts portray ,capital' as a global, faceless and placeless abstraction operating according to a hidden, unitary logic. Sweeping political-economic shifts in the last generation demonstrate that capital may shape urban and regional processes in many different ways, and each of these manifestations creates distinct constraints and opportunities. In this paper, we analyze a new institutional configuration in the USA that is reshaping access to wealth among the poor , a policy ,consensus' to expand home-ownership among long-excluded populations. This shift has opened access to some low- and moderate-income households, and racial and ethnic minorities, but the necessary corollary is a greater polarization between those who are able to own and those who are not. We provide a critical analysis of these changes, drawing on national housing finance statistics as well as a multivariate analysis of differences between owners and renters in the 1990s in New York City. As home-ownership strengthens its role as a privatized form of stealth urban and housing policy in the USA, its continued expansion drives a corresponding reconstruction of its value for different groups, and inscribes a sharper axis of property-rights inequalities among owners and renters in the working classes. [source] Globalization and Regional Change in the U.S. Furniture IndustryGROWTH AND CHANGE, Issue 2 2008MARK H. DRAYSE ABSTRACT Furniture manufacturing has experienced rapid globalization in recent years. This is mainly the result of global production networks established by large manufacturers and retailers seeking to reduce costs in a highly competitive environment. The industry's globalization has been facilitated by technological innovations and the global reduction of trade and investment barriers. In the U.S., furniture-producing regions are experiencing tumultuous change. Growing numbers of firms are outsourcing production to China, which is now responsible for about half of all U.S. furniture imports. Employment levels have plummeted. However, an analysis of spatial patterns of employment, output, and capital investment in U.S. furniture manufacturing shows that regional change is not uniform. Southern regions characterized by larger firms specializing in wooden case goods production have been especially vulnerable to job loss. [source] State Policies, Enterprise Dynamism, and Innovation System in Shanghai, ChinaGROWTH AND CHANGE, Issue 4 2007WEIPING WU ABSTRACT Today rapidly growing economies depend more on the creation, acquisition, distribution, and use of knowledge. As such, strategies for enhancing research and innovation capabilities have come to occupy a more important position in many developing nations, including China. Already the leading production center, and often seen as China's economic locomotive, Shanghai is striving aggressively to retain its national preeminence and has launched concerted efforts to increase local innovative output. The primary purpose of this paper is to understand how state-led efforts have fared in promoting technology innovation. By situating the city in the national and global context, the paper shows that Shanghai has gained a substantial lead in developing an innovation environment with extensive global linkages and leading research institutions. Recent efforts in building up the research and innovation capacity of the enterprise sector have begun to show progress. Although firms are enthusiastic about its future as an innovation center, Shanghai continues to face challenges of inadequate protection of intellectual property, lack of venture capital investment, and the tightening supply of highly qualified knowledge workers. [source] The impact of organizational climate and strategic fit on firm performanceHUMAN RESOURCE MANAGEMENT, Issue 1 2004Richard M. Burton A firm's organizational climate,its degree of trust, morale, conflict, rewards equity, leader credibility, resistance to change, and scapegoating,helps determine its success. Likewise, organizational strategy,the firm's commitment to capital investment, innovation, quality, and the like,has also been found to be an important determinant of firm performance. However, prior work has most often explored the impact of climate and strategy separately, and not in tandem. In our study, we develop a measure of organizational climate comprised of tension, resistance to change, and conflict, and go on to show that at least for some pairings of a firm's climate and its strategy, there is a negative effect on return on assets (ROA). © 2004 Wiley Periodicals, Inc. [source] An economic and environmental assessment of biomass utilization in lignite-fired power plants of GreeceINTERNATIONAL JOURNAL OF ENERGY RESEARCH, Issue 10 2006P. Grammelis Abstract The environmental and socio-economic impacts of biomass utilization by co-firing with brown coal in an existing thermoelectric unit in Greece or through its pure combustion in a new plant were studied and evaluated in this work. The 125 MWe lignite-fired power plant in Ptolemais Power Station (Western Macedonia) was used as reference system. The environmental benefits of the alternative biomass exploitation options were quantified based on the life cycle assessment methodology, as established by SETAC, while the BIOSEM technique was used to carry out socio-economic calculations. The obtained results showed clear environmental benefits of both biomass utilization alternatives in comparison with the reference system. In addition, co-firing biomass with lignite in an existing unit outperforms the combustion of biomass exclusively in a new plant, since it exhibits a better environmental performance and it is a low risk investment with immediate benefits. A biomass combustion unit requires a considerably higher capital investment and its benefits are more evident in the long run. Copyright © 2005 John Wiley & Sons, Ltd. [source] Changing Patterns in Family Farming: The Case of the Pampa Region, ArgentinaJOURNAL OF AGRARIAN CHANGE, Issue 3 2009CARLA GRAS In the past few decades, Argentine agriculture has been significantly reorganized. Changes include the marked growth of export production, the need for an increasing level of capital investment and technological incorporation into farms and the restructuring of public intervention. This paper examines