Page 1. 1 The Value of Land Conservation: Evidence from North Carolina John F. Chamblee Universit... more Page 1. 1 The Value of Land Conservation: Evidence from North Carolina John F. Chamblee University of Georgia Peter F. Colwell University of Illinois Carolyn A. Dehring University of Georgia Craig A. Depken II University of North Carolina Charlotte November 2, 2009 ...
This paper analyzes whether hosting the filming of the popular television show "Game of Thrones" ... more This paper analyzes whether hosting the filming of the popular television show "Game of Thrones" impacted tourism to the Croatian city of Dubrovnik. Using monthly data and applying difference-indifferences and synthetic control methods, we show that the impact of airing "Game of Thrones" episodes filmed in Dubrovnik corresponded to approximately 5,000 additional tourism overnights per month, or approximately 59,000 per year. Results are robust across specifications and contribute to the literature on the topic of television-induced tourism demand. Results obtained provide evidence that the filming of a single TV show can increase the attractiveness of already well-established and globally known destinations.
It is shown that the volume of trade can be decomposed into proportional proxies for stochastic f... more It is shown that the volume of trade can be decomposed into proportional proxies for stochastic flows of good news and bad news into the market. Positive (good) information flows are assumed to increase the price of a financial vehicle while negative (bad) information flows decrease the price. For the majority of a sample of ten split-stocks it is shown that the proposed decomposition explains more GARCH than volume itself. Using the proposed decomposition, the variance of returns for younger split stocks reacts asymmetrically to good news flowing into the market, while the variance for older split-stocks reacts symmetrically to good news and bad news. JEL classification codes: C32, G14
By increasing the ability to discover, access, and use academic journal articles, the Internet ha... more By increasing the ability to discover, access, and use academic journal articles, the Internet has become the dominant mode by which scholars stay abreast of the scholarly literature. This new technology is hypothesized to have impacted the referencing pattern as well as the research productivity of scholars. These hypotheses are tested in the area of economics using a natural experiment of access to the JSTOR article archiving service. We find evidence that access to journals available through JSTOR leads economists to refer more to JSTOR journals at the expense of non-JSTOR journals, that is, JSTOR access induces substitution away from journals not available in the JSTOR archive. Furthermore, JSTOR access increases the quantity, if not quality, of economic research generated at an institution. From this accumulated evidence, we deduce that Information and Communication Technology has the potential to not only increase productivity, but by increasing research productivity, can also...
This paper investigates the value of the pole-position over the history of NASCAR. Early in the s... more This paper investigates the value of the pole-position over the history of NASCAR. Early in the sport’s history, the pole-sitter enjoyed a considerable advantage over other racers both in terms of the probability of winning a race and in the percentage of a race’s purse won. Over time, however, the probability of the pole-sitter winning a particular race has declined considerably, especially in the socalled modern era of NASCAR during which time the sport has intentionally pursued parity amongst drivers and teams. While the odds that the pole-sitter wins a race have declined over time, the expected value of winning the pole has increased, caused by the increased popularity of NASCAR and the corresponding increase in race purses. . Preliminary results: Caveat Emptor
The theory of multiproduct pricing is well developed in stylized models, although a unified theor... more The theory of multiproduct pricing is well developed in stylized models, although a unified theory has yet to be developed. As such, empirical analyses are rarely guided by strong theoretical hypotheses and are therefore scarce. This paper analyzes the interactions of ticket, parking, and concession prices in Major League Baseball for the period 1991-2001 using a principal components methodology. The approach allows inferences to be formed about the factors underlying intertemporal price variation in the absence of information about costs and demand. The most important factor influencing prices in baseball is a general increase in the demand for baseball, but general demand shifts explain less than half of all price variation. The second most important factor is complementarity between required and voluntary purchases. The third most important factor is pricing interactions between frequently and infrequently purchased concessions that are consistent with theories of nonlinear multi...
