Hedonic value and crowdfunding project performance: a propensity score matching-based analysis

2017 ◽  
Vol 9 (2) ◽  
pp. 169-186 ◽  
Author(s):  
Liang Zhao ◽  
Tsvi Vinig
Keyword(s):  
Propensity Score ◽  
Propensity Score Matching ◽  
Real Data ◽  
Project Performance ◽  
Probit Regression ◽  
Data Set ◽  
Content Type ◽  
Hedonic Value ◽  
Utilitarian Value ◽  
The Impact

Purpose In the existing literature on crowdfunding project performance, previous studies have given little attention to the impact of investors’ hedonic value and utilitarian value on project results. In a crowdfunding setting, utilitarian value is somehow hard to satisfy due to information asymmetry and adverse selection problem. Therefore, the projects with more hedonic value can be more attractive for potential investors. Lucky draw is a method to increase consumer hedonic value, and it can influence investors’ behavior as a result. The authors hypothesize that projects with hedonic treatment (lucky draw) may have higher probability to win their campaign than others. The paper aims to discuss these issues. Design/methodology/approach A unique self-extracted two-year Chinese crowdfunding platform real data set has been applied as the analysis sample. The authors first employ propensity score matching methods to control for the endogeneity of hedonic treatment adoption (lucky draw). The authors then run OLS regression and probit regression in order to test the hypotheses. Findings The analysis suggests a significant positive relationship not only between project lottery adoption and project results but also between project lottery adoption and project popularity. Originality/value The results suggest that an often ignored factor – hedonic treatment (lucky draw) – can play an important role in crowdfunding project performance.

Board gender diversity and US corporate bonds

2019 ◽  
Vol 15 (5) ◽  
pp. 771-791 ◽  
Author(s):  
Renee M. Oyotode-Adebile ◽  
Zubair Ali Raja
Keyword(s):  
Panel Data ◽  
Propensity Score ◽  
Design Methodology ◽  
Gender Diversity ◽  
Data Set ◽  
Content Type ◽  
Gender Diverse ◽  
Board Gender Diversity ◽  
The Impact ◽  
Women Participation

Purpose The purpose of this paper is to examine the impact of board gender diversity on bond terms and bondholders’ returns. Design/methodology/approach The authors perform pooled OLS regression, simultaneous regressions and propensity score matching to a panel data set of bond data for 319 US firms from 2007 to 2014. Findings The authors find that firms with gender-diverse boards have lower yields, higher ratings, larger issue size and shorter maturity. They also find that bondholders require fewer returns from firms with gender-diverse boards. However, the effect is more pronounced when women, constitutes at least 29.67 percent of the board. Originality/value This analysis supplements the findings that board gender diversity is essential for bondholders. It shows that bondholders should look at board gender diversity as a criterion to invest because bonds issued by firms with gender-diverse board have less risk. For practitioners, this study shows that more women participation on boards leads to a reduction in borrowing costs.

On the causal effect of religiosity on life satisfaction using a propensity score matching technique

2016 ◽  
Vol 43 (10) ◽  
pp. 1031-1048 ◽  
Author(s):  
Roberto Zotti ◽  
Nino Speziale ◽  
Cristian Barra
Keyword(s):  
Life Satisfaction ◽  
Propensity Score ◽  
Propensity Score Matching ◽  
Religious Identity ◽  
Causal Effect ◽  
Religious Involvement ◽  
Well Being ◽  
Data Set ◽  
Content Type ◽  
Causal Impact

Purpose The purpose of this paper is to investigate the effect of religious involvement on subjective well-being (SWB), specifically taking into account the implication of selection effects explaining religious influence using the British Household Panel Survey data set. Design/methodology/approach In order to measure the level of religious involvement, the authors construct different indices on the base of individual religious belonging, participation and beliefs applying a propensity score matching estimator. Findings The results show that religious active participation plays a relevant role among the different aspects of religiosity; moreover, having a strong religious identity such as, at the same time, belonging to any religion, attending religious services once a week or more and believing that religion makes a great difference in life, has a high causal impact on SWB. The authors’ findings are robust to different aspects of life satisfaction. Originality/value The authors offer an econometric account of the causal impact of different aspects of religiosity finding evidence that the causal effect of religious involvement on SWB is better captured than through typical regression methodologies focussing on the mean effects of the explanatory variables.

