Showing papers on "Government published in 1985"
TL;DR: In this article, the effects of the horizon index on the steady state interest rate and the dynamic effects of government deficit finance on the economic system were investigated and a simple analytical model was developed in which the horizon of agents is a parameter which can be chosen arbitrarily.
Abstract: Many issues in macroeconomics, such as the level of the steady state interest rate, or the dynamic effects of government deficit finance, depend crucially on the horizon of economic agents. This paper develops a simple analytical model in which such issues can be examined and in which the horizon of agents is a parameter which can be chosen arbitrarily.The first three sections of the paper characterize the dynamics and steady state of the economy in the absence of a government. The focus is on the effects of the horizon index on the economy. The paper clarifies in particular the separate roles of finite horizons and declining labor income through life in the determination of steady state interest rates.The next three sections study the effects and the role of fiscal policy.The focus is on the effects of deficit finance both in closed and open economies. The paper clarifies the respective roles of government spending, deficits and debt in the determination of interest rates.
1,800 citations
TL;DR: This paper showed that the postwar US deficits are largely consistent with the proposition that the government budget must be balanced in present-value terms, which is mathematically equivalent to testing whether a continuing currency inflation might be fueled by speculation alone or is instead driven solely by economic fundamentals.
Abstract: This paper seeks to distinguish empirically between two views on the limitations of government borrowing According to one view, nothing precludes the government from running a permanent budget deficit, paying interest due on the growing debt load simply by issuing new debt, An alternative perspective holds that creditors would be unwilling to purchase government debt unless the government made a credible commitment to balance its budget in present value terms We show that distinguishing between these possibilities is mathematically equivalent to testing whether a continuing currency inflation might be fueled by speculation alone or is instead driven solely by economic fundamentals Empirical tests which have been developed for this economic question lead us to conclude that postwar US deficits are largely consistent with the proposition that the government budget must be balanced in present-value terms
881 citations
Book•
01 Jan 1985
TL;DR: Conway as discussed by the authors analyzes patterns of political participation by citizens and offers five different explanations for those patterns based on recent research findings, from simple act of discussing politics to the more complex one of running for office.
Abstract: "Political Participation in the United States" analyzes patterns of political participation by citizens and offers five different explanations for those patterns based on recent research findings. Symbolic and instrumental forms of participation are analyzed - from the simple act of discussing politics to the more complex one of running for office. The book examines who participates, what forms of participation they choose, and what they hope to accomplish. M. Margaret Conway also considers the reasons for, and the consequences of, non-participation. She concludes with a discussion of the impact of participation on individuals and on the policies and processes of government in the United States. This new third edition is updated throughout both in its discussion of research about participation, and its examination of participation patterns (through the 1998 elections). Expanded discussions cover: the role of political mobilization in recruiting people to participate; the impact of relative education levels on the types of participation people engage in; and, the importance of social connectedness in stimulating participation and acting as a channel for political recruitment.
467 citations
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TL;DR: The authors argue that neither persecution nor alienage captures what is essential about refugeehood, and that neither of them is sufficient or sufficient for the severing of the normal social bond, and they argue that a conception of refugeehood tied to basic needs is surely too broad.
Abstract: The term "refugee" conjures up a melange of bleak images: a teeming boat adrift on the South China Sea, a bloated child in Bangladesh, a shantytown reduced to rubble in Beirut. The contention is that neither persecution nor alienage captures what is essential about refugeehood. Persecution is a sufficient, but not a necessary, condition for the severing of the normal social bond. For many concerned with refugee affairs, raising the standard of basic needs is a frightening specter. Perhaps the criterion of persecution is too narrow, but, they would argue, a conception of refugeehood tied to basic needs is surely too broad. Refugee status should only be granted to persons whose government fails to protect their basic needs, who have no remaining recourse other than to seek international restitution of these needs, and who are so situated that international assistance is possible.
338 citations
TL;DR: This article investigated the extent to which equilibrium and disequilibrium explanations can account for unemployment rate differentials between cities and showed that shocks that disturb the steady-state relationship among the unemployment rates of metropolitan areas tend to be eliminated by mobility within a single year.