the dynamics of farm exit and the adjustments made by capitalized family farmers in the Pampa region. We suggest transformations in family farms are the result of a substantial shift in their main characteristics which historically combined the use of family labour, a certain accumulation capacity and ownership status. In particular, we will discuss the different and changing patterns of farm operations and the adjustments made with respect to work and land tenure. [source] Bank Relationship and Firm Performance: Evidence From Thailand Before the Asian Financial CrisisJOURNAL OF BUSINESS FINANCE & ACCOUNTING, Issue 9-10 2004Piman Limpaphayom Abstract: This study examines the relation between bank relations and market performance in Thailand, an economy in which commercial banks play a crucial role through lending relationship and, for a number of companies, equity ownership. Overall, bank relationships, both equity-based and debt-based, positively affect capital investment. However, there is a negative relation between lending relationships, both short-term and long-term, and market performance indicating that bank lending may not always be consistent with value maximization. There is also evidence of a positive marginal effect of bank monitoring through equity ownership on market performance. Further, the relation between bank equity ownership and market performance appears to be non-linear with a concave function. Ownership by corporate insiders is also negatively related to bank equity ownership. Overall, the findings highlight the detrimental effects of excessive short-term debt usage, one of the factors believed to contribute to the financial crisis in Thailand, and the marginal benefit of the equity-based relationship on firm value. [source] Strategies to reduce the brightness reversion of industrial ECF bleached Eucalyptus globulus kraft pulpJOURNAL OF CHEMICAL TECHNOLOGY & BIOTECHNOLOGY, Issue 3 2008Isabel M. C. L. Sêco Abstract BACKGROUND: Brightness stability is a key property of bleached chemical pulps and is primarily determined by wood species and bleaching process conditions. Eucalyptus globulus is becoming a very important raw material for hardwood pulp production. In spite of this importance, there is a relative lack of systematic studies in the literature dealing with the subject. This research aims to study the effect of some of the foremost bleaching parameters of a DEDD bleaching sequence as well as the effect of a final P stage (DEDP instead of DEDD) in the brightness stability of bleached E. globulus kraft pulps. RESULTS: The increase of the D0 stage temperature from 55 °C to 90 °C caused an increase in brightness stability. Increasing the ClO2 charges from 2.8% to 3.2% also improved significantly the brightness stability. A high H2SO4 charge in the D0 stage (10 kg tonne,1 pulp) diminished the brightness stability. The combination of H2O2 addition to the E stage and ClO2 reduction in the two final D stages does not affect brightness reversion. Raising the D2 stage temperature from 65 °C to 82 °C decreased the brightness reversion, while an increase was obtained when the temperature rose above 82 °C. Substitution of the last ClO2 stage in the DEDD sequence by a H2O2 stage (DEDP) significantly reduced the brightness reversion. CONCLUSION: For an existing pulp mill in which the implementation of new technologies to improve brightness reversion is considered, the results obtained showed that brightness stability can be improved without any significant capital investment. Copyright © 2007 Society of Chemical Industry [source] Evaluation of a simple batch distillation process for treating wastes from metalworking industriesJOURNAL OF CHEMICAL TECHNOLOGY & BIOTECHNOLOGY, Issue 5 2004P Cañizares Abstract A simple batch distillation process for the treatment of two types of industrial waste generated in a metalworking factory has been evaluated. Both types of waste are oil-in-water emulsions composed of numerous compounds and each type has a high content of water-soluble species. The water-soluble nature of the wastes precludes the use of conventional treatment technologies, such as ultrafiltration or chemical emulsion breaking, since they need to be complemented with additional treatment processes that would probably increase the cost considerably. A simple characterization of the liquid,vapour equilibrium and a scale-up study has demonstrated the applicability of this technology. The process allows 90% of the waste to be recovered as water, thus achieving the required quality limits for discharge into a municipal wastewater treatment plant. An approximate estimation of capital investment and operating costs for an existing case has shown the economic viability of this process. Copyright © 2004 Society of Chemical Industry [source] Inclusion of Blended Lipid Solutions as Functional Ingredients to Alter the Fatty Acid Profile of Beef PattiesJOURNAL OF FOOD SCIENCE, Issue 7 2010A.C. Lowder Abstract:, Beef patties formulated to contain beef fat, plant oil, and a rosemary extract to increase unsaturated fatty acid content and maintain desirable sensory attributes were compared to control beef patties formulated without plant oils. Treatment patties were formulated to a fat content of 10% or 20% by combining beef trimmings (6% fat) with 4% or 14% addition of a lipid blend. Blends contained 57% beef tallow, 0.3% rosemary extract, and 43% of high oleic safflower oil (SO), olive oil (OO), or corn oil (CO). Lipid oxidation, as measured by TBA values, of treatment patties were similar to control patties after 0 and 3 d of refrigerated (2 °C) storage and up to 56 d of frozen (,10 °C) storage. Cooked lipid blend patties having a fat content of 10% or 20% were similar to or higher than control patties for juiciness and were no different for other sensory attributes evaluated. At fat levels of 10% or 20%, oleic acid (18: 1) in cooked SO patties (46.1% and 50.3%, respectively) and OO patties (43.8% and 48.1%, respectively) was higher than the control (37.3% and 37.6%, respectively). Unsaturated to saturated fatty acid ratios at the 10% or 20% fat levels were higher in SO (1.37 and 1.60, respectively) and CO (1.40 and 1.48, respectively) patties than the control (0.97 and 0.94, respectively). Beef patties manufactured with varying lipid blends increased