Time‐consistent optimal fiscal policy*

This article studies the properties of optimal fiscal policy in a stochastic growth model when the government cannot commit itself beyond the next period's capital income tax rate. We find that the results contrast markedly with those under full commitment. First, capital income tax rates are very high (65% on average versus close to zero on average under full commitment). Second, labor income taxes are rather low on average (about 12% versus a value of around 31% under full commitment). Finally, labor income taxes are quite volatile, whereas under full commitment their standard deviation is essentially zero.     

Small is beautiful? The development of women’s activism in a small union

This article draws together two aspects of union renewal strategy: merger and increasing women’s involvement and activism. The article utilises a case study of the National Union of the Lock and Metal Workers (NULMW), a small union that appears to have successfully promoted women’s involvement contrary to the usual expectations about manufacturing union contexts. We argue that the reasons why women have done so well within the NULMW relates to the small size and community‐based nature of the union, including its alignment with the historical development of the lock workforce. In light of this, we reflect on the potential effects of a recent amalgamation of the NULMW with the TGWU.     

The Relevance to Firm Valuation of Capitalising Intangible Assets in Total and by Category

Debate about the appropriate treatment of intangible assets can benefit from knowledge about the relevance of their financial statement capitalisation to valuation of firms. With rules permitting or requiring intangible asset capitalisation, Australia provides an ideal setting to obtain this evidence. This paper reports findings that indicate that capitalisation of intangibles is value-relevant for Australia's largest firms. Results indicate that investors place greater value on capitalised goodwill than on other categories of capitalised balance sheet items. Similarly, capitalisation of identifiable intangible assets adds value to large firms. However, research and development capitalisation does not affect the value of firms in our study.     

STOCK RETURNS AND VOLATILITY ON CHINA'S STOCK MARKETS

We examine time‐series features of stock returns and volatility, as well as the relation between return and volatility in four of China's stock exchanges. Variance ratio tests reject the hypothesis that stock returns follow a random walk. We find evidence of long memory of returns. Application of GARCH and EGARCH models provides strong evidence of time‐varying volatility and shows volatility is highly persistent and predictable. The results of GARCH‐M do not show any relation between expected returns and expected risk. Daily trading volume used as a proxy for information arrival time has no significant explanatory power for the conditional volatility of daily returns. JEL classification: G15     

High‐Performance Work System and Organizational Turnover in East and Southeast Asian Countries1

In this paper, we examine the impact of high‐performance work systems (HPWSs) on both voluntary and involuntary organizational turnover rates. Most research on this topic has been done in the United States. Given the global competitive pressures confronting many of the countries of East and Southeast Asia, companies in this region are seeking to become more flexible and often adapt HPWSs practices. We explore the impact of HPWSs in both locally owned companies and subsidiaries of multinational corporations in Korea, Taiwan, Singapore, and Thailand. These countries have significantly different national cultures from the United States and most other Western countries and HPWSs effects in relation to turnover might vary from the studies based in the United States. Our findings are, however, somewhat consistent with U.S.‐based studies. In fact, HPWSs were found to be more effective in reducing turnover in locally owned companies than in subsidiaries of Western and Japanese multinational companies.     

中国近代高教国际化与本土化理性思考

高等教育国际化与本土化是两个既相联系又相区别的概念,是当代世界各国高教发展的共同趋势。在近代中国高教发展的百余年历程中,高教国际化与本土化既相互对立、相互区别,在矛盾中演化;又互为存在条件,相依相存、相互贯通、互为补充,在融通互动中发展,两者在相互结合中推动近代高教的萌芽、产生、发展和形成。     

Linking Exploration with Exploitation through Relationship Memory*

Companies that are able to help clients make better decisions and enhance their business capabilities to flourish. However, there is often poor rapport between operating personnel who are in touch with end customers and executive personnel who make decisions. Through exploration and exploitation processes, new ideas and actions flow from the individual (i.e., operating personnel) to the organization (i.e., the rest of individuals and groups that form part of the organization). This paper examines the relative importance and significance of “the relationship memory” as a bridge between “exploration” and “exploitation” processes and its effects on the creation of “customer capital” through an empirical investigation of 139 small to medium‐sized enterprises in the Spanish optometry sector using structural equation modeling validated by factor analysis.     

Implementing a corporate environmental strategy: establishing coordination and control within multinational companies

This article presents the results of an empirical study that investigated coordination and control within multinational companies over six key aspects of their environmental strategy. Specifically, it first examines the level of centralization of these key issues. Second, it investigates whether there is a positive relation between three variables associated with organizational complexity and the level of centralization of the environmental issues. Statistical analyses of the data obtained from a sample of 98 North American multinationals were conducted. The study's results revealed that most companies have adopted a global environmental standard to govern their worldwide business activities that is supported by strong central controls over both environmental performance evaluation of facilities and decisions regarding the development of environmental programs. Results also revealed that there are limited links between organizational complexity and most aspects of the environmental strategy. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.     

Identifying technically efficient fishing vessels: a non‐empty,minimal subset approach

Stochastic frontier models are often employed to estimate fishing vessel technical efficiency. Under certain assumptions, these models yield efficiency measures that are means of truncated normal distributions. We argue that these measures are flawed, and use the results of Horrace ( 2005 ) to estimate efficiency for 39 vessels in the Northeast Atlantic herring fleet, based on each vessel's probability of being efficient. We develop a subset selection technique to identify groups of efficient vessels at pre‐specified probability levels. When homogeneous production is assumed, inferential inconsistencies exist between our methods and the methods of ranking the means of the technical inefficiency distributions for each vessel. When production is allowed to be heterogeneous, these inconsistencies are mitigated. Copyright © 2007 John Wiley & Sons, Ltd.     

Examination of the health‐belief model to predict the dietary quality and body mass of adults

We examined the ability of the health‐belief model to predict individuals’ dietary quality and body mass among a nationwide sample of 1319 adults in the United States. Simultaneous estimation of the structural equation model found acceptable goodness‐of‐fit to the data. Explained variance in dietary quality and body mass, however, were moderate to weak. The model included three types of nutrition knowledge: basic facts, diet–health awareness and ability to accurately self‐assess nutrient intake. None of these variables had a strong effect on dietary quality or body mass. We speculate that lifestyle characteristics, cultural habits, community infrastructure, and the politics of food production and retailing – variables found in other studies to affect dietary quality and body mass yet not available in our data – might outweigh the effects of nutrition knowledge and sociodemographic factors on estimating dietary quality and body mass. We suggest that future research and intervention programmes focus more on social, cultural and political context than on nutrition knowledge. Current collaborations among life and social scientists to design foods to improve human nutrition might also prove effective in reducing the prevalence of overweight and obesity.