Abstract: This paper investigates the extent to which equilibrium and disequilibrium explanations can account for unemployment rate differentials between cities. It shows that shocks that disturb the steady-state relationship among the unemployment rates of metropolitan areas tend to be eliminated by mobility within a single year. It also shows that high unemployment areas tend to be those with attractive climates and amenities, high wages, and high unemployment insurance. It argues that the main effect of government programs that create jobs in high unemployment areas will be to lure additional job seekers to those areas.
300 citations
TL;DR: In this article, the authors examine the dynamic path of an economy after a change in regime, when neither the policy to be followed nor the reactions of the public are known, and the model is an application of Kreps and Wilson's reputation model to Barro and Gordon's macroeconomic policy game.
Abstract: We examine the dynamic path of an economy after a change in regime, when neither the policy to be followed nor the reactions of the public are known. The model is an application of Kreps and Wilson's reputation model to Barro and Gordon's macroeconomic policy game. Equilibrium is defined to be the dynamically consistent solution to a game between the government and the private sector. It involves mixed strategies and Bayesian learning by both sides until the uncertainty about government and public behaviour is resolved. The absence of complete credibility of government policy and intransigence of private sector wage demands increase the output loss of disinflation. The analysis also sheds light on the strategic nature of economic policymaking and the role of information in macroeconomics.
264 citations
TL;DR: In this article, the authors consider political effects on unemployment in 14 western industrial nations between 1960 and 1983 and conclude that partisan effects on employment in open economies can only be satisfactorily estimated relative to the constraint imposed by the level of world economic activity.
Abstract: This article replicates and extends earlier work on the politics of macroeconomic policy by considering political effects on unemployment in 14 western industrial nations between 1960 and 1983. Changes of party control of government display broadly the expected effects, namely that unemployment falls under left-wing governments and rises under right-wing governments. However, the principal conclusions of this article are that partisan effects on unemployment in open economies (that is, economies heavily dependent on trade with other countries) can only be satisfactorily estimated relative to the constraint imposed by the level of world economic activity, and that in addition to politicians' strategic incentives, political institutions and economic regime constraints also determine whether partisan effects on unemployment will be sustained, transitory, or absent. With respect to the latter, on the whole no effects are found where no such effects were promised by the new government before taking office; where one-party or dominant-partner coalitions form, the effect on unemployment is transitory, whereas where broad coalitions form, it is sustained or absent. Finally, ceteris paribus, any partisan effects are more likely where governments secure parliamentary majorities.
207 citations
Book•
01 Jan 1985
TL;DR: Business, Government, and Society as discussed by the authors, by Steiner and Steiner, tells the story of how forces in business, government and The academy of business government and, elsa kunin professor management.
Abstract: Business, Government, and Society, by Steiner and Steiner, tells the story of how forces in business, government and The academy of business government and, elsa kunin professor management. The story of how forces in the lehman brothers bankruptcy and government inaccuracies. Faculty can be used as a long effort to tell the social issues. It is horribly biased accordingly, steiner professor steiner. Book after receiving his choice between business government and steiner have been more. Our world he was the first few chapters to lose your.
190 citations
159 citations
TL;DR: In this article, the authors examine the political investment made by firms to influence business related governmental actions in the United States and use business campaign contributions as a proxy for the extent of business efforts.
