The Theoretical Background of Henry George's Value Theory*

Abstract . Henry George intended that his last work. The Science of Political Economy, (which his untimely death left unfinished), should recast economics in a new mold. He argued that if economics is the science of the nature of wealth and the laws of its production and distribution and if in present society there is some deep and widespread wrong in its distribution, if not in its producton, it is the office of an honest science to disclose that. He therefore sought a philosophical basis for an investigation into the nature of wealth which led him into an investigation of the idea of value. These investigations were preceded by an attempt to set out a philosophy of science with respect to one of the sciences, economics.     

ON THE (POLITICAL) ORIGIN OF ‘CORPORATE GOVERNANCE’ SPECIES

Although economies, business practices and living standards have converged since WWII, corporate structures continue to differ among the advanced economies of the world. Looking at the diversity of corporate structures of large-sized firms around the world (and over time) would fascinate Charles Darwin. This work develops a critical review of the literature on political determinants of corporate governance through the Darwinian theory (including some Lamarckian aspects). As Darwin, in his work On the Origin of Species, explicates the diversity of species of tortoises, finches and iguanas of the Galapagos Islands, so Darwinism may contribute in understanding the origin and the persistence of corporate diversity. In particular, this paper takes into account politics-driven variations, their inheritances, and the subsequent selection of advantageous ‘corporate’ attributes.     

The Keynesian Paradigm and Public Administration

Abstract . Keynesian theory in macroeconomics and public finance in the United States was compatible with and supportive of a parallel development in the public administration branch of political science that arose in the Great Depression of the 1930s. This was the theory that the initiative in achieving welfare goals should be taken by government agencies acting to resolve conflicting interests. In initiating and taking leadership in bringing about social change, the administrators expanded government into a new bureaucratic State.     

Markets under the Microscope: Making Scientific Discoveries Valuable through Choreographed Contestations

This paper breaks new ground by revealing and conceptualizing the marketization of science as a process that transforms scientific discoveries and markets through a series of choreographed contestations: moments of valuation that occur when different social worlds collide. We follow a scientific discovery, from the moment it entered an incubator, to uncover how valuation practices and market devices enact and contest diverse social values (i.e., what is worth doing) to generate economic value (i.e., what is worth paying for) at the science‐market‐entrepreneurship nexus. In contrast with commercialization of science studies that focus on institutional arrangements, this study explicates the practices and devices used by multiple market actors to transform a scientific discovery into a marketable object. In so doing, we characterise choreographed contestations and the mechanisms through which they operate to explain how specific valuations are performed to work out innovative next steps that unfold the marketization of science.     

The Conflict Between the Scientific-Technological Process and Malignant Ceremonialism*

Abstract . A technological revolution may be seen as the process when more flexible or warranted technological relations break through destructive forces so decisively that the institutional-technological structure is transformed into what Clarence Ayres called a set of “efficient organizational structures.” Growing flexibility of such relations can lead to broader public access to the means of life This creates conflict because ceremonial forces are expressed through repressive. obstructive and exploitative institutions in technology and science so that there is a greater benefit to those rested powers than to society, and because the vested interests ability to withhold or charge heavily for access to economic opportunity would be reduced. Two processes are at loggerheads: encapsulation vs. liberation. A ‘general trust’ in ‘technology’(used as an euphemism for the anti-consumer business power system) abandons the main thrust of the ceremonial instrumental dichotomy: the scientific-technological process is the social context in which the forces of warranted or warrantable knowledge are expressed through community institutions enlarging accessibility and participation on a peer-to-peer basis. Thus the reconstructed dichotomy is both a coinflict theory and a conflict resolution theory.     

Evaluating PcGets and RETINA as Automatic Model Selection Algorithms*

The paper describes two automatic model selection algorithms, RETINA and PcGets, briefly discussing how the algorithms work and what their performance claims are. RETINA's Matlab implementation of the code is explained, then the program is compared with PcGets on the data in Perez‐Amaral, Gallo and White (2005 , Econometric Theory, Vol. 21, pp. 262–277), ‘A Comparison of Complementary Automatic Modelling Methods: RETINA and PcGets’, and Hoover and Perez (1999 , Econometrics Journal, Vol. 2, pp. 167–191), ‘Data Mining Reconsidered: Encompassing and the General‐to‐specific Approach to Specification Search’. Monte Carlo simulation results assess the null and non‐null rejection frequencies of the RETINA and PcGets model selection algorithms in the presence of nonlinear functions.     

The Keynesian Paradigm and Economic Policy

Abstract . Keynesian macroeconomic theory and the new theory of the hitherto neglected branch of political science, public administration, which were both independently introduced at about the same time in the New Deal period of the 1930s, complemented each other. Keynesian theory, emphasizing government fiscal policy and deficit spending as counterdepression, full-employment, and economic growth measures, became the generally accepted paradigm in economics and public finance. Public administration theory held that government agencies, motivated primarily by their own bureaucratic expansionary self-interest, would bring about an equilibrium of national interest. This provided the justification for agency initiative in stimulating and supporting the demands of interest and pressure groups whose regulation required increased agency activity. The theories and their outcome reflected the continuing decline of classical liberalism.     