This paper investigates the impact of professional sporting events on the daily revenue of a part... more This paper investigates the impact of professional sporting events on the daily revenue of a particular restaurant in Charlotte, NC. The daily data allow us to test for the impact of professional basketball and professional football games on daily revenues. For this particular firm, professional football games are associated with a net increase in daily revenues, regardless of game outcome; professional basketball games are not associated with increases in daily revenues. Using betting markets as a proxy for market expectations of game outcomes, the data suggest that NFL fans in Charlotte spend more after NFL home games regardless of outcome and regardless of expectations but that they spend less after unexpected losses on the road. This suggests that NFL fans reflect celebratory effects of home games and sore-loser effects of unexpected losses. In contrast, NBA fans reflect only sore-loser effects after unexpected losses at home. The mixed impacts of game outcomes on firm-level rev...
This paper provides an empirical analysis of the long-run market shares of four ENERGY STAR (ES) ... more This paper provides an empirical analysis of the long-run market shares of four ENERGY STAR (ES) appliances in the United States: refrigerators, dishwashers, clothes washers, and room air conditioners. We relate state-level market shares to electricity prices, demographics, and energy efficiency. We then use the results to estimate how a carbon pricing mechanism might influence the market share of ES appliances and, in turn, impact carbon emissions. The empirical evidence suggests that the elasticity of ES market shares to electricity prices is 0.34 or less. A carbon price expected to add at most $0.04/kWh to electricity prices would have only a modest effect on the market share of energy efficiency appliances and in turn, carbon emissions. The carbon price would reduce carbon emissions by 100,000 mWh per year, equivalent to removing 10,000 cars
danger-potential hypothesis. The implication is that teams with greater wage disparity experience... more danger-potential hypothesis. The implication is that teams with greater wage disparity experience a reduction in team performance.
We contribute to the literature on money line betting markets by investigating the relationships ... more We contribute to the literature on money line betting markets by investigating the relationships between the various methods used to derive subjective win probabilities from money lines. We show that, although the seven methods described appear to be unique, they actually share many common assumptions and that, surprisingly, they reduce to three distinct estimates of bookmaker commission and subjective win probabilities. We also show that among the three distinct estimates, one is biased when money lines suggest a very heavy favorite in a particular sporting event. Thus, it is important to consider the assumptions for each method when deciding which to use in a particular context. Two empirical examples demonstrate how a market inefficiency, such as a favorite-longshot bias, should influence the choice of methodology.
It is shown that the volume of trade can be decomposed into proportional proxies for stochastic f... more It is shown that the volume of trade can be decomposed into proportional proxies for stochastic flows of good news and bad news into the market. Positive (good) information flows are assumed to increase the price of a financial vehicle while negative (bad) information flows decrease the price. For the majority of a sample of ten split-stocks it is shown that the proposed decomposition explains more GARCH than volume itself. Using the proposed decomposition, the variance of returns for younger split stocks reacts asymmetrically to good news flowing into the market, while the variance for older split-stocks reacts symmetrically to good news and bad news.
Sports leagues have requested state legislatures to pass so-called integrity fees or taxes on the... more Sports leagues have requested state legislatures to pass so-called integrity fees or taxes on the entire amount bet on their games, ostensibly to provide resources to protect against game fixing and other corrupt behavior. These fees might just augment league revenues. Integrity fees have different consequences if they are placed on a sports book’s handle or hold. We model one possible consequence of an integrity fee placed on the handle, that sports books might be motivated to avoid pushes, after which they have no hold but face a tax liability. One approach moves to half-point lines which eliminate pushes but might be second best in terms of betting market efficiency. As a case study, we describe the characteristics of recent betting lines in four North American sports. Based on predicted pushes, actual pushes, half-point lines, and the intertemporal correlation between the annual number of pushes and the annual number of half-point lines, it appears that sports books already acti...
