Does technology licensing matter for privatization?

In mixed oligopolies, technology licensing from a cost‐efficient firm to a cost‐inefficient firm has been widely observed. This paper examines the relationship between privatization and licensing (by public or private firms) with the consideration of either a domestic or a foreign private firm. We find that (a) in the case of a domestic private firm, public licensing facilitates privatization, but private licensing hinders privatization; (b) in the case of a foreign private firm, both public and private licensing facilitate privatization. Our results yield important policy implications on privatization.     

Capital and saving in a share economy

Weitzman is correct in his claim that, in long-run equilibrium, the capital stock will be identical in wage and share systems. But a corollary of Weitzman's excess demand for labor in the short run is that the firm is holding too much capital at any given moment. The reduction in demand for capital goods following a shock might create a new channel for the accelerator. A share system also exposes workers to increased capital risk.     

Inflation forecasts,the expected real rate and information efficiency

This paper examines the inflation forecast accuracy and rationality of a time series predictor, an expected inflation series constructed from surveys undertaken by the University of Michigan's Institute for Social Research, and the yield on U.S. Treasury bills. A quadratic loss function is assumed, and Theil's inequality ratios are used to decompose the mean squared foreast error (MSE). Although it is the only unbiased forecast, the time series predictor does not appear to be optimal during the recent period of turbulent inflation. As for bias in the other series, the surveys are inconsistent with weak-form rational expectations and the Treasury bill is reflecting variations in more than one factor. In an examination of the latter under the assumption of no liquidity premium, the results suggest that the forecast error is in part attribute to moderate variation in the expected real rate. Given the minimal cost of observing the Treasury bill yield, the findings of this study suggest that the market, although imperfect, has performed reasonably well in forecasting inflation.     

Citizenship in transition: Globalization,postindustrial technology and education

This paper explores the changes associated with the move from an industrial to a postindustrial society and discusses the corresponding shifts in education. After reviewing a number of contemporary responses to the present crisis within society, the paper examines some of the implications for the concept of citizenship and suggests that, while much remains unknown, the task of education in a postindustrial society will still be to furnish knowledge and skills that articulate with the requirements of social life.This paper is adapted from Royal Bank Lecture presented as a keynote address at the Annual Colloquium of the MSTE Group, Queen's University, Kingston, Ontario, Canada, April 7th, 1995. Proceedings of the Colloquium are available as Hills, S. (ed.) Life after School: Education, Globalization and the Person, Kingston Ontario, MSTE Group, 1995.     

Trends,random walks,and tests of the permanent income hypothesis

Recent studies find that consumption is excessively sensitive to income. These studies assume that income is stationary around a deterministic trend. The data, however, do not reject the hypothesis that disposable personal income is a random walk with drift. If income is indeed a random walk, then the standard testing procedure is greatly biased toward finding excess sensitivity. Moreover, if income follows either a more general non-stationary process or a borderline stationary process, this procedure is also seriously biased.     

Applying marketing strategy to private source grantsmanship

As funding opportunities for research and program development continue to decrease, faculty and administrators must understand, to be competitive, that a large part of grantsmanship is marketing. This paper discusses the rationale for seeking grant support, how faculty can identify potential funding sources, and how to target the final submission of the proposal. Understanding these topics will assist faculty in developing those skills required for competing successfully in an increasingly competitive environment.