An Investigation of TBL Report Assurance Statements: Australian Evidence

This study investigates current practice relating to the provision of triple bottom line (TBL) report assurance statements. In undertaking the analysis, a database was constructed of companies that have released TBL reports accompanied by third-party assurance statements. The results of the research show that in Australia there is great variability in the contents of TBL assurance statements. Arguably, the great variation in practice raises questions about the usefulness, or "value-add", of TBL report assurance statements.     

COMMENT—ALCOHOL ADVERTISING IN MAGAZINES AND YOUTH READERSHIP: ARE YOUTHS DISPROPORTIONATELY EXPOSED?

This article investigates the relationship between alcohol advertising in magazines and youth readership, while controlling for a set of magazine and readership variables related to the demand for advertising space. It reconstructs and reanalyzes a data set including count data for alcohol ads placed in 28 magazines in 2001-2003 that was the basis for a previous study, which concluded that alcohol advertisers do not target youths. We address the problem of collinearity in that data set and add an explanatory variable to explicitly model the hypothesis that alcohol advertising is preferentially directed to a young adult audience. We find that the number of alcohol advertisements in magazines increases significantly with the proportion of youth readers, even after controlling for young adult readership. Our results indicate that youths are disproportionately exposed to alcohol advertising and that reducing youth exposure to alcohol advertising remains an important public policy concern. ( JEL L82, L66, M37)     

THE DETERMINANTS OF LAWS RESTRICTING YOUTH ACCESS TO TOBACCO

Since many smokers begin consuming tobacco products in their adolescent years, many states have adopted a variety of restrictions on youth access to tobacco, which studies show reduces the demand for tobacco among this cohort. This paper takes a different track by addressing the demand for youth access restrictions. Specifically, using a random effects Probit procedure, which controls for the endogeneity of cigarette consumption and taxation, we examine the determinants of nine methods commonly used by states to restrict youth access to tobacco . ( JEL H70, I18)     

Extended Warranties: Consumer and Manufacturer Perceptions

Extended warranties are becoming increasingly popular, both among consumers and manufacturers. In this study, consumer and manufacturer perceptions of why extended warranties are bought and sold are evaluated and compared. The results indicate that consumers seem to view extended warranties as a way of reducing perceived risk. Manufacturers reveal that they market extended warranties both to generate revenue and to provide service to customers. Marketing management and public policy implications are examined and research directions identified.     

Comparative Statics of Optimal Nonlinear Income Taxation with a Publicly Provided Input and a Nonlinear Production Technology

Comparative static properties of the solution to an optimal nonlinear income tax problem are provided for a model in which the government both designs a redistributive income tax schedule and provides a public input for a nonlinear production technology. These assumptions imply that wage rates are endogenous. The endogeneity of the wages necessitates taking account of general equilibrium effects of changes in the parameters of the model that are not present when the technology is linear.     

RATINGS AND REVENUES: EVIDENCE FROM MOVIE RATINGS

Ratings and report cards provide a relatively cheap way to influence consumer and producer decisions. We examine the specific case of movie ratings and find that receiving a mature rating (rated R) reduces a movie's box office revenues by 20%. We focus on the specific role of ratings by constructing a mature content index for each movie and compare movies with similar amounts of mature content, but that received different ratings. We also exploit the fact that the movie rating system places specific guidelines on the number of F‐words that are allowed at each content rating. (JEL D0, L82)     

The U.S. Treasury Buyback Auctions: The Cost of Retiring Illiquid Bonds

We study an important recent series of buyback auctions conducted by the U.S. Treasury in retiring $67.5 billion of its illiquid off‐the‐run debt. The Treasury was successful in buying back large amounts of illiquid debt while suffering only a small market‐impact cost. The Treasury included the most‐illiquid bonds more frequently in the auctions, but tended to buy back the least‐illiquid of these bonds. Although the Treasury had the option to cherry pick from among the bonds offered, we find that the Treasury was actually penalized for being spread too thinly in the buybacks.     

Estimating Current Cost Depreciation Expense Using Numerical Analysis and the STAPOL Technique: A Pedagogic Exposition

Current cost accounting (CCA) recommendations have led to complex measurement problems. This paper aims to provoke discussion of the use of numerical analysis and the STAPOL technique as a method for measuring current cost depreciation expense. The measurement method analysed has a scientific foundation, is simple to apply, and yields accurate results. With slight modification, the method analysed is also applicable to other areas of CCA characterized by intractable measurement problems. Unlike other papers which have used differential calculus to analyse the use of numerical analysis in accounting, the exposition in this paper depends on only a rudimentary knowledge of algebra.