CHILD POVERTY IN CANADA

The evolution of measured poverty may reflect socio-economic developments, particular measurement choices or the effect (or lack of effect) of policy initiatives. We report a "case study" of child poverty in Canada between 1986 and 2000, a period when the elimination of child poverty was a stated policy goal, but reported child poverty rates did not change significantly. We find that the apparent persistence of child poverty in Canada is remarkably robust to measurement choices, and cannot easily be explained by socioeconomic developments.     

Evaluation of a patient self-directed mealtime insulin titration algorithm: a US payer perspective

Objective To model the potential economic impact of implementing the AUTONOMY once daily (Q1D) patient self-titration mealtime insulin dosing algorithm vs standard of care (SOC) among a population of patients with Type 2 diabetes living in the US.

Methods Three validated models were used in this analysis: The Treatment Transitions Model (TTM) was used to generate the primary results, while both the Archimedes (AM) and IMS Core Diabetes Models (IMS) were used to test the veracity of the primary results produced by TTM. Models used data from a ‘real world’ representative sample of patients (2012 US National Health and Nutrition Examination Survey) that matched the characteristics of US patients enrolled in the randomized controlled trial ‘AUTONOMY’ cohort. The base-case time horizon was 10 years.

Results The modeling results from TTM demonstrated that total costs in the base-case were reduced by $1732, with savings predicted to occur as early as year 1. Results from the three models were consistent, showing a reduction in total costs for all sensitivity analyses.

Limitations Data from short-term clinical trials were used to develop long-term projections. The nature of such extrapolation leads to increased uncertainty.

Conclusion The results from all three models indicate that the AUTONOMY Q1D algorithm has the potential to abate total costs as early as the first year.     

‘Us’ and ‘Them’: the origin of identity,and its economic implications

Abstract We investigate the origins of identity and the innate proclivity to draw a distinction between ‘insiders’ and ‘outsiders’. We propose an evolutionary explanation: we argue that identity arises because it facilitates survival. In an evolutionary setting we endogenize preferences and demonstrate that the evolutionarily stable preferences fashioned by natural selection would distinguish between insiders and outsiders. We then work out the implications of such preferences in two contemporary scenarios, one entailing rent‐seeking behaviour and the other involving public good provision. Our results are in conformity with empirical evidence.     

The impact of market actions on firm reputation

Drawing on signaling theory, we hypothesize that a firm's reputation is shaped by its own market actions and the actions of its industry rivals. We view market actions as signals that convey information about the underlying competencies of firms and influence stakeholder evaluations of them. We find that the total number of a firm's market actions, the complexity of its action repertoire, the time lag in rivals' responses to its actions, and the similarity of its repertoire with those of its rivals positively affect its reputation. These results suggest that a firm's reputation is influenced both by its own actions and by its rivals' actions. Copyright © 2006 John Wiley & Sons, Ltd.     

Peak globalization: Climate change, oil depletion and global trade

The global trade in goods depends upon reliable, inexpensive transportation of freight along complex and long-distance supply chains. Global warming and peak oil undermine globalization by their effects on both transportation costs and the reliable movement of freight. Countering the current geographic pattern of comparative advantage with higher transportation costs, climate change and peak oil will thus result in peak globalization, after which the volume of exports will decline as measured by ton-miles of freight. Policies designed to mitigate climate change and peak oil are very unlikely to change this result due to their late implementation, contradictory effects and insufficient magnitude. The implication is that supply chains will become shorter for most products and that production of goods will be located closer to where they are consumed.     

Revealing Corporate Financial Misreporting

This study examines how frequently firms restate when they materially misstate their financial statements using stock option backdating as the setting. Stock option backdating provides a unique opportunity to study this issue because it is possible to estimate misstatements with publicly available information to a high level of confidence, and the extensive media coverage of backdating notified boards of directors of the significant risk of misstatement. After identifying firms that materially misstated earnings due to stock option backdating with 95 percent (99 percent) probability, we find that only 11.5 percent (16.1 percent) of these firms subsequently restated. Restating firms are larger, have greater board independence, higher litigation risk and ROA, a lower market‐to‐book ratio, less discretionary accruals, and are more likely to have a CFO that was not involved in backdating. Restating firms are also more likely to disclose other adverse news, face securities litigation, and turn over the CFO than firms that appear to materially backdate but do not restate. Since nearly 9 of 10 firms failed to restate, our results give pause to researchers who use restatements as an indicator of misreporting, and to regulators who levy penalties on those who do self‐report.     

Peer Ostracism as a Sanction Against Wrongdoers and Whistleblowers

Journal of Business Ethics - Retaliation against whistleblowers is a well-recognized problem, yet there is little explanation for why uninvolved peers choose to retaliate through ostracism. We...     

Dreaming and Doing at Georgia HBCUs: Continued Relevancy in ‘Post-Racial’ America

Since their inception 150 years ago, Georgia’s historically black colleges and universities (HBCUs) have provided African American students with the best mechanism, and for some, the only opportunity to receive a collegiate education. Justifications for and against the continued relevance of HBCUs in Georgia have been raised and argued since the Brown decision in 1954 and the passage of the Civil Rights Act of 1964. More than 50 years after these monumental decisions Georgia’s HBCUs remain relatively segregated, with lower endowments, budgets, graduation rates and higher cohort default rates than the state’s Predominantly White Colleges and Universities (PWCU). In defiance of political tactics to close and merge them, and despite the confluence of lower average admission requirements, less funding for institutional scholarships, limited technological resources and smaller operating budgets, Georgia’s HBCUs have persevered in providing higher educational opportunities not only for African Americans, but for students of all races. This entry focuses on HBCUs in the State of Georgia and adds to the literature on their history, purpose, effectiveness and continued relevancy.     

But are tourists satisfied? Importance-performance analysis of the whale shark tourism industry on Isla Holbox, Mexico

The objective of this paper is to understand the motivations and satisfactions of whale shark tour participants on Isla Holbox, Mexico in order to assess the success of this industry in meeting customer expectations. Whale shark tour participants were provided with a list of environmental and setting features and asked to rate the importance of, and satisfaction with, each feature. Importance-performance (IP) analysis was used to compare these scores and identify areas of management concern. The IP analysis identified key issues with false advertising, lack of educational information, perceived crowding, and tour cost. These factors are representative of larger issues related to the uncontrolled growth of the whale shark tourism industry on Holbox. Management should focus on limiting the growth of the industry, ensuring the equitable distribution of economic benefits within the industry, and developing and implementing effective guide training and interpretation programs.