POLITICAL REPUTATIONS AND CAMPAIGN PROMISES

We analyze conditions under which candidates' reputations may affect voters' beliefs over what policy will be implemented by the winning candidate of an election. We develop a model of repeated elections with complete information in which candidates are purely ideological. We analyze an equilibrium in which voters' strategies involve a credible threat to punish candidates who renege on their campaign promises and in which all campaign promises are believed by voters and honored by candidates. We characterize the maximal credible campaign promises and find that the degree to which promises are credible in equilibrium is an increasing function of the value of a candidate's reputation. (JEL: D8)     

Existence of Equilibria in Economies with Bads

We consider an exchange economy in which there are infinitely many consumers and some commodities are bads, that is, cause disutility to consumers. We give an example of such an economy for which there is no competitive equilibrium or its variants (quasi‐ or pseudo‐equilibrium), and an example of the failure of the so‐called uniform integrability condition of equilibrium allocations of increasingly populous finite economies.     

The social construction of the meaning of acute stressors: a qualitative study of the personal accounts of police officers using a stress counselling service

The police profession is one in which acute stressors are encountered more frequently than in other occupations. Using the personal accounts of 35 police officers attending an in-house stress counselling clinic, the aim of the present study was to provide a qualitative examination of how the institutional context of policing influenced the ways in which acute stressors signified to individual police officers experiencing felt distress. Using the framework of Rational Emotive Behaviour Therapy as an analytical tool, it is argued that beliefs contributing to the experience of felt distress are related to the way in which policing as both an identity and an activity is constructed through the police organizational culture. Not only do these constructions influence the ways in which officers perceive themselves and their environments, but they also operate at the collective level to 'normalize' some emotional responses and to 'pathologize' others which, it is argued, could impact upon the outcomes of interventions such as stress counselling.     

An optimal credit policy to increase supplier's profits with price-dependent demand functions

This paper deals with the problem of determining an optimal length of credit period from the perspective of supplier. We assume that a retailer jointly determines the unit retail price and order size to maximize profit when he/she purchases a product for which the supplier offers a trade credit. Two widely used demand functions are adopted for the study in which demands are decreasing functions of the retail price. A procedure is presented which shows how to achieve an optimal length of credit period for suppliers. The effects of credit period on the behaviour of retailers are also investigated using an example.     

‘Talking the talk’ – a discursive approach to evaluating management development

Much evaluation practice is guided by a theoretical anachronism. Systematized and formulaic approaches of chain reaction models of evaluation are based on conceptions of management which are over 50 years old. This study presents an evaluation of a management development intervention which used evidence of discursive shift in learners as an indicator of attitudinal and behavioural change brought about by the learning programme. The approach taken characterizes the learning event and the evaluation process as interventions which have the capacity to help learners to shape their identity and in which language is a mediator of learning. The results of the study, which applies both quantitative and qualitative techniques, are used to argue in favour of the deployment of a model of evaluation which has a focus on social and relational aspects of a managers' role.     

Costly Bargaining and Renegotiation

We identify the inefficiencies that arise when negotiation between two parties takes place in the presence of transaction costs. First, for some values of these costs it is efficient to reach an agreement but the unique equilibrium outcome is one in which agreement is never reached. Secondly, even when there are equilibria in which an agreement is reached, we find that the model always has an equilibrium in which agreement is never reached, as well as equilibria in which agreement is delayed for an arbitrary length of time. Finally, the only way in which the parties can reach an agreement in equilibrium is by using inefficient punishments for (some of) the opponent's deviations. We argue that this implies that, when the parties are given the opportunity to renegotiate out of these inefficiencies, the only equilibrium outcome that survives is the one in which agreement is never reached, regardless of the value of the transaction costs.     

Designing a capital budgeting system that works

Conventional capital budgeting systems do not fully reflect or adequately respond to the way in which capital expenditure decisions are actually made. Evidence also exists that the nature of this decision process is dependent on the type of the organization. This paper describes an empirically developed understanding of how capital expenditure decisions are being made, identifies ways to support and improve these decisions, and proposes an approach to linking the design of capital budgeting systems with the type of organization in which they are to operate.     

