Wages and allocation under imperfect information

Summary This paper fits in with the literature on signaling, and it stresses the role of sequentially improved job-worker allocation. Allocation is initially done on the basis of signals but later, on the basis of true abilities, as revealed from productive performance. The model yields predictions in line with observations: upward sloping average age-earnings profiles, increasing wage dispersion within signal classes (such as schooling), increasing effect of ability on earnings, higher earnings growth for abler individuals. The model thus demonstrates that the gradual sorting-out of individuals into jobs may be very important, and it also indicates how information on individual abilities may gradually emerge.The paper was presented at the Econometric Society World Congres, Aix-en-Provence, France, 1980.The basic ideas were outlined earlier in the second part of my Discussion Paper 508-78, Institute for Research on Poverty, Madison, Wisconsin. I greatly benefitted from seminars given at the Poverty Institute as well as Erasmus University and in particular acknowledge comments and suggestions by John Bishop, Glen Cain, Jo Ritzen, and Burt Weisbrod.     

Dutch treat

Summary This paper presents data on personal income distribution in the Netherlands for the period 1914–1972, in terms of decile income shares and measures of dispersion. Estimates are given of the trend and of cyclical sensitivity of income inequality, both trend and cycle being far more important before 1940 than after. Attempts to explain changes in inequality by regression analysis, with a necessarily limited set of variables, lead to many rejections.     

Age-income profiles,income distribution and transition proportions

This paper presents a model to link age-income profiles, income distribution, and transition proportions. Transition proportions play a central role in the Markov-chain approach to income distribution. This stochastic model is much criticized, but it is shown in the paper that its most attractive characteristic can be maintained, while at the same time integrating it with a micro-economic foundation of age-income profiles. These profiles are inferred from capability development and individual choice. The model also analytically generates an income distribution.     

BUILDING PUBLIC-PRIVATE PARTNERSHIPS: Assessing and managing risks in port development

In recent years increasing dependencies between public and private organizations lead to a growing need for public-private partnerships. However, cultural and institutional differences between the public and private domain and, in addition, the difficulties of bringing the two together, constitute a serious threat to successful public-private partnership. The formation of these partnerships is further hindered by confusion of the concept of public-private partnership. The predominant model of contracting out restricts rather than enhances public-private interaction. This article deals with the difficulties and risks involved in building public-private partnerships and tries to answer the question of how to overcome them. The issue is illustrated by an analysis of the attempts made to realize a huge port expansion in the port of Rotterdam by means of establishing public-private partnership.     

An empirical analysis of university choice and earnings

Summary In this paper we analyze the relations between university choice and earnings. We estimate a model in which a choice function determines the decision to apply to a particular university and thereby the switch to a particular wage regime. The wage structures of the options in turn determine the lifetime earnings prospects associated with those options, and these prospective earnings influence university choice. The results reveal some notable differences between the wage structures of graduates from different universities. In the choice function we find that graduates from different universities differ with respect to social background, gender and the motives that they consider important in choosing a department. A test on the possibility of pooling alternatives establishes heterogeneity of departments. Finally, we find that earnings prospects are not a particularly important factor in the choice of a specific university.     

Involving purchasing in new product development

Purchasing is evolving into a strategic business activity and thus also a potential contributor to the successful development of new products. However, the literature on the involvement of purchasing in new product development (NPD) is sorely lacking. We conducted an exploratory study to investigate purchasing's involvement in NPD, the drivers of this involvement and the influence on new product success. We conducted telephone interviews with purchasing and NPD managers from 43 firms. The results show that firms differ in the extent to which they involve purchasing in NPD and that higher involvement has a positive effect on NPD performance. R&D managers can use the results to design a more effective purchasing–R&D interface and increase the success of NPD.     

A comparison of nonresponse in mail,telephone, and face-to-face surveys

This article reports a meta-analysis of 45 studies that explicitly compare the response obtained using a mail, telephone or face-to-face survey. The data analysis uses a generalized hierarchical linear model. Sampling procedure (e.g., local convenience sample, random general sample), saliency of topic, and research organization (university, government versus market research) had an effect on the response. On the average, the face-to-face condition achieved the highest completion rate (70.3%), the telephone survey the next highest (67.2%), and the mail survey the lowest (61.3%). There is a significant interaction with the year of publication: The response to face-to-face and telephone surveys is going down in the period covered by this analysis (1947 to 1992), but the response to mail surveys is going up slightly. We attribute this to the large amount of research on nonresponse problems with mail surveys, and recommend more research and development in this direction for face-to-face and telephone methods.     

How perceived uncertainties influence transitions; the case of micro-CHP in the Netherlands

Transitions, or socio-technological transformations, towards sustainability can be considered as a long-term transformation at the level of society as a whole, which in turn consists of a sequence of short-term innovations. The direction and speed of transitions are largely determined by the collective innovation decisions of various actors. A crucial characteristic of transitions is that they involve many uncertainties. The uncertainties that actors perceive greatly influence their innovation decisions. Namely, perceived uncertainties might stimulate some actors to fulfill certain key activities that are crucial for achieving a transition, while blocking other actors from undertaking these activities. In order to understand and manage transitions, insight into the types of perceived uncertainties that dominate the innovation decisions is essential. Furthermore, we need to understand if perceived uncertainties block or stimulate transitions by analyzing how actors respond to perceived uncertainties.This article focuses on the first transition phase: the pre-development phase. An interesting case to study the role of uncertainties in this phase is the introduction of micro-CHP in the Netherlands. The main questions of this article are: Which types of perceived uncertainties are dominant for the innovation decisions related to micro-CHP in the Netherlands? How do actors react to the perceived uncertainties?The case results demonstrate that different types of uncertainties influence the innovation decisions of the involved actors. The most dominant sources of uncertainty are technological and political uncertainty. Furthermore, the case shows that responses to uncertainty vary largely between various types of actors. Perceived uncertainties seem to block some actors, but induce other actors in fulfilling key activities that are essential for achieving a transition. We discuss how these insights can be used for improving policy for stimulating transitions.