Computation of exact confidence intervals from discrete data using studentized test statistics

A new area of research interest is the computation of exact confidence limits or intervals for a scalar parameter of interest from discrete data by inverting a hypothesis test based on a studentized test statistic. See, for example, Chan and Zhang (1999), Agresti and Min (2001) and Agresti (2003) who deal with a difference of binomial probabilities and Agresti and Min (2002) who deal with an odds ratio. However, neither (1) a detailed analysis of the computational issues involved nor (2) a reliable method of computation that deals effectively with these issues is currently available. In this paper we solve these two problems for a very broad class of discrete data models. We suppose that the distribution of the data is determined by (,) where is a nuisance parameter vector. We also consider six different studentized test statistics. Our contributions to (1) are as follows. We show that the P-value resulting from the hypothesis test, considered as a function of the null-hypothesized value of , has both jump and drop discontinuities. Numerical examples are used to demonstrate that these discontinuities lead to the failure of simple-minded approaches to the computation of the confidence limit or interval. We also provide a new method for efficiently computing the set of all possible locations of these discontinuities. Our contribution to (2) is to provide a new and reliable method of computing the confidence limit or interval, based on the knowledge of this set.     

Capabilities and Well-Being: Evidence Based on the Sen–Nussbaum Approach to Welfare

One of the most significant theoretical contributions to welfare analysis across a range of disciplines has been the development of the capabilities framework by Sen and others. Motivated by the claim that freedom should play a key role in social evaluation, the capabilities framework suggests that we consider what it is that people are free to do, as well as what they actually do. Using data from the British Household Panel Survey in conjunction with a list of substantial values posited by Martha Nussbaum, we contribute to the operationalisation and testing of this approach. Specifically, we suggest that commonly used secondary data sources do provide some information about the capabilities people have and that this can be incorporated into models of (subjective) well-being such as those used by a growing number of labour and health economists. We find evidence that a wide range of capabilities exhibit statistically significant relations to well-being that the relations are complex and slightly different for men and women, and conclude with suggestions for future developments.     

An Empirical Taxonomy of SOE Governance in Transitional China

China’s State-Owned Enterprises (SOEs) traditionally have been governed by the Communist Party. Privatization has brought greater numbers of investors who have a stake and demand a voice in how SOEs are managed. Three traditional governance perspectives are agency theory, resource dependence, and institutional theory, but China’s transition introduces several additional governance approaches. Are “capitalism with Chinese characteristics” and “bureaucratic entrepreneurialism” paradoxes? Based on initial interviews of SOE executives, a survey of top managers and board chairs of listed companies, and subsequent interviews and observations in select case companies, this paper develop a taxonomy of SOE governance that now exists in China. Two of the approaches represent the extremes of the old state-centered regimes and the new shareholder-centered regimes. Considering China’s historical and cultural contexts coupled with its current stage of economic transition, two additional approaches to corporate governance are to have a vacuum as neither the state nor shareholders dominate or – in unique contrast to other countries – a hybrid of both.     

Determinants of Subjective Quality of Life Among Rural Adolescents: A Developmental Perspective

This study examines youths' experiences of loneliness and community connectedness in relation to seven domains of subjective quality of life among pre-adolescents, early adolescents, and middle adolescents. Participants consisted of 464 youth, ranging in age from 11 to 17 years, from two rural towns. Youth reported on their subjective experiences of loneliness and their perceptions of their community environments (neighbourhood and school). Hierarchical regressions indicated the importance of loneliness in accounting for subjective quality of life for early adolescents, and less so for middle and pre-adolescents. Community factors significantly accounted for additional variance in pre-adolescents' reports of their quality of life, compared with early and middle adolescents' reports. Discussion highlights the importance of understanding the determinants of quality of life from an individual, community, and developmental perspective.     

Race and Environmental Voting in the U.S. Congress

Objective. This article examines long-term trends in the environmental voting behavior in Congress and attempts to identify the factors that account for racial differences in voting patterns. Methods. Hypotheses about the various possible influences on environmental voting behavior are tested using longitudinal analyses and path analysis techniques. Results. Findings indicate African American members of Congress have been consistently more supportive of proenvironment legislation than either Republican or Democrat colleagues from 1981 to 1998. The data further suggest that much of these overall differences are explained by an especially large racial gap in proenvironmental voting among members from the South. Although such a gap among members from outside the South is eliminated by controlling for ideology and other variables, it remains substantial among Southern members. Conclusions. Based on the strong and consistent support for environmental legislation by African American members of Congress in the past, we expect significant racial differences in environmental voting to endure. Although results suggest that ideology plays a partial role in explaining such differences, future research will be needed to identify the reasons for the especially large racial gap in proenvironmental voting among members from the South. Given the growth in their numbers, their relatively safe seats, and their potential to chair important committees as they gain seniority, we expect African American legislators to play an increasingly important role in shaping and deciding the fate of national environmental policy in the future.     

Comparing methods for weighting decision criteria

Several metbods have been proposed to weight decision criteria. In this field study a decision group, like that used by public agencies, was formed to establish project priorities. The decision group used a variety of criteria weighting methods to study how these methods influence the magnitude of the weights assigned by members of the decision group. Direct criteria weighting methods (scaling, rank-weight, point assignment and odds procedures) and an indirect approach (weights derived from hypothetical projects) were considered. The study compared the methods in terms of the magnitude of the weights assigned, the variance in weights among members of the decision group, and the similarity of the decisions based on weights assigned by each method. The time to apply each method and the preferences of the decision makers were also determined. The linear rating scale that defined the meaning of scale increments, called an ‘anchored ratin scale’, was found to be favorably received and efficient and led to the most defensible decisions.