Towards more effective consumer market-place interventions — A model for the improvement of O.F.T. codes of practice

In the U.K., the Office of Fair Trading (O.F.T.) is required to encourage trade associations to prepare and disseminate codes of practice for the enhancement of trading practices. In this paper the authors put forward a model of prerequisites for O.F.T. Code effectiveness. The model is then used to investigate and develop insight into the effectiveness of codes already in existence and to explain the successes and failures of these market-place interventions. Finally, the potential impact of the proposed general duty to trade fairly is considered in the context of the model.

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Effektivere Interventionen auf Konsumgütermärkten — ein Modellansatz für die Verbesserung der Verhaltensrichtlinien der englischen Wettbewerbsbehörde

Zusammenfassung Die englische Wettbewerbsbehörde, das Office of Fair Trading, ist verpflichtet, bei den einzelnen Wirtschaftsverbänden auf die Erarbeitung und Verbreitung von Verhaltensrichtlinien zu drängen, die der Verbesserung von Handelspraktiken dienen.Die Authoren stellen ein Modell der Voraussetzungen für die Effektivität solcher Verhaltensrichtlinien vor, das in Figur 1 zusammengefaßt ist. Mit Hilfe dieses Modells werden die bereits bestehenden Verhaltensrichtlinien analysiert. Vor allem werden die Erfolge und Mißerfolge solcher Markteingriffe erklärt. Schließlich wird die potentielle Wirkung der vorgeschlagenen allgemeinen Pflicht zu lauterem Wettbewerb im Lichte dieses Modells diskutiert.

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William Richardson is acting subject leader and a member of the Business Policy team at Sheffield City Polytechnic. He was formerly Consumer Affairs Officer for South Yorkshire County Council. His address: The Gables, Royston Road, Cudworth, Barnsley S72 8TU, S. Yorks, U.K. David Morris is Dean of the Faculty of Business at Coventry Lanchester Polytechnic, Priory Street, Coventry CV1 5FB, U.K.     

Evolving electronic mail in a PTT

The convergence and expansion of products and services has critical implications for the strategic planning of PTTs, challenging traditional PTT monopoly supply arrangements. Viewing electronic mail as the keystone for office automation, John Morris provides an illustration of how, in the UK, the reshaping of British Telecom will enable the PTT to play an effective role in realizing the market potential of new information services.     

A finite selection model for experimental design of the health insurance study

This paper is concerned with the problem of estimating the parameters of the standard linear model from grouped data, or more generally from aggregated data. A number of alternative solutions are suggested and compared.     

Coordination, Communication, and Common Knowledge: A Retrospective on the Electronic-mail Game

Common knowledge plays an important role in coordination problemsand coordination problems are central to many areas of economicpolicy. In this paper, I review some common-knowledge puzzlesculminating in the electronic-mail game. These puzzles may seemdistant from practical concerns. However, I then argue why insightsderived from this literature are useful in interpreting empiricalevidence of how people coordinate under uncertainty and in understandingthe role of communication in coordinating behaviour.     

ASSET PRICING AND FINANCIAL REPORTING WITH CHANGING PRICES

This study empirically investigates the recent SFAS No. 33 requirements to determine if the inflation disclosures, or information similar to it, are impounded in security returns. An attempt is also made to determine which of the two diverse disclosures best represent the information impomded by the market. The investigation utilizes a methodological framework arising out of currently accepted asset pricing theory. The results suggest that the current cost data parallels the information impounded in security returns and that it provides risk information not included in the commonly employed systematic risk factor, beta.     

The costs and benefits of consumer advisory services: The case of Nottinghamshire

The paper attempts to quantify the costs and benefits arising from consumer protection activity in one area of the UK. The particular activities dealt with in detail are the provision of an agency to assist with consumer complaints, the provision of pre-shopping advice, and the dissemination of price comparison information. In the first case the benefits to consumers substantially outweigh the costs whilst in the last the benefits appear to be trivial. No firm estimate is possible in the case of pre-shopping information since this is jointly supplied and used with other services.