Sarbanes-Oxley wealth effects: focus on technology firms

We evaluate the shareholder wealth effects surrounding the passage of the Sarbanes-Oxley Act (SOX). While other studies have also measured wealth effects, none has separately examined technology firms. We discuss the unique characteristics of technology firms and assess whether technology firms are differentially affected. Our results show the portfolio of 218 technology firms experienced significantly more favorable wealth effects than the portfolio of 940 non-technology firms in response to events indicating stringent reform legislation. The cross-sectional analyses suggest that board independence, growth expectations, and R&D expenditures are influential factors in the differential stock price response of technology firms. Across our full sample of 1,158 firms, we find that wealth effects are less favorable for firms that likely will incur high compliance costs and more favorable for firms that are expected to benefit from improved governance and improved transparency.     

A trait-based model of the potential demand for a genetically engineered food crop in a developing economy

We predict the potential demand of smallholder farmers for genetically transformed varieties of a food crop, the cooking banana of the East African highlands. Farmer demand for planting material is derived in an agricultural household model that accounts for variety traits and missing markets. The demand for candidate host varieties is predicted using a Zero‐Inflated Poisson (ZIP) regression system. The fitted model is used to illustrate the sensitivity of farmer demand for improved planting material to (a) investments in research and development, represented by the effectiveness of gene insertion and expression, and (b) other public investments in education, extension, and market infrastructure that support diffusion. By comparing the characteristics of agricultural households we demonstrate that the choice of host variety can have social consequences, favoring one rural population compared with another. Clients for transgenic banana planting material are likely to be poorer, subsistence‐oriented farmers in areas greatly affected by biotic constraints. A model of this type might be useful in assessing the investments needed to support the systematic dissemination of improved planting material. The approach can be generalized to other crop biotechnologies for smallholder farming systems, particularly in developing economies.     

Off‐farm Employment and Input Intensification among Smallholder Maize Farmers in Kenya

We derive input demand functions for fertiliser and hybrid seed, testing for the combined and separate effects of income from non‐farm sources and agricultural wage labour among smallholder maize farmers in Kenya. More income from off‐farm sources, and specifically non‐farm sources, competes with maize intensification, particularly in more productive areas where use rates are higher. In less productive areas, where households rely more on off‐farm income and input use in maize is extremely low, agricultural wage labour reduces the likelihood that fertiliser is applied, but when used, has a positive effect on quantities purchased of both seed and fertiliser.     

Are Employers Omniscient? Employer Learning About Cognitive and Noncognitive Skills

Do employers recognize noncognitive skills at the beginning of a career or is there a learning process? Does learning transfer perfectly across employers or is there a degree to which learning resets as employees change jobs throughout their careers? This paper uses data from the National Longitudinal Survey of Youth, 1979 to incorporate measures of noncognitive skills into a model of symmetric employer learning described originally by Altonji and Pierret ( 2001 ) and nested in a model of asymmetric employer learning as in Schönberg ( 2007 ). I find evidence that employers reward self‐esteem, internal control, and schooling initially, while rewarding cognitive skills and motivation over time.     

Wheat breeding,productivity and slow variety change: evidence from the Punjab of India after the Green Revolution*

Variety change and genetic diversity are important means of combating crop losses from pests and diseases in modern agricultural systems. Since the Green Revolution, genetic diversity among wheat varieties released in India has increased but variety change on farms continues to be slow. In this article, we define and summarise indices of variety change and genetic diversity for the wheat varieties released and grown in Indian Punjab during the post‐Green Revolution period. We evaluate the effect of each index on technical efficiency with a Cobb‐Douglas yield model after testing for exogeneity. Findings support the hypothesis that slow variety change has offset the positive productivity effects of diversifying the genetic base in wheat breeding during the post‐Green Revolution period. Policies that speed the rate of variety change and contribute to a more equitable spatial distribution of modern varieties could support wheat productivity in the Punjab of India, reinforcing plant breeding successes.     

