TERRITORIAL RESTRICTIONS IN FRANCHISE CONTRACTS

Efficient contracts set incentives through the assignment of rights and profit shares., Although efficient contracts have been used to explain the nature of the firm, the use of contractual rights in specific business contracts is relatively unexplored. We analyze contractual rights in franchise systems, in particular the right to add franchisees. An exclusive territory assigned to an initial franchisee is not an immutable guarantee, but rather a starting point for subsequent renegotiation in the franchise relationship. Exclusivity is therefore profitable when franchisee efforts are critical to the venture. A sample of franchise contracts reveals evidence consistent with the model's prediction.     

Public Perceptions about Food Safety in the United States and Japan1

Abstract Consumer concerns over pesticide residues and food additives have been growing in industrialized societies, including the United States and Japan. However, little comparative research has been carried out to determine which household characteristics may be significantly associated with these heightened concerns, and whether or not the same factors are useful for understanding variation in these worries in more than one society. This paper examines food safety attitudes in Seattle, Washington, and Kobe, Japan, and discovers that while the absolute level of expressed concern is higher in Kobe, the predictive power of household characteristics in explaining attitudinal differences within countries is similar. Implications for rural areas and future research on family structures in capitalist societies are discussed.     

Will taxpayers ever like taxes?: Responses to the U.S. Tax Reform Act of 1986

Major policy changes like the 1986 Tax Reform Act (TRA) in the United States provide natural experiments to study attitudinal and behavior responses to law. Surprisingly, public evaluations of the TRA became increasingly negative after passage, while general support for the tax system became more positive in response to the changes. To explain this puzzle, we propose a dynamic model of taxpayer attitudes that is consistent with the observed loose linkage between logically-connected concepts. We briefly review the political context, objectives and impacts of the 1986 Tax Reform Act, and present several studies testing the impact of self-interest, prior beliefs, and social discussion on changes in attitudes and behavior.Results suggest that the complexity of taxes and difficulty in knowing objective impacts weakens the role of self-interest in attitudinal changes, thereby strengthening the role of prior beliefs and discussion. Evaluations of tax laws are most responsive to more politically-oriented influences.     

Children's gender- and age-based categorization in similarity and induction tasks

The present studies examined children's and adults' preferences for gender- or age-based categorization using similarity and inductive inference tasks. Four-year-olds, 6-year-olds, and adults looked at pictures of people and decided which of two was more like a target (similarity condition) or which shared a novel age- or gender-related property with the target (inference condition). Age or gender-based matches were possible. The results are consistent with previous findings that gender-based classification decreases with age. However, they also demonstrate that children use gender more for judging similarity than for making inferences about novel properties. Distinct patterns emerge from the two tasks: 6-year-olds and adults in both conditions categorize more by age than gender; 4-year-olds categorize by gender more than age in the similarity task, but by age more in the induction task. Only adults differentiated by property in the inference condition. These findings suggest that the salience of gender categories cannot entirely be attributed to their inductive potential. Gender has a salience beyond what would be predicted by its power for directing novel generalizations.     

Estimation of noncentrality parameters

We propose some estimators of noncentrality parameters which improve upon usual unbiased estimators under quadratic loss. The distributions we consider are the noncentral chi-square and the noncentral F. However, we give more general results for the family of elliptically contoured distributions and propose a robust dominating estimator.     

Small Town in Mass Society Revisited1

Abstract The case study of a small New York town that dramatized the thesis that the secular expansion of macro forces—urbanization, industrialization, bureaucratization—has permanently reduced the autonomy of all small communities is an example of a special type of discovery/persuasion strategy in the social sciences: the “opposition case study.” In contrast to the more rigorous “competitive test” or the atheoretical “negative case,” opposition case studies confront the dominant perspective with a qualitative illustration of a new theory in the context of a zero-sum game. When they are successful, opposition cases meet four criteria: the dominant view is immediately rendered obsolete; the origin of the new idea supports its plausibility; the new perspective is shown to be testable; and the new perspective quickly generates new lines of research. Small Town in Mass Society meets the first criterion, and may have been heuristic, but its probable origin in populist ideology undermines its testability.     

The Micro System of Deviance in Intimate Relationships*

Deviance in intimate relationships may lie as much within the micro system of such relationships as it does within the personalities of the actors involved. Using a Parsonsian framework, it is argued that the strain of systemically disequilibrated relationships can produce deviant personality adaptations which, in turn, intensify conflict and deviance in those relationships. It is also proposed that a reciprocal quality exists to such maladaptations, with each member of the dyad contributing to the amplification of a stable system of deviant behavior patterns within the relationship. Because the patterns of maladaptive dyads spill over into parent-child relationships, they have implications for understanding intergenerational transmission of deviance between intimates.     

Effects of Medicaid managed care policies on mental health service use among a national probability sample of children in the child welfare system

Children in the child welfare system are dependent upon Medicaid to finance services for their considerable mental health needs. This study examines the effects of Medicaid policies on mental health service use among a national probability sample of children in the child welfare system. Data for this study came from the National Survey of Child and Adolescent Well-Being, the Caring for Children in Child Welfare study, and the Area Resource File. Weighted multivariate logistic regression analyses were conducted to estimate effects of policy variables on children's use of mental health services, controlling for child-level covariates and county-level health resources. Children in counties with behavioral carve-outs under Medicaid managed care had lower odds of inpatient mental health service use. Medicaid managed care enrollment and variations in type of provider reimbursement did not affect use of mental health services. Older age, greater need for mental health services, and higher levels of caregiver education were associated with increased odds of service use. Restrictions on use of inpatient mental healthcare caused by behavioral carve-outs may disproportionately affect children in the child welfare system who have high rates of such use. Careful adoption of carve-outs is necessary to assure appropriate care for these children.     

Qualified privilege: A defense for the public relations function

Technology continues to challenge the public relations practitioner to find ways to inform key constituents. The new technology has given rise to the “new journalism” that includes a declining traditional media and exploding internet media filled with websites and bloggers. The question posed by this research asks: Does the public relations practitioner inherit the same protection offered by “qualified privilege” that is most often associated with the traditional “press” or “reporter?” The research lays a foundation with an examination of defamation and the defense of qualified privilege. The research concludes that if information gathered by the public relations practitioner meets the “intent” and “content” tests, the information qualifies as news. Passing the “news” test, the defense of “qualified privilege” also attaches to the public relations practitioner.