THE POLITICAL ECONOMY OF MINIMUM WAGE LEGISLATION

Two questions are addressed in this paper. (A) Why do labor unions and certain employer organizations respectively promote and impede minimum wage legislation? (B) Do these groups have significant impacts on minimum wages? Question (A) is examined in the context of models that identify the economic self-interest of unionized skilled workers and capitalists in legal wage floors. Question (B) is approached by a median legislator utility maximization model that leads to Tobit estimation of the relationship between state minimum wage rates and measures of statewide organized labor and capital and average hourly earnings.     

TAX RATES AND LABOR SUPPLY IN FISCAL EQUILIBRIUM

A central tenet of supply-side economics is that a balanced-budget reduction in the marginal tax rate on wage income increases aggregate labor supply. In contrast, the orthodox Keynesian analysis concludes that the relationship between tax rates and the economy-wide supply of labor is theoretically ambiguous. Our analysis of a general model reveals that these two propositions are associated, respectively, with the special assumptions of "compensated independence" and "ordinary independence" between leisure and public spending.     

THE COLLECTIVE DECISION PROBLEM, AND A THEORY OF PREFERENCE

This paper generalizes the "strength priority" idea of conventional majority preferences to select stronger preference patterns over weaker reverse preferences that contradict them. This generalization implies the existence of one and only one strength priority ranking that is transitive. Thus the ordering obtained can be viewed as a direct generalization of the traditional majority concept and is offered as a solution to the collective decision problem.     

AN IMPROVED IMPLEMENTATION OF THE WAGNER-WHITIN ALGORITHM

We have developed an improved implementation of the Wagner-Whitin algorithm for economic lot-sizing problems based on the planning-horizon theorem and the Economic-Part-Period concept. For many rigorous test conditions, this algorithm is about twice as fast and requires only half the array storage capacity of the previously fastest algorithm. Its execution time is approximately linear in the number of periods in the planning-horizon.     

Fast Food and Animal Rights: An Examination and Assessment of the Industry's Response to Social Pressure

Fast food chains such as McDonald's, KFC, and Burger King are major players in the production, marketing, and consumption of animal‐derived food throughout the world. Animal rights activists are quick to point out the link between the highly efficient factory farms that supply these chains and extreme animal cruelty and environmental degradation. Strategically, fast food is well positioned to leverage change in the methods by which animals are raised and processed for human consumption. Although progress has been made as the fast food industry has responded to pressure exerted by animal rights organizations, there is little indication of true collaborative efforts that would harness the power of the market to bring about substantive changes in the way the consuming public views the issue of animal welfare and food production.     

Dynamic issues in the planning and control of integrated manufacturing hierarchies

Integrated manufacturing operations typically are organized along hierarchical lines. Characterized by product aggregation and time horizon, hierarchical decompositions aim at easing problems associated with the complexity and scale of the manufacturing function taken as a whole. Static models have been developed and employed which facilitate the analysis and functioning of these organizations. Existing models are valuable aids in assisting goal-planning functions, but provide little guidance for directing the pursuit of goals. This paper presents a new hierarchical model of integrated manufacturing operations based on concepts of management control. The model is congruent with commonly used static planning models, while at the same lime depicting real-time, goal-achievement efforts within a dynamic operating environment. Emphasizing the interactions between goal planning and goal achievement, the dynamic model provides a means of assessing the effects of decentralization and autonomy on the goal planning and achievement process. The model is used to identify two resource-consuming chain reactions linked to replanning and goal pursuit within the hierarchy. A simple example based on the dynamic extension of a typical static decomposition illustrates the key findings.     

The Best Interests of the Child

Summary The purpose of this article is to clarify the concept of ‘thebest interests of the child’. It is argued that its usehas often confused rather than helped debates on child careand family work, creating the illusion that ‘the bestinterests of the child’ constitute an objective fact. Different assumptions of ends and means in interpreting the‘best interests of the child’ are discussed followedby an examination of the issues of parental authority and influencein decision making, the rights of the child to have a voicein his or her own future, and the authority of professionalsto weigh and balance all the factors. It is argued that more attention should be given to the complexityof the decision-making processes, that decision making shouldbe shared between children, parents and professionals, and thatviews of ‘the best interest of the child’ are alwayscontingent, depending on the particular position and assumptionsof the person expressing them, as well as the objective circumstances.     

WAGES,EMPLOYMENT, AND STATISTICAL DISCRIMINATION: EVIDENCE FROM THE LABORATORY

We report results from laboratory experiments designed to examine statistical discrimination. Our design expands upon existing research by generating data both on wage contracts and unemployment rates of directly competing worker groups. We find some evidence for statistical wage discrimination against workers having an identical expected productivity but a higher productivity variance. However, those same subjects are less likely to be unemployed, suggesting that our employer‐subjects view hiring choice and wage contracts as substitutable. A clear implication is that field data discrimination estimates based on wages alone may overestimate the true impact of such discrimination. (JEL C90, J71)