Education CREATIVE THINKING AND INNOVATIVE EDUCATION IN THE DECISION SCIENCES

Creative problem solving is seldom addressed directly in the decision sciences literature. The first half of this paper reviews current thinking about creativity and its educational importance. The remainder addresses creative problem-solving processes and, in particular, the process developed by Parnes, Noller and Biondi [24] and Osborn [23]. This process has been integrated into an OR/MS problem-solving course which is described. Conclusions and implications for decision sciences education and practice in general are discussed.     

A DISCRETE DYNAMIC OPTIMIZATION MODEL FOR MADE-TO-ORDER COST ANALYSIS

A model is presented that yields optimal production rates for a firm producing a contracted order. The model is unique in that it considers the influence of production rate and learning on total program cost. An application to the specific characteristics of two military production programs is presented. As demonstrated by the application, models of this type may be used as decision-making tools when negotiating the cost impact of contract modifications.     

Assessing multiple prior models of behaviour under ambiguity

The recent spate of theoretical models of behaviour under ambiguity can be partitioned into two sets: those involving multiple priors and those not involving multiple priors. This paper provides an experimental investigation into the first set. Using an appropriate experimental interface we examine the fitted and predictive power of the various theories. We first estimate subject-by-subject, and then estimate and predict using a mixture model over the contending theories. The individual estimates suggest that 24% of our 149 subjects have behaviour consistent with Expected Utility, 56% with the Smooth Model, 11% with Rank Dependent Expected Utility and 9% with the Alpha Model; these figures are close to the mixing proportions obtained from the mixture estimates where the respective posterior probabilities of each of them being of the various types are 25%, 50%, 20% and 5%; and using the predictions 22%, 53%, 22% and 3%. The Smooth model appears the best.     

Modeling the Niger Delta Insurgency

Nigeria's oil guarantees its role in the global economy; however, the state's overwhelming weaknesses perpetuate a high level of volatility vis-à-vis the potential for an immediate disruption of the national, regional, and global environment. This study presents a current qualitative analysis of Nigeria to produce a model that characterizes current conditions in the state and the state response to the nefarious acts in the delta region. This model will serve as a baseline for a significant iteration of the model that reflects the delta region counter-insurgency at various levels of strength: a what-if scenario of the region with an increase of state security over southern separatists, insurgents seeking to gain control of the oil assets. The conjectured model serves to inform/educate decision and policy makers in developing proactive, effective strategies to counter existent and potential threats in the Niger Delta.     

Determinants of Social Expenditure in Sri Lanka

The study examines the determinants of social expenditure in Sri Lanka for the period 1970–2010. The data are from a new data set assembled by the authors. The social spending data are collected from the Central Bank of Sri Lanka on education, health, and also on welfare spending. The study explains the determinants of social spending considering the demand‐side and the supply‐side driving forces and finds that inequality issues have been a major concern of social policy in Sri Lanka. Similarly, this study implies the influence of political behavior to satisfy voters as explained by the fiscal illusion theory. The globalization is not significant for social expenditure as commonly assumed in developed countries. Even the consequences of the self‐interested behavior of bureaucrats are not evident in the Sri Lankan welfare sector.     

Extending social security coverage to the rural sector in China

In late 2009 China launched an innovative, voluntary programme that by 2011 had extended pension coverage to 326.4 million people in the rural sector, including contributors and beneficiaries. It requires one contribution per year and provides a flat‐rate benefit and a contributions‐related benefit through a contributory individual account, with a government guarantee that the benefit will continue for life. The programme encourages participation of persons who do not pay income taxes, and thus have no tax incentive to participate, by providing substantial government subsidies. As a further incentive, old‐age benefits are provided to older parents when all their adult children participate in the contributory programme.