Using Exemplary Business Practices to Identify Buddhist and Confucian Ethical Value Systems1

Initially, a brief history of Buddhism and Confucianism describes for the reader a framework developed to determine right versus wrong action and to guide followers of these religions to do the right thing in social or business practice. In addition, this article uncovers exemplary business practices grounded in Buddhist and Confucian ethical values system and practiced in the global business arena and uses these discoveries to describe an application of Buddhist and Confucian ethical values systems. The result is the recognition that these ethical values systems have an honorable and moral place in global business practice.     

TAXES, TORTS, AND THE TOXICS RELEASE INVENTORY: CONGRESSIONAL VOTING ON INSTRUMENTS TO CONTROL POLLUTION

Theories of rational political ignorance and congressional voting imply that Congress members may take different interests into account when they vote on technical amendments than when they vote on a bill's final passage. This article uses votes on Superfund reauthorization to examine what factors influence politicians' support for different instruments to control pollution and how the interests Congress members take into account vary with the anticipated degree of electoral scrutiny. Controlling for a legislator's general support for environmental programs, a representative's votes on specific policy instruments in Superfund legislation depended on the district-level costs and benefits of the instruments.     

THE PRODUCTION IMPACT OF “CASH‐FOR‐CLUNKERS”: IMPLICATIONS FOR STABILIZATION POLICY

Stabilization policies frequently aim to boost spending as a means to increase gross domestic product. Spending does not necessarily translate into production, however, especially when inventories are involved. We look at the “cash‐for‐clunkers” program that helped finance the purchase of nearly 700,000 vehicles in 2009. An analysis of auto sales and production movements reveals that the program did prompt a large spike in sales. But the program had only a modest and fleeting impact on production, as inventories buffered the movements in sales. These findings suggest caution in judging the efficacy of such policies by their impact on spending alone. (JEL E23, E65, L62)     

GOVERNMENT INTERVENTION TO PREVENT BANKRUPTCY: THE EFFECT OF BLIND‐BIDDING LAWS ON MOVIE THEATERS

In the 1970s motion picture studios increased their use of blind bidding and nonrefundable guarantees in an attempt to reduce the risks associated with producing a small number of large budget films. However, theater owners claimed that blind bidding and guarantees shifted risk to them and increased the likelihood of bankruptcy, because they were required to bid for the right to exhibit a movie without seeing it first. In response to the lobbying of theater owners, 24 states passed laws between 1978 and 1984 that banned blind bidding, while 7 states also banned nonrefundable guarantees. This paper provides the first empirical analysis of the conflicting claims made by theater owners and movie studios about the impact of these laws on the survival rates of independent theaters, admission prices, and delays in the release of movies. We find that the laws were not only ineffective in keeping theater owners at risk of bankruptcy from exiting the market; they may have been even detrimental to those theater owners converting theaters to multiplexes at that time. (JEL K, L)     

Constituency Opinion: A Test of the Surrogate Model

Using direct measures of district opinion, this article teststhe linearity and additivity assumptions of the surrogate model.Neither assumption is upheld when subjected to appropriate empiricaltests     

ARE PART-TIME WOMEN PAID LESS? A MODEL WITH FIRM-SPECIFIC EFFECTS

This paper uses data from a survey of child-care establishments to compare part-and full-time wages within two narrow occupations, one high skill and one low skill. Unlike previous studies, it controls for firm-specific effects. We find that when firm-specific effects are accounted for, only the low-skill workers in our sample receive lower wages for working part-time. On the other hand, when compensation is defined to include prorated fringe benefits, establishments appear to compensate both high- and low-skill part-timers at a lower hourly rate.