Political Action Committees: Fact,fancy, and morality

The analysis of Political Action Committee activities is dominated by the perspective that PAC contributions are a rational investment in political candidates; they yield valuable short-term payoffs. PACs buy access to officeholders and their votes on important legislation. Despite broad acceptance of this morally suspect theory, the evidence upon which it is based is weak. An alternative perspective — what we call the principled approach — both fits the evidence and rejects the morally repugnant interpretation of the relationship between business and politics that permeates the rational investment perspective. Joanna Banthin and Leigh Stelzer are both Assistant Professors of Management and Industrial Relations at W. Paul Stillman School of Business at Seton Hall University. Together they wrote: Teachers Have Rights, Too(Social Science Education Consortium, Boulder, 1980). Leigh Stelzer also wrote: Mandate for Change: The Impact of Law on Educational Innovation(The American Bar Association, Chicago) and Capitol Goods: The New York State Legislature at Work(Capital Associates, 1975).     

Economics and Restaurant Gratuities: Determining Tip Rates

Abstract IS tipping in restaurants simply a social norm where people tip on the basis of some rule of thumb (15% of bill size for example)? Using evidence gathered from surveys of nearly 700 diners in 7 Minnesota restaurants, it is argued that tipping is both a social norm and a means of rewarding good service. Survey evidence suggests that diners use rules of thumb as starting points and then vary gratuities on the basis of service just received, expected future service, whether they dine alone or with a group, alcohol consumption and location of the restaurant. Tipping may be viewed as a game played indirectly between diners in which each diner contemplates tipping, or not tipping, based on expectations of future service and the tipping behavior of other diners. Tipping is commonplace as long as people expect better service when they tip more and the expected payoff to tipping rises when more people tip, but rare otherwise. Neo-classical economics is quite successful in predicting tip size as long as diners view tipping as a pecuniary cost of buying service.     

Understanding managed care risk sharing arrangements

A risk sharing agreement between a managed care organization and an employer can be used by employers to either guarantee a managed care plan's short-term success or mitigate its failure. Under such arrangements, the managed care organization financially shares the employer's risk of unfavorable claims experience.     

Federal government policies and the “housing quotient” of black american families

The “housing quotient"—the condition of and access to housing—is defined for black American families and is examined in conjunction with the major relevant federal policies and programs. Policies considered include fair housing and the national urban policy. Programs examined include public housing and rental assistance. The lack of data constrains the completeness of the analysis, although certain programs seem to enroll blacks in disproportion to the rest of the population. The paper concludes that blacks currently are served by all federal programs, even though many programs historically have failed to live up to their potential to assist blacks.     

The Market Gardens of Dark Dragon Ridge,New South Wales,Australia, 1876–1930

Long neglected within Eurocentric histories of Australian agriculture, a clearer view of Chinese market gardening in Australia has been emerging over recent decades. As a contribution to this ongoing work, this paper explores Chinese market gardens in Wollongong (known as Dark Dragon Ridge in Chinese), 70 km south of Sydney, between 1876 and 1930. Using a microhistorical framework with an emphasis on business and labour, and guided chiefly by gardeners' own accounts of their activities, I offer new insights into Chinese market gardening. This approach can, I conclude, markedly enhance understanding of this aspect of Australia's past.