Economic Rationale Research Articles

Main Influencing Factors of Interest Rates in China and Empirical Research

This study aims to investigate the influencing factors of interest rates in China, analyzing inflation, liquidity demand, and economic growth as representative variables. Initially, Grey Relational Analysis and Spearman Correlation Analysis were employed to verify the association between these variables and interest rates, revealing a significant impact of the social financing growth rate on interest rates. Furthermore, the Granger Causality Test was utilized to validate the influence of the social financing growth rate on interest rates and distinguish the impact of different economic phases on interest rates. The study also delves into the economic rationale behind interest rates through logical analysis, highlighting that the supply and demand of money are the true determinants of interest rates, with varying sensitivities across different sectors. Finally, the conclusion emphasizes the necessity of considering the financing behaviors of various economic sectors comprehensively when formulating monetary policies and predicting interest rate trends.

A New Tool to Assess the Economic Impact of Q Fever on Dairy Cattle Farms

To support farmers in their decisions related to Q fever, a dedicated economic assessment tool is developed. The present work describes the calculator, its economic rationale, and the supporting assumptions. The calculator integrates a yearly compartmental model to represent population dynamism and the main interactions between disorders linked to Q fever, especially reproductive disorders (abortion, retained foetal membranes, purulent vaginal discharge and endometritis, extra services, and calving–conception delays). The effects of the nontangible cost of the disease on human health, the welfare of the animals, and the workload of farmers were not integrated into the model. The model shows high-level sensitivity to the prevalence of Q fever in the herd prevaccination and to the costs of abortion and extra days of calving–conception intervals. Breakeven points, i.e., cost values that allow us to achieve positive vaccination benefits, are also reported. For herds with moderate or high prevalence rates of Q fever prevaccination (>30%), a vaccination benefit is observed. The vaccine should be considered a type of insurance in herds with low prevalence rates of Q fever prevaccination (≤20%). The calculator was developed to aid decision-making at the farm level, and no conclusion can be extrapolated as a generic trend based on the present work.

People Reject Free Money and Cheap Deals Because They Infer Phantom Costs.

If money is good, then shouldn't more money always be better? Perhaps not. Traditional economic theories suggest that money is an ever-increasing incentivizer. If someone will accept a job for US$20/hr, they should be more likely to accept the same job for US$30/hr and especially for US$250/hr. However, 10 preregistered, high-powered studies (N = 4,205, in the United States and Iran) reveal how increasing incentives can backfire. Overly generous offers lead people to infer "phantom costs" that make them less likely to accept high job wages, cheap plane fares, and free money. We present a theory for understanding when and why people imagine these hidden drawbacks and show how phantom costs drive judgments, impact behavior, and intersect with individual differences. Phantom costs change how we should think about "economic rationality." Economic exchanges are not merely about money, but instead are social interactions between people trying to perceive (and deceive) each others' minds.

Connectome-based prediction of decreased trust propensity in older adults with mild cognitive impairment: A resting-state functional magnetic resonance imaging study

Trust propensity (TP) relies more on social than economic rationality to transform the perceived probability of betrayal into positive reciprocity expectations in older adults with normal cognition. While deficits in social rationality have been observed in older adults with mild cognitive impairment (MCI), there is limited research on TP and its associated resting-state functional connectivity (RSFC) mechanisms in this population. To measure TP and related psychological functions (affect, motivation, executive cognition, and social cognition), MCI (n=42) and normal healthy control (NHC, n=115) groups completed a one-shot trust game and additional assessments of related psychological functions. RSFC associated with TP was analyzed using connectome-based predictive modeling (CPM) and lesion simulations. Our behavioral results showed that the MCI group trusted less (i.e., had lower TP) than the NHC group, with lower TP associated with higher sensitivity to the probability of betrayal in the MCI group. In the MCI group, only negative CPM models (RSFC negatively correlated with TP) significantly predicted TP, with a high salience network (SN) contribution. In contrast, in the NHC group, positive CPM models (RSFC positively correlated with TP) significantly predicted TP, with a high contribution from the default mode network (DMN). In addition, the total network strength of the NHC-specific positive network was lower in the MCI group than in the NHC group. Our findings demonstrated a decrease in TP in the MCI group compared to the NHC group, which is associated with deficits in social rationality (social cognition, associated with DMN) and increased sensitivity to betrayal (affect, associated with SN) in a trust dilemma. In conclusion, our study contributes to understanding MCI-related alterations in trust and their underlying neural mechanisms.

What drives businesses to transact with complementary currencies?

