Military spending and economic growth in China: a regime-switching analysis

This article investigates the impact of military spending changes on economic growth in China over the period 1953 to 2010. Using two-state Markov-switching specifications, the results suggest that the relationship between military spending changes and economic growth is state dependent. Specifically, the results show that military spending changes affect the economic growth negatively during a slower growth–higher variance state, while positively within a faster growth–lower variance one. It is also demonstrated that military spending changes contain information about the growth transition probabilities. As a policy tool, the results indicate that increases in military spending can be detrimental to growth during slower growth–higher growth volatility periods.     

Proactive CSR: An Empirical Analysis of the Role of its Economic, Social and Environmental Dimensions on the Association between Capabilities and Performance

Proactive corporate social responsibility (CSR) involves business practices adopted voluntarily by firms that go beyond regulatory requirements in order to actively support sustainable economic, social and environmental development, and thereby contribute broadly and positively to society. This empirical study examines the role of the economic, social and environmental dimensions of proactive CSR on the association between three specific capabilities—shared vision, stakeholder management and strategic proactivity—and financial performance in small and medium enterprises (SMEs). Using quantitative data collected from a sample of 171 Australian SMEs in the machinery and equipment manufacturing sector and employing structural equation modelling, we find that the adoption of practices in each CSR dimension by SMEs is influenced slightly differently by each capability, and affects financial performance differentially. The study also demonstrates the importance of the interaction between the three dimensions of proactive CSR in positively moderating the deployment of each individual CSR dimension to generate financial performance. Paying primary attention to the economic dimension of proactive CSR and selectively focusing on social and environmental elements of proactive CSR that drive and support the economic dimension are of key importance to sustainable long-term financial success for SMEs.     

Weekly Variation in Audience Delivery of TV Advertising Schedules

Individual TV advertising spots may vary as much as five rating points from one week to the next which implies that summary measures of audience delivery of TV advertising schedules composed of multiple spots could vary quite drastically. Obviously this would have a marked effect of cost per thousand calculations which is a common criterion for choosing between alternate TV advertising schedules. Based upon examination on a large number of TV advertising schedules, however, this study reports that weekly changes in audience ratings of individual spots comprising an advertising schedule tend to cancel out so that total schedule audience delivery and cost per thousand estimates are not greatly affected over a two week period.     

Understanding Differences in Nonmarket Valuation by Angler Specialization Level

Using the concept of recreation specialization, we would expect willingness-to-pay (WTP) differences among participant sub-groups as an expression of increasing commitment to their activity. To expand understanding of predictable angler sub-group differences in economic valuation, a two-stage process was used to investigate WTP differences among heterogeneous sub-groups. Cluster analysis was used with a three dimensional specialization model. A zero truncated binomial regression model was applied to estimate anglers' consumer surplus values per trip. Results supported the expectation that anglers in each group placed a different value on the social benefits associated with fishing and their concerns for possible resource loss.     

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Gender and conservation agriculture in sub-Saharan Africa: a systematic review

Conservation agriculture (CA) involves the practice of concurrent minimum tillage, permanent soil cover using crop residue, and crop rotation. Evidence indicates that CA increases agricultural productivity, reduces farming labour requirements, and improves soil quality. While CA is practised in several African contexts, little is known about its interaction with gender. This review synthesized knowledge on the interplay of gender and CA in sub-Saharan Africa. The review highlighted the relative neglect of gender issues in research on CA in SSA. Existing research was limited both in quantity and to a few countries in the region. There was also little critical focus on gender as a social phenomenon: a few of the studies conceptualized gender in terms of the socially constructed roles of men and women while the majority framed it in terms of the sexual categories of male and female. Compared to men, and due largely to gendered barriers, including lack of access to land; machinery; inputs; extension services; and credit facilities, women farmers adopted CA less and dis-adopted it more. CA increased women’s incomes, labour involvement, household food security, as well as risks for land and crop dispossession by men when farming becomes lucrative. It also increased workloads, employment opportunities and health risks for women. CA positively altered gender relations, boosting women’s participation in agricultural decision-making at the household level. Deliberately enlisting women as beneficiaries; working with men to advance their understanding of women’s needs in agriculture; and offering agricultural inputs directly to women are some strategies that enhanced women’s participation in CA. Gaps in current research on gender and CA include: critical focus on and understanding of gender as a social construct in relation to CA; the long-term impacts on CA for gender relations, incomes for men and women, and women’s empowerment; the sustainability of strategies for supporting gendered participation in CA; and the dynamics of gendered access to local farmland markets for CA.     

Consumer Default of Delinquent Adjustable-Rate Mortgage Loans

An examination of the default behavior of delinquent Canadian rollover mortgage borrowers suggests that borrower ability-to-pay considerations are relevant to the default decision. They are, however, secondary to housing equity considerations. Results from both ratio and linear-additive specifications suggest that a ratio specification conceals the independent effect of income and wealth variables.     

The Implementation of Innovative Management Accounting Systems

This paper reports on innovations in management accounting systems (MAS) in three Australian manufacturing enterprises. The study is based on the premise that systems characteristics of the MAS innovations develop in response to triggers for adoption, and the outcomes achieved from the innovative systems will depend on the effective implementation of the costing systems. The MAS innovations implemented include activity-based costing, activity-based management, benchmarking, integrated budgetary system, key performance indicators and balanced scorecards. Five factors influencing the successful implementation of innovative MAS are proposed: commitment to the initiatives; a successful pilot application; incremental development; appropriate training; and integration with other processes and systems.     

Inflation Targeting: Some Extensions

Previous analyses of the implementation of inflation targeting are extended to monetary policy responses to different shocks, consequences of model uncertainty, and effects of interest rate smoothing and stabilization. Model uncertainty, output stabilization, and interest rate stabilization or smoothing all call for a more gradual adjustment of the conditional inflation forecast toward the inflation target. The conditional inflation forecast is the natural intermediate target during inflation targeting. The optimal way of reacting to shocks is hence to check how they affect the inflation forecast and then take the appropriate action.
JEL classification : E 42; E 52; E 58