Technical note:: Hybrid corn: Its adoption revisited

The analysis presented is for the adoption of hybrid corn. Among the three functional relationships that are tried the log logistic performs best in terms of explanation (R²) and serial correlation before adjusting for it. After adjusting for the serial correlation using the Cochrane Orcutt procedure the differences between the three functional forms practically vanish. The adoption parameter of the log logistic is best explained by economic variables among which the total area of corn in the state, which stands for both the importance in the economy and economies of scale of extension services, is outstanding.     

Viewpoint: Sustainability: Malthus revisited?

Abstract.  The sustainability debate concerns whether the world will experience stable or improving living standards for the foreseeable future, or whether the current trajectory will overtax the natural environment, leading to a 'crash' in living standards. This paper selectively reviews relevant research, focusing on both ecological concerns and technological progress, and asks whether sustainability would be problematic without rapid population growth. I suggest that continued demographic transition to lower fertility is the primary requirement for achieving sustainable development. This is, effectively, a modern translation of Malthus (1798) . The paper also discusses the role of the Malthusian cycle in human evolution.     

The demand for financial assets: Time series evidence for The Netherlands: 1963:II 1975:IV

This paper provides a systems approach to a set of four demand-for-liquid-assets equations in The Netherlands, using quarterly data over the period 1963 1975. The main findings are firstly: the estimated cross-elasticity of time and savings deposits reveals complementarity, and secondly: cyclical shifts in the demand equations are particularly evident in time and savings deposits. This indicates that the velocity of circulation for these assets varies with the level of economic activity, while it does not vary for the two other assets considered ‘money’ and ‘other near moneys’.     

Milanovic,Branko: Capitalism: Alone

Journal of Economics -     

Multi-dimensional screening:: A user's guide

Multi-dimensional screening models have many potential applications but economists have so far been hindered by the considerable technical difficulties involved in their resolution. This paper studies the simplest formulation of the general screening model, and we provide a complete solution to this case. We then show how this model can be applied to multi-product nonlinear pricing and to multi-product monopoly regulation. Finally, we discuss how the model has been applied to other economic situations of interest, including auction design and optimal taxation.     

VOICE:

<正>中国社会科学院2009年《经济蓝皮书》:2009年,房地产市场将步入较长时间的调整期。需求方短期内难以走出观望,在供需双方的作用下,开发企业会采取进一步的降价措施,以期尽快回笼资金,短期内房价下调将成定局。     

Adjusting for risk:: An improved Sharpe ratio

This paper proposes a new rule for risk adjustment and performance evaluation. This rule is a generalization of the well-known Sharpe ratio criterion, and under normal conditions enables a manager to correctly assess alternative risky investments. The rule is superior to existing rules such as the standard Sharpe rule and the RAROC, and can make a substantial difference in estimates of required returns.     

Viewpoint: Canadian competition policy: progress and prospects

Abstract.  This paper discusses the state of competition policy – in particular the economics of competition policy – in Canada today and considers its prospects going forward. It argues that: (i) the importance of competition policy has become accepted widely in Canada and indeed throughout much of the world; (ii) competition policy design and enforcement is in general well done in Canada; (iii) economists, including many Canadians, have played a central role in the development of an efficient and effective competition policy in Canada and elsewhere; and (iv) competition policy in Canada is today facing very serious challenges, and economists should be concerned.     

Real and nominal effective exchange rates for 22 LDCs: 1971:1–1990:4

The International Monetary Fund constructs and publishes the real and nominal effective exchange rates, mostly for developed but not less developed countries. This paper employs a method of constructing real and nominal effective exchange rate from the literature to produce quarterly data over the 1971–1990 period for 22 developing nations. As an application, the stationarity of real effective exchange rates are determined to establish the empirical validity of the Purchasing Power Parity Theory (PPP). The results reveal that PPP fails to hold for most countries.     

Humanistic economics: The new Challenge: A review essay

This paper discusses the role of social, institutional, and psychological factors in the consumption and borrowing behavior of low-income households, and makes arguments in favor of policy interventions to alleviate some of the challenges of these households. Focus group evidence and findings on the current behaviors and borrowing patterns of low-income families are provided to support and motivate this perspective on consumption and policy. While the data are drawn from a specific region, the observations and findings could be generalized to other communities after accounting for different cultural and social characteristics. This research provides an in-depth understanding of the challenges confronted by low-income individuals at achieving their economic desires for lives of basic dignity, explores both economic and non-economic motivations, and provides insights useful for policy deliberation and model development.     

Boxed-in:: Top managers' propensities during crisis issue diagnosis

A key task of crisis preparedness is to diagnose those crisis issues that could threaten an organization in the future. Existing models, however, have focused on diagnosing issues that are already apparent versus those that may occur in the future. As a result, we lack understanding of the processes involved in such diagnosis and the barriers that constrain this process. This paper describes envisioning, noticing, and interpretation as critical processes involved in diagnosing potential crises. It also suggests that during such diagnosis, top managers have a propensity to focus on particular types of crises and be blind to others. Implications for practice and future research are discussed.