Abstract: Federal regulation of business is grounded in the Commerce Clause of the United States Constitution which directs Congress "[t]o regulate Commerce . . . among the several States. . . ." Within the limits of judicial review, regulation can take various forms. For example, Congress can impose industry-specific taxes, subsidies and other regulatory measures. Regulatory agencies within the bounds of their authorities can introduce new control measures or change existing regulations. In general, regulatory measures have distributive effects. For instance, agricultural price supports benefit the industry at the cost to other taxpayers. Similarly, import quotas favor import competing industries against export industries and consumers. And, because government regulation can redistribute wealth it may attract business efforts to influence regulation. Lobbying, for example, is one method to influence regulatory measures. Contributions to political campaigns is another. The purpose of this paper is to examine the political investment made by firms to influence business related governmental actions in the United States. Business attempts to influence government are as old as the Republic. For instance, "[N]ew England merchants generously supported the federalist in the first elections under the Constitution [1, 34]." Unfortunately, however, an accurate tracing of the extent of the political investment by business is difficult, if not impossible. The extent of business involvement in political activities remained unrecorded until the introduction of strict disclosure rules in 1971.1 The Federal Election Commission (FEC) Act of 1971 required business to fully disclose its involvement in the electoral process. This legal requirement makes it possible to compile some relatively accurate information on campaign contributions by business. The extent of other business activities such as lobbying efforts, promise of future employment offered to politicians or other public officials and bribes remain, for the most part, unknown. Because of the paucity of data on these activities, the present paper uses business campaign contributions as the proxy for the extent of business efforts
143 citations
Book•
01 Jan 1985
TL;DR: The consequences of refrigeration, 1890-1930 6. Reaction to Depression 9. Controlled economy, 1938 to about 1968 and after 10. Population and employment after 1945 11. Agriculture since 1938 13. Protected industry and sheltered services 14. Construction and investment 15. Government and the economy after 1938 16. Before and after 1967-68 as discussed by the authors.
Abstract: 1. New Zealand and its people 2. The land and its produce to about 1890 3. Manufacturing and services to about 1930 4. Economic aggregates in the nineteenth century 5. The consequences of refrigeration, 1890-1930 6. Government and society before the 1930s 7. Depression 8. Reaction to Depression 9. Controlled economy, 1938 to about 1968 and after 10. Population and employment after 1945 11. The international context 12. Agriculture since 1938 13. Protected industry and sheltered services 14. Construction and investment 15. Government and the economy after 1938 16. Before and after 1967-68.
TL;DR: In this paper, a combination of analytical and simulation techniques is used to demonstrate that the optimal policy for this purpose will often have an anti-trade bias, and that the usual preference by economists for factor or product taxes and subsidies over tariffs and export subsidies may not be justified in this context.
Abstract: Free trade is not optimal for a small country that faces uncertain terms of trade if some factors are immobile - ex post, and markets for contingent claims are incomplete. The government can improve social welfare by using commercial policy that serves as a partial substitute for missing insurance markets. Using a combination of analytical and simulation techniques we demonstrate that optimal policy for this purpose will often have an anti-trade bias. We also show that the usual preference by economists for factor or product taxes and subsidies over tariffs and export subsidies may not be justified in this context.(This abstract was borrowed from another version of this item.)
TL;DR: The paper focuses on the principles underlying the design of VEXED, and on several lessons and research issues that have arisen from implementing and experimenting with this prototype.
Abstract: A framework is presented for constructing knowledge-based aids for design problems. In particular, we describe the organization of an interactive knowledge-based consultant for VLSI design (called VEXED?an acronym for VLSI expert editor), and a prototype implementation of VEXED. The paper focuses on the principles underlying the design of VEXED, and on several lessons and research issues that have arisen from implementing and experimenting with this prototype.
TL;DR: In this paper, the authors propose a core-satellite model where corporate food processors link up with small farmers through production contracts, exchanging agricultural inputs and services for assured deliveries of produce.
TL;DR: This article argued that carping about the actions or inactions of various officials deserves serious consideration for this increasingly dubious honor, while a moderately skeptical analysis of our various articulated disappointments might trace their origins largely to the intractability, even perversity of the humnan materials that constitute the body politic.
Abstract: Americans often complain about their government. Indeed, while baseball's claim to the position of"national pastime" is variously disputed, good empirical research might reveal that carping about the actions or inactions of various officials deserves serious consideration for this increasingly dubious honor. While a moderately skeptical analysis of our various articulated disappointments might trace their origins largely to the intractability, even perversity, of the humnan materials that constitute the body politic, we often also look optimistically for ways of reforming our political organization. Our aspiration is to produce better governmental action by designing a better governmental svstem.
Book•
01 Jan 1985
TL;DR: Cawson as mentioned in this paper discusses the importance of the Meso-level of interest intermediary between corporatist and industrial policy in the UK and the UK's industrial training in the British Energy Sector.
