Works Councils and Organizational Performance

Most studies on the effects of works councils simply analyze whether their mere presence contributes to firm performance. This study seeks to offer a contribution to the literature by adding, to date, largely unexplored potential contingencies: the attitudes of Dutch top managers and works councils as to the functioning of the latter, in bad vis-à-vis good times. The overall conclusion from our probit analyses is that the way in which management and works councils interact, and hence the way in which codetermination is implemented, makes all the difference to the firm’s economic position. Our most compelling finding relates to the role of management: a positive attitude of managers toward the works council is positively associated with organizational performance, both in the private and the public sector. In the private sector, this result is even reinforced in times of reorganization.     

A Survival Analysis of Timing of Entry into Prostitution: The Differential Impact of Race, Educational Level, and Childhood/Adolescent Risk Factors

Using survey data obtained from 309 women working in street-level prostitution in Phoenix, Arizona, this investigation examines the influence of minority status, educational level, and the experience of risk factors in an individual's childhood or adolescence on the hazard rate for age of entry into prostitution. Findings of this study show that women engaging in prostitution have limited educational backgrounds and often do not complete high school. Results indicate that both white and minority women engaging in prostitution experienced high rates of physical and sexual abuse in childhood, as well as parental substance abuse. When compared to minority women, white women are more likely to have experienced any one of these three risk factors thought to influence entry into prostitution, yet event-history analysis indicates that minority women consistently experience significantly higher hazard rates for entry into prostitution. Findings suggest the need for future research to better assess the impact of race—in the form of socioeconomic and social disadvantages associated with minority status—as it relates to entry into the sex trade.     

Survey non-response and the duration of unemployment

Summary.  Social surveys are often used to estimate unemployment duration distributions. Survey non-response may then cause a bias. We study this by using a data set that combines survey information of individual workers with administrative records of the same workers. The latter provide information on durations of unemployment and personal characteristics of all survey respondents and non-respondents. We develop a method to distinguish empirically between two explanations for a bias in results based on only survey data: selectivity due to related unobserved determinants of durations of unemployment and non-response and a causal effect of a job exit on non-response. The latter may occur even in fully homogeneous populations. The methodology exploits variation in the timing of the duration outcome relative to the survey moment. The results show evidence for both explanations. We discuss implications for standard methods to deal with non-response bias.     

Allocating limited health care resources – the tragedy of patient relations with the mass media

The allocation of limited resources for social welfare purposes, including health care, may be distorted by publicity in the mass media. Acting on behalf of a personified welfare customer, the results of the media coverage may instead be distortions in the distribution of resources. An actual case and stylized examples are used to indicate that the willingness to pay for health care depends on the distance between customer and decision-maker. The role of the mass media in serious medical treatment decisions is then discussed.     

On 'class exploitation' in Canada†

Two things make Carl Cuneo's recent (1978) paper on 'rates of exploitation' in Canada remarkable. The first is the magnitudes involved. Cuneo's preferred measure of surplus value (RSV₇), for instance, shows a more than seven-fold increase from 1917 to 1971, indicating a quite spectacular shift in favour of capital in relative income shares in Canadian manufacturing industry. The second thing that makes Cuneo's paper remarkable is the extent to which his findings are inconsistent with findings on income shares reported by 'bourgeois' economists. In a survey of the literature Pen (1971: 164 ff.), for example, reports that in the advanced capitalist economies, the share of income accruing to labour in the economy as a whole has increased substantially and that even if one confines one's attention to the private sector the share of manual workers has not decreased but remained more or less constant in spite of the relative decline in their numbers.¹ Now, it is true that the studies reviewed by Pen approach the problem of income shares with the categories of 'bourgeois' economics while Cuneo approaches the problem with what he regards as Marxist categories, and it is conceivable that this might have accounted for the radical difference in the findings. But still, differences of such magnitude in the trends reported in the shares of capital and labour both give pause and urge a close scrutiny.     

Gay Community Involvement: Its Interrelationships and Associations With Internet Use and HIV Risk Behaviors in Swedish Men Who Have Sex With Men

We measured aspects of “community involvement” chosen for men who have sex with men (MSM) in Sweden (gay places, media accessed, Internet, gay festivals, and social engagement, measured as proportion of gay friends) in two Swedish Internet-based samples from 2006 (n?=?3,202) and 2008 (n?=?4,715). Data showed low to moderate reliability with a moderate (0.57) alpha coefficient. While there is moderate internal consistency, as might be anticipated from measures of actual community involvement, they can be treated as scales. The Internet scale indicated the lowest reliability, perhaps due to respondents having Internet sites of primary choice, rather than a high level of usage across several sites. A hypothesized lack of correlation between traditional domains of the gay community and the Internet did not appear: correlations between the Internet measure and the other measures were positive and significant, but among the lowest correlations obtained between the community measures, ranging from 0.06 to 0.24. Those who use the Internet extensively are less likely to be involved in other aspects of the community. Sexual risk was associated with high social engagement at sexual meeting sites and with Internet use. Gay community involvement, including the Internet community, may be complex and associated with both increase in HIV sexual risk behaviors (by measuring use of sexual risk sites) and preventive measures (HIV testing).     

The impact of early-life economic conditionson cause-specific mortality during adulthood

The aim of this study is to assess the effects of economic conditions in early life on cause-specific mortality during adulthood. The analyses are performed on a unique historical sample of 14,520 Dutch individuals born in 1880–1918, who are followed throughout life. The economic conditions in early life are characterized using cyclical variations in annual real per capital gross domestic product during pregnancy and the first year of life. Exposure to recessions in early life appears to significantly increase cancer mortality risks of older males and females. It also significantly increases other mortality risks especially for older females. The residual life expectancies are up to about 8 and 6 % lower for male and female cancer mortality, respectively, and up to about 5 % lower for female cardiovascular mortality. Our analyses show that cardiovascular and cancer mortality risks are related and that not taking this association into account leads to biased inference.     

Sharpening Jensen's Inequality

This article proposes a new sharpened version of Jensen's inequality. The proposed new bound is simple and insightful, is broadly applicable by imposing minimum assumptions, and provides fairly accurate results in spite of its simple form. Applications to the moment generating function, power mean inequalities, and Rao-Blackwell estimation are presented. This presentation can be incorporated in any calculus-based statistical course.     

Job Durations With Worker- and Firm-Specific Effects: MCMC Estimation With Longitudinal Employer–Employee Data

We study job durations using a multivariate hazard model allowing for worker-specific and firm-specific unobserved determinants. The latter are captured by unobserved heterogeneity terms or random effects, one at the firm level and another at the worker level. This enables us to decompose the variation in job durations into the relative contribution of the worker and the firm. We also allow the unobserved terms to be correlated in a model that is primarily relevant for markets with small firms. For the empirical analysis, we use a Portuguese longitudinal matched employer–employee dataset. The model is estimated with a Bayesian Markov chain Monte Carlo (MCMC) estimation method. The results imply that unobserved firm characteristics explain almost 40% of the systematic variation in log job durations. In addition, we find a positive correlation between unobserved worker and firm characteristics.