HEDONICS AND DEMAND ANALYSIS: THE IMPLICIT DEMAND FOR PLAYER ATTRIBUTES

Although a significant econometric literature is concerned with the implicit demand for the attributes of differentiated goods in hedonic pricing models, the literature has developed independently of modern econometric demand analysis. This study estimates factor demand systems using data on player characteristics employed by Major League Baseball teams, and associated estimated hedonic prices. It is found that the implicit demand for player attributes by teams is largely consistent with the predictions of the neoclassical theory of the firm, in contrast to the results often obtained by empirical demand studies using conventional data sets. (JEL D21)     

CO-MOVEMENTS IN RELATIVE COMMODITY PRICES AND INTERNATIONAL CAPITAL FLOWS: A SIMPLE MODEL

Suppose a number of countries produce a commodity which employs local labor and a type of capital that is internationally mobile. Within the framework of a specific-factors model the paper argues that there is a presumption about the international movement of capital when the relative price of the industry using that capital rises on world markets. Capital flows towards countries less heavily involved in producing the commodity; internal labor flows contribute toward worldwide industry dispersion; and the volume of international trade in that commodity tends to fall.     

SKILL AS A DIMENSION OF OCCUPATIONAL CLASSIFICATION

L'habilité est présentée comme une dimension qui règle les catégories sommaires d'une classification socioéconomique des professions, qui a été développée pour l'Etude sur la Mobilité des Canadiens. Cette analyse repose sur les valeurs ged et svp qui reflètent, respectivement, les différents niveaux d'éducation générale et d'apprentissage professionnel spécial requis pour les professions qui constituent chacune des catégories de l'emc. La classification des catégories de l'emc est reliée largement aux classifications basées sur les valeurs moyennes ged et svp. L'analyse des variations dans les valeurs ged et svp, entre et parmi les catkgories de I'emc, rCvkle que la plupart des catCgories sont homogenes, en ce qui conceme I'habileté. L'homogénéite, cependant, varie positivement suivant le niveau d'habileté. Le chercheur qui se concentre sur l'habileté comme dimension saillante de la variabilité entre les professions trouvent utile la classification de l'emc.
Skill is shown to be a dimension which orders the broad categories of a socioeconomic classification of occupations developed for the Canadian Mobility Study. The analysis is based on ged and svp values which, respectively, reflect different levels of general education and special vocational training required of the component occupations of each cms category. The cms ordering of the categories is highly correlated with orders based on average ged and svp values. Analysis of variation in ged and svp values between and within cms categories reveals that most categories are homogeneous with respect to skill. Homogeneity, however, varies positively with skill level. Researchers who focus on skill as a salient dimension of variability among occupations will find the cms classification useful.     

REDUCING FLOW TIME IN AIRCRAFT MANUFACTURING

The assembly of aircraft is a labor-intensive process that exhibits a significant learning-curve effect and that requires long flow times and costly work-in-process inventories. This paper describes the production context, the cost of flow time in this context, and some of the causes for the long flow times. We then develop an argument for a firm to use improvements in labor productivity to reduce flow times. Boeing has implemented the recommendations from this research and has obtained significant benefits from reducing flow times.