The 2008 crash has left all the established economic doctrines - equilibrium models, real business cycles, disequilibria models - in disarray. Part of the problem is due to Smith’s "veil of ignorance": individuals unknowingly pursue society’s interest and, as a result, have no clue as to the macroeconomic effects of their actions: witness the Keynes and Leontief multipliers, the concept of value added, fiat money, Engel’s law and technical progress, to name but a few of the macrofoundations of microeconomics. A good viewpoint to take bearings anew lies in comparing the post-Great Depression institutions with those emerging from Thatcher and Reagan’s economic policies: deregulation, exogenous vs. endoge- nous money, shadow banking vs. Volcker’s Rule. Very simply, the banks, whose lending determined deposits after Roosevelt, and were a public service became private enterprises whose deposits determine lending. These underlay the great moderation preceding 2006, and the subsequent crash.

The Economic Institutions of Capitalism

The authors examine potential relationships among categories of personal information, beliefs about direct marketing, situational characteristics, specific privacy concerns, and consumers’ direct marketing shopping habits. Furthermore, the authors offer an assessment of the trade-offs consumers are willing to make when they exchange personal information for shopping benefits. The findings indicate that public policy and self-regulatory efforts to alleviate consumer privacy concerns should provide consumers with more control over the initial gathering and subsequent dissemination of personal information. Such efforts must also consider the type of information sought, because consumer concern and willingness to provide marketers with personal data vary dramatically by information type.

Privacy Concerns and Consumer Willingness to Provide Personal Information

Retrospective reports of important organizational phenomena are commonly fused in strategic management and organization theory research. A recent study, however, suggested that these reports tend t...

Retrospective reports in organizational research: a reexamination of recent evidence

Lab experiments have gone to extremes to isolate and repress other-regarding behavior in extensive-form bargaining games, with limited success. Consider, for example, Elizabeth Hoffman et al.’s (1996; hereafter HMS) Anonymous Dictator game. This game controls self-interested strategic behavior by giving a person complete control over the distribution of wealth, and complete anonymity from all others including the experimenter. While theory predicts people with complete control and complete anonymity will offer up nothing to others, in fact they still share the wealth in about 40 percent of the observed bargains. Such other-regarding choice is another example in which individual behavior differs from that predicted by subgame perfection, and supports the call for a new “behavioral game theory” (Colin F. Camerer, 1997). Herein we extend the work of HMS to reveal a setting in which 95 percent of dictators follow game-theoretic predictions. In contrast to previous studies, our design has people bargain over earned wealth rather than unearned wealth granted by the experimenter. We argue that just as rewards must be salient (Kyung Hwan Baik et al., 1999), the assets in a bargain must be legitimate to produce rational behavior. Our results support this conjecture. Dictators bargaining over earned wealth were more selfinterested than observed in previous studies; and when they had complete anonymity, selfless behavior is essentially eliminated.

Hardnose the Dictator

Adopting a contingency perspective, the authors present and test a fit-as-moderation model that posits that overall firm performance is influenced by how well the marketing organization's structural characteristics (i.e., formalization, centralization, and specialization) and strategic behavioral emphases (i.e., customer, competitor, innovation, and cost control) complement alternative business strategies (i.e., prospector, analyzer, low-cost defender, and differentiated defender). Responses from 228 senior marketing managers provide support for the model and demonstrate that each strategy type requires different combinations of marketing organization structures and strategic behaviors for success.

https://www.jstor.org/stable/pdfplus/30162056.pdf

The Performance Implications of Fit among Business Strategy, Marketing Organization Structure, and Strategic Behavior:

An analysis of 399 banks self typed as prospectors, analyzers or defenders indicated that the self typing paragraph approach was a useful measurement instrument which has reasonable convergent validity, supporting Shortell and Zajac (1990), and providing further evidence of the value of the self typing paragraph approach in strategy research.

Further evidence on the validity of the self typing paragraph approach: Miles and snow strategic archetypes in banking

Creativity vs. effectiveness? An integrating classification for advertising

This study develops and then tests an expanded conceptual framework for understanding relational customer--supplier exchanges. The explanatory power of transaction cost economics and resource dependence theory is examined, first individually, and then the theories are unified to provide a more comprehensive model for understanding of firms' decisions to pursue relational exchanges. Regression analyses performed on data from 372 pulp, paper, and paperboard mills indicate that the combined framework provides a better explanation of customer choices than either theory individually. Implications and future research are discussed. Copyright 2006, Oxford University Press.

Transaction cost economics, resource dependence theory, and customer–supplier relationships

To whom do advertising creatives write? An inferential answer

A reconciliation is offered for the diverse test results on Friedman's permanent income hypothesis. A large data sample of those receiving windfall income in the Bureau of Labor Statistics' 1972–1973 Consumer Expenditure Survey is divided according to the size of the windfall relative to estimated permanent income. A pattern of a declining marginal propensity to consume windfall income as the relative size of the windfall increases is apparent. These results support the permanent income hypothesis for relatively large windfalls.

William L. James

Papers

Further evidence on the validity of the self typing paragraph approach: Miles and snow strategic archetypes in banking

Creativity vs. effectiveness? An integrating classification for advertising

Transaction cost economics, resource dependence theory, and customer–supplier relationships

To whom do advertising creatives write? An inferential answer

The Relative Size of Windfall Income and the Permanent Income Hypothesis