There is an ongoing debate on complementary currencies’ (CCs) contribution to a transition towards resilient and sustainable economies. As part of this debate, this paper investigates which factors lead to significant acceptance and sufficient growth of a CC from a bottom-up perspective, i.e., based on its members’ decisions. First, we identify the benefits and costs driving firms’ use of CCs and find four factors that constitute a trade-off: credit gains, reciprocity expectations, coordination costs, and intrinsic motivations. Second, we use an agent-based model to explore how these elements determine CCs’ success as a network. Our key finding is that the coupling of intrinsic motivation with preferential attachment – a phenomenon where members are more likely to transact with each other rather than with outsiders – may be the key to growth and acceptance: these results suggest that intrinsic motivation provides an incentive to join the network, but preferential attachment is the emerging economic rationale that drives firms’ acceptance of CCs. The identified trade-off and the theory of intrinsic motivation-preferential attachment provide new avenues to investigate under what conditions CCs contribute to resilient economies.

Origins of the Economic Approach to Crime and Punishment

Abstract The economic approach to crime and punishment began to be applied to a research program based on a rigorous and mathematically structured theoretical model by Becker (1968. “Crime and Punishment: An Economic Approach.” Journal of Political Economy 76 (2): 169–217) in his paper Crime and punishment: An economic approach. However, only brief mentions regarding the historical origins of the “economic” thought on crime and punishment can be found in the field’s pioneering modern texts. Thus, our main objective is to rebuild this history. In this paper, we do this by reviewing the thoughts of Adam Smith and Cesare Beccaria (1759–1776). In section one, we show how Smith’s position, despite being different from that of the utilitarian outlook, actually hides passages where the author comes very close to employing an economic rationale to reflect on criminality. In section two, we revisit Beccaria’s arguments and find surprising nuances and exceptions, even though he is a thinker explicitly recognized as influential by Becker and other authors linked to the Law and Economics movement. We conclude by highlighting key insights and looking for a broader history where the economic rationale on crimes and punishments can be traced back from centuries ago to modern times.

Multidimensional Impact of Dupilumab on Chronic Rhinosinusitis with Nasal Polyps: A Complete Health Technology Assessment of Clinical, Economic, and Non-Clinical Domains

Chronic RhinoSinusitis with Nasal Polyps (CRSwNP) represents a condition mainly caused by the type 2 inflammation presence and marked by the existence of polyps within the nasal and paranasal sinuses. The standard of care includes intranasal steroids, additional burst of systemic steroids, if needed, and surgery. However, recurrence is common, especially among patients with comorbid type 2 inflammatory diseases. Recently, biological drugs, addressing the underlying cause of the disease, have been approved in Italy (dupilumab, omalizumab, and mepolizumab). A Health Technology Assessment was conducted to define multidimensional impact, assuming Italian NHS perspective and a 12-month time horizon. The EUnetHTA Core Model was deployed, using the following methods to analyze the domains: (i) literature evidence; (ii) administration of semi-structured questionnaires to 17 healthcare professionals; (iii) health economics tools to define the economic sustainability for the system. Evidence from NMA and ITC showed a more favorable safety profile and better efficacy for dupilumab compared with alternative biologics. All the analyses, synthesizing cost and efficacy measures, showed that dupilumab is the preferable alternative. Specifically, the cost per responder analysis for dupilumab, exhibiting a 67.0% response rate at Week 52, is notably economical at 14,209EUR per responder. This presents a more economical profile compared with the cost per responder for omalizumab (36.2% response rate) at 24,999EUR and mepolizumab (28.5% response rate) at 31,863EUR. These results underscore dupilumab’s potential, not merely in terms of clinical outcomes, but also in terms of economic rationality, thereby solidifying its status as a valid and preferrable alternative in the management of CRSwNP, in the context of the Italian NHS.

Training for gig workers: a systematic review and research agenda

Purpose This study aims to synthesize existing findings in the gig worker training literature and identify the training rationales adopted by these studies, using a synthesized framework of organizational training rationales. This study seeks to delineate the rationales behind gig worker training and highlight unaddressed training needs within digital platforms, ultimately proposing a research agenda for future studies in this area. Design/methodology/approach A systematic review methodology is adopted to synthesize and analyze empirical, peer-reviewed studies on gig worker training. Findings The systematic review reveals that competency and economic rationales are predominantly adopted in gig worker training studies, with the relationship rationale, common in traditional training, notably absent. This study also outlines seven future research directions to highlight identified challenges and unaddressed training needs. Originality/value To the best of the author’s knowledge, this study is the first work that systematically reviews existing findings on gig worker training.

