Flipping and ex post aggregation

We show that Bayesian ex post aggregation is unstable with respect to refinements. Suppose a group of Bayesians use ex post aggregation. Since it is a joint problem, each agent's problem is captured by the same model, but probabilities and utilities may vary. If they analyze the same situation in more detail, their refined analysis should preserve their preferences among acts. However, ex post aggregation could bring about a preference reversal on the group level. Ex post aggregation thus depends on how much information is used and may keep oscillating (“flipping”) as one keeps adding more information. Received: 16 April 2002/Accepted: 27 May 2002     

On strategy-proofness and essentially single-valued cores: A converse result

In a general model of indivisible good allocation, S?nmez (1999) established that, whenever the core is nonempty for each preference profile, if an allocation rule is strategy-proof, individually rational and Pareto optimal, then the rule is a selection from the core correspondence, and the core correspondence must be essentially single-valued. This paper studies the converse claim of this result. I demonstrate that whenever the preference domain satisfies a certain condition of `richness', if the core correspondence is essentially single-valued, then any selection from the core correspondence is strategy-proof (even weakly coalition strategy-proof, in fact). In particular, on the domain of preferences in which each individual has strict preferences over his own assignments and there is no consumption externality, such an allocation rule is coalition strategy-proof. And on this domain, coalition strategy-proofness is equivalent to Maskin monotonicity, an important property in implementation theory. Received: 22 February 2000/Accepted: 22 January 2002 I am grateful to Ryo-ichi Nagahisa, Shinji Ohseto, Hiroshi Ono, Tomoichi Shinotsuka and Shigehiro Serizawa for valuable comments. And I am indebted to two anonymous referees for useful suggestions. Especially, I owe the present proof of Lemma 2 to one referee. I also thank Yukihiko Funaki, Atsushi Kajii, Mamoru Kaneko, Eiichi Miyagawa, Tatsuyoshi Saijo, Manimay Sengupta, Yves Sprumont, Yoshikatsu Tatamitani, Manabu Toda, Takashi Ui, Takehiko Yamato, Naoki Yoshihara and the participants of the seminars in Hokkaido University, Kansai University, ISER (Osaka University), Otaru University of Commerce and Tsukuba University. All errors are my own responsiblity.     

The dilemma of recognition: Administrative categories and cultural diversity

Governments around the world combat inequality by means of group-specific redistribution. Some pursue redistribution that benefits groups, but also wish to avoid accentuating or even recognizing group distinctions. This poses a dilemma that they try to resolve by adjusting the category system used to target redistribution. There are three types of adjustment: accommodation (the multicultural approach), denial (the ideal-typical liberal solution), and replacement (a compromise). In replacement the targets of redistributive policies are constructed to avoid accentuation or recognition of inconvenient group distinctions, but still allow redistribution that benefits these groups. Replacement is increasingly in demand around the world because the disadvantages of multiculturalism are becoming apparent while denial is hard to sustain in the face of group inequality. The actual effect of replacement is little researched and less understood, however. Does it resolve the dilemma of recognition? Two examples–India and Nigeria–where replacement has been tried ever since the 1950s cast doubt on its viability.     

The Migration–Development Nexus: Evidence and Policy Options

Migration and development are linked in many ways – through the livelihood and survival strategies of individuals, households, and communities; through large and often well–targeted remittances; through investments and advocacy by migrants, refugees, diasporas and their transnational communities; and through international mobility associated with global integration, inequality, and insecurity. Until now, migration and development have constituted separate policy fields. Differing policy approaches that hinder national coordination and international cooperation mark these fields. For migration authorities, the control of migration flows to the European Union and other OECD countries are a high priority issue, as is the integration of migrants into the labour market and wider society. On the other hand, development agencies may fear that the development policy objectives are jeopardized if migration is taken into consideration. Can long–term goals of global poverty reduction be achieved if short–term migration policy interests are to be met? Can partnership with developing countries be real if preventing further migration is the principal European migration policy goal? While there may be good reasons to keep some policies separate, conflicting policies are costly and counter–productive. More importantly, there is unused potential in mutually supportive policies, that is, the constructive use of activities and interventions that are common to both fields and which may have positive effects on poverty reduction, development, prevention of violent conflicts, and international mobility. This paper focuses on positive dimensions and possibilities in the migration–development nexus. It highlights the links between migration, development, and conflict from the premise that to align policies on migration and development, migrant and refugee diasporas must be acknowledged as a development resource.     

Labor relations and technological change at Canadian Pacific Railway

There was a time in this fair land when the railroad did not run When the wild majestic mountains stood alone against the sun Long before the white man and long before the wheel When the green dark forest was too silent to be real For they looked into the future and what did they see They saw an iron road running from the sea to the sea Bringing the goods to a young growing land All up through the seaports and into their hands From “Canadian Railroad Trilogy” by Gordon Lightfoot The authors thank CPR managers and union officials representing CPR employees for their cooperation and patience in explaining the intricacies of the railroad industry. Special appreciation is extended to Jason Copping, Labour Relations Manager, for his facilitating our initial access to the company.     

The Texaco racial discrimination case and shareholder wealth

We analyze the wealth ejfects of the Texaco racial discrimination lawsuit both on the shareholders of Texaco and its major U.S. competitors. Employing a comprehensive data set which included every case docket entry and every Wall Street Journal article on the case as an experimental stimulus, our findings suggest that the overall cost of the case to Texaco shareholders exceeded $500 million, that Texaco's tribulations had little, if any, impact on the share prices of its major competitors, and that Wall Street Journal coverage of the case was highly correlated with significant changes in Texaco stock prices. This last finding provides significant support for Hite 's suppostion that newspaper editors “key ” on ex post stock price changes in selecting the events to be covered in the next day's edition. The authors are grateful to Kee Chung for helpful comments on earlier drafts and also acknowlege the help-ful assistance of the staff of the law library at the Cecil C. Humphreys School of Law at The University of Memphis.