AN EVALUATION OF PRICING PERFORMANCE OF THE CANADIAN FEED GRAINS POLICY

Models, both theoretical and econometric, were developed to examine the pricing performance of the Canadian feed grains policy. An 18 equation econometric model, comprising three levels; farm, Canadian Wheat Board and domestic open market, provided the means to measure intermarket price relationships empirically. The model was further simulated for two policy situations, changes in domestic barley stocks and exports. The analytical results support the theoretical contention that the structure of the feed grains market (policy) does not lead to price efficiency. Results showed that performance was dependent upon Canadian Wheat Board export policy and producer marketing decisions which in turn are influenced by the feed grains policy and associated marketing structure. Des modèles théoriques et des modèles économétriques ont été développés avec le but d'examiner le fonctionnement, à l'ègard des prix, de la politique des grains alimentaires au Canada. Un modéle économetrique àéquations, comprenant trois niveaux; la ferme, La Commission Canadienne du Blé, et le marché libre domestique; a produit le moyen de mesurer empiriquement les rapports entre les cours de marche. Le modèle a ètè simulé, en addition, pour examiner deux situations politiques, les changements dans les stocks domestiques et dans les expoetations de l'orge. Les résultats analytiques donnent appui à l'hypothèse théorique que la structure du marché des grains alimentaires (la politique) ne mène pas à l'efficacité de la détermination des prix. Les résultats ont montré que le fonctionnement dépendait de la politique d'exportation de la Commission Canadienne du Blé et des décisions marchandes des producteurs qui, à leur tour, sont influencées par la politique des grains alimentaires et par la structure marchande y associée.     

The Relation between Stakeholder Management,Firm Value,and CEO Compensation: A Test of Enlightened Value Maximization

Whether firms pursue shareholder value maximization or the maximization of stakeholder welfare is a controversial issue whose outcomes seem irreconcilable. We propose that firms are likely to compensate their executives for pursuing the firm's goal be it shareholder value maximization or the maximization of stakeholder welfare. In this paper, we examine the correlation between firm value, stakeholder management, and compensation. We find that stakeholder management is positively related to firm value. However, firms do not compensate managers for having good relationships with its stakeholders. These results do not support stakeholder theory. We also find an endogenous association between compensation and firm value. Our results are consistent with Jensen's (2001) enlightened value maximization theory. Managers are compensated for achieving the firm's ultimate goal, value maximization. However, managers optimize interaction with stakeholders to accomplish this objective.     

Managing customer relationships. The challenge of deploying scarce managerial resources

In industrial markets many managers from marketing, technical service and production functions interact with customers. How should these managers be allocated to an evolving array of customers? This paper reports on the customer visits made by the managers of one packaging supplier. The visits of the marketing people seem related to the financial significance of the customer, whereas the technical visits are best understood by a ‘portfolio’ approach. At the same time many idiosyncratic and situational factors affect resource deployments.     

The practice of corporate social performance in minority- versus nonminority-owned small businesses

This study compares corporate social performance in terms of charitable contributions of minority-owned and nonminority-owned small businesses. In this sample, minority-owned small businesses are younger, have less full-time employees, and lower annual sales. Minority-owned small businesses donate more funds to religious organizations than nonminority-owned small businesses. When annual sales are accounted for, minority-owned businesses contribute more total dollars to all charitable organizations than nonminority-owned firms. Suggestions for future research in this area are delineated.Judith Kenner Thompson is an Assistant Professor of Business and Society at the University of New Mexico. Her work has appeared inResearch in Corporate Social Performance and Policy, Business Forum, and theJournal of Small Business Management.Jacqueline N. Hood is an Assistant Professor of Organizational Behavior at the University of New Mexico. Her current research interests include gender issues in business, small business and entrepreneurship, and corporate social performance.     

EFFECTS OF THE FARMER SUPPORT PROGRAMME AND CHANGES IN MARKETING POLICIES ON MAIZE PRODUCTION IN SOUTH AFRICA

This article analyses the effects of action aimed at narrowing the gap between South Africa's ‘two agricultures’, specifically the effects of the Farmer Support Programme (FSP) on structural aspects of maize production under different marketing policies. This is done by assembling a sectoral linear programming model of the South African summer-rainfall grain-producing area. The emphasis is on the inclusion of supply, demand and production risk. Results show that the effects of a successful FSP on specific interest groups, e.g. consumers of a specific product, or producers in a specific region, depend on the marketing policy followed, as well as on the effectiveness of the FSP. The analysis accentuates the interrelationships in South African crop production and illustrates how past policies ignored regional comparative advantages, distorted regional development and affected social welfare.     

Productivity in Chinese Provincial Agriculture

Technical change, technical efficiency and multifactor productivity indices are reported for a multiple-output, multiple-input production technology using Chinese provincial data for the 1979-95 period. Results show significant variation in productivity change from year to year and province to province. Using panel methods, we regress the three production indices on several factors important in explaining productivity changes. Decollectivisation in the early 1980s accounts for a significant expansion of the frontier, while rural industrialisation decreased agricultural productivity. Productivity is also sensitive to relative grain prices, to natural disasters such as flood and drought, and proximity of the provinces to coastal areas.     

FOOD SECURITY IN KWAZULU: RESULTS OF A HOUSEHOLD-BASED PROGRAMMING MODEL

A mathematical programming model of rural KwaZulu, excluding three northern districts, was developed to simulate agricultural production in regions of high and low cropping potential. This model aggregates enterprise levels predicted for four representative households of which two are in the high-potential region and two in the low-potential region. Several economic scenarios are simulated with the model to predict, inter alia, responses to changes in cereal prices, input subsidies, changes in off-farm employment and a rental market for crop land. Long-run food supply response is estimated to be inelastic with respect to changes in product and input prices. Higher food prices harm the majority of rural households. Lower input prices have little impact on household welfare. Conversely, it is predicted that a rental market for arable land could have a large positive impact on crop production and would improve household welfare.