Technical Note – Pricing Below Cost Under Exchange‐Rate Risk

Pricing below cost is often classified as “dumping” in international trade and as “predatory pricing” in local markets. It is legally prohibited from practice because of earlier findings that it leads to predatory behavior by either eliminating competition or stealing market share. This study shows that a stochastic exchange rate can create incentives for a profit‐minded monopoly firm to set price below marginal cost. Our result departs from earlier findings because the optimal pricing decision is based on a rational behavior that does not exhibit any malicious intent against the competition to be considered as violating anti‐trust laws. The finding is a robust result, because our analysis demonstrates that this behavior occurs under various settings such as when the firm (i) is risk‐averse, (ii) can postpone prices until after exchange rates are realized, (iii) is capable of manufacturing in multiple countries, and (iv) operates under demand uncertainty in addition to the random exchange rate.     

Handling Missing Values in Longitudinal Panel Data With Multiple Imputation

This article offers an applied review of key issues and methods for the analysis of longitudinal panel data in the presence of missing values. The authors consider the unique challenges associated with attrition (survey dropout), incomplete repeated measures, and unknown observations of time. Using simulated data based on 4 waves of the Marital Instability Over the Life Course Study (n = 2,034), they applied a fixed effect regression model and an event‐history analysis with time‐varying covariates. They then compared results for analyses with nonimputed missing data and with imputed data both in long and in wide structures. Imputation produced improved estimates in the event‐history analysis but only modest improvements in the estimates and standard errors of the fixed effects analysis. Factors responsible for differences in the value of imputation are examined, and recommendations for handling missing values in panel data are presented.     

The Challenges in Developing an Online Applied Statistics Program: Lessons Learned at Penn State University

Numerous professional fields have an increasing need for individuals trained in statistics and other quantitative analysis techniques. Today there exists great potential to fulfill this need by providing opportunities through online learning. However, to provide a high-quality education for returning adult professionals seeking advanced degrees in applied statistics online, many challenges need to be overcome. Based on our experience developing Penn State University’s online program in applied statistics, we discuss the evolution of the program’s curriculum, recruitment and development of online faculty, and meeting the requirements of students as important areas that require consideration in the development of an online program. We also highlight program evaluation strategies employed to ensure innovation and improvement in online education as cornerstones to a program’s success.     

A Nonparametric Test Procedure Based on Quantiles for the Right Censored Data

In this study, we propose nonparametric tests using the several quantile statistics simultaneously for the right censored data. First of all, we consider statistics of the quadratic form with estimated covariance matrices. Then we derive the limiting distribution using the large sample approximation theory. Also we consider different forms of statistics such as the maximal and summing types with their limiting distributions. Then we illustrate our procedure with examples and compare performance among tests with empirical powers through a simulation study. Also we comment briefly on some interesting features including re-sampling methods as concluding remarks. Finally in Appendices, we provide proofs for the theoretic results needed for the derivation of the limiting distributions of the proposed test statistics.     

Myths and Misconceptions About University Student Volunteering: Development and Perpetuation

VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations - This paper examines myths and misconceptions about university student volunteering. Our study explored the experiences of...     

The Development of a Screening Tool for the Adult Children of Alcoholics Traits (STACAT)

In order to develop a valid tool for screening the traits of adult children of alcoholics (ACOA), this study focused on finding common characteristics among ACOA and developing a tool based on those characteristics. An item pool was generated targeting three distinct characteristics discussed in the alcohol literature related to ACOA, and the items were reviewed by a panel of experts. Using data from the sample, a confirmatory factor analysis, t -test and correlation analysis were conducted to gather various validity evidences for the screening tool. Cronbach's coefficient alpha test was used to check the internal consistency of the tool. The evidence of the reliability and validity for the ACOA traits screening tool provide the social work practice with an empirically validated method of measuring these traits in the children of alcoholics.     

Health and welfare of immigrants and access to services in Australia

The main issues in relation to the provision of health and social welfare services for migrants in Australia are: (a) to ensure access and equity; (b) concern about the relatively high proportions of some groups from specific birthplaces requiring support; and (c) the complexity and costs of ethnically specific services. This article focuses on the major pensions and benefits paid by the Department of Social Security, particularly the age pension and unemployment benefit. It also examines the interrelationship between mortality, morbidity, private health insurance, use of health services and the proportions on health-related pensions. Linked with these issues is the debate about an appropriate level of immigration when the unemployment rate is high, as in the current recession, and when new arrivals have little prospect of finding a job. A second major concern is the cost of caring for elderly immigrant parents who have come to Australia under the family reunion program.     

Static Numbers to Dynamic Statistics: Designing a Policy-Friendly Social Policy Indicator Framework

In line with the economic crisis and rapid socio-demographic changes, the interest in ??social?? and ??well-being?? indicators has been revived. Social indicator movements of the 1960s resulted in the establishment of social indicator statistical frameworks; that legacy has remained intact in many national governments and international organisations. With this background, this research examines whether existing social indicator frameworks are valid and effective enough to address increasingly complex social issues. The authors argue that, despite some improvements, current social indicators fail to provide an effective framework and tool for measuring the progress of social welfare and also for developing or reforming social policy to cope with newly emerging social problems. While proposing a new social indicator framework based on the Organisation for Economic Co-operation and Development??s pressure-state-response (PSR) model, the paper argues that the new framework should be more than displaying static numbers but should use dynamic statistics revealing causes and effects and shedding light on social and policy changes.