Using data and examples from all over the world, this book explores how the symbiotic relationships between the aircraft industry and national governments have arisen, how they influence all facets of aircraft manufacture, and what implications they have for the future. The authors outline the production patterns and markets for both civil and military aircraft, as well as government's role as agent in both these areas. They also show how the government of a nation influences the location of aircraft plants, provides the bulk of R & D funds necessary to maintain the industry's technological progress, and frequently offers an alternative form of business organization to that available in free enterprise.

In this volume, three respected business leaders examine fundamental issues involving American business and the economy. Michael J. Solomon, President, Warner Brothers International Television Distribution, addresses international telecommunications, describing its growth and significance and highlighting the changes to come with new technologies such as HDTV and laser disk technology. Edward E. Barr, President and Chief Executive Officer, Sun Chemical Corporation and DIC Americas, Inc., outlines an industrial strategy to help maintain America's competitive economic position and an education strategy that reworks a major precept--the priority and purpose of educating our youth. Finally, Shelley Schwab, President, MCA TV Universal Studios, examines television in the nineties and the ramifications of new approaches to the medium, including interactive programming, video on demand, and virtual reality. The Joseph I. Lubin Memorial Lectures were established through the generosity of the late Joseph I. Lubin, a distinguished business, philanthropic, and civic leader. The lectures are presented by the Leonard N. Stern School of Business at New York University.

Both economists and popular writers have once more run away with some fragments of reality they happened to grasp. Joseph A. Schumpeter, Capitalism, Socialism, and Democracy, 1942. 1. Rational Behaviour and Economics Never in the history of mankind has there been such unlimited belief intheabilitiesofthehumanmindasintheAgeofReasoninthe?rsthalf of the eighteenth century. The likes of Mozart, Goethe, and Rousseau ensured a new era of optimism and creativity in both the arts and the sciences. In mathematics, the theory of probability was re?ned and its laws were believed to be good descriptions of human reasoning and 1 decision making. The French Revolution was the logical conclusion of theAgeofReasonandEnlightenment. Italsobroughtaboutitspolitical and social downfall, ending in an age of terror; a victim of its own success. In the early nineteenth century, however, most ?elds of science abandoned many ideas from the era of Enlightenment. Nevertheless, in psychology and economics the probabilistic approach to describing a human being as a fully rational homo economicus remained popular as ever. 1 In Rousseau (1762, p. 97), for example, one ?nds: "Calculateurs, c'est maintenant votre a? aire; comptez, mesurez, comparez". 1 2 INVESTMENT, COALITION SPILLOVERS, AND EVOLUTION Most of contemporary economics still uses the axiom of rational e- nomic agents, where agents are believed to maximise expected utility. Expectations are often assumed to be based on objective probabilities. Expected utility with objective probabilities has been axiomatised by Von Neumann and Morgenstern (1944).

This book takes a close look at the contribution of small firms to the U.S. economy and at the contrasts between traditional development policies and those often recommended to help the small enterprise. The book offers systematic guidelines that will assist economic developers, policy makers, and private citizens in their efforts to promote entrepreneurship and assure sound economic development at local and state levels. "Recent Publications on Governmental ProblemS"

The widespread interest in entrepreneurship as a means of creating jobs and raising incomes has resulted in a growing demand for an economic and political environment that will nurture small business ventures. Accordingly, the promotion of entrepreneurship has taken its place alongside industrial recruitment as a component of economic developement policy. In this study, Benjamin Mokry considers whether it makes sense to devise such policies without first exploring more thoroughly the dynamics of entrepreneurship and the possible impact of government initiatives. In a careful analysis based on in-depth research on state and local development policies, he points up existing information gaps and suggests a realistic framework for approaching policy design in this area.

Ernest Aves (1857-1917) was an influential social analyst and civil servant. This title, first published in 1907, during Aves' work for the Board of Trade, investigates the different forms of industrial co-operation within Britain; the fundamental principle of this is stated as "equitable association", leading to increased profitability and the strengthening of industry. Chapters discuss such areas as centralisation, co-operative production and co-operative agriculture. This interesting reissue will be of particular value to students of economics with an interest in co-operative industry and the history of economic thought.

Cultural Economics and Cultural Policies offers a unique guide to the state of the art in cultural economics. First, it alerts scholars and students to the necessity for careful definition and measurement of the cultural sector'. Second, it affords examples of how economic analysis can shed light on the motivation of creative and performing artists and of artistic enterprises. Third, Cultural Economics and Cultural Policies widens the discussion of public policy towards the arts beyond general economic appraisal of arguments for government financial support. It does so by considering the government's role in defining property rights in artistic products and in regulating as well as financing the arts; examining how the criteria for government support are actually applied. Cultural Economics and Cultural Policies will be of interest to economists, students and policy makers.