Innovation on the choice of debt financing source: evidence from innovative firms

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
HyunJun Na
Keyword(s):  
Propensity Score ◽  
Propensity Score Matching ◽  
Debt Financing ◽  
Bank Loans ◽  
Private Debt ◽  
Content Type ◽  
Propensity Score Matching Analysis ◽  
Industry Level ◽  
Innovative Firms ◽  
The Impact

Purpose The purpose of this paper is to investigate how the innovative firm’s proprietary information has an impact on its debt financing preference. This study also examines the impact of industry-level competition on the debt financing orders and investigates how two exogenous shocks impacted on innovative firms’ financing policies. Design/methodology/approach This paper uses the three types of debt data, including bonds, private debt placements and bank loans and patent application data, in the USA from 1987–2008. The number of patents applications and industry-level competition are used as proxies for a firm’s innovation and industry-level sensitivity. In addition, to minimize endogenous concern, this study uses the propensity score matching analysis and difference-in-differences. Findings The patents are the primary determinants for innovative firms to choose the debt types. The paper shows that innovative firms have the debt preference order – public debt, private placement and bank loans. However, as competition increases, innovative firms devise the order reverse. Finally, the paper provides evidence that the American Inventor’s Protection Act (AIPA) and the tech bubble crash made investors depend more on firms with more patents. Originality/value This paper is the first to study the impact of the AIPA on innovative firms’ financial policies using the propensity score matching analysis. The findings imply that both patents and industry-level competition are important factors to understand the capital structures for innovative firms.

Welfare impacts of rural credit and saving program in Kurfa Chele district, eastern Ethiopia: a propensity score matching estimation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Eric N. Okoyo ◽  
Muluken Gezahegn Wordofa ◽  
Jemal Y. Hassen ◽  
Moges Bezabih
Keyword(s):  
Propensity Score ◽  
Propensity Score Matching ◽  
Family Size ◽  
Educational Status ◽  
Calorie Intake ◽  
Eastern Ethiopia ◽  
Content Type ◽  
Rural Credit ◽  
Credit Program ◽  
The Impact

PurposeThis study is conducted to evaluate the impact of rural credit on farm household income and food security.Design/methodology/approachA multistage random sampling procedure is implemented to select 180 (82 credit user and 98 non-credit user) households from Kurfa Chele district, eastern Ethiopia. The Propensity Score Matching technique is used to estimate the impact of credit utilization on the welfare indicators.FindingsThe results of the econometric model estimation show that participation in the rural credit program was positively influenced by a household's educational status, family size, voluntary saving and participation in training related to credit and saving. On the contrary, livestock holding and extension advice were found to negatively affect participation. Furthermore, participation in rural credit program is found to increase annual income by 59% and calorie intake by 21%. These are significant results implying that participation in the rural credit and saving program improved household welfare in the study area.Originality/valueThis study is important because it shows the welfare impact of making credit program available to potential users in the study area. Moreover, for effectiveness of the credit program it is necessary to target households with relatively larger family size and those with relatively better education (to induce change among the wider farming community). It is also essential to focus on the saving behavior of the program beneficiaries and enhancing the management system by ensuring that sufficient development agents are in place.

scholarly journals Impact of Microcredit on Second Generation Borrowers in Bangladesh: Revisited

2020 ◽  
Vol 21 (1) ◽  
pp. 142-157
Author(s):  
Laila Arjuman Ara ◽  
Mohammad Masudur Rahman ◽  
Chanwahn Kim
Keyword(s):  
Panel Data ◽  
Propensity Score ◽  
Propensity Score Matching ◽  
Selection Bias ◽  
Field Survey ◽  
Poverty Eradication ◽  
Data Set ◽  
The Difference ◽  
The Impact ◽  
The Empirical Analysis

