From Phillips curve to wage curve

Summary In most traditional macroeconomic models for The Netherlands the wage equation is specified by a Phillips curve, in which wage growth is negatively related to the unemployment rate. This paper shows, however, that wage formation can better be described by the so-called wage curve, in which the wage level, instead of wage growth, depends negatively on the unemployment rate.The author thanks S.K. Kuipers and D.A.G. Draper and other colleagues of the Central Planning Bureau for their useful comments.     

Demographic & related differences in ethical views among small businesses

This study examines the effects of demographic characteristics on ethical perceptions. While earlier research has produced conflicting results regarding the predictive power of these variables, significant and definite insights were obtained with proper controls. The following predictors of ethical attitudes are examined: age, gender, marital status, education, dependent children status, region of the country and years in business, while controlling for job status. A nation-wide random sample of employees was used in obtaining a response rate of fifty-three percent (total n of 423). Indices of aspects of business ethical attitudes were constructed using factor analysis. Linear multiple regression analysis indicated the significant predictive variables. Age was found to be a most-significant predictor. Older workers had stricter interpretations of ethical standards. Gender and region predicted attitudes about job-discrimination practices only, with women and persons from the Midwest most strongly opposed to the practice. All the other variables proved to be unreliable ethics predictors.Paul Serwinek is a research affiliated with Wayne State University. He has done extensive research in business management and consulting work in the field of insurance agency employee job satisfaction.SPSS PC Plus Computer Program used.     

Search and Liquidity in Single-Family Housing

A two-stage least squares model of housing prices is estimated with data collected from 3358 single-family home transactions. The results provide evidence for an optimal marketing period and indicate that a liquidity premium is priced in single-family home sales. Consistent with the hypothesis derived from economic search models, the model shows higher selling prices for houses having longer expected marketing periods. The model also shows a price premium for houses that sell faster than expectations. This effect supports the concept that liquidity is a value-enhancing characteristic.     

The Quality of Smallholder Coffee in South Sumatra: The Production of Low-Quality Coffee as a Response to World Demand 1

Improving the quality of Indonesia's coffee exports has been a priority of government and the Association of Indonesian Coffee Exporters for some years. Efforts to achieve this objective have, however, been hampered by misconceptions about the reasons why coffee producers and traders at each point in the marketing network do not deliver a higher quality product. The research reported here shows that price premia for higher quality coffee are not large enough to encourage greater quality enhancement. The world market for low to medium grades, used in the production of instant coffee, is much larger than that for high-quality coffee, and this preference is transmitted in the form of low incentives to improve the product. Failure to understand this has led to government policies which at best do not solve the quality problem and at worst exacerbate it.     

ORGANIZATIONAL CONTEXT AND THE INTERPRETATION OF STRATEGIC ISSUES: A NOTE ON CEOS’ INTERPRETATIONS OF FOREIGN INVESTMENT*

This paper explores the relationship between organizational context and the interpretation of strategic issues by examining the hypothesis that CEOs' interpretations of foreign investment in the USA are influenced by the organizational context in which they are embedded. Three aspects of organizational context - the global business experience of the firm; the firm's level of organizational inertia (as represented by firm age and size); and the resources available for responding - are examined as predictors of CEOs' perceptions of foreign investment as a threat or an opportunity. Analysis of data from 320 organizations, controlled by industry, shows that global business experience, firm size, and perceived capability are significant predictors of the perception of threat and opportunity. the discussion addresses the implications of these findings for future research on issue interpretation and organizational context.     

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.     

Rafting the River: A Risk Management Expert System for Dynamic Problem Solving

Commercial project management systems focus on preproject planning and after-the-fact documentation, but not on the dynamic problem solving required in day-to-day project management. Yet the need for risk-oriented management is clear. To understand and control project risks, managers must be able to identify problems as they occur, immediately assess their downstream impacts, and plan a course of action. The Advanced Risk Management System (ARMS) is a prototype system built to address the issues of identifying, analyzing, prioritizing, monitoring, and controlling project risk. ARMS uses expert systems, data base management, and hypermedia technologies to capture and classify project schedule problems, to determine their semantic impacts to future activities, and to alert appropriate project personnel in advance of problem occurrence.