Abstract: Preface - Philippe C Schmitter and Wolfgang Streeck Introduction - Alan Cawson Varieties of Corporatism -- The Importance of the Meso-level of Interest Intermediation Corporatism and Industrial Policy - Michael M Atkinson and William D Coleman Industrial Training in Britain - Sarah Vickerstaff The Dilemmas of a Neo-Corporatist Policy Corporatist Incomes Policies, the Free-Rider Problem and the British Labour Government's Social Contract - Jonathan Boston Corporatism and Thatcherism - Kevin Bonnett Is There Life After Death? State Corporatism as a Sectoral Phenomenon - William D Coleman The Case of the Quebec Construction Industry Neo-corporatist Strategies in the British Energy Sector - Noelle Burgi Large Firms and the Representation of Business Interests in the UK and West German Construction Industry - Wyn Grant and Wolfgang Streeck Corporatist and Pluralist Patterns of Policy-making for Chemicals Control - Volker Schneider A Comparison between West Germany and the USA Organized Interests and Industrial Crisis Management - Martin Rhodes Restructuring the Steel Industry in West Germany, Italy and France Conclusion - Alan Cawson Some Implications for State Theory
Book•
01 Jan 1985
TL;DR: Cairncross as discussed by the authors provides a comprehensive study of the transition from war to peace in the British economy under the Labour government of 1945-51, including coal and convertibility crises of 1947, devaluation in 1949 and rearmament in 1951.
Abstract: Years of Recovery was the first comprehensive study of the transition from war to peace in the British economy under the Labour government of 1945–51. It includes a full account of the successive crises and turning-points in those hectic years – the coal and convertibility crises of 1947, devaluation in 1949 and rearmament in 1951. These episodes, apart from their dramatic interest, light up the dilemmas of policy and the underlying economic trends and pressures in a country delicately poised between economic disaster and full recovery. Many of the debates on economic policy that are still in progress – on incomes policy, demand management, the welfare state and relations with Europe, for example – have their roots in those years. Many of the trends originating then persisted long afterwards.
The book also examines the interaction between events and policy and the role in a managed economy of the policy-making machine. Now that the public records are open to 1954, it has been possible to make use of official documents to review the possibilities of action that were canvassed and the thinking and differences of opinion that underlay ministerial decisions. Combining personal involvement with thorough research, this fascinating study will be a major contribution to our understanding of post-war economic policy.
Alec Cairncross was Chancellor of the University of Glasgow and a former Master of St Peter’s College, Oxford. He spent the years covered by this volume as a civil servant in London, Berlin and Paris before moving to Glasgow as Professor of Applied Economics. This classic book of some of his most brilliant research was first published in 1985.
TL;DR: In this article, the impact of the New Federalism on the size of state budgets and on the sectors on which that budget is spent was analyzed for a sample of forty-four states for the years 1966-1980.
Abstract: President Reagan's proposal for a "New Federalism" raises a fundamental challenge to our current structure of Federal-state-local fiscal relations.This research examInes the lIkely consequences of the New Federalism for fiscal allocations by state governments, and attempts to model the impact on both the size of state budgets and on the sectors on which that budget is spent. A political economy model of state budgeting is specified and estimated for a sample of forty-four states for the years 1966-1980.The analysis focuses on the two most visible sectors of state government expenditure, welfare and education, while accounting for the remaining end uses of state funds, other expenditure and taxes. Two general conclusions emerge from the analysis. First, current fiscal allocations by states are significantly influenced by the structure of Federal aid; without Federal matching rules and spending requirements states would choose to spend less on education and welfare services and more on tax relief and the numerous other state activities. Second, the New Federalism, as it relaxes the spending rules and reduces the level of Federal aid, both reduces state education and welfare spending and decreases the aggregate level of state expenditure. We conclude the New Federalism will succeed in reaching its objectives; the government sector will be more decentralized, with the additional consequence of reduced government budgets.
Book•
01 Jan 1985
TL;DR: In this paper, the main issues that arise in the taxation and regulation of natural resources are discussed, and the possible effects that resource taxation may have on the timing and scale of resource development are discussed.