Ambivalence in Environmental Care: Marine Care Ethics and More-Than-Human Relations in the Conservation of Seagrass Posidonia oceanica

Posidonia oceanica is an endemic seagrass from the mediterranean that provides key ecosystem services. A protected species, its presence is regressing due to anthropogenic pressures, some associated to the tourism economy that much of the Mediterranean coast depends on. In 1992, the European Union declared it a priority habitat, and since the early 2000s, it has occupied a central space in marine conservation debates in the Balearic Islands. Popularly known as Posidonia, this seagrass went from being considered dirt that ruined virgin Balearic beaches to become an emblematic species. This article takes this U-turn in policy and public perception as a study case to think of knowledge-making practices and restoration initiatives as a form of environmental care. The relational, situated and affective character of care ethics helps to understand the human and ecological labour embedded in knowledge-making and restoration practices and its inevitable engagement with the Balearic tourism industry. Drawing on those engagements, I reflect on environmental care practices of knowledge-making and restoration, arguing that they emerge ambivalently: they challenge management logics based on economic rationales while forced to develop and coexist inside those same rationales. I conclude by arguing that developing care-centric narratives for environmental conservation and restoration is essential to continue promoting more-than-human aquatic relations in which the needs of others are the ethical basis for action.

What compels bipartisan lawmakers to support coral reef legislation in the U.S. Congress

As coral reef ecosystems disappear at an alarming rate, the United States and the wider world need bold policy action to stop the loss of climate sensitive ecosystems like coral reefs. How are coral reef conservation policies making it onto the policy agenda? This research analyzes the rationale behind partisan policy-maker support for conservation of climate-vulnerable ecosystems. Using public policy theory that focused on theories of communication including framing and ambiguity, the authors evaluated 137 policy documents from three cases of conservation policy at international, national, and subnational scales. This research finds that legislators from different political parties have two main rationales for supporting coral reef conservation policy: ideas of governance and economics. Coral reefs are used by legislators to showcase their capacity to enact governance in a bipartisan way. Lawmakers from both parties increasingly prioritize grass roots or community-based conservation conservation as their preferred institutional framework for governance as seen in our data. For economic rationale, lawmakers emphasize community development efforts that complement coral reef conservation. Other significant predictors of rationale for support for coral reef conservation policy include lawmakers belonging to the Democratic Party, possessing a long-term liberal ideology, and coming from states that have coral reefs or coastlines.This study proposes a new model of why decision-makers support conservation policy which includes the presence of agreement on governance, human well-being, economics, geography, home ecosystems amid differing political parties. This research provides evidence of how conservation policy agendas are set despite gridlock in legislatures, and how more controversial policies (e.g. those that address climate change) may come to be included on the future agenda.

Highly logical and non-emotional decisions in both risky and social contexts: understanding decision making in autism spectrum disorder through computational modeling.

In risky contexts, autism spectrum disorder (ASD) individuals exhibit more logical consistency and non-emotional decisions than do typical adults (TAs). This way of deciding could be also prevailing in social contexts, leading to maladaptive decisions. This evidence is scarce and inconsistent, and further research is needed. Recent developments in computational modeling allow analysis of decisional subcomponents that could provide valuable information to understand the decision-making and help address inconsistencies. Twenty-seven individuals with ASD and 25 TAs were submitted to a framing-task and the ultimatum game (UG). The Rescorla-Wagner computational model was used to analyze UG decisions. Results showed that in the UG, the ASD group exhibited a higher utilitarianism, characterized by lower aversion to unfairness and higher acceptance of offers. Moreover, this way of deciding was predicted by the higher economic rationality found in the framing task, where people with ASD did not manifest emotional biases such as framing effect. These results could suggest an atypical decision making, highly logical and non-emotional, as a robust feature of ASD.

Traditional Medicine: Where Are the Lives, Suffering, Violence, and Mortality Rates of Indigenous Peoples?

This article analyzes the exclusion and sidelining evident in local studies on traditional medicine and a whole series of processes related to health, illness, healthcare, and prevention in the lives of Indigenous peoples, many of which are part of their practices and customs. The main forms of exclusion examined herein are related to disease, especially maternal mortality, but alsoto domestic violence, childbirth, and the forced marriage of children and adolescents.The analysis sheds light on how native cultural processes are excludedfrom these studies on traditional medicine, creating a biased, distorted vision of the lives of Indigenous peoples today and hindering an understanding of their social, cultural, and economic rationale.