This article investigates the economic impact of continuing borrowers’ participation in the microcredit programme on poverty eradication in Bangladesh. A panel data set was collected through a field survey for the years 2013–2016 to identify the impact of a microcredit programme on continuous participation borrowers. The propensity score matching (PSM) method is used to eliminate selection bias and the difference-in-difference (DID) model is applied for the empirical analysis. The findings of the study demonstrate that more benefits are realized from continued participants compared to discontinued participants. JEL: C83, D14, G21, O12

scholarly journals Motivations for support to retired parents in Israel

2014 ◽  
Vol 41 (2) ◽  
pp. 94-108 ◽  
Author(s):  
Ariel Atzil ◽  
Eli Feinerman
Keyword(s):  
Empirical Evaluation ◽  
Parent Support ◽  
Decision Makers ◽  
Cultural Perspective ◽  
Probit Regression ◽  
Data Set ◽  
Content Type ◽  
Parents And Children ◽  
The Government ◽  
The Impact

Purpose – Enabling decision-makers in Israel to better assess the prospects of government policies aimed at changing inter-generation income distribution for the benefit of the retirees. Design/methodology/approach – Based on a comprehensive data set, the paper utilizes multivariate ordered-probit regression for empirical investigation of the motivations for support between parents and children in Israel. Findings – The main finding is that child-parent support in Israel is usually driven by a combination of exchange and altruistic motives, rather than altruism alone. Practical implications – Child-parent support will not reduce the impact of governmental policies aimed at redistributing income among different generations. If the Government of Israel raises the income level of its citizens aged 65 and over, the improvement in this population's condition will most probably be bigger than that caused directly by the amount the government has added to their income. Originality/value – Empirical evaluation of the motivations for support given by children to their retired parents in Israel. Israel is a multicultural, immigrant country, home to people originating from all over the world, which provides an interesting cross-cultural perspective. In addition, the underlying database used in this study includes much more information than most databases utilized by earlier studies.

scholarly journals Catholic Schools and Bad Behavior: A Propensity Score Matching Analysis

2006 ◽  
Vol 5 (1) ◽  
Author(s):  
Naci H. Mocan ◽  
Erdal Tekin
Keyword(s):  
School Choice ◽  
Propensity Score ◽  
Propensity Score Matching ◽  
Private School ◽  
School Attendance ◽  
Property Crime ◽  
Catholic School ◽  
Data Set ◽  
Propensity Score Matching Analysis ◽  
The Impact

AbstractAlthough there is a sizeable literature on the effect of private school attendance on academic student outcomes, the number of studies that investigate the impact of school sector on non-academic outcomes is limited. Using a rich data set, we analyze the impact of Catholic school attendance on the likelihood that teenagers use or sell drugs, commit property crime, have sex, join gangs, attempt suicide, or run away from home. We employ propensity score matching methods to control for the endogeneity of school choice. Catholic school attendance reduces the propensity to use cocaine and to have sex for female students. However, it increases the propensity to use and sell drugs for male students.

scholarly journals Using Propensity Score Matching to Address Clinical Questions: The Impact of Remote Microphone Systems on Language Outcomes in Children Who Are Hard of Hearing

2019 ◽  
Vol 62 (3) ◽  
pp. 564-576 ◽  
Author(s):  
Maura Curran ◽  
Elizabeth A. Walker ◽  
Patricia Roush ◽  
Meredith Spratford
Keyword(s):  
Propensity Score ◽  
Propensity Score Matching ◽  
Hearing Aids ◽  
Hard Of Hearing ◽  
Maternal Education ◽  
Preschool Age ◽  
Negative Consequences ◽  
Language Outcomes ◽  
Data Set ◽  
The Impact

Purpose Children who are hard of hearing (CHH) have restricted access to acoustic and linguistic information. Increased audibility provided by hearing aids influences language outcomes, but the benefits of hearing aids are often limited by acoustic factors and distance. Remote microphone (RM) systems further increase auditory access by reducing the negative consequences of these factors. The purpose of this article was to identify factors that influence likelihood of RM system receipt and to investigate the effects of RM systems in home settings on later language outcomes. We used propensity score matching to compare language outcomes between children with and without access to personal RM systems in home settings. This article provides a description of how and why to perform propensity score–matching analyses with clinical populations. Method Participants were 132 CHH. Through parent report, we identified children who received RM systems for home use by 4 years of age. Logistic regression was used to determine factors that predict likelihood of RM system receipt in home settings. Propensity score matching was conducted on a subgroup of 104 participants. Performance on language measures at age 5 years was compared across propensity-matched children who did and did not receive RMs for personal use. Results Likelihood of RM receipt was associated with degree of hearing loss, maternal education, and location (recruitment site). Comparisons between matched pairs of children with and without RM systems in early childhood indicated significantly better discourse skills for children whose families owned RM systems, but no significant differences for vocabulary or morphosyntax. Conclusion Results provide preliminary evidence that the provision of personal RM systems for preschool-age CHH enhances higher-level language skills. The propensity score–matching technique enabled us to use an observational, longitudinal data set to examine a question of clinical interest.

