Edgeworth's taxation paradox when firms engage in cost-reducing investment

This study examines whether and when Edgeworth's taxation paradox, that taxation decreases the equilibrium price, occurs in a free-entry Cournot oligopoly with cost-reducing investment. In contrast to the fact that no paradox occurs in the short-run equilibrium, the paradox can occur in the long-run equilibrium, in which the number of firms is endogenous. However, the conditions under which the paradox occurs are restrictive when there is no investment. By incorporating cost-reducing investments into the model, we demonstrate that the paradox is likely to occur under less restrictive conditions, irrespective of whether the tax is specific or ad valorem.     

Methods for strengths use support: A multi-dimensional model

This study examines how middle managers support their employees' strengths use via three sequential analyses. In Study 1, an open-ended questionnaire survey of high-performing middle managers at a global manufacturer in Japan (n = 144) was conducted to collect comments on strengths use support (SUS). The grounded theory approach was used to generate four categories of SUS, and a quantitative questionnaire was developed based on the analysis. In Study 2, three dimensions of SUS (understanding employees' strengths and interests, developing strengths through challenging assignments, and supporting the accomplishment) were identified by exploratory factor analyses using the questionnaire survey data of middle managers in Japanese firms (n = 208). Study 3 examined the validity and reliability of the three-dimensional model using confirmatory factor analysis of the questionnaire survey data of middle managers in Japanese firms (n = 209).     

BOOK REVIEWS

Book Reviews in This Article: Enterprise and the State in Korea and Taiwan. Industrialization and the State: The Korean Heavy and Chemical Industry Drive.