A Nonparametric Test for Autoregressive Conditional Heteroscedasticity: A Markov-Chain Approach

In this article we propose a nonparametric test for autoregressive conditional heteroscedasticity based on finite-state Markov chains. A simple Monte Carlo experiment suggests that in finite samples it performs comparably to the Lagrange multiplier test under conditional normality and is superior for the t, lognormal, and exponential distributions. As an illustration, we apply both tests to Canadian/U.S. forward foreign exchange data.     

Fatherhood regimes and father involvement in France and the UK

This paper contrasts and compares the institutional framework for fatherhood and father involvement and the survey evidence relating to fathers’ contribution to childcare and domestic work in the two countries. It shows that while men's contribution to such activities appears to be increasing in both France and the UK, change is slow and father involvement does not necessarily seem to correlate directly either with patterns of female labour force participation or with the support offered by the institutional framework. The authors explore the theoretical frameworks most appropriate for explaining their findings and situate them primarily in terms of Pfau-Effinger's theorization of the gender arrangement (1998, 2002, 2004). The authors conclude that while change in father involvement is slow, the introduction of statutory and organizational work–life balance measures which alter the gender order open up opportunities for negotiated change in the division of the labour in the home.     

Welfare vs “Cyberfare”

Due to the continual reliance on an outdated paradigm, current welfare reform proposals fail to adequately address the fundamental problems behind the welfare system itself. Obstacles to welfare reform abound, yet are not insurmountable with a redefinition of the federal role and a new overall way of thinking. Through the reexamination of current and past policies and existing cultural mores, the welfare system could, be recreated to rely on a new paradigm: cyberfare. Cyberfare is an economic and social support system which addresses the issues associated with an information/technology age, global economy, and the changing role of families and social institutions. Although the incorporation of cyberfare and the reforming of the welfare system is not without its challenges, it is vital to solving the poverty problem in American society.     

The Prison Industry: Carceral Expansion and Employment in U.S. Counties, 1969–1994*

Objectives. Despite the interest that social scientists have displayed in the rising rate of incarceration, little attention has been devoted to understanding its consequences for local areas. This is an important omission because prison construction has become a component of state and local economic development schemes. Indeed, there is a widespread belief that prison construction provides significant economic benefits to local areas. Methods. We analyze data on all existing and new prisons in the United States since 1960 and examine the impact of these prisons on the pace of growth (as measured by public, private, and total employment growth) in U.S. counties from 1969 to 1994. To our knowledge, our study is the first comprehensive and longitudinal assessment of the impact of prison construction on local areas. Results. We find no evidence that prison expansion has stimulated economic growth. In fact, we provide evidence that prison construction has impeded economic growth in rural counties that have been growing at a slow pace. Conclusion. Despite sharp ideological and intellectual differences, the critics and the advocates of the prison construction boom share the assumption that prisons can contribute to local growth, especially in hard‐pressed local areas. This belief flies in the face of mounting evidence that state and local initiatives rarely have a significant impact on growth; this belief is also contradicted by our analyses.     

A Hint of Risk: Tradeoffs Between Quantitative and Qualitative Risk Factors

Risk-perception research plays an active role in discussions of risk-management alternatives. However, little guidance is provided regarding how public concerns should be weighed against other sources of cost and benefits. This paper reports the results of two experiments that measure tradeoffs among cost (in dollars), a quantitative risk measure (number of deaths or injuries), and several qualitative characteristics associated with perceived risk. Most subjects were willing to make the requested trade. However, the perceived risk information led others to reject the proposed technology.     

Stigma Happens: Social Problems in the Siting of Nuclear Waste Facilities

The paper by Metz challenges the view that stigma associated with a nuclear waste repository might lead to significant economic losses to the host region. We have been invited to comment on the general issues raised by this paper. We find that much of the evidence presented in the paper consists of factual and conceptual errors and misrepresentations of the research literature. Based on our review of evidence documenting the social and economic impacts of perceived risk, we conclude that stigma is an important phenomenon that is symptomatic of fundamental problems with the way in which nuclear waste facilities are sited.     

AN ANALYSIS OF THE DEBATE ON INTERGENERATIONAL EQUITY AND FISCAL SUSTAINABILITY IN AUSTRALIA

The authorities in a number of advanced countries have produced intergenerational reports that seek to determine the fiscal sustainability of current policy parameters. The Australian government will publish its Intergenerational Report in May 2002. This paper attempts to place these reports in analytical perspective. We examine the notion of intergenerational equity, the conceptual basis for generational accounting, Australian efforts at constructing generational accounts, and then review the intergenerational reports of several other countries. The paper concludes with a brief synoptic discussion of various policies that can help Australian governments achieve intergenerational balance in future.     

INVERSE GAUSSIAN CONTROL CHARTS

Control charts typically used to monitor process centrality and dispersion either assume normally distributed output or appeal to the viability of the central limit theorem. This appeal to the central limit theorem is frequently made on behalf of samples consisting of 10 or fewer items. Control charts for centrality and dispersion are presented for processes with inverse Gaussian distributed output.     

CONTESTING FAIRNESS AND FRAGMENTING GROUPS: CULTURAL NARRATIVES OF TAXATION AND CITIZENSHIP IN GLOBALISING AUSTRALIA

This paper explores the relationship between culturally mediated narratives of fairness, conceptions of the state, group and individual identities, citizenship and debates about globalisation in Australian perspectives on tax administration. It is based on a qualitative analysis of 2374 responses to a survey of attitudes to the Australian tax system. This paper emphasises that taxpayer's statements can be read as cultural acts that enrich our understanding of how people give meaning and significance to their lives. The majority of respondents reported that taxation should be levied fairly across social groups. However, this sense of fairness is being eroded by the widespread perception that the wealthy are avoiding their “fair share” of taxes. However, although citizens view tax administration as increasingly unfair, there is no evidence of wholesale disengagement from the system. The majority of people believe that the tax system has legitimacy and that it can be reformed. There is still scope for policy innovation that reinstates a sense of fairness, equity and balance to the tax system.