Academic Entrepreneurship: who owns patents and businesses?
Researchers have investigated the effect of the transfer of intellectual property rights from researchers to employing universities, in the USA and in Europe. While the effect of this act is positive in the US (more production and therefore competitiveness), the effect is negative in Europe (fewer creations). Interview with Thomas Astebro, professor of entrepreneurship at HEC Paris.
Scientific research: should negative results be published?
Many call for a systematic publication of scientific negative results in order to make the production of scientific knowledge more efficient. Raphaël Lévy, Assistant Professor in the Economics and Decision Sciences Department, explains why such dissemination of knowledge may actually be beneficial, but also points to potential undesired consequences.
cascad: A new certifying organization to help double-check scientific results
While scientific findings need to be assessed by peers and journal referees, the confidentiality of original data often makes the process arduous. An accredited organization launched by Christophe Pérignon (HEC Paris) and colleagues with access to the original research data can now ensure reproducibility of results. This not only promises huge gains in time and effort for researchers but will also shore up trust in scientific results.
Stopping “drug kingpins and rogue nations”: how US economic sanctions are shaping global banks
To date, at least nine international banks have paid enormous sums to the US as a result of violating US economic sanctions, including the French bank BNP Paribas, which was fined nearly $9 billion in 2014. As the US increasingly employs its punitive arsenal to force non-US banks to comply, this has resulted in their Americanization, argue two HEC professors.
Price formation and volatility: the role of dealers and market makers
In our recent research published in the Journal of Financial Economics, we analyze price formation in a context in which dealers repeatedly compete for the opportunity to trade with retail traders. We characterize equilibria in which dealers’ pricing strategies are optimal irrespective of the private information that each dealer may possess. We propose a robust model that predicts how the dealers share information and equilibrate the trade.
Thinking through cannabis markets
The relationship between cannabis and society is a long and deeply contested one. Throughout history, cannabis has been associated with everything from health, leisure, and pop culture to criminal and immoral behavior. But beyond the simple debate about whether cannabis is good or bad, the study of cannabis markets needs interdisciplinarity, to know what is required to construct an effective and fair contested market.
Free trade, household debt and the great recession
The rise of imports from China in the 2000s’ led to a strong increase in American households’ debt, reveals a study written by Professors Jean-Noël Barrot, Erik Loualiche, Matthew Plosser and Julien Sauvagnat. This effect is mainly explained by manufacturing workers borrowing to smooth consumption after facing deteriorating labor market conditions. Import competition from China therefore has not only played a role in the dramatic drop in US manufacturing employment after 2000, but has also fueled the credit bubble that has ultimately led to the Great Recession.
Making Sense of Economic Models
Economics is not considered the most successful scientific discipline, to say the least. There are various lines of critique of the field, some more justified than others. Two recent research papers attempt to add new angles to this methodological discussion, arguing that economic models can be useful and serve society in ways that differ from the classical view of science.