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  Speaker Series at the D...  
Con­trary to the prior re­search on the pre­dom­in­antly neg­at­ive ef­fects of cor­rup­tion, we ar­gue that in emer­ging coun­tries cor­rup­tion can also act as an in­formal in­sti­tu­tion that can of­fer sta­bil­ity and pre­dict­ab­il­ity when firms have to cope with formal in­sti­tu­tional voids.
This paper aims at cont­ri­bu­ting to an improved under­stan­ding of the effects of corrup­tion on local firms’ acqui­si­tion beha­vior in the context of an emer­ging economy. Contrary to the prior rese­arch on the predo­mi­nantly nega­tive effects of corrup­tion, we argue that in emer­ging coun­tries corrup­tion can also act as an informal insti­tu­tion that can offer stabi­lity and predic­ta­bi­lity when firms have to cope with formal insti­tu­tional voids. Based on an analysis of the acqui­si­tion beha­vior of 2,981 Russian firms in 40 regions in Russia during 2001-2008, we find strong support for our predic­tion that corrup­tion is posi­tively related to the propen­sity of local firms to engage in acqui­si­tions. Further­more, we find that this effect is stronger in regions that are more auto­no­mous and among weaker perfor­ming firms.
  Collaborative Communiti...  
Fjeld­stad, Snow, Miles & Lettl (2012, p. 739) ar­gue that col­lab­or­at­ive com­munit­ies fol­low a fun­da­mental dif­fer­ent scheme com­pared to tra­di­tional, more hi­er­arch­ical ways of or­gan­iz­ing and refer to it as the act­or-ori­ented ar­chi­tec­tural scheme: „Our pro­posed act­or-ori­ented scheme has three ele­ments: (1) act­ors who have the cap­ab­il­it­ies and val­ues to self-or­gan­ize; (2) com­mons where the act­ors ac­cu­mu­late and share re­sources; and (3) pro­to­cols, pro­cesses, and in­fra­struc­tures that en­able mul­ti-actor col­lab­or­a­tion.
Fjeld­stad, Snow, Miles & Lettl (2012, p. 739) argue that colla­bo­ra­tive commu­nities follow a funda­mental diffe­rent scheme compared to tradi­tional, more hier­archical ways of orga­ni­zing and refer to it as the actor-ori­ented archi­tec­tural scheme: „Our proposed actor-ori­ented scheme has three elements: (1) actors who have the capa­bi­li­ties and values to self-or­ga­nize; (2) commons where the actors accu­mu­late and share resources; and (3) proto­cols, processes, and infra­struc­tures that enable multi-actor colla­bo­ra­tion. Control and coor­di­na­tion are accom­plished prima­rily via direct inter­ac­tion among the actors them­selves rather than by hier­archical subord­i­na­tion. Promi­nent exam­ples of such emer­gent forms are Wiki­pedia or Open Source Soft­ware commu­nities like Linux or Apache.
  Speaker Series at the D...  
We ar­gue that once an in­di­vidual has ac­cu­mu­lated ex­per­i­ence with a task, the be­ne­fit of ac­cu­mu­lat­ing ad­di­tional ex­per­i­ence is in­ferior to the be­ne­fit of delib­er­ately ar­tic­u­lat­ing and co­di­fy­ing the pre­vi­ously ac­cu­mu­lated ex­per­i­ence.
How do orga­niza­t­ions learn? In this paper, we build on rese­arch on the micro­foun­da­tions of stra­tegy and learning to study the indi­vi­dual under­pin­nings of orga­niza­t­ional learning. We argue that once an indi­vi­dual has accu­mu­lated expe­ri­ence with a task, the benefit of accu­mu­la­ting addi­tional expe­ri­ence is infe­rior to the benefit of deli­be­ra­tely arti­cu­la­ting and codi­fying the previously accu­mu­lated expe­ri­ence. We explain the perfor­mance outcomes asso­ciated with such deli­be­rate learning efforts using both a cogni­tive (task under­stan­ding) and an emotional (self-­ef­fi­cacy) mecha­nism. We study the proposed frame­work by means of a mixe­d-­me­thod approach that combines the reach and rele­vance of a field expe­ri­ment with the preci­sion of labo­ra­tory expe­ri­ments. Our results support the proposed theo­re­tical frame­work and bear important impli­ca­tions from both a theo­re­tical and prac­tical view­point.
  Speaker Series at the D...  
Build­ing on evid­ence from cog­nit­ive science and lin­guist­ics, we ar­gue that the time-­mov­ing frame makes fu­ture events ap­pear prox­im­ate, whereas con­ceiv­ing of the self as mov­ing through time makes fu­ture events ap­pear dis­tant.
