A QUALITY POLICY FOR AMERICA

This paper describes Total Quality Management (TQM) and its benefits. It then outlines a three-point proposal for a national quality policy: (i) implementing TQM throughout the U.S. government, (ii) creating a set of nationally recognized certifications for employees' quality skills, (Hi) creating a set of nationally recognized supplier quality certifications.     

Perceptions of functional clothing by able-bodied people: the other side

Functional clothing was examined as a factor in social interactions between physically disabled and non-disabled people. In the present study, the perceptions of able-bodied college students were compared with the evaluations of students with physical disabilities from a previous study. Seven line drawings of clothing with functional features were rated on semantic differential scales in a self-administered questionnaire. The non-disabled students were more positive than the disabled students on all of the scales for five of the seven styles. The able-bodied subjects also tended to use more global constructs when perceiving the styles than did their disabled counterparts, who were more likely to distinguish function as a separate dimension. Sex differences were found, with a tendency for the females to be more positive than the males in their ratings of the styles. Implications of the data and suggestions for further research are discussed.     

THE LOOMING U.S. EXTERNAL DEBT: HOW SERIOUS IS IT?

This article examines the state of U.S. external debt accumulation, especially the rising burden of interest payments. It points out that the favorable yield differential between U.S. external assets and liabilities may be declining at the same time the United States has become the world's largest international debtor. The favorable yield differential has enabled the United States, which became a net debtor in 1987, to avoid making net interest payments on its international debt until 1994. However, servicing the increasing U.S. net international debt is likely to be a much greater burden in the future as the favorable yield gap wanes while net debt continues to grow.     

Financial Reporting and Supplemental Voluntary Disclosures

A standard result in the voluntary disclosure literature is that when the manager's private information is a signal correlated with the firm's liquidation value, mandatory disclosures substitute for voluntary disclosures. In this paper, we assume that the manager's private information complements the mandatory disclosure and show that the content and likelihood of a voluntary disclosure depend on whether the mandatory reports contain good or bad news. This different information asymmetry produces new, testable implications regarding the probability of and market reaction to voluntary disclosures. We also show that changes in mandatory disclosure regulations can have unintended consequences due to their effects on the manager's willingness to voluntarily provide supplemental disclosures.