The role of attitude in learning economics: Race and gender differences

This study identifies and analyzes factors that affect a learner's knowledge, comprehension, and application of economics by racial and gender grouping. A decomposition model is used to evaluate the impact of attitudinal effects and other exogenous variables on economic cognition. Preliminary findings suggest that the attitude of black students towards economics instruction differs from their white cohorts while no gender differences are found.     

Believing in employment discrimination: The case of Forrest Mims,Scientific American,and title VII protection

This article reviews the law regarding Title VII employment discrimination protection from religious discrimination. The issues surrounding the principal legal protection in this regard are explored in the context of a recent controversial case in which an author, Forrest Mims, was not hired as a regular contributor forScientific American magazine, ostensibly because of his belief in the theory of creation over the theory of evolution. The definition of what constitutes a protected religious belief or practice is seen to have expanded over time. However, a belief in creationism is not necessarily seen as being tantamount to a religious belief under present legal interpretation of Title VII. The implications of this finding for future needed Title VII revision are discussed.     

Economists and Data

This paper is concerned with one central question: the choice between theories, and the role played by data in that choice. It deals with the uses economists may make of data and the importance of understanding the institutional basis that gives rise to the data - an area in which labour economists have traditionally been particularly strong - and with the relevance of assumptions. It deals with the ultimate need to choose between competing theories (despite the role of conventionalism) on the basis of data rather than retreating into a comfortable 'methodological pluralism'. It considers the role of test replication, with reference to the practice in natural science (and its role there in checking scientific fraud) and concludes that, despite extensive technical problems of testing, economists have to accept a data check if the rhetoric of mathematical technicality is not to overwhelm the need to explain. Parallels are drawn with experience in physics (and the implications of the development of Chaos and Catastrophe for a naively predictionist view are noted), medicine and history (of which, it is argued, modern economists are far too neglectful).     

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.     

Value of Multinationality: Internalization, Managerial Self-interest, and Managerial Compensation

In this paper, we examine the impact of managerial self-interest on the value of multinationality. Since agency theory also suggests that a divergence between the interests of managers and shareholders can be aligned by effective managerial incentive, we also examine the effect of managerial compensation on the value of multinationality. Our results show that for high- Q (Tobin's Q > 1 ) firms, investors do not associate the spending of free cash flow on multinationality with the problem of overinvestments. For high- Q firms, it is also found that the value of multinationality can be enhanced by effective managerial incentives. For low- Q firms (Tobin's Q < 1 ), it is found that the concern of managerial self-interest overwhelms the benefits of internalization, making multinationality a value-decreasing event. For low- Q firms, managerial compensation is also ineffective in promoting value-enhancing foreign direct investments.     

Working While the World Sleeps: A Consideration of Sleep and Shift Work Design

The evolution of society and economic pressure has provided the impetus for operating on a 24-hr basis in many industries. This has occurred with relatively little attention toward sleep deprivation and related problems facing shift workers and the organizations employing them. This paper first documents the move toward shift work and some sleep problems associated with it. We then describe sleep disorders that impact job performance. Next, we describe alternative schedules and give suggestions for shift work implementation. Finally, we offer some normative advice regarding the treatment of shift employees.     

Exchange rate exposure and foreign exchange derivatives: do ineffective hedgers modify future derivatives use?

Recent studies examining the relationship between stock returns and exchange rate changes have provided evidence that the exchange rate exposure of non-financial companies is reduced by the use of foreign exchange derivatives. Building on such research, this study investigates whether past ineffective derivative hedging contributes to explaining future derivatives use. To the extent that companies monitor the effectiveness of their currency risk management practices, past ineffective hedgers can be expected to modify their future use of foreign exchange derivatives accordingly. In our study of 94 non-financial US multinationals, we provide evidence that the change in derivatives use from 1996–1998 to 1998–2000 can be explained in part by the ineffective hedging of currency risk in 1996–1998, controlling for variables associated with theories of optimal hedging. Additional analyses confirm that such primary results are robust to firm size, the level of foreign operations, and the use of derivatives to partially hedge currency risk. Our results imply that as exchange markets and risk management practices change, the use of derivatives to manage exchange rate risk also changes. Our contribution to this field of study is that we find evidence that past ineffective hedgers tend to increase their future use of FXDs.