Domestic and trade impacts of foot‐and‐mouth disease on the Australian beef industry

Australia is the sixth largest producer of beef and the second largest exporter of beef. Average beef exports from Australia are approximately 65 per cent of the total amount of beef produced, about 1.3 million tonnes. Australia is particularly vulnerable to diseases that are not endemic to the country and could close or disrupt its export markets for beef. In this study, we construct a bioeconomic optimisation model of the Australian beef industry that captures production and consumption decisions, domestically and internationally, and the impacts on the beef industry of a potentially catastrophic disease, foot‐and‐mouth disease (FMD). This study analyses localised to large‐scale outbreaks and suggests that changes in economic surplus because of FMD range from a positive net gain of $57 million to a net loss of $1.7 billion, with impacts on producers and consumers varying depending on the location of the outbreak, control levels and the nature of any trade ban.     

Going overboard? On busy directors and firm value

The literature disagrees on the link between so-called busy boards (where many independent directors hold multiple board seats) and firm performance. Some argue that busyness certifies a director’s ability and that such directors are value enhancing. Others argue that “over-boarded” directors are ineffective and detract from firm value. We find evidence that (1) the disparate results in prior work stem from differences in both sample composition and empirical design, (2) on balance the results suggest a negative association between board busyness and firm performance, and (3) the inclusion of firm fixed effects dramatically affects the conclusions drawn from, and the explanatory power of, multivariate analyses. We also explore alternative empirical definitions of what constitutes a busy director and find that commonly used proxies for busyness perform well relative to more complex alternatives.     

Institutional dimensions underlying public trust in information on technological risk

This paper examines the determinants of trust in public information on technological risk in a petrochemical complex located in Tarragona (Spain). Data from focus groups (eight) and a questionnaire survey (N = 400) are drawn together to analyse how two local communities exposed to major chemical hazards perceive information on risk and its sources. Results show how trust relies on two main factors, namely expertise and trustworthiness, that are significantly influenced by a third one, antagonism. Results also illustrate the relevance of the institutional context when understanding how communities give meaning to the available information on risk.     

Supply chain relationships: Exploring the linkage between inter-organisational adaptation and learning

This paper aims to advance the process dimension of inter-organisational adaptation that takes places in supply chain relationships, building upon learning literature. Therefore, it summarizes and disentangles the different debates on inter-organisational adaptation and learning in the literature and establishes the theoretical linkage between both concepts. Two dyadic case studies show that the learning processes that underlie inter-organisational adaptations may be comprehensively classified based upon the direction of learning, resulting in “learning from” versus “learning with”, and based upon the span of learning, resulting in “incidental learning” versus “incremental learning”. The experiential nature of learning provides an explanation for the reinforcing character of inter-organisational adaptation, which is an alternative to the explanations presented in literature on supply chain relationships.     

Perfectionism,Paternalism and Liberalism in Sen and Nussbaum's Capability Approach

The aim of the paper is to analyse the theoretical foundations of human development policies as found in Sen's and Nussbaum's capability approach to development, and to examine to what extent undertaking policies according to the capability approach respects people's freedom to pursue their own conception of the good. The paper argues that policies undertaken according to the capability approach have to be guided by a perfectionist conception of the good; that is, they cannot avoid promoting one certain conception of the human good. Such a perfectionist conception of the human good, and the policies ensuing from it, has often been qualified as paternalist, depriving the human being of choosing her own conception of the good. The paper examines to what extent those fears of paternalism that seem to underlie policies guided by a perfectionist account of the good are legitimate, and to what extent the capability approach can escape those charges of paternalism and respect each person's freedom to pursue the human good as she conceives it.     

A Model for Analyzing the Impact of Selective Lapsation on Mortality

Abstract

This paper presents a model for examining the effect of various relationships between mortality rates and lapse rates on the mortality experience of a cohort of insured lives. The approach is individual rather than the aggregate traditionally used in analyzing selective lapsation. The model assumes that insured lives are healthy at policy issue, but later may move to an impaired state from which the lapse rate is zero. Associated with each insured is an unobservable “risk level” random variable, which reflects the heterogeneity of the insured group. Individual mortality and lapse rates are functions of the risk level. A numerical illustration provides some interesting results obtained by using this model.     

The Compatibility of Advertising Regulation and the First Amendment

This article argues that advertising regulation and the First Amendment are not nearly so incompatible as has been popularly suggested. The reason lies in their common historical roots. Advertising regulation has its origins in the law of caveat emptor, a law of freedom of speech established from the same philosophical background as was the First Amendment. This relationship is described, and implications for present and future regulation are discussed.