Cattle sharing and rental contracts in an Agrarian economy: evidence from Ethiopia

Empirical evidence on the role of cattle sharing and rental contracts in agrarian economies is limited. This article is an investigation of different types of cattle sharing and rental contracts producers in rural Ethiopia adopt. It also investigates why households in rural Ethiopia rely on these contracts that are vulnerable and therefore subject to potential moral hazard problems described in earlier literature. We apply random effect probit and control function econometric methods to household panel data collected in 2005 and 2007 from two agro‐ecological zones in Ethiopia. Controlling for the endogeneity of access to livestock credit, we find that contracts are spatially fragmented and better developed where population density is high and credit and insurance markets are poorly developed. We also find that contracts help cash poor and credit constrained households to improve their herd dynamics, to get access to nonlivestock resources (land, labor and cash) and share risks that could have been difficult without the contract. We show that contracts are rational responses of residents in rural communities characterized by imperfect credit and insurance services, since households with better access to credit are less likely to rely on contracts.     

A Lobbying Approach to Evaluating the Sarbanes‐Oxley Act of 2002

We evaluate the impact of the Sarbanes‐Oxley Act (SOX) on shareholders by studying the lobbying behavior of investors and corporate insiders in order to affect the final implemented rules under SOX. Investors lobbied overwhelmingly in favor of strict implementation of SOX, while corporate insiders and business groups lobbied against strict implementation. We identify firms most affected by the law as those whose insiders lobbied against strict implementation. Such firms appear to be characterized by agency problems, rather than motivated by concerns over compliance costs. Cumulative stock returns during the five and a half months leading up to SOX passage were approximately 7% higher for corporations whose insiders lobbied against SOX disclosure‐related provisions than for similar non‐lobbying firms, consistent with an expectation that SOX would reduce agency problems. Analysis of returns in the post‐passage implementation period suggests that investors' positive expectations with regards to the effects of these provisions were warranted.     

Economic Incentives,Business Cycles,and Long‐Term Sickness Absence

We investigate long‐term absenteeism in Norway, on the basis of register data covering 8 years and more than two million absence spells. Key findings are that: (1) a tighter labor market yields lower work resumption rates for persons who are absent, and higher relapse rates for persons who have already resumed work; and (2) the work resumption rates increase when sickness benefits are exhausted, but work resumptions at this stage tend to be short‐lived.     

What are student preschool teachers learning about diet in their education in Norway?

This article is based on a qualitative study on diet education among student preschool teachers. The problem under discussion is: What does a student preschool teacher learn in his education about food, meals, and nutrition? The material used in the article comprises interviews with student preschool teachers at one university and one college in Norway. Preschool teacher education is a three years university college study with bachelor degree. The survey results show that student preschool teachers do not receive even the most element training, when it comes to food and meals, including nutrients, vitamins, and minerals, although education must prepare them for a job outside the kindergarten. Practical cooking was almost completely absent in their education, including hygiene. Most student preschool teachers did not know what fat they were to use in cooking. Food and senses, allergies, and food and culture were not discussed in their education. There was little correlation between the formal curricula in connection with food and meals and the training the preschool teacher students received in their education.     

Long‐Run Stockholder Consumption Risk and Asset Returns

We provide new evidence on the success of long‐run risks in asset pricing by focusing on the risks borne by stockholders. Exploiting microlevel household consumption data, we show that long‐run stockholder consumption risk better captures cross‐sectional variation in average asset returns than aggregate or nonstockholder consumption risk, and implies more plausible risk aversion estimates. We find that risk aversion around 10 can match observed risk premia for the wealthiest stockholders across sets of test assets that include the 25 Fama and French portfolios, the market portfolio, bond portfolios, and the entire cross‐section of stocks.     

Tears and Framing Contests: Public Organizations Countering Critical and Emotional Stories

The reputation and legitimacy of public organizations can be threatened by emotional news stories depicting a faceless bureaucratic power apparatus that is blind to how their decisions affect humans negatively. This qualitative study focuses on the strategies of the Norwegian immigration authorities as they handle emotional accounts of family reunion cases. The analysis first reconstructs what is called a Man Against the System-frame, and then moves on to investigate the competing frame that the authorities construct and the strategies used to promote this frame. The article sheds new light on the concept of framing contests by analyzing the possibilities and constraints of public organizations when they construct and use a frame.     

An Empirical Model of Automobile Engine Variant Pricing

This paper estimates a random-coefficients structural model of the demand for car model engine variants. It uses a new identification approach that assumes the mean unobserved quality is the same for all engine variants within a model. The demand estimates imply that absolute markups increase in horsepower within a car model, while percentage markups are constant or falling in horsepower. The estimated results–as well as simulations of a simple theory model–show that prices are not typically cost-plus-fixed-fee, and absolute markups may increase in quality.     

Immigration Wage Effects by Origin

We estimate the direct partial wage effects of immigrant‐induced increases in labor supply, using the national skill cell approach with longitudinal records drawn from Norwegian administrative registers. The results show overall negative but heterogeneous wage effects, with larger effects on immigrant wages than on native wages and with native wages more responsive to inflows from Nordic countries than from developing countries. These patterns are consistent with natives and Nordic citizens being close substitutes, while natives and immigrants from developing countries are imperfect substitutes. Estimates are sensitive to accounting for effective immigrant experience, selective native participation, and variation in demand conditions and native labor supply.