This paper investigates the relationship between European football league competitive balance and... more This paper investigates the relationship between European football league competitive balance and the performance of that league’s participants in UEFA competitions. The evidence suggests that competitive balance measured using performance points fits the performance coefficients of countries participating in the Champions League and Europa League and that a reciprocal model fits the data best. The evidence suggests that marginal improvements in competitive balance can lead to increase of one-third a win for a league’s participants in the Champions League. The increased rewards for UEFA success suggest policies that promote competitive balance have both public and private benefits for clubs.
While human capital and foreign capital have received considerable attention in the study of econ... more While human capital and foreign capital have received considerable attention in the study of economic growth, foreign remittances are less of a focus. Though some studies have identified the increasing importance of remittances, they have failed to analyze the relationship between foreign remittances and economic growth. The aim of this paper is to investigate the causal link between foreign remittances and economic growth in the Republic of Croatia over the period from 2000q1 to 2020q2. Any causal link is identified using Granger causality tests in vector autoregression models. In addition, variance decomposition and impulse response functions help determine any dynamic links. The empirical results suggest that, in the case of Croatia, there is a unidirectional causal relationship from foreign remittances to economic growth but no link in the opposite direction. The research results indicate that foreign remittances play a role in the Croatian economy and are one of the consequence...
This paper provides an empirical analysis of the relationships between three popular lottery game... more This paper provides an empirical analysis of the relationships between three popular lottery games in the state of Texas: Lotto Texas, Texas Two Step, and the multi-state Mega Millions game. The analysis suggests complementarity between the Lotto Texas and Mega Millions; habitual players tend to play relatively safer games; the 2006 Lotto Texas rule change decreased revenue substantially; and that only at low effective ticket prices do players purchase more tickets for high stakes/low odds games. We simulate the effective prices at which two games would sell the same number of tickets in the state of Texas. The results suggest that Mega Millions and Lotto Texas are expected to sell more tickets than Texas Two Step, and that Lotto Texas is expected to sell more tickets than Mega Millions at all feasible price levels.
Page 1. 1 The Value of Land Conservation: Evidence from North Carolina John F. Chamblee Universit... more Page 1. 1 The Value of Land Conservation: Evidence from North Carolina John F. Chamblee University of Georgia Peter F. Colwell University of Illinois Carolyn A. Dehring University of Georgia Craig A. Depken II University of North Carolina Charlotte November 2, 2009 ...
This paper analyzes whether hosting the filming of the popular television show "Game of Thrones" ... more This paper analyzes whether hosting the filming of the popular television show "Game of Thrones" impacted tourism to the Croatian city of Dubrovnik. Using monthly data and applying difference-indifferences and synthetic control methods, we show that the impact of airing "Game of Thrones" episodes filmed in Dubrovnik corresponded to approximately 5,000 additional tourism overnights per month, or approximately 59,000 per year. Results are robust across specifications and contribute to the literature on the topic of television-induced tourism demand. Results obtained provide evidence that the filming of a single TV show can increase the attractiveness of already well-established and globally known destinations.
It is shown that the volume of trade can be decomposed into proportional proxies for stochastic f... more It is shown that the volume of trade can be decomposed into proportional proxies for stochastic flows of good news and bad news into the market. Positive (good) information flows are assumed to increase the price of a financial vehicle while negative (bad) information flows decrease the price. For the majority of a sample of ten split-stocks it is shown that the proposed decomposition explains more GARCH than volume itself. Using the proposed decomposition, the variance of returns for younger split stocks reacts asymmetrically to good news flowing into the market, while the variance for older split-stocks reacts symmetrically to good news and bad news. JEL classification codes: C32, G14
By increasing the ability to discover, access, and use academic journal articles, the Internet ha... more By increasing the ability to discover, access, and use academic journal articles, the Internet has become the dominant mode by which scholars stay abreast of the scholarly literature. This new technology is hypothesized to have impacted the referencing pattern as well as the research productivity of scholars. These hypotheses are tested in the area of economics using a natural experiment of access to the JSTOR article archiving service. We find evidence that access to journals available through JSTOR leads economists to refer more to JSTOR journals at the expense of non-JSTOR journals, that is, JSTOR access induces substitution away from journals not available in the JSTOR archive. Furthermore, JSTOR access increases the quantity, if not quality, of economic research generated at an institution. From this accumulated evidence, we deduce that Information and Communication Technology has the potential to not only increase productivity, but by increasing research productivity, can also...
