WHY MERGERS REDUCE PROFITS AND RAISE SHARE PRICES–A THEORY OF PREEMPTIVE MERGERS

We provide a possible explanation for the empirical puzzle that mergers often reduce profits, but raise share prices. If being an “insider” is better than being an “outsider”, firms may merge to preempt their partner merging with a rival. The insiders' stock market value is increased, since the risk of becoming an outsider is eliminated. These results are derived in an endogenous‐merger model, predicting the conditions under which mergers occur, when they occur, and how the surplus is shared. (JEL: L13, L41, G34, C78)     

Heuristic Coordination of Decentralized Inventory Systems Using Induced Backorder Costs

In this paper, we investigate a one‐warehouse multiple‐retailer system, where the inventory control decisions are coordinated using a near optimal induced backorder cost, β*. All installations use continuous review installation‐stock (R, Q) policies. The analysis builds on an approximation model where the stochastic warehouse delays are replaced by their correct averages. The contributions include insights as to how β* is influenced by system parameters, and the determination of simple closed form β* estimates. The latter offering a practical means to achieve coordinated control of large size systems.     

Reclassifying causes of death to study the epidemiological transition in The Netherlands, 1875–1992

This article describes a method for reclassifying causes of death in the Netherlands for the period 1875–1992. Two criteria should be met to obtain a useful classification to study the epidemiological transition. First, the categories should be nosologically continuous over the period under study and second, there should be enough detail in causes which are important in the context of the epidemiological transition viz. communicable diseases, non-communicable diseases and external causes of death. A method developed by Vallin and Meslé (1988), which involves ‘dual correspondence tables’ and ‘fundamental associations’, was used to create nosologically continuous categories. These categories were tested for statistical continuity during the transition years of one ICD-revision to the next, using ordinary least squares regression analysis. The reclassification procedure resulted in a nested classification consisting of three levels of refinement of causes of death: 27 causes, 1875–1992; 65 causes, 1901–1992; and 92 causes, 1931–1992. On the basis of this classification, 43% of all deaths in 1875–79 and 98% of all deaths in 1992 could be allocated to either communicable diseases, non-communicable diseases or external causes.     

The Relation Between Popularity and Aggressive,Destructive, and Norm‐Breaking Behaviors: Moderating Effects of Athletic Abilities,Physical Attractiveness,and Prosociality

The aim of this study was to examine the relations between popularity and different types of aggressive, destructive, and norm‐breaking behaviors in a large cross‐sectional sample of adolescents (N=3,312, M age=13.60). We were interested in the extent to which the relations of these behaviors with popularity were moderated by positive features (i.e., athletic abilities, physical attractiveness, and prosociality). From a goal‐framing perspective, it was argued that positive features evoke positive affect, which in turn enhances the positive impact of aggressive, destructive, and norm‐breaking behaviors on popularity. The results supported our notion that these latter behaviors are especially related to popularity in adolescents who also exhibit positive features.     

Relationships between stressful work environments and bullying: Results of a large representative study

Abstract

This paper contributes to the relatively sparse knowledge about relationships between stressful work environments and bullying. Relationships between job stressors and leadership behaviour were analysed as possible predictors of bullying at work on the basis of the work environment hypothesis, which states that stressful and poorly organized work environments may give rise to conditions resulting in bullying. Analyses of a representative sample (n=2539) of the Norwegian workforce showed role conflict, interpersonal conflicts, and tyrannical and laissez-faire leadership behaviour to be strongly related to bullying, and that the strength of associations to a high degree differed for various measures of bullying. Support was found for an interactive relationship between decision authority and role conflict at different levels of laissez-faire leadership. Not only targets and bully/targets but also bystanders assessed their work environment more negatively than did non-involved employees, while perpetrators of bullying did not differ significantly from non-involved employees as regards their perception of the work environment. Hence, bullying is likely to prevail in stressful working environments characterized by high levels of interpersonal friction and destructive leadership styles. In addition, bullying is particularly prevalent in situations where the immediate supervisor avoids intervening in and managing such stressful situations.     

The development and validation of a job crafting measure for use with blue-collar workers

Abstract

Job crafting describes a set of proactive behaviours in which employees may engage to shape their work in order to minimize hindering job demands and maximize resources and challenging demands. Such behaviours may be particularly important among blue-collar workers whose jobs are characterized by poor working conditions and low well-being. We present the development and adaptation of a job crafting measure that may be used among blue-collar workers, based on an existing scale by Tims, Bakker, and Derks (2012) that was not specifically developed for blue-collar workers. We test the validity and reliability of the measure in a longitudinal study based on multiple source information from mail delivery workers in Denmark (N=362 at Time 1; N=408 at Time 2). Results indicate the presence of five job crafting dimensions: increasing challenging demands, decreasing social job demands, increasing social job resources, increasing quantitative demands and decreasing hindering job demands. These can be reliably measured with 15 items. The measure shows acceptable discriminant and criterion validity, and test-retest reliability. The findings extend the application of the original questionnaire. They also add to knowledge of the job crafting behaviours in which blue-collar workers engage and link them to well-being outcomes.     

Explorative study into support needs of caregivers in short-term foster care regarding problem behaviour and dealing with biological parents

Family supporting foster care (FSFC) is a directly accessible, short-term and preventive form of foster care for children under the age of 12. Caregivers in this type of foster care need comprehensive support to deal with their complex tasks. In this contribution, the support needs arising from the behaviour of the foster child as well as concerning dealing with the biological parents of 85 Flemish FSFC-parents are examined, as these are areas FSFC-parents specifically ask support for. These support needs are evaluated for possible links with child and foster parent characteristics. More experienced foster parents and foster parents with a foster child showing more externalising problem behaviour ask for more support in managing the child's behaviour.     

Hierarchical likelihood approach to non-Gaussian factor analysis

Factor models, structural equation models (SEMs) and random-effect models share the common feature that they assume latent or unobserved random variables. Factor models and SEMs allow well developed procedures for a rich class of covariance models with many parameters, while random-effect models allow well developed procedures for non-normal models including heavy-tailed distributions for responses and random effects. In this paper, we show how these two developments can be combined to result in an extremely rich class of models, which can be beneficial to both areas. A new fitting procedures for binary factor models and a robust estimation approach for continuous factor models are proposed.     

Learning discrete decomposable graphical models via constraint optimization

Statistical model learning problems are traditionally solved using either heuristic greedy optimization or stochastic simulation, such as Markov chain Monte Carlo or simulated annealing. Recently, there has been an increasing interest in the use of combinatorial search methods, including those based on computational logic. Some of these methods are particularly attractive since they can also be successful in proving the global optimality of solutions, in contrast to stochastic algorithms that only guarantee optimality at the limit. Here we improve and generalize a recently introduced constraint-based method for learning undirected graphical models. The new method combines perfect elimination orderings with various strategies for solution pruning and offers a dramatic improvement both in terms of time and memory complexity. We also show that the method is capable of efficiently handling a more general class of models, called stratified/labeled graphical models, which have an astronomically larger model space.