HETEROGENEOUS SPACE IN REGIONAL ECONOMICS AND BEYOND

Abstract.  This paper points to the multiple forces which establish differential prices and outputs over heterogeneous space. Such space clearly applies to a regional economy where costly distance provides opportunities for sellers to discriminate in price among customers. Similar discriminatory opportunities may be created in a spaceless world through, for example, product differentiation and the passage of time. It is in this broad perspective that a generalized theory of discriminatory spatial pricing is formulated. Simulations reveal a remarkable panoply of cost, price, and output relationships, highlighting the criticality of variations in elasticity in determining macro, micro, and regional economic behaviour.     

Aspiring for,and Achieving Growth: The Moderating Role of Resources and Opportunities*

abstract In this article, we use the theory of planned behaviour to develop a model of small business managers’ growth aspirations and the level of growth achieved. We empirically test this model on a large longitudinal data set of small firms using hierarchical regression. Consistent with previous findings and others’ assumptions, we find that small business managers’ aspirations to expand their business activities are positively related to actual growth. However, the relationship between aspirations and growth appears more complex than stated. It depends on the level of education and experience of the small business manager as well as the dynamism of the environment in which the business(es) operates. Education, experience and environmental dynamism magnify the effect that one's growth aspirations have on the realization of growth.     

Public companies as social institutions

Many UK public companies invest considerable resources in charitable donations and community involvement. Using semi‐structured interviews with public company officers, the author sought to investigate the motivations behind this activity. Was it undertaken because of an expectation of commercial benefit, out of a sense of obligation, or for other reasons? It appeared that public companies were increasingly anxious to make connections between corporate activity in the community and business activities. Public companies linked with local communities clearly felt a sense of connection with them. Corporate officers were constantly dealing with the management of reputation, which was seen as a valuable business asset, and community links made this task easier.     

Solvency Solecisms: Corporate Officers' Problematic Perceptions

This examination of corporate officers' perceptions provides insights into their confused understanding of solvency. Questionnaire and interview evidence exposes officers' equivocations on whether a separate legal entity or group enterprise perspective should be adopted in assessing solvency. The serviceability of consolidated (economic entity or closed group) accounting data is demonstrated here to be equally problematic for officers making those solvency assessments in respect of an economic group and any related closed group. These outcomes have implications for agencies such as APRA and ASIC in developing regulatory policy.     

Five challenges for China in the 1990s

There are many economic challenges facing China in its transformation to a market economy. Professor Dean discusses five of the most important of these challenges and the opportunities which they present. This article is a revised version of an address to the China Institute of Contemporary International Relations, Beijing.     

The intertemporal relationship between market return and variance: an Australian perspective

In this paper we investigate the intertemporal relationship between the market risk premium and its conditional variance in an Australian setting. Using a bivariate EGARCH‐M model combined with the dynamic conditional correlation (DCC) framework as proposed by Engle (2000), we find evidence of a positive relationship between the market risk premium and its variance and evidence of two distinct interest rate effects. Furthermore, while the bond market's own variance is not priced by investors, we find that the covariance between equity and bond markets is a significant risk factor that is priced in the market.     

Present barriers to technology transfer: U.S. to Eastern Europe versus U.S. to Mexico

Technological innovations offer much promise for widespread technology transfer on a global basis. Yet, without taking social, economic, or political considerations into account, companies cannot transfer technology as effectively. Of particular importance is understanding technology transfer vis-à-vis emerging markets such as Mexico and Eastern Europe.