The Role of Home Gardens in Promoting Multi-Functional Agriculture in Hungary

Home gardens are small-scale family farms managed with traditional methods. Throughout Hungary's history, they have provided food security and diet quality to families who have faced volatile food prices and fluctuating real incomes. If markets function better with European Union (EU) accession, the conditions for reliance on home gardens may weaken—although not for all Hungarians. This paper reports the results of an interdisciplinary project investigating the economic value of home gardens of over 400 farmers in rural Hungary. We find that home gardens generate several public goods, including agro biodiversity and cultural heritage. The most economically, geographically and ecologically marginalized farmers not only manage the home gardens with the highest levels of public goods, but also derive the highest private benefits from them. Should Hungary seek to promote multi functional agriculture in line with the objectives of the EU's reformed Common Agricultural Policy, then provisions for home gardens would need to be incorporated into national programmes and legal frameworks. This research identifies some of the crops and the characteristics of farmers and farming communities that would constitute least cost targets for related programmes. Findings have implications for other EU member Central and Eastern European Countries with similar traditions of home gardening.     

Funding an accelerated baccalaureate nursing track for non-nursing college graduates: an academic/practice collaboration

To expand nursing programs to better meet workforce demands, nursing education must offer nontraditional students more educational opportunities that are flexible, streamlined, and low cost. Accelerated programs, particularly programs tailored to attract individuals with degrees in other fields and looking for career changes, are great examples. The cost factors related to a successful accelerated degree program designed for non-nursing college graduates are described. Based on the experiences with a previously implemented accelerated BSN program offered from 1987-1994 at one university, a revised accelerated option model was developed that included ongoing involvement with four community hospitals, shared budget responsibilities, student stipends, and a 3-year work commitment by graduates at a sponsoring hospital. The investment of approximately $1.6 million over 7 years resulted in the education and graduation of 75 new registered nursing professionals to meet the health care needs of the citizens of the community.     

Determinants of millet diversity at the household-farm and village-community levels in the drylands of India: the role of local seed systems

This research characterizes the biological diversity of millet crops in the semiarid regions of India at the household and village‐community ( panchayat) scales of analysis, placing that evidence in the context of local seed systems. A set of seed system parameters that span formal and informal exchange and can be measured empirically are proposed. The analysis is based on data collected through sample surveys of farmers and traders in selected sites of Karnataka and Andhra Pradesh, combined with cultivar taxonomies developed with geneticists and applied to seed samples. Findings demonstrate that millet crop diversity levels at both scales of analysis are significantly influenced by seed system parameters, factors which related studies have omitted. In particular, the presence of active local (formal and informal) seed markets enhances millet richness among and within farming communities. Crop improvement strategies oriented toward local seed markets could provide important benefits and incentives to farm households living in these marginal environments. There is a need, however, for an enhanced theoretical understanding of local seed markets in analyzing crop variety choices and the diversity of materials grown in less favored environments.     

INDUSTRY EFFECTS OF ANALYST STOCK REVISIONS

We examine the industry valuation effects of analyst stock revisions and identify the variables that influence these effects. Our results show that industry rivals experience significant abnormal returns in response to revision announcements. Although the mean stock price response suggests contagion effects, there is also evidence of significant competitive effects. The valuation effects are influenced by the magnitude of the rated firm's announcement return, along with analyst‐specific and industry‐specific characteristics. However, the sensitivity of the valuation effects to these characteristics is conditioned on whether the industry effects are contagious or competitive.     

Searching an Ex Situ Collection of Wheat Genetic Resources

A theoretical model is developed and applied to the search for disease and pest resistance in ex situ collections of wheat genetic resources, employing actual data on frequency distributions, disease losses, and search costs. Experiments developed from case studies clarify several misperceptions about the value of gene banks and their utilization by breeders. The observation that wheat breeders "use" gene banks rarely does not imply that marginal accessions have low value. High costs of transferring genes with conventional breeding techniques mean that it may be efficient to store certain categories of genetic resources (such as landraces) 'unused' for many years.