Negotiating Work-Family Transitions: Reverse Family Migration among Second-Generation Hong Kong Mothers

ABSTRACT Gendered and generational understandings of circular migration are scant in studies of Chinese family migration. Filling this gap, this paper draws on in-depth interviews with twenty-six returnee families to examine the work–family transitions of previously employed, overseas-educated mothers who have re-migrated from Hong Kong to Canada, Australia, the United States, or the United Kingdom. These overseas-educated returnee mothers possess transnational backgrounds that differentiate them from most first-generation immigrant mothers. This paper shows that, despite this distinction, reverse migration leads to compromised careers and domestication for these women, although they accept, and in some cases embrace, such compromises. This study elucidates how both husbands and wives in these families justify women’s post-migration changes in their work and caregiving roles. It argues that beyond economic rationalization, interrelated gender, cultural, transnational, and family lifestyle dimensions distinctively impact how second-generation returnee mothers negotiate work–family transitions. This paper offers new insights involving generational and gendered dimensions into the study of Chinese family migration. It also widens the discussion of the impact of family migration on skilled immigrant women in transnational circuits beyond its focus on the lives of first-generation skilled immigrant women.

Identifying the Economic Rationale for Criminal Behavior within the Context of Kidnapping for Ransom in Nigeria

This study endeavoured to formulate an economic rationale for why human beings commit crime, particularly the heinous crime against persons known as kidnapping. This forms the major objective of this study. The issue of kidnapping has attained such significance in Nigeria that the country was recently listed as sixth on the global kidnap index, putting Nigeria amongst countries with serious kidnapping problems, behind Philippines, Venezuela, Columbia, Brazil and Mexico. Utilising secondary data, the study applied functionalist theoretical assumptions and employed Qualitative Document Analysis (QDA), thereby utilising a qualitative approach to gain an in-depth understanding of the causes, nature and quantum of kidnapping for ransom in Nigeria. The theoretical framework that governed this study was Becker’s Rational Choice model, where an individual’s decision to commit a crime is based on the costs and benefits analysis. The study revealed that kidnapping for ransom in Nigeria is a multifaceted phenomenon with social, economic, political, cultural and demographic ramifications. Our study further showed that there are many economic causes of the spate of kidnapping in Nigeria. Prominent among them are unemployment, poverty, low literacy level and high rate of school dropouts, increasing urbanisation, multidimensional inequality, low real income, and spiraling inflationary trends, among others. We recommended that government should tackle this menace head-on by instituting measures to reduce poverty, creating enabling environment for more productivity; thus, leading to increased employment, increasing school enrolment and improving educational infrastructure, reducing rural-urban migration to make the rural areas worthwhile to live in, discouraging ransom payments to free captives and instituting stiffer laws against kidnapping.

Budget Process and Execution: A Case Study on the Underperformance of the Peruvian Health System, 2000-2021.

Health system financing for emerging economies with aging populations and changing epidemiological profiles is an increasing challenge. Peru, as one of the countries with the highest economic growth in this century, provides a good example for analyzing the impact of the budgeting process and the budget execution on the performance of a health system. This article aims to answer how policies and processes are the root causes of the performance gap of the Peruvian health system. We used a case study methodology composed of 17 semistructured interviews with senior national and regional actors conducted between the end of 2021 and the beginning of 2022. Participants were selected with a combination of purposive, convenience, and snowball sampling until reaching saturation at 14 interviews. Participants' answers were grouped according to the topics explored, enabling comparisons and identification of themes. The responses revealed that 4 interconnected influences affect the Peruvian health system. Political instability affects the sustainable development of health policies. The fiscal cycle limits the public health expenditure to a low 3% of the gross domestic product. The budget cycle is based on the low motivation of the Ministry of Health (MOH) to establish a proper budgeting process. The execution cycle represents the results of chronic underinvestment with a lack of professionals, equipment, and data affecting the access to care expressed by a high out-of-pocket share in health expenditure. To escape these cycles, the MOH needs to be able to argue in economic terms for the prioritization of health, showing the economic rationale for investment in health. Taxes need to finance the additional investment within the available fiscal space. The rigidity of the budget law needs to be adapted, and a technical budget that is oriented to the current and future health priorities needs to be elaborated.

Understanding Creative Entrepreneurs’ Work Practices: The Varying Conversation between Artistic and Economic Rationales

Research on creative organizations often questions how artistic practices can be squared within the rational decision-making of economic thinking. This paper examines how the relational language, or conversation, between artistic and economic rationales unfolds for creative entrepreneurs. Through ethnographic work with a designer-entrepreneur, this paper presents a fine-grained analysis of the conversation the designer cultivates between artistic and economic rationales through work practices. We contribute to the literature about artistic and economic rationales at work, and more specifically to the concept of conversation. First, we show that high levels of conversing make way for low levels of conversing and vice versa. In the studio, the designer’s engagement with either rationale varies as the creative process progresses. Second, on a more global dynamic, we demonstrate the conversation is continuous. It relies on its variations, which ensure the balance between rationales in the long run. We also contribute to the field of creative entrepreneurship research. We identify here one type of creative entrepreneur, with what we call a ‘small is beautiful’ attitude. Far from the mythical figure of the entrepreneur, this unconventional entrepreneur aims for sustainable use of creative resources rather than growth at all costs.

