Principal‐agent relationships on the stewardship‐agency axis

This article provides an overview of the literature on nonprofit principal‐agent relationships. It depicts the nature of agency theory and stewardship theory, analyzes the origin of their struggle within the nonprofit structure, and marks directions for a conciliatory approach. We open with an introduction to agency theory and discuss the two main components of its mathematical branch. We thereby contrast it with stewardship theory and elaborate on the arguments that can affect the position of nonprofit principal‐agent relationships on the stewardship‐agency axis. Analysis of the existing literature points to a lack of consensus as to which theory should be applied. We argue that the division of nonprofit principalagent relationships into board‐manager and manageremployee interactions may help to clarify the balance between agency theory and stewardship theory and may lead to the establishment of a strongly founded theory on nonprofit principal‐agent relationships. We close with a discussion of how this article may prove valuable to nonprofit policymakers and other empirical researchers.     

Risks of Paralytic Disease Due to Wild or Vaccine-Derived Poliovirus After Eradication

After the global eradication of wild polioviruses, the risk of paralytic poliomyelitis from polioviruses will still exist and require active management. Possible reintroductions of poliovirus that can spread rapidly in unprotected populations present challenges to policymakers. For example, at least one outbreak will likely occur due to circulation of a neurovirulent vaccine-derived poliovirus after discontinuation of oral poliovirus vaccine and also could possibly result from the escape of poliovirus from a laboratory or vaccine production facility or from an intentional act. In addition, continued vaccination with oral poliovirus vaccines would result in the continued occurrence of vaccine-associated paralytic poliomyelitis. The likelihood and impacts of reintroductions in the form of poliomyelitis outbreaks depend on the policy decisions and on the size and characteristics of the vulnerable population, which change over time. A plan for managing these risks must begin with an attempt to characterize and quantify them as a function of time. This article attempts to comprehensively characterize the risks, synthesize the existing data available for modeling them, and present quantitative risk estimates that can provide a starting point for informing policy decisions.     

Risk Perception of Heavy Metal Soil Contamination and Attitudes toward Decontamination Strategies

Contaminated soils are a common environmental risk all over the world. One major source of risk is heavy metal soil contamination caused by industrial emissions. This quasiexperimental study investigated the perception of these risks by exposed and nonexposed people, their attitudes toward bioremediation methods using hyperaccumulating plants, and the influence of long-term aspects of sustainability on the acceptance of bioremediation methods. Major findings were that people living in a contaminated area perceived the risk of the heavy metal soil contamination as higher than the general risk of contamination. Second, a factor analysis showed that the factors dread, control, and catastrophic potential were relevant for the perception and valuation of low-dose environmental risks such as the contamination of the investigated area. In addition, a cluster analysis showed that the risk of heavy metal soil contamination was perceived as similar to that of oil contamination, ozone layer, preservatives and genetic technology. It was perceived indifferently with regard to dread. The uncontrollability of heavy metal soil contamination was estimated as medium, and its catastrophic potential as low. Third, exposed and nonexposed participants preferred bioremediation methods to classical methods (e.g., excavation and chemical treatment of the soil), because they perceived the environmental and esthetical performance of the bioremediation as important criteria. Sustainability or precautionary issues, such as the prevention of harm for future generations, were highly correlated with the acceptance of the use of bioremediation methods in people's residential areas.     

Affirmative action in winner-take-all markets

Whom to hire, promote, admit into elite universities, elect, or issue government contracts to are all determined in a tournament-like (winner-take-all) structure. This paper constructs a simple model of pair-wise tournament competition to investigate affirmative action in these markets. We consider two forms of affirmative action: group-sighted, where employers are allowed to use group identity in pursuit of their diversity goals; and group-blind, where they are not. It is shown that the equilibrium group-sighted affirmative action scheme involves a constant handicap given to agents in the disadvantaged group. Equilibrium group-blind affirmative action creates a unique semi-separating equilibrium in which a large pool of contestants exerts zero effort, and this pool is increasing in the aggresiveness of the affirmative action mandate.