The Influence of Government Policies on Informal Labor: Implications for Long-Run Growth

Using cross-sectional data from industrialized and developing economies, we examine long-run growth regressions linking government policies, informal employment and real GDP per worker. We find that changes in government policies of taxation and enforcement significantly affect growth in the informal sector. Further, we show that increases (decreases) in informal employment significantly and negatively (positively) affect a country's growth rate of real GDP per worker. The empirical link between government policies, informal employment and real GDP per worker holds irrespective of a country's development. On average, changes in government policies, through their effect on the size of the informal sector, account for 6 percent of the growth rate of real GDP per worker between 1960 and 1990.     

Acceptance of Functional Foods: A Comparison of French, American, and French Canadian Consumers

Food products have diversified with industry globalization. To market functional foods efficiently, food managers must gauge cross‐cultural variance of functional food acceptance. Expanding on previous research, we investigate young consumers' acceptance of functional foods. Data collected in French Canada, United States, and France in 2004 reveal that business students are slightly in favor of functional foods, and associate health benefits with these foods but very few product‐related benefits. Students do not have strong opinions on the trustworthiness of information and expressed a slight interest in purchasing this type of product. Analyses of cultural differences revealed significant, albeit small, divergence in these variables. Statistical analysis performed on the full sample assessed the impact of food attitudes and other cognitive and attitudinal factors on the general attitude toward functional foods. Health and product‐related benefits and belief about the credibility of information are the main positive determinants of the acceptance of functional foods, followed by high knowledge. Apart from the negative impact of Neophobia, none of the other food attitudes influences attitudes toward functional foods. Linear regressions performed on each subgroup indicated similar positive cross‐cultural results for health and product‐related benefits. However, cross‐cultural differences are detected for knowledge, credibility of information, and food attitudes that influence acceptance of functional foods. Les produits alimentaires se sont diversifiés avec l'avènement de la mondialisation. Pour commercialiser efficacement les aliments fonctionnels, les gestionnaires du secteur alimentaire doivent évaluer l'acceptation des aliments fonctionnels par les diverses cultures. À partir de travaux de recherche antérieurs, nous avons examiné l'acceptation des aliments fonctionnels par les jeunes consommateurs. Des données recueillies en 2004 au Canada français, aux États‐Unis et en France ont révélé que les étudiants en commerce étaient légèrement en faveur des aliments fonctionnels, leur associaient des avantages pour la santé, mais très peu d'avantages liés aux produits. Les étudiants n'avaient pas une très bonne opinion concernant la crédibilité de l'information et ont manifesté un faible intérêt pour l'achat de ces produits. Des analyses des différences culturelles ont révélé des divergences, petites mais significatives. Les analyses statistiques effectuées sur l'échantillon total ont évalué l'impact des attitudes envers les aliments ainsi que d'autres facteurs cognitifs et attitudinaux sur l'attitude générale envers les aliments fonctionnels. Les avantages pour la santé, les avantages liés aux produits et les croyances concernant la crédibilité de l'information sont les principaux facteurs favorables à l'acceptation des aliments fonctionnels, suivis d'un degré de connaissances élevé. Outre l'impact négatif de la néophobie, aucune autre des attitudes envers les aliments n'influe sur les attitudes envers les aliments fonctionnels. Les régressions linéaires effectuées pour chaque sous‐groupe ont indiqué des résultats positifs similaires. Toutefois, nous avons noté des différences interculturelles quant à la connaissance, à la crédibilité de l'information et aux attitudes envers les aliments qui influencent l'acceptation des aliments fonctionnels.     

Lifting the lid on the use of content analysis to investigate intellectual capital disclosures

This methods paper highlights specific issues that arise in using content analysis to investigate intellectual capital (IC) disclosures. The use of content analysis in the IC context is debated through an analysis of prior studies and the use of an illustrative example (Next plc's 2004 annual report). It is concluded that the depth and breadth of the IC concept and the lack of common definitive language make it difficult to establish the extent and nature of disclosure currently provided. The range of choices available to researchers in terms of analysing and measuring IC disclosures further hinders interpretation and comparability. Transparency in the choices made is required. Shared meanings could be developed and the IC concept better understood through increased transparency in the categorisation of IC information, which in turn could further assist in the interpretation and comparison of findings across studies.     

What Is Real Estate Finance?

The Journal of Real Estate Finance and Economics - How does real estate finance relate to the core of contemporary finance? What research in real estate might most interest financial economists?...     

Deepwater energy industry impacts on economic growth and public service provision in Lafourche Parish,Louisiana

Oil and gas produced from active deepwater leases (over 1000 feet water depth) in the Gulf of Mexico as a percentage of total output increased from 27% in 1992 to 54% in 2005. This increase is requiring more land-based services. Port Fourchon's strategic location provides it with a competitive advantage as a supply base for a diverse set of deepwater oil and gas related activities, ranging from petroleum rig supply boats to the maintenance and repair of mobile drilling rigs. Further development of Port Fourchon as a supply base is expected to markedly impact Lafourche Parish. Community impact models (CIM) quantify the linkages among local economic activity and the demand for, and ability to support, local government services. A CIM developed for Louisiana, including an input–output module of the local economy, is used to evaluate the impact of the deepwater energy industry on the economy and government finances of Lafourche Parish. According to model results, the deepwater energy industry will continue to have a significant impact on that economy. By 2010, the industry was predicted to be directly and indirectly responsible for 2593 new jobs and $571 million in total output. Such activity should not strain the ability of local governments to deliver services.     

The impact of corporate and national cultures on decentralization in multinational corporations

We develop and test a model of multinational corporation (MNC) decentralization in which the allocation of decision rights to subsidiaries is explained by aspects of both internal corporate culture as well as external national cultures. We extend the literature on MNC decentralization by testing the impact of both of these factors as determinants within the same model. Drawing on management control theory as a conceptual platform, we argue that the assignment of decision rights to a subsidiary in the MNC is impacted by corporate innovativeness and shared values, as well by aspects of home and host country cultures. We test our model on a sample of 119 MNC subsidiary managers drawn from a diverse range of industries and locations. The findings provide support to the proposition that corporate innovativeness positively impacts the decision to decentralize, whilst also indicating that home country individualism and host country uncertainty avoidance have a significant influence. The findings challenge established international management logic with respect to shared values—this variable is found to have a negative relationship with decentralization. Overall cultural distance is not found to be significant.     

The five stages of fundraising: a framework for the development of fundraising

Little research has been undertaken on the development of fundraising in charities, as distinct from fundraising activities and methods. This paper arose out of a wider study of the impact of environmental factors on charity fundraising in the early 1990s. By looking at the development of fundraising in charities of all sizes, it became clear that there was a framework for fundraising. Specifically, the principal characteristics of the framework were based on the need for voluntary income and the influence of staff or volunteers in the fundraising process. This paper outlines the stages in the development of fundraising and their principal characteristics within the context of market orientation and organisation culture theory. It concludes with some implications for fundraising practitioners. Copyright © 2000 Henry Stewart Publications.