Environmental liability and harmonization in the presence of transboundary effects and hidden assets

Within the context of transboundary disputes, this paper seeks to determine which liability concept, negligence or strict liability, performs better when assets are secure against foreign claims for transboundary damages. Our results indicate that, if assets are hidden from foreign claims, strict liability will not implement the socially optimal outcome, but neither will negligence. However, even though the socially optimal outcome is not always achieved, strict liability weakly dominates negligence. These results suggest that the harmonization of statues that deal with transboundary pollution should be based on strict liability not negligence. JEL classification K32 · Q5 Smith and Eckert both thank SSHRC of Canada for financial assistance. We thank two referees for valuable comments that greatly improved the paper and Matt Smith for his research assistance. All remaining errors are our responsibility.     

Do the polls affect elections? Some 1980 evidence

This paper finds that the relatively favorable standing of Ronald Reagan in the preelection polls helped to generate a bandwagon effect in the 1980 presidential election. The models tested here suggest that this effect was most pronounced among voters who had the weakest prior political opinions and hence were most susceptible to suggestion through the media. While the bandwagon effect that is generated is modest, after controlling for an array of other political biases, it is substantial enough to warrant further attention as the dissemination of poll results becomes an increasingly attractive news event.     

Project USA: American competitiveness and what must be done to restore it

The United States today faces a loss of influence as a world power, a reduction in American independence as a policymaker, and a decline in the standard of living on which Americans have come to depend. History teaches that nations weaker and less productive than the United States can rise to become economic powerhouses and rapidly increase their standards of living. History also teaches that nations failing to recognize their fundamental problems will inevitably decline. American politicians must face what is abundantly clear: the United States is losing ground and must act quickly to reverse its course. This White Paper outlines what must be done. Information about the nation's current status must be analyzed and communicated. Incentives to improve the level of competence in government must be provided and maintained. The emphasis of government policy must be changed to reflect broad economic and technological interests as opposed to special interests. Savings must be encouraged and increased. Infrastructure must be improved Tax laws must be modified to help bring these changes about. Economic and technological issues must be elevated to the importance they require. American thinking must reflect the new realities: that the age of leadership through military power is over, that the requirements for success in the world of the 1990s and beyond require a sound and growing economy that is internationally competitive. The US can accomplish these goals only through foundation-shaking, comprehensive, fundamental changealong the lines we propose herein.This paper is the executive summary (with minor editing modifications) of a white paper that is available from Cornell University's Johnson Graduate School of Management.