Changing China,Changing Africa: Future Contours of an Emerging Relationship

Current China–Africa relations have been statically framed: China invests in the continent and exports resources extracted by its state‐owned enterprises and fuelled by aid flows, while simultaneously undercutting African industry through cheap exports. We frame this debate, then explore how the framework could adjust in response to changing economic realities in China, centered on the “rebalancing” of the growth model toward domestic consumption. We argue that a new wave of private sector‐led, low‐cost manufacturers may find its way to selected African shores, in the process transforming those economies and the way in which China interacts with them, both for the better.     

Advertising and food, drink and tobacco consumption in the United Kingdom: a dynamic demand system

This paper tests for the influence of advertising on the inter‐product distribution of consumer demand for non‐durable goods and services in the UK, 1963–1996. The long‐run demand for seven categories of non‐durable products is modelled through an advertising‐augmented version of the almost ideal demand system (AIDS), which is incorporated into an error‐correction model to allow for short‐run dynamic adjustments to long‐run equilibrium positions. Model estimates confirm that the restrictions of price homogeneity and symmetry appear to be consistent with the data, yield measures of the various types of demand elasticity that are in general plausible, confirm the strong influence of prices on the allocation of consumer expenditure, but find little evidence to support the hypothesis that advertising has the power to effect marked changes in the inter‐product pattern of consumer demand in the UK.     

The Collapse of Compulsory Unionism? Collective Organization in Highly Unionized British Companies, 1979–1991

This paper examines compulsory union membership in 50 highly unionized companies between 1979 and 1991. One hundred per cent membership has collapsed among non-manuals. Post-entry 100% membership remains in the majority of manual units, as does the pre-entry closed shop among craft workers. Fewer written union membership agreements, and more unwritten verbal agreements and unofficial understandings, were evident. This pattern is accounted for by the interplay of four factors: product market competition, managerial indulgency, workplace collective organization and labour turnover.     

Foreign-owned plants and job security

We investigate the hypothesis that workers in foreign-owned plants face greater job insecurity than those in domestic-owned plants. Using linked employer-employee data from Germany, we examine whether foreign-owned plants are more likely to close down, and whether workers in foreign-owned plants face higher separation rates. Our results show that, in Germany, foreign-owned plants per se are not associated with greater job insecurity, either through plant exit or worker separation. However, small, non-exporting and privately owned foreign-owned plants do face a higher risk of closure than equivalent domestic plants.     

Labor-managed Cournot oligopoly and industry output

It is known that in imperfectly competitive situations a labor-managed firm produces less output than an equivalent entrepreneurially controlled firm. However, it has also been suggested that there would be more labor-managed firms than entrepreneurial firms, ceteris paribus. Analysis shows that, in the context of a Cournot model of oligopoly with free entry, the latter contention is false, so the labor-managed industry would not be “more competitive.” Some extensions and comments on this result are also offered.     

En-route sector capacity estimation methodologies: An international survey

Reliable estimation of en-route sector capacity is important, especially in high-density traffic areas where controller workload is the driver. En-route sector capacity is commonly estimated using fast-time computer simulation techniques employing models of controller workload. This paper analyses the methodologies employed by a number of countries in Europe and North America, to estimate the capacity of en-route airspace. The data used was obtained from airspace planners and managers. The survey involved interviews using pre-designed questionnaires. The results show that there are two main models used in the simulation of controller workload, and that there is considerable variation both in their application and controller involvement in the capacity estimation process.     

Testing For Efficient Contracts In Unionized Labour Markets

This paper addresses the design of empirical tests to distinguish between two competing explanations of wage and employment determination in unionized labour markets, the labour-demand and efficient-contract models. We argue that most of the tests employed are restrictive, propose an alternative non-nested approach, a central feature of which is the variation in the set of instrumental variables across the models, and provide an illustration of how it might be implemented, using data from the Workplace Industrial Relations Survey (WIRS) 1984 Panel File. The results demonstrate how the traditional approach can lead to inappropriate conclusions, and thereby emphasize the empirical importance of the specification of the instrumental variables.     

An Econometric Study of Advertising and Cigarette Demand in the United Kingdom

This article reports the results of an empirical investigation of the effect of total cigarette advertising on aggregate demand for cigarettes in the United Kingdom. The research is conducted within the framework of the Becker-Murphy model of rational addictive behaviour, using time series spanning the period 1963–1992. No evidence is found in this research to back up the view that aggregate cigarette advertising has the effect of expanding total market demand for cigarettes.     

The estimation of union wage differentials and the impact of methodological choices

This paper demonstrates that methodological differences can matter a lot in the estimation of union/non-union wage differentials. Using individual-level data from the 1991 Wave of the British Household Panel Survey and a model evolved from replicating six existing British studies, we find that the model specification adopted has an important impact on the estimated differential and that the choice of which group means to use when evaluating the mean differential in multi-equation models is of considerable importance. There are also important differences between membership and coverage differentials and the earnings measure used and sample selected also make a difference. However, apart from firm size, the contents of the control vector used is not found to be of great importance.