IMPERFECT COMPETITION and BUSINESS CYCLES: AN EMPIRICAL INVESTIGATION

Does imperfect competition increase the magnitude of business cycles? If so, the variability of an industry's employment and output should be positively related to the market power of firms in that industry. This paper demonstrates that the opposite is true: U.S. manufacturing industries with high price-cost margins display less employment variability than do low-markup industries. These high-markup industries display less price variability as well. Highly concentrated industries, however, do display more employment variability. To some degree, markups may reflect labor hoarding rather than market power; this may account for part, but not all, of the negative correlation between markups and variability.     

THERAPISTS' PERSONALITIES AND THEIR EVALUATION OF THREE FAMILY THERAPY STYLES: AN EMPIRICAL INVESTIGATION

This study examined the relationship between beginning therapists' personalities and their evaluations of three divergent family therapy styles. Sixty clinical and counseling psychology students completed the Adjective Checklist (Gough & Heilbrun, 1983) and rated videotaped therapy sessions conducted by Bowen, Minuckin, and Whitaker. Adjective Checklist ratings of each subject were also obtained from three friends/family members. Self-rated personality factors of dominant-masculinity and, to a lesser extent, nurturant-femininity were significant predictors of subjects' ratings of the tapes. Gender was a factor in ranked ratings of the tapes. Other-rated personality traits were not significant predictors. Implications for therapy training and supervision are discussed.     

AN EMPIRICAL INVESTIGATION OF ASYMMETRIC BEHAVIOR IN CORPORATE DIVIDEND POLICY

Employing three alternative measures of ability to pay, we find support for the Lintner hypothesis that firms pursue a long-run target payout ratio and also that current earnings better explain long-run dividends than cash flows or stock prices. The evidence further indicates that corporations adjust dividends with a ratchet effect, raising them more readily than they lower them. More specifically, when dividends are below target levels, firms move toward equilibrium by increasing them, but when dividends are above target levels, firms approach equilibrium by restricting dividend increases as earnings rise.     

AN EXPERIMENT ON INNOVATION AND COLLUSION

This paper examines the relationship between product innovation and the success of price collusion using novel laboratory experiments. Average market prices in low innovation (LO) experiments are significantly higher than those in high innovation, but otherwise identical experiments. This price difference is attributed to LO experimental subjects' greater common market experience. The data illustrate how collusion can be perceived as the “only way to make it” in LO markets where product innovation is not a viable strategy for increasing profits. They suggest that product homogeneity can be a proximate cause, and product innovation an ultimate cause, of collusion. (JEL L41, L10, C92)     

SYSTEMIC AND NONSYSTEMIC DIAGNOSTIC PROCESSES: AN EMPIRICAL COMPARISON

This study concerned the extent to which systemic and nonsystemic clinicians differ in their diagnostic processes. Experienced therapists, identified either with a family systems or a psychodynamic orientation, viewed a stimulus film of a family session and individual interviews with each parent and identified patient. Subjects listed "clinically relevant factors" and formulated hypotheses. Content analyses showed that the systemic clinicians, in contrast to the nonsystemic ones, identified as relevant a greater number of different subsystems, more triads, and fewer monads. Whereas they formulated more functional and fewer temporal hypotheses, almost no explicitly circular hypotheses were developed by either group of therapists.     

