Prospects of trade liberalization between the developed and the developing countries

This paper analyzes the theoretical and policy aspects of various possible approaches — multilateral, preferential and others — toward new initiatives for liberalizing trade relations between the developed and the developing countries. The increasing differentiation between the Newly Industrializing Countries (NICs) and the Less Developed Countries (LDCs) suggests that a multidimensional framework, allowing flexibility in dealing with different subsets within the developing countries would be more relevant. The paper analyzes the probable outcomes and constraints of the various trade-liberalizing options with regard to their effects on trade flows, welfare and terms of trade.     

Adaptive behavior,demand and preferences

This paper extends the work on endogenous change of tastes of Von Weizsäcker to the n-commodity framework and for a general adaptive behavior process. The paper examines the relation between the effect of taste changes to income and price changes. It provides sufficient conditions for stability of the underlying dynamic process, establishes uniqueness of the equilibrium demand vector and some useful relations between the long-run demand functions and the equilibrium short-run demand functions. It is also shown that the long-run demand functions can be rationalized by a utility function if and only if the short-run utility function is such that any good that experiences learning or taste change is separable from all other goods.     

The theory of reform and indian indirect taxes

Given a set of value judgements, an initial state, and a model of the economy, one can ask whether some feasible tax change would increase welfare. We do this by defining the marginal cost in terms of welfare of raising an extra rupee from the ith good. The inverse optimum problem is the calculation of non-negative welfare weights on households which imply that the initial state is optimum. If no such welfare weights exist, then a Pareto improvement is possible. We illustrate the concepts and results using data from the Indian economy for 1979–1980. Directions of tax reform for a number of specific social welfare functions and for Pareto improvements are presented.     

Asia Pacific telecommunity

The problems of development and improvement of telecommunication services in the Asia Pacific region are vast and complex. Nearly 60% of the world population lives in this region which offers many contrasts in geographical, climatic and socioeconomic conditions. Telecommunication services in the developing countries of the region lag far behind the world average.     

Input subsidies and crop diversity on family farms in Burkina Faso

Since their independence, many countries in sub-Saharan Africa have used input subsidies to increase agricultural productivity and improve food security. We analyse the effects of both a fertiliser and a seed subsidy on farming households' land allocation among crops and crop diversity in Burkina Faso. Although previous studies investigated either the impact of a fertiliser or a seed subsidy on targeted crops, few examined the effects of both subsidies combined. Applying a correlated random-effects model with a control function approach to nationally representative, 2-year panel data collected from farming households, we find that those with access to the fertiliser subsidy allocate more land to the crops it targets (rice, maize and cotton) than non-targeted crops. Focusing on a minor crop with key agronomic and nutritional attributes, we conclude that land allocation to cowpea as the primary crop and intercrop declined with the fertiliser subsidy. The fertiliser subsidy also negatively affects crop diversity. However, we find that the cowpea seed subsidy offsets the bias of fertiliser subsidy toward fertiliser-targeted crops and enhances diversity.     

Parity reversion in the Asian real exchange rates: new evidence from the local-persistent model

This article investigates the time-series properties of 13 Asian real exchange rates (RERs) vis-à-vis the US dollar. The half-life point estimates drawn from the local-persistent model are all less than 2 years, with a finite upper bound. There is no evidence to indicate that the Asian financial crisis has altered the speed of the purchasing power parity (PPP) adjustments. We find that the persistence of RERs over the last three decades remains unchanged in majority of the cases. Given the fairly rapid speed of adjustments and their corresponding confidence intervals, we conclude that the PPP puzzle does not exist in these countries.     

Organizational Learning in Tourism Crisis Management: An Experience From Malaysia

Tourism and related organizations are dealing with crises either based on a specific crisis management plan, contingency planning, designed guideline, or ad hoc response. These organizations learn from crises in different ways, but no mechanisms have been explored to indicate how these organizations learn within the framework of Tourism Crisis Management (TCM). Among various reasons is limited systematic research that has been undertaken in this area. This study addresses this gap in our current knowledge by proposing a model for analyzing and developing organizational learning within the framework of TCM. The study shows the perceptions of 25 key players in Malaysia’s tourism industry on the role of organizational learning in managing crises. The findings also revealed that organizational learning is subject to negligence and few key practitioners thinking about in-depth learning from the crisis management perspectives.     

Using Cross-Cultural Dimensions Exercises to Improve and Measure Learning Outcomes in International Business Courses

This article proposes an approach for using cross-cultural dimensions exercises to improve and measure learning outcomes in international business courses. The following key issues are highlighted: (a) what are the targeted learning outcomes to be assessed, (b) how to measure the accomplishment of these learning outcomes, (c) the input measures needed to determine what the students had learned, and (d) the measurement process. Also, this article offers educators strategies for merging assurance of learning approaches into business courses that are integrative in nature, and an example on how to use cross-cultural dimensions exercises as a pedagogical tool for enhancing and measuring learning.     

The contract,accounting and trust: A case study of an international joint venture (IJV) in the United Arab Emirates (UAE)

This paper reports on the results of a case study that examines the effect of the contract and accounting on inter-organisational trust in an international joint venture (IJV). The empirical setting of the research was an IJV relation between a United Arab Emirates (UAE) firm and its western partner. Data were gathered from multiple sources, including documents, observations, interviews and discussions with managers. The paper aims to explore the process of trust development and the role of the contract and accounting in this. We find that trust developed differently for the partners. Moreover the trust concerns of the partners were not the same. Based on this we conclude that trust was not automatically reciprocated. Instead it needs relating to other items such as the contract, accounting and also the institutional environment. The open-book accounting we observed could only be termed ‘partial’ because the western partner had access to the local partner's books but not the vice versa. But this partial open-book accounting created conflicts between the partners. We argue that developing one kind of trust through one particular medium may help one party but may damage the relationship between the partners.