nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2007‒08‒08
two papers chosen by
Walter Frisch
University Vienna

  1. Implications of Web 2.0 for financial institutions: Be a driver, not a passenger By Heng, Stefan; Meyer, Thomas; Stobbe, Antje
  2. The Identification and Economic Content of Ordered Choice Models with Stochastic Thresholds By Flavio Cunha; James J. Heckman; Salvador Navarro

  1. By: Heng, Stefan; Meyer, Thomas; Stobbe, Antje
    Abstract: Web 2.0 heralds a new era of communication with a massive increase in information supply and where news, opinion and services flow directly from user to user. Financial institutions can take advantage if they stay abreast of this development. However, any Web 2.0 presence of a financial institution must be authentic and consistent with the institution’s brand and corporate culture. To leverage the potential, the need for an immaculate reputation and the right type of brand is becoming ever more important.
    Keywords: information- and communication technology; ICT technology; P2P; Web 2.0; banking; blog; virtual worlds; wiki; lending; e-business; e-commerce; B2C-e-commerce; internet; e-payments
    JEL: G29 E42 O33 E51 O14
    Date: 2007–07–31
  2. By: Flavio Cunha (University of Chicago); James J. Heckman (University of Chicago, American Bar Foundation, University College Dublin and IZA); Salvador Navarro (University of Wisconsin-Madison)
    Abstract: This paper extends the widely used ordered choice model by introducing stochastic thresholds and interval-specific outcomes. The model can be interpreted as a generalization of the GAFT (MPH) framework for discrete duration data that jointly models durations and outcomes associated with different stopping times. We establish conditions for nonparametric identification. We interpret the ordered choice model as a special case of a general discrete choice model and as a special case of a dynamic discrete choice model.
    Keywords: discrete choice, ordered choice, dynamics
    JEL: C31
    Date: 2007–07

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