Cook Ding meets homo oeconomicus. Contrasting Daoist and economistic imaginaries of work

ABSTRACT In this paper, we attempt to de-naturalize the prevailing economistic imaginary of work that Max Weber and later commentators described as ‘protestant work ethic,’ epitomized in the figure of homo economicus. We do so by contrasting it with the imaginary of skillful work that can be found in vignettes about artisans in the Zhuangzi. We argue that there are interesting contrasts between these views concerning 1) direct goal achievement vs. indirect goal achievement through the cultivation of skills; 2) the hierarchization of mental versus physical dimensions of work; 3) the crafting of non-dominating relationships between the working subject, their object, and their instruments of work, which leads to questions about the sustainability of these relationships; and 4) the relationship between work and well-being, which the Daoist texts conceptualize in a much more holistic, but also more presentist way than Western economic rationality. We conclude by pointing out the relevance of these differences for several contemporary debates about work, by denaturalizing a dominant imaginary of work, by distinguishing different forms of work, by suggesting a different relation between work and nature, and by raising questions about the desirability of the automation of work.

The Strategic Review of the Program Compliances of A Higher Education Institution toward Development Plans’ Redirection

Without a doubt, academic institutions value strategic directions. Colleges and universities invest significant time and effort in holding several meetings with various constituent groups on and off campus to solicit opinions on their strategic objectives, as well as funding for consultants. Combining Strategic Planning and Budgeting Processes ensures that budgets are founded on the economic rationale, that greater communication and coordination among offices and individuals are established, that plans and budgets are implemented smoothly and that overall organizational performance is improved. The inherent concerns of John Paul College (JPC) in Roxas Oriental Mindoro in constantly maintaining its CHED compliances were analyzed to determine the amount of disparity between actual and projected data. The Institutional Sustainability Assessment (ISA) was used to examine the CHED compliances of JPC to determine the degree of its amenability based on available resources. The redirection of tactics must be matched with the ISA’s main areas. The researchers used re-contextualization of an existing theory or method, applied a technique in a new context, tested the theory in a new setting, showed the applicability of a model to a new situation, and evaluated the result and any implications as combined with corroboration and elaboration of an existing model focusing on the evaluation of the effects of a change of condition; experimental assessment of one aspect of a model. The survey’s self-created questionnaire was distributed to respondents via Google Forms. After strategically reviewing the JPC’s program compliances by referencing the Commission on Higher Education’s Institutional Sustainability Assessment (ISA), the redirection of JPC.’s strategies must be considered immediately to address the compliance issues. Keywords: Strategic Model, Institutional Sustainability, Assessment (ISA), Quality Assurance compliances, CHED compliances of higher education

Technology adoption, innovation policy and catching-up.

A model is proposed where economic growth is driven by innovation alongside the diffusion and adoption of technology from the frontier. Innovation investments are related to households savings, which generates multiple equilibria with low and high levels of innovation and productivity. Low-level equilibria are unstable. Starting from a position with low levels of investment and innovation, increasing investments are associated with high but decreasing dependence on international technology diffusion. A major objective of policy-making is to increase investment sufficiently in the lower end to reach the high-level steady state. An economic rationale is provided for the existence of productivity improving equilibria, where distance to the frontier is reduced based on a tax and subsidy mechanism designed to boost innovation and speed up catching-up.

Learning to Think Like an Economist without Becoming One: Ambivalent Reproduction and Policy Couplings in a Masters of Public Affairs Program

In recent years, sociologists have labored to understand how economists have gained influence over policymaking. We extend this research by shifting focus from the matter of influence to the matter of policy training. Granted that economists already have influence, how do future policy professionals learn economic rationales? How is this mindset transmitted to hesitant students? By asking these questions, we bring socialization back into institutional research on “new” professionals. Utilizing data from an ethnography of a Masters of Public Affairs program, we find that students learn economics through a process of “ambivalent reproduction”: they learn to “think like an economist without becoming one.” They remain skeptical and reject the notion that they are economists, and when they use economics in their future policy work they do so in limited ways. Nonetheless, ambivalent reproduction sustains the policy status-quo and allows economics to remain influential without true belief. Ambivalent reproduction provides a new means for understanding the loosely coupled influence of economics on policy, and it contributes to the sociology of economics, inhabited institutionalism, and professional socialization.