Determining the contribution of technical change, efficiency change and scale change to productivity growth in the privatized English and Welsh water and sewerage industry: 1985–2000

The water and sewerage industry of England and Wales was privatized in 1989 and subjected to a new regime of environmental, water quality and RPI+K price cap regulation. This paper estimates a quality-adjusted input distance function, with stochastic frontier techniques in order to estimate productivity growth rates for the period 1985–2000. Productivity is decomposed so as to account for the impact of technical change, efficiency change, and scale change. Compared with earlier studies by Saal and Parker [(2000) Managerial Decision Econ 21(6):253–268, (2001) J Regul Econ 20(1): 61–90], these estimates allow a more careful consideration of how and whether privatization and the new regulatory regime affected productivity growth in the industry. Strikingly, they suggest that while technical change improved after privatization, productivity growth did not improve, and this was attributable to efficiency losses as firms appear to have struggled to keep up with technical advances after privatization. Moreover, the results also suggest that the excessive scale of the WaSCs contributed negatively to productivity growth.     

Transaction costs, relational contracting and public private partnerships: a case study of UK defence

This paper is concerned with the economics of public private partnerships (PPPs)/private finance initiative (PFIs) and in particular the role of transaction costs and the importance of trust in relational contracting. The discussion is illustrated by reference to the UK defence sector. The paper begins by discussing the nature of PPPs/PFIs before moving on to consider how the economics of contracting literature can shed light on their strengths and weaknesses. The transaction cost literature is reviewed alongside a resource-based perspective of procurement decisions. The concepts of trust and reputation are then considered in the context of minimising procurement transaction costs. The theoretical framework developed is then applied and illustrated through a case study of UK defence contracting, in an attempt to assess whether the use of PPPs will necessarily lead to improved economic efficiency. The case study highlights both the scope of PPPs/PFIs and their potential transaction costs in defence procurement, with the normal perils in terms of contracting given information asymmetry, asset specificity and the resulting scope for opportunistic behaviour.     

Brand versus generic advertising and the decision to advertise collectively

This study uses Lancaster's (1966, 1979) characteristics model of consumer theory, combined with imperfect information, to support a firm's advertising choice of a combination of brand and generic advertising. However, as consumers become well educated about a firm's product, spillovers from generic advertising become large. When spillovers are large, firms have a greater incentive to collude on generic advertising. The firm's decision to include advertising collectively with its competitors will follow from its own analysis of the benefits versus the costs of such a union. The success of collective advertising may, however, depend on the control of free-riders.     

Privatization and economic performance throughout the UK business cycle

Since 1979, many state-owned industries in the UK have been sold to private shareholders. Initial studies of the impact of privatization on performance were unable to distinguish once-and-for-all shake-out effects and those that were part of a continuing process. Moreover, the immediate post-privatization period often coincided with the boom conditions of the late 1980s. Using two standard performance ratios, this paper examines these issues by tracking the record of eleven firms that were privatized in the 1980s. The results make it difficult to sustain the hypothesis that private ownership is unequivocally more efficient than nationalization.     

Economic determinants of the labor force withdrawal of Registered Nurses

This study examines two outflows that affect the labor supply of Registered Nurses (RNs), nurses leaving the profession to pursue a non-nursing occupation and employed nurses withdrawing from the labor force. Using pooled CPS data for 1980–90, a probit model is specified to estimate economic influences on the labor-force-withdrawal decisions of RNs. Evaluating the estimated probit function for different sets of RN characteristics yields different probability estimates of labor-force withdrawal. The results suggest that, although relatively few RNs leave the nursing profession to seek non-nursing occupations, a significant number withdraw, at least temporarily, from the labor force. The wage rate, other family income, presence of children, and full-time/part-time work status have a significant influence on the withdrawal decision.     

SUPPLY CHAIN INTERFACES: DEFINING ATTRIBUTES AND ATTRIBUTE VALUES FOR COLLABORATIVE LOGISTICS MANAGEMENT

Managing supply chain interfaces, where information or physical goods are exchanged between one trading partner and another, is a key component of collaborative logistics management (CLM). Identifying the interfaces on which to focus, and describing the attributes and attribute values of these interfaces, fosters effective CLM arrangements.     

The nursing care technologist: an interview with Linda Sims Matessino

To better promote nursing, provide quality patient care, and address long-term problems posed by the nursing shortage, Ochsner Foundation Hospital of New Orleans developed and implemented the role of nursing care technician. In this interview, Linda Sims Matessino, Associate Hospital Director and Director of Nursing Services, details this position and how it has benefitted Ochsner Foundation Hospital.     

The Distribution of Wealth of Older Self‐Employed Britons

Little is known about the wealth of older self‐employed people, despite growing interest in this labour market group. This paper utilises the British Retirement Survey to fill the gap by providing novel estimates of their lifetime wealth. The findings dispel the idea that the self‐employed live in poverty; indeed, they seem to be a relatively wealthy group, holding a broad spread of assets and subject to moderate lifetime wealth inequality. These findings may help inform modelling of retirement behaviour of this group, as well as pension policy design.