unsaturated fatty acid content and were similar in physical characteristics and sensory attributes of all beef patties formulated without lipid blends. Practical Application:, The development of healthier beef products that will be more appealing to consumers has long been an industry goal. The authors believe that lipid blends such as the one used in this study could be used to create such products, not only in the form of beef patties, but any number of processed meat products. Because the materials and equipment used to create the lipid blends in this study are widely available, their incorporation into meat products would represent a small capital investment. This is an important factor in bringing a reasonably priced, healthier product to consumers. [source] Predicting the Performance of International Joint Ventures: An Investigation in China*JOURNAL OF MANAGEMENT STUDIES, Issue 2 2003John Child ABSTRACT Organizational learning, resourcing and control have been identified in the literature as potential firm-level influences on the performance of international joint ventures (IJVs). The study reported here examines the impact of these factors on the performance of Sino-foreign IJVs. Their performance is assessed in terms of both ,goal' and ,system' criteria. The hypothesized performance determinants are found to be more strongly associated with variance in system performance than in goal performance. The main performance predictors are the parent companies' experience with international business and joint ventures, and the quality of resources they provide to the joint ventures in respect of capital investment, new facilities and operational inputs. When good quality resourcing is provided, the sharing of control with local partners also predicts higher IJV performance. The performance effects of these factors appears to be cumulative, implying that further research should examine them together rather than singularly. [source] THE IMPACTS OF TRANSPORTATION INFRASTRUCTURE ON PROPERTY VALUES: A HIGHER-ORDER SPATIAL ECONOMETRICS APPROACHJOURNAL OF REGIONAL SCIENCE, Issue 3 2007Jeffrey P. Cohen ABSTRACT We evaluate the impacts of enhanced transportation systems on property values for U.S. manufacturing firms, allowing for higher-order spatial error correlation. We use a state-level model of production cost and input demand that recognizes the productive contribution of public transportation infrastructure stocks. Our findings include significant impacts on property shadow values and input composition from both public highway and airport investment. We also find that these effects have a spatial dimension that depends on the proximity of the transport system; at least one and as many as three spatial error lags are significant in our estimating equations. Further, recognizing production growth from transportation system improvements augments the associated incentives for private capital investment. [source] BEYOND THE ECONOMIC CATALYST DEBATE: CAN PUBLIC CONSUMPTION BENEFITS JUSTIFY A MUNICIPAL STADIUM INVESTMENT?JOURNAL OF URBAN AFFAIRS, Issue 5 2007CHARLES A. SANTO ABSTRACT:,A host of empirical studies have indicated that stadiums and arenas have no significant impact on metropolitan area income or employment. In light of this evidence, the continued proliferation of public investment in sports facilities begs the question: Is there some other justification for this spending, or are policymakers simply acting against the public interest (either irrationally, or in response to political-economic influences)? A possibility that has not been fully explored is the notion that stadiums and teams generate tangible and intangible consumption benefits that could support some level of public investment. This research builds on a small foundation of literature that is moving discussion beyond the economic catalyst debate by providing an empirical measure of the consumption benefits that accrue to a region as the result of hosting a major league sports team. A contingent valuation survey is used to quantify the consumption benefits that would be associated with the relocation of a major league baseball team to Portland, Oregon. An empirical measure of the region's aggregate willingness to pay for the benefits associated with hosting a team is disaggregated into option and existence values, which can then be compared to any proposed level of public contribution to a new stadium. The findings indicate that consumption benefits would only support a capital investment of approximately $74 million; a figure far smaller than the typical stadium subsidy. The majority of projected benefits are associated with expected public goods and externalities, rather than anticipated attendance, indicating that an equitable financing plan should employ nonuser revenue sources. The level of projected benefits does not vary by locality within the metropolitan area, which argues for a regional cost-sharing approach. The willingness of residents to pay for stadium construction is tempered by a concern about other pressing social needs in the Portland area and a reaction to the current tax climate. [source] Immigration Policy, Equilibrium Unemployment, and Underinvestment in Human CapitalLABOUR, Issue 1 2009Christian Lumpe We analyse the impact of different immigration policies on human capital investment in a search-theoretic model. This class of models features unemployment and underinvestment in human capital. The underinvestment in human capital can be solved by combining immigration policy with appropriate education subsidies. Extending the model with respect to different skill groups allows to analyse the observed bimodal skilled immigration of the USA. [source] Why Do Women's Wages Increase So Slowly Throughout Their Career?LABOUR, Issue 2 2008A Dynamic Model of Statistical Discrimination We provide a dynamic model of statistical discrimination, which integrates specific human capital decisions: on-the-job training investment and wages are endogenously determined. We reveal a small wage differential at the beginning of women's career, but women's wages increase more slowly; this is partly due to a lower level of human capital investment by women and partly because firms smooth training costs between different periods. [source] | ||||||||||||||||||||||||||||||||||||||||