The Effect of Educational Background On Performance and Organisational Commitment

In this research note Gedaliahu Harel, Senior Lecturer in Human Resource Management at the Israel Institute of Technology, and Yehuda Baruch, Visiting Fellow at the City University Business School, explore the effects of a special educational and training programme that affects the backgrounds of employees in technical jobs measured by variables such as level of performance, professionalism, and organisational commitment. the results are considered in terms of the particular population examined and the implications discussed for the use of special vocational education and training.     

Taxes and capital structure: evidence from firms' response to the Tax Reform Act of 1986

While the theoretical relation between taxes and capital structurehas been extensively analyzed, the empirical evidence on thisissue has thus far been inconclusive. One of the main difficultiesconfronting previous empirical studies of the cross-sectionalrelationship between taxes and leverage was the control of interveningvariables. The Tax Reform Act of 1986 (TRA), which drasticallychanged the tax regime, provides a unique opportunity to assessthe interaction between taxes and leverage decisions in a controlledenvironment. We test the relationship between leverage and certaintax-related variables for a large sample of companies in theyears surrounding the enactment of the TRA. The results supportthe tax-based theories of capital structure. The findings indicatethat there exists a substitution effect between debt and nondebttax shields, and that both corporate and personal tax ratesaffect leverage decisions.     

Teamwork in Modern Organizations: Implications for Technology Education

Characteristics of teamwork in modern organizations and workplaces are examined, in order to extrapolate the means for imparting teamwork skills within technology education. Goals and tasks for the team, team composition, team-player styles, phases of team development, communication and interpersonal skills, decision making, leadership, and evaluation of team performance are discussed. Teamwork skills are acquired gradually as a result of experience. Mere provision of a joint task to a group of people does not produce teamwork spontaneously. In order to promote teamwork, technological tasks at school need to include considerable degrees of freedom and decision-making by pupils. When the teacher becomes a facilitator of the process, instead of being primarily a source of knowledge and a decision-maker, team members can determine the assignment of roles in the group by themselves. Evaluation of teamwork in technology education is an integral part of alternative assessment.     

If Time Is Money Is It a Common Currency? Time in Anglo,Asian, and Latin Cultures

ABSTRACT

Social time affects the timing and frequency of purchases, the hours consumers patronize businesses, and how long consumers expect products to last. Understanding how culturally based social time attitudes differ will help marketers tailor their offerings and messages to consumers whose concepts of time differ. This exploratory study combined related streams of time literature to examine constructs of social time differences across cultures. Drawing upon a sample of 1377 respondents from six countries representing three cultural groups (Anglo, Latin, and Asian), the study explores the similarity and differences of cultural social time differences among these three groups.     

The default heuristic in strategic decision making: When is it optimal to choose the default without investing in information search?

Many studies have shown that decision makers have a tendency to choose the default or standard action among several possible actions. The article develops a model to explore under what conditions it is optimal for a firm facing a strategic decision problem to choose the default action without investing in obtaining more information that allows a more accurate decision. The model shows that the strategy to follow the default without additional information (“the default heuristic”) is more likely to be optimal when the cost of obtaining information is higher, and when the variation in possible outcomes is lower. The model also analyzes the optimal level of information search, showing that if the firm chooses to obtain information at all, it will invest in more accurate information when the cost of obtaining information is lower and when the variation in possible outcomes is lower.     

Adolescent injuries in relation to economic status: An international perspective

The primary objective of the study was to examine the relationship between patterns in car-to-car crashes involving young drivers and car and driver characteristics and the research design was a national register-based prospective cohort study. Individual records in a cohort born 1970 – 1972 are linked to road-traffic-crash data (1988 – 2000). Subjects' first police-registered two-car crash leading to severe or fatal injury (n = 4875) are identified. Typical crash patterns are highlighted and associations between pattern and both car and individual socio-demographic characteristics are tested. Four crash patterns are highlighted. Male drivers and those with lower educational attainment are over-represented in all patterns. Pattern-based risk levels vary considerably according to car safety level and driver's age at time of injury and socio-economic status. Crash patterns might be considered in young adult driver education systems, bearing in mind the consistent higher risks of male drivers and of drivers with lower educational attainment.     

Analysis of efficient markets

A simple trading model is presented in which Bayes’ rule is used to aggregate traders’ forecasts about risky assets’ future returns. In this financial market, Bayes’ rule operates like an omnipotent market-maker performing functions that in 1776 Adam Smith attributed to an “invisible hand.” We have analyzed two distinct cases: in the first scenario, the traders’ forecast errors are uncorrelated, and in the second scenario, the traders’ forecast errors are correlated. The contribution of our paper is fourfold: first, we prove that the “efficient market” mean-return can be expressed as a complex linear combination of the traders’ forecasts. The weights depend on the forecast variances, as well as on the correlations among the traders’ forecasts. Second we show that the “efficient” variance is equal to the inverse of the sum of the traders’ precision errors, and is also related to the correlations among the traders’ forecast errors. Third, we prove that the efficient market return is the best linear minimum variance estimator (BLMVE) of the security’s mean return (in the sense that it minimizes the sum of the traders’ mean squared forecast errors). Thus, an efficient market aggregates traders’ heterogeneous information in an optimal way. Fourth, we prove that an efficient market produces a mean return (price) as a Blackwell sufficient (most informative) experiment among all possible aggregated expected return (price) forecasts.     

RETURNS TO SCALE IN RETAIL TRADE*

This paper attempts to estimate genuine scale effects in retail trade from a cross section of retail stores in Israel. This is done by estimating a simple production function for several retail branches and employing the faithful old direct Cobb-Douglas structure with value added as output and labor and capital inputs. And indeed despite the well-known peculiarities of the retail industry, a cross section estimation produces “normal” production-function estimates with reasonable input elasticities. The estimates also identify marked increasing returns-to-scale parameters, higher in food and lower in branches less affected by consumer participation and geographical dispersion. These increasing returns may explain a good part of the increase in sales per unit of inputs observed in time series.