ECONOMIES OF SIZE REVISITED

Empirical and theoretical investigations as to how firms evolve in size have been of interest to economists, agricultural economists and policymakers for decades. While returns to size have been frequently estimated, measurement has been carried out using a wide range of methodological approaches. This paper offers a critique and discussion of the conceptual and methodological issues surrounding the measurement of size economies.     

AGRICULTURE IN THE URUGUAY ROUND: AMBITIONS AND REALITIES

Agricultural trade policies are basically a function of domestic policy considerations which have produced high levels of support in many countries. New policy instruments such as direct payments, which are more demanding in terms of information costs but which distort resource allocation less, are becoming more attractive. Unilateral liberalisation is, however, unlikely. Freer trade is a public good which requires international collective action to be provided. Countries which have a clear-cut trade interest in liberalising markets for commodities they export can play the role of catalyst in international co-ordination. The existence of big players is a favourable factor. Hence, the drift of the Round towards a co-ordination of US-EC interests. Both political economy and trade interest considerations suggest that an agreement reached will have its main impact on crops which are widely traded. The main constraining factor of an agreement on EC and US agriculture will be the discipline it will impose on the use of export subsidies. Agriculture will still not come fully under GATT rules which apply to other sectors, but in the future the CAP will be more constrained by international commitments than in the past.     

The development of socially responsible investment in South Africa: experience and evolution of SRI in global markets

Sustainability practices, particularly those relating to Socially Responsible Investment (SRI), have still to be fully evolved in a developing country context. This article considers international trends in SRI and how these may relate to South Africa. It considers how, internationally, SRI has become increasingly motivated by the business case for risk-management and therefore how it may have the potential to offer superior returns (as demonstrated by recent experience in the United States). It examines the relevance of SRI trends to South Africa, where the concept of SRI still faces further structural development, and reviews the performance of funds operating in the South African SRI arena.