UNIT MANAGEMENT BUYOUTS, STOCKHOLDER WEALTH, AND SELLING FIRMS' CHARACTERISTICS

Previous research on unit management buyouts, UMBs, has shown that selling firms benefit from the selloff transaction. The current research demonstrates that when the selling firm has either poor liquidity or poor earnings, selling firm shareholders do not benefit as much. We hypothesize that the unit managers have knowledge about the selling firm's difficulties so they do not pay as large a premium for the assets. Since the unit managers technically are employed by the selling firm shareholders, their bargaining to achieve a better price is an agency cost. Finally, selloff frequency does not affect seller abnormal returns.     

High school athletics and the wages of black males

This article examines the effects of high school athletic participation on the future wages of black males. Our evidence suggests that former black male athletes receive significantly greater wages than their otherwise comparable counterparts. Data from the National Longitudinal Survey of Youth was used for the analysis and allows for comparisons of the athlete premium to be made at different points in time. Both the human capital and signaling models are discussed. There appears to be a once and for all enhancement to human capital that accrues to black males who participated in high school athletics. The article adds to the literature on determinants of black male wages and on the earnings effects of athletic participation.     

Capital Markets and Capital Formation in Australia 1890–1945

This survey article examines the interaction between the domestic capital markets and capital formation in Australia from the 1890s up to the end of World War II. The disenchantment of the City of London with Australian securities in the 1890s opened a window for the development of domestic capital markets. It was the demands of the government for funds, especially during both wars, that transformed the scale and character of local markets. Local deposit taking institutions and stock exchanges handled a sufficient volume of domestic savings to fund the lion's share of both public and private sector capital formation.     

Moore's Law and the Semiconductor Industry: A Vintage Model*

In this paper we develop a vintage model to gain a better understanding of the semiconductor industry and its role in recent U.S. productivity gains. Unlike previous work, in our model the observed price declines of individual chips are driven by the introduction of better vintages rather than by learning economies. Dominated chips, nonetheless, continue to be produced, for a time, due to sunk investments in chip‐specific production equipment. The model lends partial support to Jorgenson's hypothesis that an exogenous increase in Moore's Law could have generated the more rapid price declines, and faster productivity growth, seen after 1995.     

Theological ethics and business ethics

Philosophers have constituted business ethics as a field by providing a systematic overview that interrelates its problems and concepts and that supplies the basis for building on attained results. Is there a properly theological task in business ethics? The religious/theological literature on business ethics falls into four classes: (1) the application of religious morality to business practices; (2) the use of encyclical teachings about capitalism; (3) the interpretation of business relations in agapa-istic terms; and (4) the critique of business from a liberation theological point of view. Theologians have not adequately addressed the questions of whether there are particular theological tasks in the field as they define it, and whether, if they define it, the theological definition is different from the philosophical.     

Teaching the Golden Rule

The Golden Rule is endorsed in oneform or another by most cultures and majorreligions and is still espoused byphilosophers, business ethicists, and popularbusiness authors. Because it also resonateswith undergraduate business majors, it can bean effective teaching tool. This paperdescribes a way of teaching the Golden Rulethrough a series of business-oriented examplesintended to bring out its strengths andweaknesses. The method described alsointroduces students to some basic moralreasoning skills and acquaints them with a widerange of moral issues that arise in business. Kant's Formula of Humanity is discussed in thefinal section as a principle that overcomes atleast some of the Golden Rule's defects.     

LOGISTICS SALIENCE IN A CHANGING ENVIRONMENT

The primary purpose of this paper was to empirically explore some of the reasons that logistics has become more important, or salient, in comparison to other functions within the firm. A survey of 296 managers across multiple industries in the U.S. found logistics becomes more important within the firm when the industry increases in uncertainty, when there is an emphasis on time‐based competition, when there is greater adoption of information technology, and when there is an emphasis on cross‐functional integration.