Scientific and technical planning in the People's Republic of China

At a time when Western market economies are struggling with ways of directing and stimulating technological innovation, China, with a highly centralized system for the planning and coordination of science and technology, offers an unusual perspective on the feasibility and operations of a large-scale, national organization of scientific and technical resources. This paper describes the mechanics of the science and technology planning process in the Chinese system and then draws conclusions on a variety of pertinent issues, such as: whether or not planning is actually conducted at a macrolevel; what are the useful sources of information for scientific and technical decision making within the system; what are the motivations for doing research in China's planned economy and how do they affect the research that is done; and, in summation, does the Chinese attempt at macroscience and technology planning really work?     

The learning curve,demand growth,and market concentration

This paper explores the relationship among an industry's levels of learning, expected demand growth, and concentration. The analysis uses comparative statics and simulations to explain how the incentives associated with learning can result in a positive relationship between the industry's expected demand growth and its equilibrium level of concentration.     

Twin towers: A philosophy and theology of business

To be in business is first to be. To do in business, is to enhance one's being and the being of others; it ought never result in the diminishment of either. This article invites philosophical reflection on the purpose of business.To be and do in business looks for an explanation that goes beyond the meaning of work. The meaning of work is a worthy philosophical inquiry; the meaning of business is a separate question. The purpose of business is relational. Business is doing for others on condition of receipt of something of fair value in return. It deals essentially with exchanges. Persons in business relate to other persons whose needs, preferences, and desires are met, to some degree of satisfaction, by the product or service the business is organized to provide — at a price. To meet the need, preference or desire is the purpose of business.Theology, through the categories of creation and stewardship, sheds additional light on the purpose of business. There is theological significance in the human action of making available, through fair exchanges, the goods and services people need, prefer and, in some cases, simply desire. There is also theological meaning in the managerial and entrepreneurial function of making employment available for others, thus helping them to be more active and productive human beings. From a theological perspective, the purpose of business activity is to serve a people on the way to salvation by organizing the material basis of their transit through life. William J. Byron, a Jesuit priest with a doctorate in economics, is president of The Catholic University of America. Author of Toward Stewardship (1975) and editor of The Causes of World Hunger (1982), his experience includes directorships of a bank, an insurance company, two hospitals, and several universities.     

Input market definition under department of Justice Merger Guidelines

This paper applies the Justice Department's Merger Guidelines to define a relevant antitrust market for an input. An expression for the elasticity of the residual demand facing a monopoly supplier of a factor of production is derived. It is shown that proper input market definition depends on the elasticity of residual demand confronting the downstream input users, on the supply elasticity in the downstream market (which, in turn, depends on the rate of capital depreciation there), on the cost of the input as a percentage of downstream sales, and on the extent to which the monopolist is integrated downstream.