Tests of efficiency wage theory and contract theory with disaggregated data from the U.S.

Zusammenfassung Tests der Effizienzlohntheorie und der Kontrakttheorie mit disaggregierten Daten der USA. — Der Autor testet die Voraussagen der Effizienzlohntheorie und der Kontrakttheorie, indem er den Grad der Lohnrigidit?t in sieben wichtigen Sektoren (1-stellige SIC) und 19 gewerblichen Industriezweigen (2-stellige SIC) in den USA sch?tzt. Der Grad der Lohnrigidit?t wird anhand von PhillipskurvenGleichungen, die nach Industrien disaggregiert sind und Indikatoren für die aggregierte Arbeitslosenrate sowie die Nachfrage nach den Produkten der einzelnen Industriezweige enthalten, gesch?tzt. Effizienzlohntheorie und Kontrakttheorie werden getestet, indem die Korrelationen zwischen dem Grad der Lohnrigidit?t in einer Industrie und den Merkmalen einer Industrie, die für die jeweilige Theorie charakteristisch sind, berechnet werden. Die Ergebnisse stützen stark die Effizienzlohntheorie und scheinen für die Kontrakttheorie nicht so günstig zu sein.

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Resumen Tests de la teoría del salario eficiente y de la teoría del contrato con datos desagregados para los EE UU. — En este trabajo se someten las predicciones de la teoría del salario eficiente y de la teoría del contrato a un test, estimando el grado de rigidez salarial en siete sectores importantes (a nivel de un dígito de la SIC) y 19 industrias manufactureras (a nivel de dos dígitos de la SIC) en los EE UU. El grado de rigidez salarial es estimado usando ecuaciones de la curva de Phillips desagregadas por industria, las cuales incluyen indicadores de la tasa de desempleo agregada y de la demanda de productos industrials. La teoría del salario eficiente y la teoría del contrato son sometidas a un test calculando las correlaciones entre el grado de rigidez salarial de una industria y las caracteristicas de esa industria, relacionadas con estas teorias. Los resultados dan apoyo a la teoria del salario eficiente, mas no parecen ser tan favorables para la teoria del contrato.

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Résumé Des tests de la théorie du salaire efficient et de la théorie de contrat avec des données disaggrégées des Etats Unis. — Cette étude soumet les prédictions de l’hypothèse du salaire efficient et la théorie de contrat à un test en estimant le degré de rigidité des salaires dans 7 secteurs majeurs (1-digit SIC) et 19 secteurs industriels (2-digit SIC) aux Etats Unis. Le degré de rigidité des salaires est estimé par les équations de la courbe de Phillips, disaggrégées par l’industrie, qui incluent des mesures du taux de ch?mage aggrégé et la demande aux produits des secteurs industriels. On soumet la théorie du salaire efficient et la théorie de contrat à un test en calculant les correlations entre le degré de rigidité des salaires et des caractéristiques des secteurs industriels qui se réfèrent à ces théories. Les résultats supportent principalement la théorie du salaire efficient et ne semblent pas être aussi favorables à la théorie de contrat.

     

Formally modelling a gender-segregated economy: A response to William Darity, Jr

William Darity Jr.'s model, presented in the November 1995 issue of World Development (Darity, 1995), is an important attempt to provide an outline for gender-based analysis at the household level. The model falls short, however, because it focuses on income maximization without specific constraints on the man's time. This paper demonstrates that as formulated there is no internal maximization solution possible, and then offers additional economic information that would be meaningful and appropriate to make Darky's model well-specified.     

AUSTRALIAN FARM ORGANIZATIONS AND AGRICULTURAL POLICY

This paper describes the structure and operation of the Australian farm organisations and discusses their role in the formation of public policy. Comparisons are made between their activities and those of similar organisations in other countries. In the later sections of the paper there is some discussion of the process of government consultation with rural pressure groups in Australia and of the question of unification.     

Adding Value to the Teaching and Learning of Design and Technology

It has been argued that design and technology can be used as a vehicle for teaching science and vice versa. In this paper, we report an investigation into Grade 6 students understandings of concepts embodied in the Systems strand of a technology syllabus as they grappled with a unit of work in technology for the first time. The unit of work involved students in the design and construction of simple systems, followed by experiences with more complex systems. Qualitative research methods were used to investigate the activities of the students as they engaged in the design and technology learning experiences for eight weeks. Data sources included student and teacher interviews, video and audio recordings of whole class and small group interactions, students notes, drawings and diagrams, and researchers field notes and reflections. Changes in students ability to identify the individual components and analyse how the components worked together in systems, and evidence of students use of scientific understandings for explanations, were noted as the unit of work progressed. An improvement was observed in students abilities to describe relationships between inputs, processes and outputs, and outline sequences of cause and effect. The technology and science appeared to be complementary as they developed technology specific and action-oriented technology and science language, which may be evidence of the presence of a community of learners. Recommendations are proposed for enhancing the value of both design and technology and science if both subjects are taught together as part of an integrated program in primary schools.     

Fiscal Stabilization Policy and Fiscal Institutions

In this paper we analyse counter-cyclical fiscal policy withinthe context of a microfounded analysis of business-cycle stabilization.We show that tax and spending instruments can have a usefulcounter-cyclical role, even after allowing for the distortionarynature of the instruments and the need for debt sustainability.A critical barrier to the use of fiscal instruments may be politicaleconomy concerns, and we survey recent suggestions involvingalternative fiscal policy institutions. Footnotes ¹ E-mail addresses: c.b.leith{at}socsci.gla.ac.uk; s.wren-lewis{at}exeter.ac.uk     

PROBLEMS OF ADAPTATION OF PASTORAL BUSINESSES IN THE ARID ZONE*

With emphasis upon Central Australia, an assessment is made of the economic problems of pastoral firms in meeting the climatic conditions of the arid zone. Analysis ranges over the responsibility for conservation and drought planning, the inadequacy of a purely physical approach to conservation, the difficulties of station organization and management in the arid zone, the array of possible managerial strategies for meeting these difficulties, and the effect of social institutions on the choices avail. able to management.