Title IV of the Clean Air Act Amendments effectively transfers an environmental property right, the difference in unrestricted emissions and the yearly endowment, 3 from certain fIrms to the public domain. Phase I is to reduce annual SOz emissions of 261 large (100 MW or more) utility generating units with emissions greater than 2. 5 IbslmmBtu. The yearly endowment during Phase I is equal to 2. 51bslmmBtu times the 1985-1987 baseline energy usage. Phase I standards are required to be met by 1995, an exception being units that install certain control technologies. In this case, units may postpone compliance until 1997 and may receive bonus 4 allowances. Phase II begins in the year 2000 and applies to any utility units (25 MW or more) with emissions above 1. 2 Ibs/mmBtu. The endowment is 1. 2 Ibs/mmBtu times baseline fuel use (U. S. Environmental Protection Agency 1990). 5 Hahn and Noll (1982), Bohi and Burtraw (1992), Lock and Harkawik (1991), and Walther (1991) discuss interactions between traditional rate-of-return regula tion and overlaying environmental regulations, particularly tradable emission allowances, in the electric utility industry. Lock and Harkawik (1991) and Niemeyer (1991) discuss utility planning in this regard. Bohi and Burtraw (1992) fmd that a utility's environmental investment incentives will vary depending on cost recovery rules and argue that symmetry in treatment of investments in allowances and control technology is necessary if the utility is to be provided with the incentive to minimize costs of compliance."

This book critically examines the phenomenon and the consequences of the increasing inter-dependence between industry, universities and national laboratories. It explores the contrasts and similarities between the patterns of formal and informal links in a technologically dynamic industry (electronic components) with those in a traditional industry (flow measurement) in the UK, France and Belgium. It uses evidence from interviews with firms, academics and industry organisations in the three countries to identify the major factors which regulate links.

This title, first published in 1993, was one of the first books to analyse the forces behind the increasing globalization of professional business services. Based on contributions from leading authorities in international business, both academics and members of organizations such as GATT and UNCTAD, it looks at the opportunities for growth, environmental and regulatory problems, and the major problems of managing the international expansion of professional firms. Crucially, it discusses such issues from the point of view of managers of such organizations, and the role of governments in negotiating multinational agreements. This highly international and timely reissue will be of interest to students of international business, as well as managers of professional business firms and policy makers involved in international trade issues.

Little discussion about "globalization" has concerned one of the truly global forces--the management of multi-national and large domestic corporations--and the significance of modern management practices for workers in the developing world. This book examines the nature of work in the modern corporate sector in Turkey with special reference to three industries, white goods, cars and textiles. Based on extensive interviews, it questions some common assumptions in the modern western social science literature, especially in North America and Britain.

Fisher expertly describes and analyzes the growing non-governmental movement throughout the Third World in relation to the global issue of sustainable development, highlighted by the recent Rio Conference. An estimated 200,000 or more indigenous NGOs (non-governmental organizations) at both the grassroots and intermediary levels help fill the void created by the failure of governments to adequately address the escalating, intertwined crises of poverty, environmental degradation, and population. NGOs, a number of which Fisher examines in detail, address the myriad problems associated with dire poverty, environmental destruction, pervasive unemployment, and the grinding exploitation of women. The stimulus to action and group effort is typically the basic need for life's fundamentals--food, shelter, and safety. Fisher points out, however, that NGOs focusing on population have grown less rapidly than those concentrating on enterprise development and/or environmental degradation. Fisher identifies the core abilities within and among NGOs that help them develop effective short-term strategies and also enhance their institutional sustainability in the long run. She demonstrates that this grassroots movement is a vital, growing force in the vast majority of Third World countries, with the potential to undermine the politics of repression and inequality. The international importance of NGOs is increasingly evident, given their ability to network and support one another. Fisher offers a comprehensive, insightful, and substantive assessment of what may be the most hopeful institutional resource available for the sustainable development of the Third World and, therefore, our ultimate survival as a species.