AN EXPERT SYSTEM APPLICATION FOR DECISION SUPPORT IN LAW ENFORCEMENT

Expert systems offer promise for decision-making support in stressful circumstances such as those that occur when law enforcement officials respond to hostage-taking incidents. These are life-or-death situations in which the costs of decision error are enormous. This paper reports on an expert system being developed and tested to aid police decision makers in hostage-taking incidents. Knowledge is represented by rules embedded in an incident-based decision-tree network. Four different decision makers who have similar but distinct information needs are supported and their efforts are coordinated by the system, which must function in real time as the crisis unfolds. Clear, concise, highly focused dialogue is required at the user interface since frequently only seconds are available in which to make a decision and implement it.     

Innovation in organizations

Innovation and growth are often regarded as mutually independent conditions for healthy business. Indeed, many regard the important process of innovation as being a necessary condition, although not sufficient, for a business to grow. However, the author claims that we know little about the concept of innovation and that much of the discussion of it lacks precision. this paper examines the concept of innovation, who performs it, and tends to place its importance within an organizational context.

This paper examines the development of an idea into an innovation and the important processes of screening which have to be undertaken in order to ensure that innovatory ideas which are relevant to a company can be developed and those which are likely to fail, can be rejected. Furthermore, the importance of recognizing the full implications of innovatory ideas is also examined and the author claims that many product failures are due to incomplete partial innovation. but finally, a company which it is claimed, has organized itself to encourage innovative new products is examined and the organizational structure and its relationship to innovation is explained.     

Preemptive scheduling on two identical parallel machines with a single transporter

We consider a scheduling problem on two identical parallel machines, in which the jobs are moved between the machines by an uncapacitated transporter. In the processing preemption is allowed. The objective is to minimize the time by which all completed jobs are collected together on board the transporter. We identify the structural patterns of an optimal schedule and design an algorithm that either solves the problem to optimality or in the worst case behaves as a fully polynomial-time approximation scheme.     

The social construction of the meaning of acute stressors: A qualitative study of the personal accounts of police officers using a stress counselling service

The police profession is one in which acute stressors are encountered more frequently than in other occupations. Using the personal accounts of 35 police officers attending an in-house stress counselling clinic, the aim of the present study was to provide a qualitative examination of how the institutional context of policing influenced the ways in which acute stressors signified to individual police officers experiencing felt distress. Using the framework of Rational Emotive Behaviour Therapy as an analytical tool, it is argued that beliefs contributing to the experience of felt distress are related to the way in which policing as both an identity and an activity is constructed through the police organizational culture. Not only do these constructions influence the ways in which officers perceive themselves and their environments, but they also operate at the collective level to 'normalize' some emotional responses and to 'pathologize' others which, it is argued, could impact upon the outcomes of interventions such as stress counselling.     

Environmental lobbying: A case of the New York state soft drink association

In the field of lobbying, the phrase “an ounce of prevention is worth a pound of cure” is germane to most issues. However, corporate America is often loath to expend resources on lobbying until an actual problem arises which, in reality, is almost always past the point at which intervention should have occured in order to ensure a reasonable chance of success.The difficulties of convincing management to dedicate resources to an activity whose results are never easily quantified or qualified are numerous. Lobbying does not lend itself to cost-benefit analysis and thus is often scorned as frivolous by corporate officers and managers who are motivated by bottom-line and productivity measurements. Convincing corporate policy makers that it is prudent to be prepared for some as yet unidentified governmental decision, which may significantly impact their operation and profitably, likens the lobbyist to a fortune teller—hardly a credible mantra. However, as illustrated in the following case, corporate America can reap many benefits from wise anticipation of the need for an environmental lobbyist.     

Acquiring technological competencies through inter-organizational collaboration: An organizational learning perspective

Firms are becoming increasingly sophisticated in their technology strategies and are procuring know-how through a variety of collaborative methods including licensing agreements, joint ventures, minority investments, and equity acquisitions. This paper examines the relationship between an organization's learning capability and inter-organizational collaboration in acquiring technological competencies. Organizational learning is posited to be a mediating mechanism through which technological competencies are developed via varying levels of organizational interaction. A general model is developed which suggests an “efficient fit” relationship between an organization's ability to learn, characteristics of the technology, and mode of inter-organizational collaboration. The concept of a “learning gap” is introduced, and managerial implications are suggested. Finally, propositions are developed to facilitate future empirical research.     