INNOVATION: ITS PUBLIC AND PRIVATE ASPECTS AND SOME OF THEIR EMPIRICAL IMPLICATIONS FOR MERGERS

Innovators may have incentives to incur the expense of the search for new knowledge even if others can use the results without contributing to the costs of the search for them. Why? Assume firms choose their actions independently. Assume new knowledge is a free public good: a firm can make the product at lower cost even if it spends nothing on research, if another does the research. The most plausible noncooperative equilibrium in this situation is stochastic: firms will decide what to do on the basis of a random device. The theory determines the probability that the firm spends nothing, or something, on research. In consequence, no firm can be certain that a rival will do the research; no firm can be certain of becoming a free rider. In consequence, there will be no relation on average between returns on research-outlays and size of outlays; but the yield on research always will be positive. Innovation can lead to differences among firms, but these differences should not persist, as firms can gain by eliminating them. In a non-cooperative equilibrium, where firms have different cost conditions, the allocation of output among them is inefficient. Such inefficiency can be eliminated if information about methods of production is sold, say by way of licensing. But royalty receipts are a very small fraction of total revenues, even in research and development intensive industries such as chemicals and scientific instruments. Merger is another avenue of cooperation. The theory which assumes research results are private predicts a positive relation between merger activity and technical change. Empirical evidence for the 1879–1930 inverval supports this prediction.     

THE IMPACT OF CLASSROOM EXPERIMENTS ON THE LEARNING OF ECONOMICS: AN EMPIRICAL INVESTIGATION

This paper provides limited evidence on the effectiveness of a simple classroom experiment. In different courses in environmental economics or public finance, a brief take-some game was performed. Students who took part in this classroom experiment, as well as those who just watched it, were more successful in answering a multiple-choice test on the "tragedy of the commons" than control groups from the same courses.     

AN EMPIRICAL MODEL OF PRICE AND OUTPUT BEHAVIOR

This paper proposes a model of short-run price and output behavior and undertakes an initial empirical investigation of the model with data from the manufacturing sector of the U.S. Economy. The model provides a relatively precise specification of the various factors that influence prices and output, and joint maximum likelihood techniques are used to estimate the parameters of the model. The empirical results support the proposition that demand-oriented forces primarily influence output while cost-push forces primarily influence prices and indicate that real interest rates affect both prices and output.     

RACE AND DISCIPLINARY REPORTS: AN EMPIRICAL STUDY OF CORRECTIONAL OFFICERS

This research examines the likelihood of one racial group of correctional officers writing more disciplinary reports than another. It also examines interracial and intraracial disciplinary reports. Two theoretical models are used to explain why correctional officers use official write ups to control prisoners. The importation model emphasizes the impact of individual factors on correctional officers behavior, and the institutionalization model stresses the effect of organizational factors. Using data from 115 correctional officers, we found no significant differences in Black and White officers writing of inmate disciplinary reports. No significant difference was found between interracial and intraracial disciplinary responses, either. The findings were consistent with the hypotheses derived from the institutionalization model.     

INTEGRATED HOUSEHOLD SURVEYS: AN ASSESSMENT OF U.S. METHODS AND AN INNOVATION

We present a vision for improving household financial surveys by integrating responses from questionnaires more completely with financial statements and combining them with payments data from diaries. Integrated household financial accounts—balance sheet, income statement, and statement of cash flows—are used to assess the degree of integration in leading U.S. household surveys, focusing on inconsistencies in measures of the change in cash. Diaries of consumer payment choice can improve dynamic integration. Using payments data, we construct a statement of liquidity flows: a detailed analysis of currency, checking accounts, prepaid cards, credit cards, and other payment instruments, consistent with conventional cash flow measures and the other financial accounts. (JEL D12, D14, E41, E42)     

MARRIAGE AND FAMILY CONSULTATION WITH RANCH AND FARM FAMILIES: AN EMPIRICAL FAMILY CASE STUDY

There is a paucity of marriage and family therapy literature addressing therapeutic consultation with farm and ranch families. This article describes a case study in which several Marital and Family Therapy approaches were used to consult with a ranch family. It also provides empirical data showing in which of five treatment phases changes occurred. Two generations, including four couples from an extended family, participated in family consultation over 42 months and completed assessments six times. Statistical results and clinical impressions confirm that the five-phase consultative process resulted in significant improvements in family satisfaction with adaptability and family strains levels and positive movement in seven other areas.     

