The second fundamental theorem of asset pricing: a new approach

This article presents a new definition of market completenessthat is independent of the notions of no arbitrage and equivalentmartingale measures. Our definition has many advantages, allshown herein. First, it preserves the Second Fundamental Theoremof Asset Pricing, even in complex economies. Second, under ourdefinition, the market can be complete yet arbitrage opportunitiesexist. This is important in practice, and stands in contrastto the traditional definitions. Third, under the assumptionsof no arbitrage and when used in the standard models, our definitionis equivalent to the traditional one.     

Inflatable rescue boat-related injuries in Queensland surf lifesavers: the epidemiology - biomechanics interface

The objective was to describe the relationship between epidemiological and biomechanical factors in the causal pathway of inflatable rescue boat (IRB)-related injuries in Australian surf lifesavers; to develop epidemiological and biomechanical methodologies and measurement instruments that identify and measure the risk factors, for use in future epidemiological studies. Epidemiological and biomechanical models of injury causation were combined. Host, agent and environmental factors that influenced total available force for transfer to host were specified. Measurement instruments for each of the specified risk factors were developed. Instruments were piloted in a volunteer sample of surf lifesavers. Participant characteristics were recorded using demographic questionnaires; IRB operating techniques were recorded using a custom-made on-board camera (Grand RF-Guard) and images of operating techniques were coded by two independent observers. Ground reaction forces transmitted to the host through the lifesaver's feet at the time of wave impact were measured using a custom-built piezoelectric force platform. The demographic questionnaire was found practical; the on-board camera functioned successfully within the target environment. Agreement between independent coders of IRB operating technique images was significant (p < 0.001) with Kappa values ranging from 0.5 to 0.7. Biomechanical instruments performed successfully in the target environment. Peak biomechanical forces were 415.6N (left foot) and 252.9N (right foot). This study defines the relationship between epidemiological and biomechanical factors in modifying the risk of IRB-related injury in a population of surf lifesavers. Preliminary feasibility of combining epidemiological and biomechanical information has been demonstrated. Further testing of the proposed model and measurement instruments is required.     

THE IMPACT OF PRICES AND CONTROL POLICIES ON CIGARETTE SMOKING AMONG COLLEGE STUDENTS

Smoking among youths and young adults rose throughout the 1990s. Numerous policies were enacted to try to reverse this trend. However, little is known about the impact these policies have on the smoking behavior of young adults. This article uses a dichotomous indicator of daily smoking participation in the past 30 days, an ordered measure representing the frequency of cigarette consumption, and a quasi-continuous measure of the number of cigarettes smoked per day on average to examine the impact of cigarette prices, clean indoor air laws, and campus-level smoking policies on the smoking behaviors of a 1997 cross section of college students. The results of the analysis indicate that higher cigarette prices are associated with lower smoking participation and lower levels of use among college student smokers. Local- and state-level clean indoor air restrictions have a cumulative impact on the level of smoking by current smokers. Complete smoking bans on college campuses are associated with lower levels of smoking among current smokers but have no significant impact on smoking participation. Bans on cigarette advertising on campus as well as bans on the sale of cigarettes on campus have no significant effect on the smoking behavior of college students.     

Long-term economic consequences of hedge fund activist interventions

Review of Accounting Studies - We examine the long-term effects of interventions by activist hedge funds. Research documents positive equal-weighted long-term returns and operating performance...     

Organizational AIDS policies: Aiming at a moving target

This article examines the effect that theArline decision is likely to have on organizational policies regarding terminations when such actions involve AIDS-afflicted employees working in organizations that are subject to the provisions of the Vocational Rehabilitation Act of 1973. Certain criteria that must be considered when an organization is contemplating terminations involving this class of employees are defined. In addition, a systematic analysis technique which may provide insights in arriving at such employment decisions is specified. Finally, the authors identify several elements which have yet to be adequately addressed by existing legislation or court decisions that serve to impede the establishment of effective policies in this area.     

Modeling multiple criteria in the faculty assignment problem

This paper describes two multiple criteria models for generating teaching assignments for faculty members. The first model requires faculty members to input utility values for possible teaching schedules while the second model requires that each faculty member only rank order possible teaching schedules. Unlike previously proposed models for this problem, the models described in this paper allow the user to evaluate the impacts and tradeoffs between goals that are associated with each individual faculty member and goals that are associated with the organization as a whole during the faculty assignment process.     

The significance of the market portfolio

Arguments for creating a market to allow trading the portfolioof all endowments in the entire world, the 'market portfolio',are considered. This world share market would represent a radicalinnovation, since at the present time only a small fractionof world endowments are traded. Using a stochastic endowmenteconomy where preference are mean variance, it is shown thatcreating such a market may be justified in terms of its contributionto social welfare. It is also argued that creating a marketfor world shares is attractive for certain reasons of robustnessand simplicity.     

Quote disclosure and price discovery in multiple-dealer financial markets

We examine the effects of price disclosure on market performancein a continuous experimental multiple-dealer market in whichseven professional market makers trade a single security. Thedealers trade with one another and with computerized informedand liquidity traders. Our key comparison is between fully publicprice queues (pretrade transparent market) and bilateral quoting(pretrade opaque). We find that opening spreads are wider andtrading volume is lower in the opaque markets due to highersearch costs there. More importantly, however, higher searchcosts also induce more aggressive pricing strategies, so thatprice discovery is much faster in the opaque markets.