Economy

Technology may not be responsible for jobless recoveries

Share this:

Since the early 1990s, the US has been plagued by weak employment growth when emerging from recessions – so called ‘jobless recoveries’. Georg Graetz and Guy Michaels look at multiple recoveries elsewhere in the world over a 40-year period to see if the same applies – and whether modern technology is responsible.

Recoveries from recessions in the United States used […]

  • Permalink Gallery

    Wage theft is widespread, but politics and policies can play a powerful role in reducing it.

Wage theft is widespread, but politics and policies can play a powerful role in reducing it.

Share this:

Wage theft is pervasive in America; in a new study of low-wage workers across the US, Daniel J. Galvin finds that 16 percent were paid less than their state’s minimum wage. He also finds that workers in those states which had greater employment law protections tended to have a lower chance of experiencing wage theft, and that those protections […]

  • Permalink Gallery

    Book Review: The Complacent Class: The Self-Defeating Quest for the American Dream by Tyler Cowen

Book Review: The Complacent Class: The Self-Defeating Quest for the American Dream by Tyler Cowen

Share this:

In The Complacent Class: The Self-Defeating Quest for the American Dream, Tyler Cowen extends his previous work on economic stagnation into an examination of a broader sense of stasis that has enveloped US society and culture. While events of 2016 have made the book’s anticipation of an impending and dramatic shift less prescient than may otherwise have been the case, Dalibor […]

  • Permalink Gallery

    Firms in less competitive industries are riskier investments

Firms in less competitive industries are riskier investments

Share this:

Also, higher exposure to systematic risk acts as a barrier to entry in product markets, writes Maria Cecilia Bustamante.

The financial economics literature regularly assumes that the markets in which firms sell their products are perfectly competitive, i.e., that firms take product prices as given while making corporate decisions. Alternatively, many models in the literature assume that firms operate in […]

  • Permalink Gallery

    Why e-readers succeeded as a disruptive innovation in the US, but not in Japan

Why e-readers succeeded as a disruptive innovation in the US, but not in Japan

Share this:

Amazon is part of the answer: in Japan no one offered a large selection of e-books to feed the devices, write Mark E. Parry and Tomoko Kawakami.

The concept of disruptive innovation has captured the attention of executives around the world. As explained by Clayton Christensen, a disruptive innovation is initially seen as unattractive by mainstream customers and by the […]

  • Permalink Gallery

    Donald Trump’s flawed plan to strong-arm other countries into “one-on-one” trade deals.

Donald Trump’s flawed plan to strong-arm other countries into “one-on-one” trade deals.

Share this:

In late January, President Trump stated that he would be pushing for new “one-on-one” trade deals with specific countries to replace multilateral agreements; exploiting US economic clout to negotiate deals which benefit the US the most. Markus Gastinger has created an index of trade and economic power in order to determine which countries Trump might try to target. He […]

  • Permalink Gallery

    Book Review: Capital Without Borders: Wealth Managers and the One Percent by Brooke Harrington

Book Review: Capital Without Borders: Wealth Managers and the One Percent by Brooke Harrington

Share this:

In Capital Without Borders: Wealth Managers and the One Percent, Brooke Harrington offers an in-depth look into the work of wealth management professionals who ensure that the ‘one percent’ keep getting richer. Drawing on interviews and Harrington’s own experiences of a wealth management training programme, Sin Yee Koh finds this a well-researched and clearly written ethnographic study that focuses attention […]

  • Permalink Gallery

    Book Review: The Conversational Firm: Rethinking Bureaucracy in the Age of Social Media by Catherine J. Turco

Book Review: The Conversational Firm: Rethinking Bureaucracy in the Age of Social Media by Catherine J. Turco

Share this:

In The Conversational Firm: Rethinking Bureaucracy in the Age of Social Media, Catherine J. Turco offers a ethnographic study of a fast-growing social media marketing company, anonymised as ‘TechCo’, that has sought to foster a different corporate culture through its use of social media to facilitate dialogue between employees across the hierarchy. The book offers an empathetic and nuanced understanding of the […]

  • Permalink Gallery

    Companies that do better by their customers also do better in the stock market

Companies that do better by their customers also do better in the stock market

Share this:

Many firms don’t understand the value of satisfied customers or don’t collect their data correctly, write Claes Fornell, Forrest Morgeson and Tomas Hult.

A debate about whether firms with superior customer satisfaction also earn better-than-average stock returns has been persistent in the academic business and marketing literature (Fornell, Mithas, Morgeson, and Krishnan 2006). Proponents of the customer satisfaction-stock market relationship […]

The elephant (and the donkey) in the boardroom

Share this:

Politically conservative boards pay CEOs more and tie compensation more closely to performance, write Abhinav Gupta and Adam Wowak.

Firms governed by politically conservative boards of directors pay their CEOs more money than do firms with more liberal-leaning (the ideological left in the US) boards. That’s the conclusion of our new study on the impact of political ideology in the boardroom. […]

This work by LSE USAPP blog is licensed under a Creative Commons Attribution-NonCommercial 3.0 Unported.