INDUSTRIAL STRUCTURE AND MONOPOLY POWER IN THE FEDERAL BUREAUCRACY: AN EMPIRICAL ANALYSIS

Predictions of various models of public sector supply rely on the assumption of bureau monopoly power. This assumption is tested first by measuring industrial structure of the federal public sector using the concentration ratio and Herfindahl index, and second by examining the relationship between the resulting estimates and bureau monopoly power. The findings indicate that monopoly structure of the federal bureaucracy is more limited than is generally assumed. Interpretations on the basis of traditional industrial organization theory and contestable market theory suggest that bureau monopoly power is questionable and may not be the source of observed inefficiencies in bureau supply.     

RELIGIOUS REFERENCE GROUPS AND THE PERSISTENCE OF NORMATIVE BEHAVIOR: AN EMPIRICAL TEST

Reference groups and significant others are vitally important in both the formation and the persistence or change of normative as well as deviant behavior patterns. Thus one's initial religious beliefs and behavior (or lack thereof) reflect the socializing influence of the family. However, the situation may change when young people leave home for education or work, as demonstrated by research that shows decreases in religious beliefs or church attendance when young people leave home to attend college. In contrast to the pattern whereby religiosity declines in a college or university environment, we maintain that students who develop close ties with others who are religious, especially in a highly religious community, will maintain the same patterns of high commitment developed in their families. Specifically, we hypothesize that religious beliefs and participation will be positively related to (1) parents' religious beliefs and practices and (2) current friends' religious beliefs and participation. These hypotheses were tested with a sample of college students living on campus (n = 339). The data support the argument that students' current religious beliefs and behavior are related to both their parents' religiosity and the reinforcing effects of the religiosity of their current friends.     

THE EFFICACY OF MARITAL AND FAMILY THERAPY: AN EMPIRICAL OVERVIEW, CONCLUSIONS, AND RECOMMENDATIONS

Based primarily on the contributions to this Special Issue of JMFT, this article provides an overview of the empirical research on the efficacy of marital and family therapy for the following disorders and problems: schizophrenia; affective (mood) disorders; slected externalizing, internalizing, and pervasive developmental disorders of childhood; adolescent conduct disorder; marital distress and the prevention of divorce; alcoholism; adult and adolescent drug abuse; and various chronic adult, adolescent, and childhood physical disorders. Convincing scientific evidence supports the efficacy of broadly defined marital and family therapy for the treatment of many disorders, as well as its superiority to standard and individual treatments for certain disorders and populations. We conclude with recommendations for future research as well as for collaborative initiatives between marital/family therapists and other professionals working in the marriage and family field.     

AN EMPIRICAL ANALYSIS OF ADOPTION

This paper estimates the supply of adoptions using a decision-making economic framework of desired fertility and family size. The empirical results show that the decision to place a child for adoption is negatively related to a woman's labor force participation, the size of Aid to Families with Dependent Children payments and the unemployment rate, and is positively related to her marital status, education, and religious affiliation. The price and availability of abortions are found to have no statistically significant effect on the adoption decision. Furthermore, state regulations designed to encourage adoptions have no impact on the adoption option.     

REPUTATION,PRICE, AND DEATH: AN EMPIRICAL ANALYSIS OF ART PRICE FORMATION

We analyze how an artist's death influences the market prices of her works of art. Death has two opposing effects on art prices. By irrevocably restricting the artist's oeuvre, prices, ceteris paribus, increase when the artist dies. On the other hand, an untimely death may well frustrate the collectors' hopes of owning artwork that will, as the artist's career progresses, become generally known and appreciated. By frustrating expected future name recognition, death impacts negatively on art prices. In conjunction, these two channels of influence give rise to a hump‐shaped relationship between age at death and death‐induced price changes. Using transactions from fine art auctions, we show that the empirically identified death effects indeed conform to our theoretical predictions. We derive our results from hedonic art price regressions, making use of a dataset which exceeds the sample size of traditional studies in cultural economics by an order of magnitude. (JEL Z11, J24, G12)