Myopic utility functions on sequential economies

In Brown and Lewis (1981) continuity in the Mackey topology of (l^∞, l¹) is related to myopic (or impatient) economic behavior. They also show that finer (locally convex) topologies admit continuous non-myopic utility functions. In that work the space of bounded sequences, l^∞, is interpreted as all time sequences of bounded consumption plans. In Brown (1981) the analysis is extended to study the theory of interest on related sequence spaces.This note applies our simple technique for ‘computing’ Mackey continuity of real-valued functions defined on l^∞. Our first result is motivated by Bewley's (1972, app. II) theorem, but extends it in several important ways (on sequential economies). First, Beweley's examples (specialized to the sequential setting) are all ‘temporally separable’,that is, consumption in one time period does not affect indifference sets in another. We give new explicit examples of Cobb-Douglass-like utility functions and show that the ‘obvious’ infinite-dimensional Cobb-Douglass functions are non-myopic. Known equilibrium theory [from Bewley (1972), but pre-dating him in the sequential case] applies to these new examples. Second, we remove the assumptions of concavity and monotony from the proof of continuity.Our second result shows that some of the ‘stationary’ utility functions studied by Koopmans, Diamond and Williamson (1964) are also myopic in the sense of Brown and Lewis. In general their work is based on the finer uniform topology.Finally, we show how to transform our technique so that it applies to Brown's more general sequential economies. A change of variables transfers our examples to these spaces.     

In Perpetuity: Some Reflections on Literary Views of Land and Other Forms of Property

Some of civilization's finest minds have focused on societal problems and reported the result in literary works. Literary sensitivity and sensibility ought to provide insight on the value consequences and normative dimensions of social science theorizing. These hypotheses are tested against some of the ideas on property, particularly property in land, in great works of literature, contrasted with some analogous ideas from economic theory. No sweeping generalizations or policy conclusions were sought or found; insights were obtained as aids or guides for economic inquiry. But, interestingly, many of the literary views were in substantial accord with views on land and property espoused by Henry George, views which, as he noted, have a history extending into ancient and possibly prehistoric times.     

Book reviews

Books reviewed: International labour review, Bob Hepple Life on the Line in Contemporary Manufacturing. The Workplace Experience of Lean Production and the ‘Japanese’ Model, Phil Taylor Manufacturing in Transition, Kirsty Newsome Researching the world of work: strategies and methods in studying industrial relations, WR Hawes     

A survey study on weights of decision criteria for job rotation in Thailand: comparison between public and private sectors

Five hundred Thai organizations (from both public and private sectors) were surveyed to learn how decision criteria were weighed when conducting job rotation. The organizations were categorized into three groups, namely, government agency (GA), private service company (PSC), and private manufacturing company (PMC). Three purposes of job rotation were considered: (1) restructuring of the organization, (2) periodic reshuffling of employee-job assignments, and (3) efficiency/productivity improvement. The findings from responded questionnaires (with a response rate of 41.40 per cent) show that the criterion weights are significantly dependent on both the organization type and the purpose of job rotation. It is found that organizations from both sectors considered ‘knowledge, skills, and abilities’ as a predominant decision criterion, irrespective of the purpose of job rotation. For the organizations that periodically reshuffled their current employee-job assignments, ‘job seniority’ was also considered as an important criterion. Regarding the other two job rotation purposes, organizations from the public sector consistently gave more attention to ‘job seniority,’ ‘years of service,’ and ‘age’ than did those from the private sector.     

Sacred alliance or pact with the devil? How and why social enterprises collaborate with mainstream businesses in the fair trade sector*

Abstract

This paper uses institutional theory to highlight different patterns of cross-sector collaboration from the perspective of social enterprises. Specifically, it explores how and why social enterprises interact with mainstream businesses and to what extent their collaboration patterns reflect a vision of how their social mission should be implemented and institutionalized. The empirical analysis is derived from a qualitative study of ‘fair trade’ – a hybrid model created by social enterprises and using market mechanisms to support small-scale producers in developing countries and to advocate for changes in international trading practices. The findings highlight three strategies used by fair trade social enterprises to manage their interactions with mainstream businesses: sector solidarity, selective engagement, and active appropriation. This paper suggests that each strategy is motivated by a different vision of how best to articulate the social mission of fair trade via specific types of collaborations. It also notes how each vision has a distinct pattern of institutionalization at the field level. This paper adds to the emergent literatures on social enterprise and social entrepreneurship, fair trade, cross-sector collaboration and hybrid organizing.     

Asymptotic theory and econometric practice

The classical paradigm of asymptotic theory employed in econometrics presumes that model dimensionality, p, is fixed as sample size, n, tends to inifinity. Is this a plausible meta-model of econometric model building? To investigate this question empirically, several meta-models of cross- sectional wage equation models are estimated and it is concluded that in the wage-equation literature at least that p increases with n roughly like n ^l/4, while that hypothesis of fixed model dimensionality of the classical asymptotic paradigm is decisively rejected. The recent theoretical literature on ‘large-p’ asymptotics is then very briefly surveyed, and it is argued that a new paradigm for asymptotic theory has already emerged which explicitly permits p to grow with n. These results offer some guidance to econometric model builders in assessing the validity of standard asymptotic confidence regions and test statistics, and may eventually yield useful correction factors to conventional test procedures when p is non-negligible relative to n.     

