Canadian Agricultural Programs and Paradigms:The Influence of International Trade Agreements and Domestic Factors

Tracing developments over the past two decades with respect to Canadian farm income support, orderly grain marketing, and supply management, this article argues that Canadian agricultural policy has undergone programmatic, but not paradigmatic policy change. International trade agreements, alongside domestic factors like budgetary pressures, have helped to promote programmatic change. However, paradigmatic change in the form of a rejection of the core ideas and instruments of the post Second World War state assistance paradigm has not yet occurred. The article discusses the conditions for paradigmatic change and argues that the state assistance paradigm is likely to prevail until influential decision makers becoming convinced of its failure and judge an alternate paradigm to be politically and economically viable. Un examen des changements survenus sur le plan du soutien du revenu agricole au cours des vingt dernières années, notamment la commercialisation des grains et la gestion de l'offre, indique que la politique agricole canadienne a subi des changements programmatiques et non paradigmatiques. Les accords de commerce internationaux, combinés à des facteurs intérieurs tels que les pressions budgétaires, ont contribuéà la promotion de changements programmatiques. Cependant, le changement paradigmatique sous la forme du rejet des idées et des instruments de base d'aide de l'État après la Seconde Guerre mondiale ne s'est pas encore produit. Le présent article traite des conditions préalables au changement paradigmatique et soutient que le paradigme de l'aide de l'État continuera probablement d'exister jusqu'à ce que des décideurs influents soient convaincus de son échec et estiment qu'un paradigme de rechange pourrait être politiquement et économiquement viable.     

Residents' Perceptions Toward the “Chinese Tourists' Wave” in Hong Kong: An Exploratory Study

Mainland China experienced an extraordinary progress in its economy in the past two decades which directly stimulates more outbound travels. Considering the geographical proximity and political ties between Hong Kong and Mainland China, the share of inbound tourists to Hong Kong has been, and will continuously be, largely occupied by Mainland Chinese tourists on an uprising basis. The phenomenon of the “Chinese tourists' wave”, operationalizing as the influx of tourists from Mainland China, has brought tremendous change on Hong Kong's tourism industry, economy and local community. It is, thus, of necessity to understand the perceptions and response toward this phenomenon from local residents' perspective as they are the stakeholders of local tourism. Drawing on the findings from three focus group interviews with 18 Hong Kong residents, three conventional dimensions, namely “Economic”, “Social-cultural” and “Environmental” were identified and discussed to demonstrate the local residents' perceptions toward the impact of “Chinese tourists' wave” phenomenon. Generally, residents tend to recognize the positive economic impacts as well as negative social–cultural and environmental impacts generated from this tourism phenomenon. The recommendations suggested in this study also serve as a reference for tourism authorities concerned to redress the existing problems.     

Exploring conspicuousness in the context of donation behaviour

• The study of donation behaviour has been significant in recent years as charitable organisations realise the value of marketing strategies in order for growth and survival. Consequently, in recent years the growing trend, to increase awareness of charities and generate much-needed funds, has been the sale of empathy ribbons and the like (e.g. red noses etc.). However, it is argued that the motivation behind the purchase of empathy ribbons is largely ostentatious rather than altruistic and, thus, is viewed under the broader umbrella of ‘conspicuous compassion’ (West, 2004). As such, this paper documents a conceptualization of monetary donation behaviour which we term ‘conspicuous donation behaviour’ and, in doing so, we provide a number of research propositions which pre-empt new avenues for future research.

Copyright © 2006 John Wiley & Sons, Ltd.     

Is East Asia an optimum currency area?

This paper assesses the empirical desirability of the East Asian economies to an alternative exchange rate arrangement (a monetary union) that can potentially enhance the exchange rate stability and credibility in the region. Specifically, the symmetry in macroeconomic disturbances of the East Asian economies is examined as satisfying one of the preconditions for forming an Optimum Currency Area (OCA). We extend the existing literature by improving the methodology of assessing the symmetry shocks in evaluating the suitability of a common currency area in the East Asian economies employing the Bayesian State-Space Based approach. We consider a model of an economy in which the output is influenced by global, regional and country-specific shocks. The importance of a common regional shock would provide a case for a regional common currency. This model allows us to examine regional and country-specific cycles simultaneously with the world business cycle. The importance of the shocks decomposition is that studying a subset of countries can lead one to believe that observed co-movement is particular to that subset of countries when it in fact is common to a much larger group of countries. In addition, the understanding of the sources of international economic fluctuations is important for making policy decisions. The falling share of country specific factor and the rising role of region factor indicate that East Asia has become increasingly favorable for a monetary union. However, the share of country-specific factor that is still significant implies that it could be costly to renounce individual currencies to advance into a monetary union in East Asia.     

Capturing downside risk in financial markets: the case of the Asian Crisis

Using data on Asian equity markets, we observe that during periods of financial turmoil, deviations from the mean-variance framework become more severe, resulting in periods with additional downside risk to investors. Current risk management techniques failing to take this additional downside risk into account will underestimate the true Value-at-Risk with greater severity during periods of financial turnoil. We provide a conditional approach to the Value-at-Risk methodology, known as conditional VaR-x, which to capture the time variation of non-normalities allows for additional tail fatness in the distribution of expected returns. These conditional VaR-x estimates are then compared to those based on the RiskMetrics™ methodology from J.P. Morgan, where we find that the model provides improved forecasts of the Value-at-Risk. We are therefore able to show that our conditional VaR-x estimates are better able to capture the nature of downside risk, particularly crucial in times of financial crises.     