Abstract: Publisher Summary This chapter discusses the possible effects that resource taxation may have on the timing and scale of resource development, emphasizing the potential conflicts between revenue-raising and economic efficiency. The chapter discusses the main issues that arise in the taxation and regulation of natural resources. Since natural resources are frequently owned or controlled by governments, as well as being subject to a variety of conventional taxes, the scope of the chapter must extend beyond conventional tax forms, since various royalties, rentals, bonus bids, direct government participation, and regulations are often used in combination with conventional taxes. Some attention must also be paid to overlapping jurisdictions, as natural resources are frequently the subject of taxation by more than one government, sometimes by different countries, since natural resource products are frequently traded goods. The chapter discusses fisheries, forests, mining, oil and natural gas, and hydro-electricity.
TL;DR: The authors identify five modes of control over work: simple, technical, bureaucratic, occupational, and worker self-control, and discuss the conditions that underlie the occurrence of different controls.
Abstract: Three largely separate literatures—on organizations, on professions, and on manual and clerical work settings—have treated the social control of work. From these writings we identify five modes of control over work: simple, technical, bureaucratic, occupational, and worker self-control. We discuss findings on conditions that underlie the occurrence of different controls. Contingency and resource dependence organization theories help explain the degree of bureaucratic control and the power of work groups within organizations. Literature on occupations and work groups suggests four categories of variables related to modes of control. These pertain to (a) the nature of tasks, particularly their degree of uncertainty, (b) relations between segments of occupation, (c) how an occupation fits into a division of labor, and (d) relations of an occupation to elements of its environment such as clients, markets, or government. Findings on professionals and those on lower-status workers are often similar although sta...
TL;DR: In this paper, the authors examined 14 accident models and 17 different accident investigation methodologies in 17 selected government agencies and found significant differences in their relative merit, indicating that significant accident investigation program changes should be considered in agencies and organizations using lower-ranked accident models or investigation methods.
Book•
01 Apr 1985
TL;DR: In this paper, a comparative study of world's government ministers since 1945 is presented, which examines both their similarities and differences, and explores important questions concerning political executives, such as social, economic, cultural or institutional factors contribute to the making of good or bad ministers.
Abstract: Governments have grown in scope, and spread geographically, to the point where a new phenomenon has emerged -- rule by a political class of ministers regarded as the main instruments of change. Yet ministerial careers and the structure of ministerial careers have been largely neglected areas of study in political science. Jean Blondel's new book is a major, comparative study of the world's government ministers since 1945, which examines both their similarities and differences. Party structures, legislative behaviour, even bureaucratic arrangements vary from country to country, but the nature of the job and the status of ministers is largely uniform, making it possible to study and tackle fundamental questions and assumptions of ministerial government. This volume builds an analytical framework in order to probe the very foundation of the 'ministerial profession' and explore important questions concerning political executives. Do social, economic, cultural or institutional factors contribute to the making of good or bad ministers? Are we justified in complaining about bad government? And, does high ministerial turnover contribute to bad government?
TL;DR: Despite spending more of its gross national product on health care than any other country, the United States is 15th in male life expectancy, 7th in female life expectancy and 13th in infant mortality.
Abstract: Discussions of the economics of health care usually start with the observation that health care spending has risen from 5 to 11 per cent of the gross national product over the past two decades. Des...
01 Apr 1985
TL;DR: The authors argued that the Javanese idealization of intensive rice cultivation and deprecation of extensive rice cultivation is based on a cultural myth, one important consequence of which is to rationalize and sustain the political and economic preeminence of their culture and government.
Abstract: Indonesia is a country known both for the magnitude of efforts directed towards the development of its agriculture, and for the apparently problematic results of many of these efforts. Some of the problems reflect the real difficulties of successfully articulating land, people, and work in a developing country; but others, as I will argue in this article, result from discontinuities between the empirical agricultural reality that must be addressed in development and the perceptions of those officials and planners who direct it. The basic discontinuity involves the contrast between the agricultural ecologies of inner and outer Indonesia, and the evaluation of this contrast by the preeminent culture of inner Indonesia, the Javanese. This is a contrast between irrigated rice cultivation in Java (and also Bali and Lombok), and the swidden cultivation of dry rice in Sumatra, Kalimantan, Sulawesi, and the lesser Sunda islands. 1 Contemporary Javanese (speaking here of those in decision-making positions) uniformly speak of the former agricultural system as more productive, more rational, and in general better for the nation and national development than the latter. The swidden-based system of agriculture is regarded not merely as less good than the system of irrigated rice cultivation, but explicitly as something bad--irrational, destructive, and uncontrollable. It is the thesis of this article that this comparative evaluation of wet-rice and dry-rice agriculture is fundamentally distorted, and that the reasons for this are not pedagogical, but rather economic and political. My thesis is that the Javanese idealization of intensive rice cultivation and deprecation of extensive rice cultivation is based on a cultural myth, one important consequence of which is to rationalize and sustain the political and economic preeminence of their culture and government.