This second edition of The Limits to Certainty has been thoroughly revised and edited. A new chapter on Facing Social Uncertainty' has been added, while the section on Value and Time in the Service Economy: The Notion of Utilization' has been extended in order to include the conclusions of recent research conducted by the authors on the subject of waste prevention on the product level, i.e. making a better use of resources during the utilization of goods. The key to economic progress has always been the better allocation of resources, and the majority of resources available today are in the form of service activities. In order to measure and exploit such resources, one needs a theoretical frame of reference based on the notions of risk and uncertainty, rather than on the 'certain' equilibrium of the present economic system. Service means performances, in real periods of time, which means that the identification of values must be based on probabilities: the assessment of the probability and cost of a distribution of events in the future. The Limits to Certainty, with a Preface by Ilya Prigogine and a Foreword by Alexander King, is thus about the economic foundations of the Service Economy. The Limits to Certainty is published under the auspices of the Club of Rome and is, in fact, a follow-up to a report published by the Club in 1980, Dialogue on Wealth and Welfare, in which is was proposed that the limits to growth were the limits of a specific type of economic growth that had successfully been developed voer a period of two centuries. This earlier report went on to propose that a new economic growth needed to integrate economic and ecological factors, in practice as well as in theoryand therefore revise the notion of economic value. This economic transition developed parallel to a growing movement at a more fundamental philosophical level favoring indeterminism against determinism: the notions of risks and uncertainty are increasingly considered as the realm of the new challenges, as compared to a perception - typical of the deterministic era - according to which risk and uncertainty reflect a level of imperfect knowledge' which science would or should eliminate: a positive versus a negative connotation of risk and uncertainty.

The author addresses the neglected issue of the relations between the functioning of powerful state industrial firms and the town under socialism. As they strived for labor force, the manufacturing and mining employers in Central and Eastern Europe became prominent gatekeepers controlling access to scarce goods and services, which reflected a specific labor market segmentation. The distribution of social benefits and burdens they generated enhanced life chances of certain groups by and large at the cost of the underprivileged--women and the elderly in particular. This socialist industry contributed to social injustice and deprivation as well as the reproduction of entrapping spatial settings such as factory colonies and areas reserved for potential expansion.

The study reveals a great diversity of mechanisms of industrial control over and exploitation of socialist towns in Poland. Spatial organization of local activities and facilities exhibited the power of industrial gatekeepers, and in several cases became a mediating element facilitating achievement of the firM's objectives. The residents' sense of place was permeated by the company through its multiple involvement outside the factory gates, which could justify its dominant position and conceal sources of social inequalities and conflicts. The legacy of socialist factory paternalism bears heavily upon post-socialist society, which is evident in anti-egalitarian attitudes and social closure attempts demonstrated by the beneficiaries of the gatekeepers' allocation.

Business is becoming more global, more competitive, and more knowledge-intensive. Consequently, business executives are being required to reexamine and redefine fundamental relationships - both intra- and inter-company. The Dynamic American Firm explores the pivotal factors motivating the organizational changes that are sweeping American business, with a particular emphasis on the global marketplace. It provides a critical analysis of the forces that are shaping strategies and structures of American business, emphasizing that the process of adaption is more important than particular strategies and structures that develop along the way. The authors begin by illustrating the external factors that shape the development of the firm, including a combination of technological advances and increasingly global markets, and proceed to discuss corporate efforts to adapt to this external environment by means of changing relationships with other firms. They pay particular attention to the alliances that help American firms establish a presence in overseas markets, including the roles of mergers, acquisitions, strategic alliances, and joint ventures. The book concludes with a discussion of the internal changes taking place in American firms, including shifts in organizational strategy and structure, the elimination of middle management, and the development of work teams.

Economics has been basically a study of the interactions between organizations, with some organizations being so small we only have one person in them. The internal organization of the largest hierarchies has indeed been looked at, but a good reason for working less on these organizations is that the internal reactions are much harder to understand. It is sensible to solve the problems we can solve and put the others off until later. The author's basic purpose here is to look at these larger hierarchical organizations, and develop a scientific account of them. In Economic Hierarchies, Organization and the Structure of Production Gordon Tullock examines the internal functioning and organization of the corporation. In the author's personal tradition, the book relies on narrative analysis rather than mathematical complexity to convey insights into the functioning of the corporation.

The objective of this book is to present the problems and possibilities of transferring technology from the developed countries to the developing countries to raise their standard of living. It develops the conceptual issues, legal ramifications, empirical testing of mathematical models and case studies of different industries in many countries. It contains articles by distinguished scholars in the field, practitioners and government officials. It is an important supplement to the hands-on approach used by many private industries and national and international organizations. The unique feature of this book is that it is multidisciplinary and that it has a balanced combination of abstract theoretical approaches and practical considerations.