QUALITATIVE VARIABLE DISCRIMINANT ANALYSIS AND ITS USE IN PRODUCT VERSION SELECTION

The purpose of this article is to illustrate the use of multiple discriminant analysis in those cases in which all discriminating variables are qualitative. The authors will show that an appropriate qualitative variable discriminant analysis model is a reformulation of the Bayesian decision theoretic model. Rules for the use of multiple discriminant analysis also are suggested for the cases in which some variables are qualitative and some are measurable on at least an interval scale. The qualitative variable discriminant analysis model is illustrated as an appropriate device for selecting a product version that will minimize a manufacturer's risk of product introduction.     

Corporate planning at Dunlop

It has often been said that corporate planning is an art which, like all art perhaps, means all things to all men. As other papers have attempted to do this approaches the concepts of corporate planning in an analytical manner and illuminates a number of approaches which the author considers to be preferable. The problems of corporate planning in Dunlop Limited are then analysed and the author's own experience of corporate planning in that company are utilized describing a practical and comprehensive system.     

INCENTIVES,UNCERTAINTY, AND RISK IN THE NEWSBOY PROBLEM

This study explores the motivational consequences of an incentive device based on standard setting. It is shown that standard setting induces a wealth-seeking manager to undertake decisions that, in the manager's judgment, will improve the position of the owner relative to implementing the standard. Conditions under which it is rational for the owner to allow the manager to choose and implement decisions are discussed. Finally, consideration is given to an alternative incentive mechanism in which the manager's decisions are manipulated through variation of the incentive mechanism.     

Intergenerational Considerations Affecting the Future of Nuclear Power: Equity as a Framework for Assessing Fuel Cycles

Alternative fuel cycles are being considered in an effort to prolong uranium fuel supplies for thousands of years to come and to manage nuclear waste. These strategies bring with them different benefits and burdens for the present generation and for future generations. In this article, we present a method that provides insight into future fuel cycle alternatives and into the conflicts arising between generations within the framework of intergenerational equity. A set of intersubjective values is drawn from the notion of sustainable development. By operationalizing these values and mapping out their impacts, value criteria are introduced for the assessment of fuel cycles, which are based on the distribution of burdens and benefits between generations. The once‐through fuel cycle currently deployed in the United States and three future fuel cycles are subsequently assessed according to these criteria. The four alternatives are then compared in an integrated analysis in which we shed light on the implicit tradeoffs made by decisionmakers when they choose a certain fuel cycle. When choosing a fuel cycle, what are the societal costs and burdens accepted for each generation and how can these factors be justified? This article presents an integrated decision‐making method, which considers intergenerational aspects of such decisions; this method could also be applied to other technologies.     

Existence and Uniqueness of Maximal Reductions Under Iterated Strict Dominance

Iterated elimination of strictly dominated strategies is an order dependent procedure. It can also generate spurious Nash equilibria, fail to converge in countable steps, or converge to empty strategy sets. If best replies are well–defined, then spurious Nash equilibria cannot appear; if strategy spaces are compact and payoff functions are uppersemicontinuous in own strategies, then order does not matter; if strategy sets are compact and payoff functions are continuous in all strategies, then a unique and nonempty maximal reduction exists. These positive results extend neither to the better–reply secure games for which Reny has established the existence of a Nash equilibrium, nor to games in which (under iterated eliminations) any dominated strategy has an undominated dominator.     

Forschungsziele der Betriebswirtschaftlichen Steuerlehre in der Kritik

In this article the understanding of the scientific functions of business taxation represented by Jochen Hundsdoerfer, Dirk Kiesewetter and Caren Sureth is critically analyzed. It is argued that hypotheses on the influence of taxes on decisions, as far as they are based on neoclassical models, are not applicable to explain the actions of tax payers. These arguments at the same time object the realization of a neutral tax system. They further contradict the realization of a tax system, which is supposed to have an impact or which avoids taxes to have an effect on decisions, provided that the criticized hypotheses are used as a basis. Fiscal law standards should rather fulfil the principle of equability of taxation. It is supposed that such fiscal law standards have an effect on decisions of tax payers, which are contradictory to the aim of an equable taxation. Therefore hypotheses from scientific experience of the actual effect of taxes on decisions must be taken into account. Hence the object of this analysis is to investigate the real influence of taxes on decisions detached from neo-classical models.