Output persistence from monetary shocks with staggered prices or wages under a Taylor Rule

We analytically examine output persistence from monetary shocks in a DSGE model with staggered prices or wages under a Taylor Rule. Surprisingly, while Taylor-style staggering never yields persistence, Calvo-style staggering of wages does generate persistence under decreasing returns to labour.     

Import Quotas and Entry Deterrence

Using a simple version of the Milgrom and Roberts entry deterrence model, it is shown that adjusting a quota so that a greater volume of imports is allowed, can facilitate entry into the domestic industry. That is, the easing of a quota, can cause the domestic incumbent to shift from deterring entry to accommodating entry.     

Public attitudes to TDM measures: a comparative study

This paper presents the results of a range of data analyses of users’ attitudinal responses to various travel-demand management measures in two case-study cities in the UK: Cambridge and Newcastle upon Tyne. The analyses focus on several important aspects of implementing TDM measures, including the relationship between the perceived effectiveness and public acceptance of alternative TDM measures and how the generated net benefits, in particular the revenues raised from road-user charging and increased parking charges, are used. A number of key issues are identified for the implementation of TDM measures that are both acceptable to the public and also capable of achieving their stated objectives.     

The Accelerated Sublime: Landscape,Tourism, and Identity

Abstract

One of the first lessons in any economics course is that prices of substitute commodities matter. For example, the magnitude of estimated values for a specific recreation area may be substantially affected by the availability of substitute sites. This basic lesson of economics is often overlooked in the design of contingent‐valuation questions. Assumptions regarding the prices of substitutes become implicit in designing surveys and are rarely made explicit to survey respondents. In this article, hypotheses are formulated about hunter responses to contingent valuation questions under explicit and implicit assumptions regarding prices of substitute hunting opportunities. The hypotheses are tested using data from a statewide survey of Maine hunters. The results indicate that it may not be necessary to specify assumptions that prices of substitutes remain unchanged. In contrast, respondents did not change their statements of value when told that the prices of substitutes had doubled.     

Determining the antecedents for a strategy of corporate social responsibility by small- and medium-sized enterprises in the UK fashion apparel industry

This paper seeks to increase the understanding of the antecedents of corporate social responsibility (CSR) in small UK fashion garment manufacturing firms. A review of CSR practice is used to inform the theoretical development of the wider aspects of small business competitive advantage. A causal map of the antecedents of CSR in the context of small- and medium-sized enterprises (SMEs) is presented which will help guide the selection of the constructs to be used for measuring the existence of CSR in SMEs in the UK fashion garment manufacturing industry. Future research will gain a greater understanding of this phenomenon through evaluating the obstacles and drivers for the implementation of a CSR strategy in small garment manufacturing businesses.     

A defense of utilitarian policy processes in corporate and public management

The growing awareness that corporate and public policy forming processes are intensively utilitarian has provoked a variety of criticism. The procedural difficulties of utilitarianism are well known; less well known but potentially more devastating is a set of charges that utilitarian policy processes intrude upon important relationships and societal processes. This paper defends utilitarian methods against these charges.More specifically, two criticisms are singled out for examination. The first is the claim that utilitarian policy processes systematically discriminate against the rights of non-human life and suppress any feelings of sympathy or obligation humans might have for animals or plants. The second is the argument that utilitarianism ultimately circumvents considerations of process which are essential for the development of individual and societal identity.Given these criticisms, the goal of this paper is to defend the role of utilitarian techniques in corporate and public policy processes against such charges. F. Neil Brady is Assistant Professor of Management at the College of Business Administration, San Diego State University. He is the author of Feeling and Understanding: A Moral Psychology for Public Servants, Public Administration Quarterly 7, and Ethical Theory for the Public Administrator: The Management of Competing Interests, American Review of Public Administration 15, pp. 119–126.     

Empirical modeling of money demand

This paper examines several central issues in the empirical modeling of money demand. These issues include economic theory, data measurement, parameter constancy, the opportunity cost of holding money, cointegration, model specification, exogeneity, and inferences for policy. Review of these issues at a general level is paralleled by discussion of specific empirical applications, including some new results on the demand for narrow money in the United Kingdom.The author is a staff economist in the Division of International Finance, Board of Governors of the Federal Reserve System, Washington, DC 20551 USA, and may be reached on the Internet at ericsson@frb.gov. The views in this paper are solely the responsibility of the author and should not be interpreted as reflecting the views of the Board of Governors of the Federal Reserve System, the Reserve Bank of Australia, or any other person associated with the Federal Reserve System or the Reserve Bank of Australia. I am grateful for the generous hospitality of the Reserve Bank of Australia, where I was on secondment when this research was begun. I also wish to thank Tony Brennan, Gordon de Brouwer, Julia Campos, Ed Nelson, Jerome Fahrer, Jon Faust, Steve Grenville, David Hendry, John Irons, Katarina Juselius, Neva Kerbeshian, Helmut Lütkepohl, Dieter Nautz, Athanasios Orphanides, Kevin Prestwich, Robert Subbaraman, Timo Teräsvirta, Jenny Wilkinson, Jürgen Wolters, and two anonymous referees for helpful comments and discussions. All numerical results were obtained using PcGive Professional Version 9.0; see Doornik and Hendry (1996). This paper is a condensed version of Ericsson (1998), which provides additional empirical and analytical examples and more extensive references. The data may be obtained from the Internet at http://wotan.wiwi.hu-berlin.de/oekonometrie/engl/data.html.