This paper investigates the value of the pole-position over the history of NASCAR. Early in the s... more This paper investigates the value of the pole-position over the history of NASCAR. Early in the sport’s history, the pole-sitter enjoyed a considerable advantage over other racers both in terms of the probability of winning a race and in the percentage of a race’s purse won. Over time, however, the probability of the pole-sitter winning a particular race has declined considerably, especially in the socalled modern era of NASCAR during which time the sport has intentionally pursued parity amongst drivers and teams. While the odds that the pole-sitter wins a race have declined over time, the expected value of winning the pole has increased, caused by the increased popularity of NASCAR and the corresponding increase in race purses. . Preliminary results: Caveat Emptor
The theory of multiproduct pricing is well developed in stylized models, although a unified theor... more The theory of multiproduct pricing is well developed in stylized models, although a unified theory has yet to be developed. As such, empirical analyses are rarely guided by strong theoretical hypotheses and are therefore scarce. This paper analyzes the interactions of ticket, parking, and concession prices in Major League Baseball for the period 1991-2001 using a principal components methodology. The approach allows inferences to be formed about the factors underlying intertemporal price variation in the absence of information about costs and demand. The most important factor influencing prices in baseball is a general increase in the demand for baseball, but general demand shifts explain less than half of all price variation. The second most important factor is complementarity between required and voluntary purchases. The third most important factor is pricing interactions between frequently and infrequently purchased concessions that are consistent with theories of nonlinear multi...
This paper investigates the impact of professional sporting events on the daily revenue of a part... more This paper investigates the impact of professional sporting events on the daily revenue of a particular restaurant in Charlotte, NC. The daily data allow us to test for the impact of professional basketball and professional football games on daily revenues. For this particular firm, professional football games are associated with a net increase in daily revenues, regardless of game outcome; professional basketball games are not associated with increases in daily revenues. Using betting markets as a proxy for market expectations of game outcomes, the data suggest that NFL fans in Charlotte spend more after NFL home games regardless of outcome and regardless of expectations but that they spend less after unexpected losses on the road. This suggests that NFL fans reflect celebratory effects of home games and sore-loser effects of unexpected losses. In contrast, NBA fans reflect only sore-loser effects after unexpected losses at home. The mixed impacts of game outcomes on firm-level rev...
This paper provides an empirical analysis of the long-run market shares of four ENERGY STAR (ES) ... more This paper provides an empirical analysis of the long-run market shares of four ENERGY STAR (ES) appliances in the United States: refrigerators, dishwashers, clothes washers, and room air conditioners. We relate state-level market shares to electricity prices, demographics, and energy efficiency. We then use the results to estimate how a carbon pricing mechanism might influence the market share of ES appliances and, in turn, impact carbon emissions. The empirical evidence suggests that the elasticity of ES market shares to electricity prices is 0.34 or less. A carbon price expected to add at most $0.04/kWh to electricity prices would have only a modest effect on the market share of energy efficiency appliances and in turn, carbon emissions. The carbon price would reduce carbon emissions by 100,000 mWh per year, equivalent to removing 10,000 cars
danger-potential hypothesis. The implication is that teams with greater wage disparity experience... more danger-potential hypothesis. The implication is that teams with greater wage disparity experience a reduction in team performance.
