DIVERSIFICATION GAINS FROM INCLUDING REAL ESTATE IN MIXED-ASSET PORTFOLIOS*

Diversification gains in mean-variance efficiency derived from including real estate in financial asset portfolios are examined. Optimal financial and mixed-asset portfolios were generated by selecting from an investment universe including several distinct financial and real estate media. Deficiencies of previous studies were overcome by employing data with improved representativeness and comparability. The efficient mixed-asset portfolios dominated the efficient financial asset portfolios implying that purely financial asset diversification is inefficient. The optimal mixed-asset portfolio prescribed that approximately two-thirds of the investment wealth be allocated to real estate and one-third to the financial media.     

Self-interest and the theory of action

The concept of self-interest remains underdeveloped in sociology although central to economics. Recent methodological and social trends render sociological indifference to the concept untenable. The term has enjoyed historical predominance in the West since the sixteenth century. While it is seen in modern economics as a singular motivating force, Adam Smith regarded self-interest in economic action as necessarily moderated by sympathy. In addition to its problematic economic conceptualization self-interest has an experiential basis in unequal power relations. An alternative to the concept of self-interest is presented by Amartya Sen in his account of commitment; its inconsistencies, however, render Sen's statement unsatisfactory. Differences between present and future interests indicate that the distinction between self-interested and other-interested action is not sustainable.     

Relationship between construction workers' musculoskeletal disorders and occupational health service activities

Construction work consists of numerous factors that influence workers' occupational health and that load the musculoskeletal system in particular. Musculoskeletal disorders are responsible for over a third of all sick leaves lasting over nine days in the construction industry. Occupational health services (OHS) were organized for 85% of the construction workers in our study. The proportion of construction workers who had suffered from chronic or repetitive neck and shoulder, shoulder or arm, or low-back disorders was 55.6%, 44.8% and 42.1%, respectively. Those who felt that they had received enough information, advice or guidance from OHS concerning work posture, work performance or work tools were more often those who had not suffered from shoulder or arm disorders (60.9% vs. 39.1%, p=.024, respectively) or low-back disorders (63.6% vs. 36.4%, p=.034, respectively) during the last month than those who had. Those who had received enough support from OHS concerning maintenance of work ability were more often workers who had not suffered from low-back disorders during the last month than those who had (63.3% vs. 36.7%, p=.004, respectively). OHS should focus more on workers who would really benefit from their activities at a particular time and in a particular situation (primary, secondary or tertiary prevention) and who are themselves devoted to improving their health.     

Whatever happened to environmental analysis?

This article discusses a longitudinal study of firms selected for their expertise in environmental analysis. It is primarily designed to test two general propositions. The first, that environmental analysis is increasing in importance over time— both within and between firms; and the second, that environmental analysis is most viable as a separate, freestanding function within the organization.