When descri­bing the future, corpo­rate execu­tives routi­nely draw analo­gies between time and space. They perceive the future as moving towards them (time-­mo­ving frame: “the dead­line is approa­ching”) or, alter­na­tively, they perceive them­selves as moving towards the future (ego-­mo­ving frame: “we’re heading towards the dead­line”). The physical reali­ties of space and motion help execu­tives to make sense of time, an abstract construct that cannot be expe­ri­enced concre­tely. Buil­ding on evidence from cogni­tive science and lingu­is­tics, we argue that the time-­mo­ving frame makes future events appear proxi­mate, whereas concei­ving of the self as moving through time makes future events appear distant. In three studies, we show that ego-­mo­ving frames prompt a focus on the present and on stra­tegic deci­sions that privi­lege shor­t-­term returns over long-­term returns.
  Research Program: Open ...  
Fjeld­stad, Snow, Miles & Lettl (2012, p. 739) ar­gue that col­lab­or­at­ive com­munit­ies fol­low a fun­da­mental dif­fer­ent scheme com­pared to tra­di­tional, more hi­er­arch­ical ways of or­gan­iz­ing and refer to it as the act­or-ori­ented ar­chi­tec­tural scheme: „Our pro­posed act­or-ori­ented scheme has three ele­ments: (1) act­ors who have the cap­ab­il­it­ies and val­ues to self-or­gan­ize; (2) com­mons where the act­ors ac­cu­mu­late and share re­sources; and (3) pro­to­cols, pro­cesses, and in­fra­struc­tures that en­able mul­ti-actor col­lab­or­a­tion.
Fjeld­stad, Snow, Miles & Lettl (2012, p. 739) argue that colla­bo­ra­tive commu­nities follow a funda­mental diffe­rent scheme compared to tradi­tional, more hier­archical ways of orga­ni­zing and refer to it as the actor-ori­ented archi­tec­tural scheme: „Our proposed actor-ori­ented scheme has three elements: (1) actors who have the capa­bi­li­ties and values to self-or­ga­nize; (2) commons where the actors accu­mu­late and share resources; and (3) proto­cols, processes, and infra­struc­tures that enable multi-actor colla­bo­ra­tion. Control and coor­di­na­tion are accom­plished prima­rily via direct inter­ac­tion among the actors them­selves rather than by hier­archical subord­i­na­tion.
  Brown Bag Seminar - Mar...  
Ab­stract: We ar­gue that mu­tual funds hold li­quid as­sets at least par­tially to col­lect rents, a motive dif­fer­ent from li­quid­ity trans­form­a­tion. We pro­pose a parsi­mo­ni­ous model that in­cor­por­ates the ef­fects of trad­ing costs and li­quid­ity man­age­ment on fund flows.
Abstract: We argue that mutual funds hold liquid assets at least parti­ally to collect rents, a motive diffe­rent from liqui­dity trans­for­ma­tion. We propose a parsi­mo­nious model that incor­po­rates the effects of trading costs and liqui­dity manage­ment on fund flows. Follo­wing bad perfor­mance, mana­gers compen­sated on fund size opti­mally reduce illi­quid invest­ment to maxi­mize future expected returns, preser­ving some liq- uid assets. Mana­gers compen­sated on past perfor­mance, on the other hand, meet redemp­tions by deple­ting liquid assets first. However, because of lower expected returns this only inten­si­fies the outflow and desta­bi­lizes the fund. More­over, the use of cash for rent collec­tion is preferred to higher manage­ment fees, as it makes mutual funds less prone to liqui­di­ty­-d­riven with­dra­wals. Overall, we caution not to inter­pret the observed balances of liquid assets in mutual funds as conclu­sive evidence of the magni­tude for liqui­dity trans­for­ma­tion these funds provide.
  Research Talk by John G...  
As an ex­plan­a­tion, Lynch and his col­league Ad­rian Ward of UT-Austin ar­gue that people only develop ex­pert­ise on a “need to know” basis; they pay at­ten­tion to what they think they need to know, when they think they need to know it.
John G. Lynch from the Univer­sity of Colo­rado at Boulder held a talk at our depart­ment on the temporal deve­lop­ment of finan­cial exper­tise in couples as part of our Depart­ment’s Rese­arch Seminar Series. The presented rese­arch speaks to the issue that finan­cial literacy is pain­f­ully low in many coun­tries, inclu­ding Austria and the US, and that current efforts to remedy low finan­cial literacy via finan­cial educa­tion have deli­vered minis­cule bene­fits in improved finan­cial beha­vior. As an expla­na­tion, Lynch and his colle­ague Adrian Ward of UT-Austin argue that people only develop exper­tise on a “need to know” basis; they pay atten­tion to what they think they need to know, when they think they need to know it. In a series of studies, they show how couples use each other as experts, often entrus­ting just one partner (the “house­hold CFO”) with the bulk of the respon­si­bi­lity for finan­cial matters, and how this distri­bu­tion of respon­si­bi­lity affects their inde­pen­dent moti­va­tion to learn about finan­cial matters and ability to make good finan­cial deci­sions.