NEW PUBLIC MANAGEMENT: The effects of contractualism and devolution on political control

This article analyzes effects and implications of New Public Management (NPM) when implemented in the civil service systems in New Zealand and Norway, focusing especially on the effects of devolution and contractualism on political control. Using a transformative perspective, we interpret these effects as a result of a melding of environmental factors, polity features and national historical-institutional constraints. Norway scores low on both environmental and internal factors enhancing administrative reform, furthering a soft version of NPM and small changes in political control. In contrast a combination of external pressure, weak countervailing cultural forces and ‘elective dictatorship’ in New Zealand produces a radical version of NPM, resulting in a weakening of central political control.     

Accounting for Animal Welfare: Addressing Epistemic Vices During Live Sheep Export Voyages

Journal of Business Ethics - In this research, we develop a reporting framework based on an ethical account of the Australian live sheep export (LSE) industry’s current operations. We...     

Consumer Preferences for Organic Food and for the Shares of Meat and Vegetables in an Everyday Meal

Abstract

It is well established that consumers with positive preferences for organic products generally also tend to have healthy eating habits involving many fruits and vegetables but less meat. While most studies are based on single product comparisons, this study investigates consumer preferences for organic ingredients and content of meat and vegetables in the context of an everyday evening meal. Moreover, we address heterogeneity in preferences. The study is based on an online survey including a choice experiment with 506 consumers. Using principal component and latent class analyses, we identify three segments of consumers that differ with respect to preferences for organic production and content of meat and vegetables in their meals. Our findings may be valuable for authorities promoting healthy food consumption just as they provide valuable input to the catering industry and other suppliers of dinner dishes in the development and marketing of both organic and non-organic ready meals.     

CONSIDERATION OF WEATHER RISK IN FORAGE MACHINERY SELECTION

This paper concerns a procedure jor measuring the major economic risks and returns involved in forage production. Conventional static production economics was modified to permit the use of decision criteria under conditions of weather risk. Twenty-six years of rainfall data were analyzed to determine the expected mean number of days available for fieldwork ivithin each of three specified seasons. These seasons correspond with three critical forage production periods: e.g., (1) land preparation and planting, (2) hay harvest, and (3) corn silage harvest and fall plouiing. A probability distribution of days available for field operations was derived, and the number of days available in any one year was randomly selected from this distribution. Given the acreage involved and the machinery system, the days required to perform nine specified field operations were calculated. If the number of days required within a specified season exceeded the number of days available, the value of the crops produced was reduced by a set of yield reducing functions for each deficient day. Overhead and use-associated machinery costs uiere calculated, and net returns over machinery costs were determined for five machinery systems at 75,150, 225, and 300 acres. Cette publication montre une façon de mesurer les plus grands risques économiques et les profits provenant de la production fourragére. On a modifyé?économie de production conventionnelle et statique afin de tenir compte des critéres de décision utilisés sous les conditions de risques climatologiques. Les chutes de pluie ont été analysées sur une période de vingt-six ans afin de determiner la moyenne des jours disponibles au travail des champs, et ce, pour chacune des trois saisons specifiées. Ces saisons correspondent aux trois périodes critiques de la production fourragere: (1) la préparation du sol et le semis, (2) la récolte du foin, et (3) la récolte du maïs à ensiler et les labours ?automne. On a calculé la distribution probable des jours disponibles pour les travaux des champs et, de cette distribution, le nombre des jours disponibles fut choisi au hasard dans une quel-conque année. Selon une superfécie et un systéme dé machinerie determineés, le nombre de jours nécessaires à?exécution de neuf operations differéntes fut calculé. Lorsque le nombre de jour requis pour ?exécution des travaux ?une saison donnee dépasse le nombre de jours disponibles, la valeur des récoltes produites est réduite par une diminution de rende-ment de plusieurs facteurs, une diminution fonction du nombre de jours manquants. Les frais géneraux et les dépenses associées à?utilisation de la machinerie furent calculés. Les profits nets sur les dépenses de machinerie ont été déterminés pour chaque systéme ?equipement avec 75, 150, 225, et 300 âcres.     

Dynamic Spanning in the Consumption-Based Capital Asset Pricing Model

Under the assumptions of the Consumption-based Capital Asset Pricing Model (CCAPM), Pareto optimal consumption allocations are characterized by each agent's consumption process being adapted to the filtration generated by the aggregate consumption process of the economy. The wealth processes of the agents, however, are adapted to the finer filtration generated by aggregate consumption and the conditional distribution of future aggregate consumption. Therefore, in order to achieve Pareto optimal consumption allocations, a sufficiently varied set of assets must exist such that any wealth process adapted to this finer filtration can be implemented by dynamically trading in that set of assets. We provide sufficient conditions for the existence of such a set of assets based on dynamically trading contingent claims on aggregate consumption. In addition, we give sufficient conditions for the existence of equilibria in a dynamically effectively complete market in which agents are only able to trade in contingent claims on aggregate consumption, the market portfolio of firms, and a (numeraire) zero-coupon bond. We demonstrate the role of short- and long-term contingent claims on aggregate consumption for the implementation of Pareto optimal allocations in the presence of short- andlong-term risks. In addition, in the presence of personal risks, we demonstrate the role of insurance contracts.     

Nonprofit Lobbying: Museums and Collections Capitalization

This research examines the museum characteristics associated with lobbying on the 1990 FASB Exposure Draft (FASB, 1990) that would have required US museums to capitalize their collections. A sample of 103 museums that lobbied on the Exposure Draft is compared to a matched sample of museums that did not choose to lobby. The results reveal that museums which lobbied are larger, older, and members of or accredited by the American Association of Museums. Also, proportionately more private museums and art museums than exist in the overall US museum population chose to lobby on the proposed requirement.     

US Managers' Use of 'Pro Forma' Adjustments to Meet Strategic Earnings Targets

Abstract:  The practice of reporting manager-adjusted 'pro forma' earnings numbers in quarterly earnings press releases has attracted considerable attention in recent years in the United States. Prior research suggests that while some managers report these adjusted numbers to better reflect core earnings, others may use these earnings adjustments to meet strategic earnings targets on a pro forma basis when they fall short based on GAAP reporting standards. Assuming the latter motivation could potentially mislead investors, the difficulty lies in distinguishing the 'good guys' from the 'bad guys.' Using hand-collected pro forma earnings data, we investigate the extent to which different types of earnings adjustments affect the spread between pro forma earnings and GAAP earnings from continuing operations. Moreover, we investigate which types of adjustments managers use to meet strategic earnings targets. In addition to the exclusion of one-time items like restructuring charges, the results indicate that managers often exclude recurring expenses such as depreciation, research and development, and stock-based compensation to meet these strategic targets. The exclusion of recurring items is especially indicative of aggressive pro forma reporting. Finally, we find that firms that report adjusted earnings numbers only sporadically are more likely than firms that adjust earnings figures on a regular basis to use pro forma reporting to achieve strategic earnings targets by excluding recurring items.