The advanced capitalist nations are currently undergoing an enormous economic, social, and political transformation. At the heart of this transformation is the transition between large scale, standardized production (Fordism) and new, more flexible approaches to manufacturing (flexibility), and a concomitant extension of manufacturing to include products both concrete (goods) and ephemeral (services). This volume explores the consequences of this transition from the standpoints of technology, labor relations, firm strategy, education, government programs, and geography. The book is a collection of papers by well-known scholars investigating the current global transition from mass consumption and production to flexible production for niche markets. The book is unique in that it not only discusses standard economic concerns, but also investigates the social and political implications of this transition. Each chapter is concerned with a different aspect of the same restructuring process.

This book clarifies the mechanisms of economic globalization in changing industries' locations and shows how industries' locations have changed through those mechanisms. First, the book deals with the retailing industry. Introducing the concept of a contact price into the market area analysis, it is shown in Part I that retailers' market areas and prices are changed in different ways by a reduction of transportation costs. The mechanism of these changes is explained by checking the contact prices at apexes of the retailers' market areas. Then the book moves to the manufacturing industry and deals with a firm's production process. Part II of the book shows the manner in which the production volume of factories within an agglomeration is decreased as the number of factories within the agglomeration increases. Subsequently, considering the fact that many production factories depart from agglomerations to other sites to reduce production costs, a method of searching for a factory's new site is proposed in which a firm can seek out an optimal location of a factory in a short period of time. By referring to a chaotic phenomenon, a firm sets a location prospective area in a large geographical area and selects an optimal location within that area. In the third part of the book the city system is the focus. Part III elucidates the theoretical formation of a city system and analyzes structural changes of a city system due to a reduction of transportation costs. The mechanism of the change is explained by a flexible market area theory which studies a city system by using the market areas established in the free-entry equilibrium. Then, the economic relationships between the cities within a city system are examined from the point of view of the land rent in the cities' areas. This analysis shows the influences of a change in the largest city on other cities. Finally, the relationships between a city system and regional performance are examined using real data. The examination shows that the city system reveals the regional performance.

'Dr Wignaraja is a rare economist who can put the important lessons of mainstream economics into the wider context that good policy demands. This book is yet another demonstration of this ability, displayed to advantage in discussing the architecture of trade policy. It should be read by all policymakers who want to make a difference' - Jagdish Bhagwati;The East Asian experience suggests that technological development is fundamental to export success in outward-oriented economies. This study analyses export performance in Sri Lanka at a national and firm-lele, focusing on the acquisition of industrial technological capabilities during a period of trade liberalization. It compares Sri Lanka's record with Korea, Taiwan and Thailand. Analysis of the export and technological record of enterprises of varying performance highlights the policies which enhance competitiveness in developing and transition economies.

Technology is taking on an increasingly central and determining role in so ciety, and can provide contradictory results: wealth on the one hand, but also unemployment, environmental imbalances and other social problems on the other. Manufacturing techniques and production organization are chosen in every country based mainly on the specific needs of the companies, while the real needs of each population are often quite different. Already, in order to prevent all forms of technology from becoming in creasingly "invasive," towards both the natural supply of resources and the specific - though highly differentiated - needs of humanity, technological paths must be identified and followed which are capable of making the vari ous needs compatible, from the standpoint of sustainable development, the conservation and increase in value of natural resources, and the quality of development. This will become increasingly important in the future. This goal is undoubtedly ambitious and difficult to achieve; however, evi dence of the problems caused by generalized, uncontrolled use of technolo gy, all over the world, leads us to believe that intense efforts must be made to achieve this aim. If not, humankind runs the risk of an irreversible degra dation of the most important aspects of economic development and its quali ty. Within this framework, those companies that produce goods and services obviously occupy a central, active role, which they must play with a view both to competitiveness and overall qualification and to contributing to the objectives of sustainable development."

The relationship between innovation, networks and localities is of central concern for many nations. However, despite increasing interest in the components of this research triangle, efforts in these fields are hampered by a lackofconceptual and empirical insights. This volume brings together contributions from a distinguished group of scholars working in different but related disciplines, and aims to provide a fresh look at this research triangle. The objective is to offer a concise overview of current developments and insights derived from recent studies in Europe and North America. All of the contributions are based on original research undertaken in the various regions and nations and are published here for the first time. We are grateful to all those who have contributed to this volume for their willingness to participate in the project. Without their co-operation this book would not have been possible. We should like, in addition, to thank Angela Spence for her careful linguistic editing and assistance in co-ordinating the production of the camera ready copy. Lastly, but not least, we wish to express our gratitude for support from our home institutions, and in particular the Austrian Academy of Sciences (Institute for Urban and Regional Research), the Austrian Ministry for Science and Transport, the Styrian Government (Section for Science and Research) and the Federation of Austrian Industry in Styria for the financial backing received. April 1999 Manfred M.