Does immiserizing growth exist? Evidence from world’s top trading nations

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Syed Tehseen Jawaid ◽  
Mariya Ahmad Qureshi ◽  
Samra Ali
Keyword(s):  
Logistic Regression ◽  
Time Series Data ◽  
Real Data ◽  
Terms Of Trade ◽  
Series Data ◽  
Revealed Preferences ◽  
Data Set ◽  
Content Type ◽  
Quantity Index ◽  
The Impact

Purpose This study aims to motivate the reality that experiential investigation of immiserizing growth has not been performed at large. The key objective of the study is to analyse the empirical existence of immiserizing growth in the real world. Design/methodology/approach Theory of revealed preferences has been implemented for welfare movement by using Laspeyres and Paasche quantity index and for empirical estimations, logistic regression has been applied. The study established panel data of the world’s largest trading nations, including the USA, China, France, Germany, UK, Italy, Japan, the Netherland and Canada. Annual time series data for an extensive time period covering from 1981 till 2017 have been used. Findings Findings of the Laspeyres and Paasche index reveal that out of nine countries immiserizing growth prevails in five nations and those are Italy, Canada, the Netherland, UK and Japan. The results of panel logistic regression verify the significance of terms of trade on immiserizing growth in all included countries. Separate logistic regression has also been performed on all the five countries from which Italy, Canada, the Netherland exhibit significant results. Originality/value This study is a pioneer attempt towards the concept of immiserizing growth. Considering the fact that immiserizing growth is viewed by the majority of the scholars as a theoretical notion, this study attempts to investigate analytically the existence of immiserizing growth with real data set. The impact of terms of trade deterioration on the welfare of the world’s largest trading nations has been focused on the research which is in compliance with the concept of Bhagwati (1958).

Does the Starbucks effect exist? Searching for a relationship between Starbucks and adjacent rents

2019 ◽  
Vol 37 (4) ◽  
pp. 562-578 ◽  
Author(s):  
Herman Donner ◽  
Tracy Hadden Loh
Keyword(s):  
New York ◽  
Propensity Score ◽  
Propensity Score Matching ◽  
Strong Association ◽  
Percent Level ◽  
Coffee Shop ◽  
Cross Sectional ◽  
Data Set ◽  
Content Type ◽  
Sectional Model

Purpose The purpose of this paper is to test the popular perception that the storefront location choices of premium brands are positively related to adjacent rents. Focusing on the case of Starbucks, a popular international coffee chain, the authors examine the association between Starbucks locations and rents in Manhattan, New York. Design/methodology/approach The authors use a multi-year data set for average rent per square foot for office and multifamily residential properties within 1/10th of a mile of several hundred coffee shop locations in Manhattan, controlling for vacancy, job density, overall amenity density (WalkScore), coffee shop density, transit accessibility, neighborhood and the Starbucks brand. The authors take two different methodological approaches to isolate potential statistical evidence for an association between Starbucks locations and adjacent rents: the authors run a pooled-cross-sectional model and apply propensity-score matching. Findings The authors find a statistically significant positive relationship between the presence of Starbucks and average office rents when applying the authors’ pooled-cross-sectional model and applying propensity-score matching. This finding is consistent with several potential causal hypotheses: Starbucks may be attributed to higher rent office locations; the “Starbucks effect” may cause higher rents in adjacent locations; or there may be a mutual reinforcing of positive feedback between Starbucks locations and office rents. The authors find no strong association between Starbucks and residential rents (one model indicates an effect of 2.3 percent on residential rent at 10 percent level of significance), which challenges the direct linearity of the consumption theory of gentrification popularly called the “Starbucks effect.” Originality/value In the literature, the existence, causality and directionality of a relationship between Starbucks locations and neighborhood change have been largely unstudied. In this paper, the authors test the hypothesis that there is a positive correlation between Starbucks locations and rents.

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