Influence of women’s workload on their nutritional status in selected communities in Ghana

Abstract: A study was undertaken to assess the impact of women’s work on their health and nutritional status in Ghana. Using a combination of purposive sampling and cluster sampling techniques, 80 women were selected from Madina (suburban) and Boi (rural) communities in the Greater Accra Region of Ghana. Structured questionnaire and 24-h dietary recall methods were used to collect the information on the nature of the women’s work, the amount of time used for the activities, health problems and food intakes. Nutritional anthropometry (weight, height) was used to assess the nutritional status using body mass index (BMI) as an indicator. The results revealed that the women were involved in multiple activities and worked between 12 and 17.5 h daily. In an attempt to fulfil their multiple roles, the women suffered many physiological problems, with general weakness and tiredness, body pains, dizziness, headaches, arthritis and malaria being the most common ailments. For food intake and nutrition, it was observed that 70% of the women had only two meals in a day. The reasons attributed to this include lack of time, the need to leave home early and too much involvement in work. The diet of the rural residents were low in almost all the nutrients calculated, whereas that of the urban residents was slightly deficient in protein, energy, iron and calcium. Using BMI as a measure of nutritional status, 31% of the women were found to be at nutritional risk.     

Ethical Customer Value Creation: Drivers and Barriers

There is a long-standing discussion on the positive interactions between enterprise value creation and business competitiveness. The corporate value can be seen as being created from three major sources within the cycle – from employees, from processes, and from customers or investors through reinvestment. To achieve competitive advantages, a firm must create more value than its competitors in the industry. Emphasizing that, firms should explore the positive drivers of customer value creation, allowing for a true value creation that will lead to increments in competitiveness. In reality, however, there are also barriers that hinder customer value creation. Targeting the above issues that have not yet been explored or analyzed, we have collected related literature at the first stage. Based on these presumable assumptions, this paper then conducts an empirical study by surveying and analyzing the relevance given by the investigated leading machinery measuring equipment firms in Taiwan, regarding the concerns as drivers and barriers in relation to customer value creation. This paper especially aims to answer several key questions: What drivers revolving around employees and processes can facilitate the organization to create more value for its customers? Conversely, what barriers block the organization from creating value for customers in examining the same dimensions? Does value creation direct an organization’s profitability and competitiveness? Our questionnaire survey results show that the most recognized and agreed drivers of customer value creation in consideration of employees are “distinctive skills”, “personal experience”, “learning and training”, and “team work”; and, in regard to the firm’s processes, the key drivers are “innovation and evolution”, “R&;D capability”, and “capability for differentiation”. Conversely, the most recognized and agreed barriers to customer value creation in relation to employees are a “distrustful environment” and “inadequate knowledge”; and, in terms of processes, they are “short of core technology”, “poor resource support”, and “bad services and attitudes”. Furthermore, our in-depth interview outcomes reveal that “capital sufficiency” and “mergers and acquisitions” are in practice considered to be other important customer value creation drivers; in contrast, “cultural and structural barriers” and “short of mechanisms to measure customer value creation effectively” are viewed as additional critical barriers to customer value creation.     

The Effect of Taxes on the Location of Property-Casualty Insurance Firms

States levy insurance premium taxes, which are essentially gross receipt taxes on premiums. An unusual characteristic of insurance premium taxes is that in each state in which an insurance company writes premiums, the firm pays the higher of the tax rate in the state in which the company is domiciled and the state in which the policy is written. Thus, the choice of location has a significant effect on the firm's tax liability. Using firm-level data for the property-casualty (P-C) insurance industry, we calculate the firm-specific tax rate for each P-C firm for every possible state of domicile. We estimate conditional logistic models to analyze the effect of insurance premium taxes on the choice of the state of domicile of existing and relocated firms. We find robust evidence of a small, negative, and statistically significant effect of these taxes on the choice of the state of domicile.     

Express Yourself: Why Managers' Disclosure Tone Varies Across Time and What Investors Learn from It

We argue that volatility in a manager's disclosure tone across time should be a function of two components: (i) the firm's innate operating risk and (ii) the extent to which the manager's disclosure transparently reflects that risk. Consistent with this argument, we find that both operating risk and disclosure transparency are important determinants of disclosure tone volatility. We then examine whether investors incorporate the incremental information provided by disclosure tone volatility into their assessments of firm risk. If disclosure tone volatility primarily provides investors with incremental information about a firm's operating risk, we should find a positive association between tone volatility and market-based assessments of risk. On the other hand, if disclosure tone volatility primarily provides investors with incremental information about a manager's disclosure transparency, we should find a negative association between tone volatility and market-based assessments of risk. Consistent with an operating risk explanation, we find a positive association between disclosure tone volatility and market-based assessments of firm risk after controlling for a comprehensive set of proxies for operating risk and transparency. We find little support for an information risk explanation, even when we examine multiple measures specifically designed to capture information risk. Taken together, our results suggest that although disclosure tone volatility is a function of both a firm's operating risk and a manager's disclosure transparency, investors appear to respond as if disclosure tone volatility only provides incremental information about a firm's operating risk.