Bootstrapping the autoregressive distributed lag test for cointegration

We propose a bootstrap autoregressive-distributed lag (ARDL) test. By applying the appropriate bootstrap method, some weaknesses underlying the Pesaran, Shin and Smith ARDL bounds test are addressed including size and power properties and the elimination of inconclusive inferences. In addition, inferences based solely on the significance of the F-test and single t-test from the ARDL bounds test are not sufficient to avoid degenerate cases. The bootstrap ARDL test provides an additional test on the significance of coefficients on lagged levels of the regressors, which provides a better insight into the cointegration status of the model.     

Teacher training for PhD students and new faculty in economics

Past studies suggest that a majority of economics graduate students engage in teaching-related activities during graduate school and many go on to academic positions afterwards. However, not all graduate students are formally prepared to teach while in graduate school nor are they fully prepared to teach in their first academic position. The authors characterize current teaching experience and training of graduate students from the point of view of directors of graduate studies and of newly minted academic economists. The authors also query department chairs and new faculty about teacher training, support available for new faculty, and the degree to which newly hired Ph.D. economists are prepared to teach. Findings indicate that while some training is available, there is room for enhancing teacher training in economics.     

Local economic development in Ghana: From the ‘lost decades’ to a policy ‘maturing’ stage

Analysis and studies of local economic development (LED) tend to be under the rubric of case studies to the neglect of their historical context and the role of international development agencies. This article attempts to fill this gap by focusing on the experiences of Ghana. Adopting a systematic review of the policy documents and existing literature, it was found that, despite its significance, LED was not the priority of the governments of pre and post immediate independence era. In the fourth republic of Ghana, LED gained prominence in the various policy documents but this appears to be rhetoric and camouflage because they have not seen real implementation. However, international development agencies have played a significant role in initiating, funding and implementing specific LED activities in the various districts in Ghana. Overall, LED in Ghana has crawled from the ‘lost decades’ to a policy ‘maturing stage’.     

Common purpose and divided loyalties: the risks and rewards of cross-sector collaboration for academic and government researchers

International evidence shows that research is increasingly being carried out in organisational forms built around cross-sectoral (government, academic and business) and transdisciplinary teams with well-defined national social, economic or environmental objectives in view. As a result, new and unfamiliar forms of organisational arrangements for research are emerging within universities and elsewhere. These collaborative research centres have been variously termed 'hybrid' or 'parasitic'. This paper draws upon around 30 in-depth interviews with participants from selected Australian Cooperative Research Centres (CRC). It examines how researchers reconcile the many demands of their dual role, first, as a government researcher or academic, and second as a committed participant in an industry-collaborative research centre. These collaborations go beyond 'applied research' to span fundamental research and immediately useful knowledge. But reward systems and performance measures for academic researchers are still founded largely on 'discovery', while those for government researchers are based upon 'application'. The risk is that researchers will be deflected by the collaboration in ways that conflict with their institutional responsibilities. The paper reports work analysing the management strategies used by the CRCs and their public sector partners to ensure that their common goals are achieved while preserving their institutional interests and the expectations of their research staff. The aim is to identify effective ways of managing the various 'risks' of cross-sector collaborative research and development (R&D) in Australia and more widely.     

Will they buy it? The potential for marketing organic vegetables in the food vending sector to strengthen vegetable safety: A choice experiment study in three West African cities

Considering the hazardous use of synthetic pesticides in vegetable production in urban West Africa, this research investigated the marketing potential of organic vegetables in the food vending sector of Cotonou (Benin), Accra (Ghana) and Ouagadougou (Burkina Faso). Certified organic production and marketing was examined as a potential strategy to improve chemical food safety. A stratified random sampling strategy was applied to study the preferences of food vendors (n = 180) and consumers (n = 360); vegetable use, risk perception, choice preferences and willingness-to-pay (WTP) for organic certification were specifically analyzed. The results showed that awareness of chemical contamination risks was generally low. Appearance of a product was central to vendor choice; consumers attributed similar utility to taste and organic certification. Consumer WTP was calculated to be a premium of 1.04 USD (per plate) if the food served contained only certified organic vegetables. In restaurants, this would mean an average premium of 19% for a meal. If certified organic vegetable production is to make a positive impact on food safety in urban West Africa, we suggest concentrating marketing efforts on the educated “elite” who frequent restaurants. However, considering that restaurant owners exhibited a lower preference for organic certification than lower class food vendors, the marketing situation is difficult. We therefore conclude that demand from the food vending sector alone will not institutionalize domestic certification mechanisms; this underlines the need for public commitment to facilitating such change.     

Stage of the organizational life cycle and competition as mediators of problem perception for small businesses

An empirical study based upon a sample of 645 small businesses assesses the relationship that life cycle stage and level of competition exhibit with the problems perceived to constrain small business strategic planning. Problems have been identified as either internal (cash flow) or external (competition); they have further been classified as either situational or core problems. Among the most prevalent problems reported by decision makers are customer contact, market knowledge, marketing planning, location, and adequacy of capital. A total of 16 problem areas were identified. Traditional wisdom offers the scenario where problems faced will vary as the organization progresses through the life cycle. Much of this research refutes conventional wisdom in that level of competition was determined to have more of an impact on problem perception.     

Flexible manufacturing and economic recovery—wood products in western new york

This paper examines the potential impact on a regional economy of introducing flexible manufacturing techniques into the wood products sector. The first sectin of the paper discusses the notion of flexible manufacturing networks (FMN) and more broadly defined flexible manufacturing systems (FMS) in this sector. The second section reviews the technological potential, and institutional constraints on the development of networks in the region. The third section explanis how input-output analysis may be used to assess the potential impact pf a manufacturing network and describes an extended social accounts framework for the forest products industry in Western New York. Following this, two possibilities, an 'FMS route' and an 'FMN route' are compared with a continuationof the present situation—and a potential strategy sketched.     

An Empirical Analysis of Qualitative Management Earnings Forecasts

Despite efforts by the Securities and Exchange Commission (SEC) to encourage corporate disclosure of quantitative management earnings projections, only a small fraction of firms voluntarily do so. Instead of quantitative estimates, a large number of firms choose to disclose qualitative (verbal) assessments of their earnings prospects. This paper is a study of the information characteristics and the usefulness of this alternative form of forecast disclosure to investors. The study examines a sample of qualitative forecast statements from the 1979–1985 period and finds associations between these forecasts and percentage changes in realized earnings per share, the direction of financial analysts' forecast revisions following the disclosure of these forecasts, and abnormal stock returns on the date of their disclosure. These associations are, however, shown to be more significant for negative (bad news) than for positive (good news) forecasts.