Does being green facilitate product innovation? This study examines whether green management in firms operating in China fosters radical product innovation to a greater extent than it does incremental product innovation and investigates the underlying institutional mechanisms involved in the relationship between green management and product innovation. The findings show that green management is more likely to lead to radical product innovation than to incremental product innovation. Moreover, government support as a formal institutional benefit more strongly mediates the effect of (...) green management on radical product innovation than its effect on incremental product innovation; whereas social legitimacy as an informal institutional benefit more strongly mediates the effect of green management on incremental product innovation than its effect on radical product innovation. These findings provide important implications for explaining how firms employ green management to facilitate product innovation. (shrink)

Previous literature has demonstrated the important role that trust plays in developing and maintaining well-functioning societies. However, if we are to learn how to increase levels of trust in society, we must first understand why people choose to trust others. One potential answer to this is that people view trust as normative: there is a social norm for trusting that imposes punishment for noncompliance. To test this, we report data from a survey with salient rewards to elicit people’s attitudes regarding (...) the punishment of distrusting behavior in a trust game. Our results show that people do not behave as though trust is a norm. Our participants expected that most people would not punish untrusting investors, regardless of whether the potential trustee was a stranger or a friend. In contrast, our participants behaved as though being trustworthy is a norm. Most participants believed that most people would punish someone who failed to reciprocate a stranger’s or a friend’s trust. We conclude that, while we were able to reproduce previous results establishing that there is a norm of reciprocity, we found no evidence for a corresponding norm of trust, even among friends. (shrink)

The resource-based model of self-regulation provides a pessimistic view of self-regulation that people are destined to lose their self-control after having engaged in any act of self-regulation because these acts deplete the limited resource that people need for successful self-regulation. The cognitive control theory, however, offers an alternative explanation and suggests that the depletion effect reflects switch costs between different cognitive control processes recruited to deal with demanding tasks. This account implies that the depletion effect will not occur once people (...) have had the opportunity to adapt to the self-regulatory task initially engaged in. Consistent with this idea, the present study showed that engaging in a demanding task led to performance deficits on a subsequent self-regulatory task only when the initial demanding task was relatively short but not when it was long enough for participants to adapt. Our results were unrelated to self-efficacy, mood, and motivation. (shrink)

Affective computing research has advanced emotion recognition systems using facial expressions, voices, gaits, and physiological signals, yet these methods are often impractical. This study integrates mouse cursor motion analysis into affective computing and investigates the idea that movements of the computer cursor can provide information about emotion of the computer user. We extracted 16–26 trajectory features during a choice-reaching task and examined the link between emotion and cursor motions. Participants were induced for positive or negative emotions by music, film clips, (...) or emotional pictures, and they indicated their emotions with questionnaires. Our 10-fold cross-validation analysis shows that statistical models formed from “known” participants could predict nearly 10%–20% of the variance of positive affect and attentiveness ratings of “unknown” participants, suggesting that cursor movement patterns such as the area under curve and direction change help infer emotions of computer users. (shrink)

Our study examines how a company’s engagement in corporate social responsibility influences word of mouth about the company on Twitter, particularly during a service delay. We use the airline industry as the study context. On the popular social medium Twitter, people post tweets about airline services and raise concerns about service delays when flights are delayed, canceled, or diverted. Drawing on the literature on legitimacy and the halo effect, we argue that a company’s CSR engagement enhances its corporate image, which (...) in turn, influences WOM about the company on Twitter. We predict and find that airlines with better CSR engagement receive more positive word of mouth and less negative word of mouth on Twitter. We also find that service delays reduce PWOM and increase NWOM, with the additional finding that the positive relationship between service delays and NWOM is less strong for airlines with better CSR engagement. We conduct additional analyses to investigate the effects of environmental, social, and governance CSR on PWOM and NWOM. Our study has practical implications in informing companies about the benefits of CSR engagement in relation to public opinion during service delays. (shrink)

Some recent evidence has suggested that perspective taking skills in everyday life situations may differ across cultural groups. In the present study, we investigated this effect via culture priming in a group of Chinese-English bilingual adults in the context of a communication game. Results showed that the participants made more perspective taking errors when interpreting the game instruction under the Western than the Chinese primes. The findings suggest that the ability to assume others' mental states not only can be used (...) strategically but is also influenced by the currently active cultural frame in the mind of the bilingual. The present study provides the first evidence for a cultural effect on perspective taking using a within-sample approach via culture priming. (shrink)

Mandarin speakers, like most other language speakers around the world, use spatial terms to talk about time. However, the direction of their mental temporal representation along the front-back axis remains controversial because they use the spatial term “front” to refer to both earlier times and the future. Although the linguistic distinction between time- and ego-reference-point spatiotemporal metaphors in Mandarin suggests a promising clarification of the above controversy, there is little empirical evidence verifying this distinction. In this study, Mandarin speakers’ time- (...) and ego-reference-point temporal representations on three axes were separately examined through two tasks. In a time-reference-point task, Mandarin speakers judged whether the time point of the second picture was earlier or later than the time point of the first picture, while in an ego-reference-point task, they judged whether an event or phase had happened in the past or would happen in the future. The results indicate that Mandarin speakers construe an earlier-times-in-front-of-later-times temporal sequence and adopt the front-to-the-future orientation. (shrink)

For an economist, ultimate goals of neuroeconomic research include improving economic policy analysis. One path toward this goal is to use neuroeconomic data to advance economic theory, and productive efforts have been made towards that end. Equally important, though less studied, is how neuroeconomics can provide quantitative evidence on policy, and in particular the way in which it might inform structural econometric inference. This paper is a first step in that direction. We suggest here that key forms of preference heterogeneity (...) can be identified by brain imaging studies and, consequently, linked stochastically to observable individual characteristics. Then, recognizing that brain-imaging studies are substantially costly, we derive conditions under which the probabilistic link between observable characteristics and type, a quantity critical to policy analysis, can be estimated more precisely by combining data from traditional and brain-based decision studies. (shrink)

The core goal of this study is to empirically investigate whether there is a “world price” of corporate sustainability. This is assessed in the context of standard asset pricing models—in particular, by asking whether a risk premium attaches to a sustainability factor after controlling for the Fama–French factors. Both time-series and cross-sectional tests are formulated and applied. The results show that (1) global Fama–French factors have strong power to explain global equity returns and (2) sustainability investments have no significant impact (...) on global equity returns. The absence of a significant relationship between sustainability and returns implies that large institutional investors are free to implement sustainability mandates without fear of breaching their fiduciary duties from realising negative returns due to incorporating a sustainability investment process. (shrink)

Ideal interpretation is understanding a text in the best possible way. It is usually used when the text has a canonical status, such as the Bible or the U.S. Constitution. We argue that Zhu Xi’s view about interpreting the Four Books and Ronald Dworkin’s view about constitutional interpretation are examples of ideal interpretation and that their basic principles are similar. Each holds, roughly, that their target text contains moral truth; that the author’s mind requires the mediation of learning; that the (...) purpose of interpretation is not only to lead the reader to the moral truth but to become a better person; that all propositions are about the same moral truth or about political justice; that the interpretation ultimately must come from oneself, purged of prejudices; and that the only correct interpretation is one that captures the original meaning. (shrink)