The Classical Base of Modem Rent Theory

Abstract . Adam Smith considered rent a surplus which arises because some produce sells for a price in excess of the cost of production. Thus rent is price-determined rather than price determining. Thomas Malthus contributed the beginnings of the differential theory of rent, endeavoring to show that rent will not arise until land of inferior quality is taken under cultivation. David‘Ricardo fully developed the theory of rent which is named Ricardian: rent is a surplus in the form of a differential. Henry George brought the classical position to its logical conclusion: rent is an unearned increment.     

CCE in fixed‐T panels

The presence of unobserved heterogeneity and its likely detrimental effect on inference has recently motivated the use of factor‐augmented panel regression models. The workhorse of this literature is based on first estimating the unknown factors using the cross‐section averages of the observables, and then applying ordinary least squares conditional on the first‐step factor estimates. This is the common correlated effects (CCE) approach, the existing asymptotic theory for which is based on the requirement that both the number of time series observations, T, and the number of cross‐section units, N, tend to infinity. The obvious implication of this theory for empirical work is that both N and T should be large, which means that CCE is impossible for the typical micro panel where only N is large. In the current paper, we put the existing CCE theory and its implications to a test. This is done by developing a new theory that enables T to be fixed. The results show that many of the previously derived large‐T results hold even if T is fixed. In particular, the pooled CCE estimator is still consistent and asymptotically normal, which means that CCE is more applicable than previously thought. In fact, not only do we allow T to be fixed, but the conditions placed on the time series properties of the factors and idiosyncratic errors are also much more general than those considered previously.     

JOB SATISFACTION AND LABOUR TURNOVER AMONGST WOMEN WORKERS

Two hundred and ninety female shop floor workers and sixty-five female shop floor ex-workers of a large electrical/electronic engineering company were given a multiple choice questionnaire and unstructured interview. Thirty per cent of the total sample expressed general dissatisfaction with their job. An analysis of their responses indicated the over-riding importance of the work itself as a determinant of job satisfaction and dissatisfaction. An analysis of reasons for leaving the company indicated that ‘voluntary’ labour turnover resulted mainly from dissatisfaction with the work. No evidence was gained to support Herzberg's principle of duality, although the practical implications from the study are very similar to those evident in the motivation/hygiene theory.     

Entrepreneurial action and the Euro-American social science tradition: pragmatism,realism and looking beyond ‘the entrepreneur’

Entrepreneurship studies are dominated by the disciplines of economics and psychology and work within a limiting methodological frame of reference; a ‘scientistic’ and individualistic framework that dominates the US-led mainstream of research. To achieve a more balanced scholarship, it is helpful to look at an alternative style of research and analysis which has deep and intertwined European and American roots. This looks to other social sciences such as sociology, as well as to history and the philosophy of science. Its adoption would encourage to shift the focus away from ‘entrepreneurs’ and onto the much broader phenomenon of entrepreneurial action or ‘entrepreneuring’ in its societal and institutional contexts. Such a shift would open up a greatly expanded range of research questions and enable a better balance to be achieved between attention to individual entrepreneurial actors and their organizational, societal and institutional contexts. A pragmatist and realist frame of reference, which recognizes both the importance of processes of social construction and the existence of a ‘real world’, has considerable potential to enrich and expand the scope of entrepreneurship scholarship.     

Henry George and Europe: As Dissident Economist and Path-breaking Philosopher, He was a Catalyst for British Social Reform

Abstract . Henry George's influence was greater in the United Kingdom than in the United States. The 80s and 90s there were particularly favorable for the reception of his revolutionary ideas. Though, thanks to such thinkers as Alfred Russell Wallace and James and John Stuart Mill, a land reform movement already existed, its sudden rise to national significance was due to George. George's writing and speaking skills and his dedication moved many serious citizens into the political Left and heavily influenced men and women who became leaders of British non-Marxian socialism, at the formation and consolidation of their movement. While George's followers broke with both the Wallace and socialist movements, George's rhetorical talents awakened the broad circles of thinking people to a consciousness of the full range of the social question.     

The Rise and Fall of Maya Civilization

Abstract . ‘Savages,’ as Europeans considered the Americans of ancient times, never built the great Mayan centers. The builders of great cities in Meso-America were a well-organized group with an adequate land base and a rather sophisticated technology. From 300 B.C. to 900 A.D. the Maya developed and perfected an agriculture-based economy with a well developed commerce, writing, art, science, religion and government, as well as an advanced architecture of monuments, palaces, temples and pyramids. Their civilization reached intellectual heights unique in the Western Hemisphere. What conditions caused its decline and fall? Interpreting the geographic and historical record in the light of the relevant social sciences, one can say a complex of circumstances: ecological abuse, exploitation of the working population, mismanagement, militarism, bad weather, famines, and epidemics.