Book•
01 Jan 1985
TL;DR: The Princeton Legacy Library as mentioned in this paper uses the latest print-on-demand technology to again make available previously out-of-print books from the distinguished backlist of Princeton University Press, which preserve the original texts of these important books while presenting them in durable paperback editions.
Abstract: Guy Alchon examines the mutually supportive efforts of social scientists, business managers, and government officials to create America's first peacetime system of macroeconomic management.Originally published in 1985.The Princeton Legacy Library uses the latest print-on-demand technology to again make available previously out-of-print books from the distinguished backlist of Princeton University Press. These paperback editions preserve the original texts of these important books while presenting them in durable paperback editions. The goal of the Princeton Legacy Library is to vastly increase access to the rich scholarly heritage found in the thousands of books published by Princeton University Press since its founding in 1905.
Posted Content•
TL;DR: In this paper, the effect of taxation on the volume and composition of private saving has been considered, and the question of whether an expenditure tax will lead to a higher or lower level of saving than an equivalent income tax is a positive one.
Abstract: The effects of taxation on the volume and composition of private saving has traditionally been considered one of the central questions in public finance. This is hardly surprising. From a policy point of view one can point to a series of arguments for the importance of the problem. If alternative tax systems can lead to different rates of private saving, then the choice between them should take into account the short-run effects on employment and inflation, the medium-term effects on the rate of growth, and the long-term effect on the capital intensity of the economy. These are basically issues of the efficiency of resource allocation, but distributional policy is also involved. A tax policy designed to encourage saving may transfer income from "workers" to "capitalists" and from the present to future generations. Evidently, there are all sorts of tradeoffs to consider in policy design. Although it is clear that much of the interest in this particular question is derived from a concern with policy problems, it is important to emphasize the conceptual distinction between positive and normative issues. Thus the question of whether an expenditure tax will lead to a higher or lower level of private saving than an equivalent income tax is a positive one. Whether the answer is one or the other does not in itself have any implications for tax policy. It is only when we introduce criteria for social welfare or efficiency that we can begin to consider the normative question of the desirability of an expenditure tax. In principle, savings decisions can be made by consumers, firms and governments. The tradition in the literature has been to concentrate on consumer decisions and to take the personal saving rate as being the main determinant of the overall rate of saving. This approach is reflected in the emphasis given to consumer decision making in the present paper; however, there is also a need to consider the role of private corporations and government. At the level of private firms the tradition has been to see their saving and investment decisions as reflections of the preferences and market opportunities of the owners, so that *I am grateful to Alan Auerbach, Mervyn King, Hans-Werner Sinn and Jon Vislie for helpful comments.
TL;DR: In this article, the authors developed and tested a theory of the process by which private agents in an economy form expectations about government policy and applied it to the Chilean and Argentine exchange reforms of the late 1970's.
TL;DR: In this paper, a "hybrid" model of government growth in the United States was proposed, based on popular theories of public policy, and the model was estimated using annual time series data, 1932-80.
Abstract: For American politicians, big government is a perennial issue. Scholars, however, have neglected it. In fact, systematic knowledge about the causes of government growth in the United States is virtually absent. Here we first formulate a "hybrid" model of government growth, borrowing from popular theories of public policy. Then, we estimate the model using annual time series data, 1932-80. In general, government size in the United States is viewed as a function of group demands, elite preferences, and mass support. In particular, government in the United States seems to have expanded in response to the influences of national defense commitment, foreign trade, economic hardship, demographic change, Democratic politicians, and a risk-aversive public. Of these influences, the international ones appear especially important. Overall, the ensemble of variables manages to predict the pattern of government growth in twentieth-century America quite well.