Atlantic Economic Journal articles from June 1996

Atlantic Economic Journal archives from June 1996

Cyclically oscillating product quality: a simple model of the product life cycle.
June 1, 1996... I. Introduction One of the first to describe the product life cycle with its typical market phases (development, expansion, maturity, stagnation, and decline) was Ernst Heuss [1965], although he did not explicitly mention this term. Strongly...

The optimum size of the labor-managed firm.
June 1, 1996... I. Introduction The classical model of the labor-managed firm (LMF) has not addressed two important elements in determining the optimal size of the LMF within a coherent microeconomic model.(1) These two conflicting factors are the benefit of...

A multilevel government model of deficits and inflation.
June 1, 1996... I. Introduction The debate over deficits centers around their impact on investment, employment, prices, and interest rates. Both theoretical and empirical studies of deficits delve into the inflationary impact (or crowding out) effects of...

The role of federal funding on the demand for state and local government spending.
June 1, 1996... I. Introduction Government expenditures have grown tremendously in the twentieth century, but since 1960 increases in state and local government expenditures have far exceeded federal spending increases. Federal spending increased from 18.2...

The effects of airline deregulation on shareholder wealth: some additional evidence.
June 1, 1996... I. Introduction This paper examines the effects of airline industry deregulation on the market value of shareholders' equity. The equity effects depend on the market's interpretation of the expected economic consequences of the deregulation...

Tariff protection and workforce gender: evidence from U.S. manufacturing industries.
June 1, 1996... I. Introduction In the literature on international trade and protectionism, it has been long recognized that many policy decisions are not made solely on the basis of economic efficiency. For instance, protectionism may result from political...

More on tariffs, import quotas, and customs unions.
June 1, 1996... The welfare of a tariff-imposing country could increase, decrease, or remain the same after it joins a customs union. If the country concerned is a small country, the outcome depends on the welfare-reducing trade diversion effect and...

A causality analysis of growth and export performance.
June 1, 1996... I. Introduction Classical trade theory has provided important insight into the static gains of trade but has failed to provide satisfactory theory of dynamic growth and trade. In other words, it explains that international trade increases the...

A note on correcting bias in deterministic growth models.
June 1, 1996... Time series growth models are often expressed as the logarithm of a deterministic exponential growth model. This note shows, however, that the disturbances of the log-transformed model are heteroskedastic and the mean varies with time. The...

Why do economists distinguish between absolute and relative PPP? (purchasing power parity)
June 1, 1996... In testing the purchasing power parity (PPP) hypothesis, economists have generally followed Frenkel [JIE, May 1978] by specifying equations in levels and first differences to represent absolute and relative PPP, respectively. These equations are...

Bilateral exchange rate of the dollar and stock returns.
June 1, 1996... This paper examines the causality between the dollar's exchange value and stock returns in the U.S. and abroad using a bilateral model of exchange rates. The bilateral relationships between Germany and the U.S. and Japan and the U.S. are...

Lingering effect of untied foreign aid on exports. (correction of previous title, 'Lingering effect of united foreign aid on exports')
June 1, 1996... Much work has been written on the role of tied foreign aid in generating exports for a donor country. Little is known about the economic role of untied foreign aid, in which recipients are not formally obligated to reciprocate by buying the...

Consumption of pet companionship and the allocation of time.
June 1, 1996... A recent study by Ekelund and Watson [Eastern Economic Journal, Winter 1994] points out that the Beckerian theory of consumer behavior rests on two simple but profound ideas. First, time is a critical input in the production and consumption of...