We contribute to the literature on money line betting markets by investigating the relationships ... more We contribute to the literature on money line betting markets by investigating the relationships between the various methods used to derive subjective win probabilities from money lines. We show that, although the seven methods described appear to be unique, they actually share many common assumptions and that, surprisingly, they reduce to three distinct estimates of bookmaker commission and subjective win probabilities. We also show that among the three distinct estimates, one is biased when money lines suggest a very heavy favorite in a particular sporting event. Thus, it is important to consider the assumptions for each method when deciding which to use in a particular context. Two empirical examples demonstrate how a market inefficiency, such as a favorite-longshot bias, should influence the choice of methodology.
It is shown that the volume of trade can be decomposed into proportional proxies for stochastic f... more It is shown that the volume of trade can be decomposed into proportional proxies for stochastic flows of good news and bad news into the market. Positive (good) information flows are assumed to increase the price of a financial vehicle while negative (bad) information flows decrease the price. For the majority of a sample of ten split-stocks it is shown that the proposed decomposition explains more GARCH than volume itself. Using the proposed decomposition, the variance of returns for younger split stocks reacts asymmetrically to good news flowing into the market, while the variance for older split-stocks reacts symmetrically to good news and bad news.
Sports leagues have requested state legislatures to pass so-called integrity fees or taxes on the... more Sports leagues have requested state legislatures to pass so-called integrity fees or taxes on the entire amount bet on their games, ostensibly to provide resources to protect against game fixing and other corrupt behavior. These fees might just augment league revenues. Integrity fees have different consequences if they are placed on a sports book’s handle or hold. We model one possible consequence of an integrity fee placed on the handle, that sports books might be motivated to avoid pushes, after which they have no hold but face a tax liability. One approach moves to half-point lines which eliminate pushes but might be second best in terms of betting market efficiency. As a case study, we describe the characteristics of recent betting lines in four North American sports. Based on predicted pushes, actual pushes, half-point lines, and the intertemporal correlation between the annual number of pushes and the annual number of half-point lines, it appears that sports books already acti...
This paper investigates the relationship between European football league competitive balance and... more This paper investigates the relationship between European football league competitive balance and the performance of that league’s participants in UEFA competitions. The evidence suggests that competitive balance measured using performance points fits the performance coefficients of countries participating in the Champions League and Europa League and that a reciprocal model fits the data best. The evidence suggests that marginal improvements in competitive balance can lead to increase of one-third a win for a league’s participants in the Champions League. The increased rewards for UEFA success suggest policies that promote competitive balance have both public and private benefits for clubs.
While human capital and foreign capital have received considerable attention in the study of econ... more While human capital and foreign capital have received considerable attention in the study of economic growth, foreign remittances are less of a focus. Though some studies have identified the increasing importance of remittances, they have failed to analyze the relationship between foreign remittances and economic growth. The aim of this paper is to investigate the causal link between foreign remittances and economic growth in the Republic of Croatia over the period from 2000q1 to 2020q2. Any causal link is identified using Granger causality tests in vector autoregression models. In addition, variance decomposition and impulse response functions help determine any dynamic links. The empirical results suggest that, in the case of Croatia, there is a unidirectional causal relationship from foreign remittances to economic growth but no link in the opposite direction. The research results indicate that foreign remittances play a role in the Croatian economy and are one of the consequence...
This paper provides an empirical analysis of the relationships between three popular lottery game... more This paper provides an empirical analysis of the relationships between three popular lottery games in the state of Texas: Lotto Texas, Texas Two Step, and the multi-state Mega Millions game. The analysis suggests complementarity between the Lotto Texas and Mega Millions; habitual players tend to play relatively safer games; the 2006 Lotto Texas rule change decreased revenue substantially; and that only at low effective ticket prices do players purchase more tickets for high stakes/low odds games. We simulate the effective prices at which two games would sell the same number of tickets in the state of Texas. The results suggest that Mega Millions and Lotto Texas are expected to sell more tickets than Texas Two Step, and that Lotto Texas is expected to sell more tickets than Mega Millions at all feasible price levels.
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