Service Efforts and Accomplishments Reporting: Has Its Time Really Come?

In April 1994 GASB released Concepts Statement No. 2, Service Efforts and Accomplishments Reporting , bringing required SEA external financial reporting a very large step closer to reality. Before long, public financial officials may be required to annually report measures of performance. We are now about halfway through the experimentation phase established in Statement 2. This article summarizes the status of GASB's SEA experimentation process. It then suggests important behavioral, auditing, and other issues which GASB ought to address before proceeding with any formal pronouncements regarding SEA reporting requirements.     

Multiparty electoral competition in the Netherlands and Germany: A model based on multinomial probit

A typical assumption of electoral models of party competition is that parties adopt policy positions so as to maximize expected vote share. Here we use Euro-barometer survey data and European elite-study data from 1979 for the Netherlands and Germany to construct a stochastic model of voter response, based on multinomial probit estimation. For each of these countries, we estimate a pure spatial electoral voting model and a joint spatial model. The latter model also includes individual voter and demographic characteristics. The pure spatial models for the two countries quite accurately described the electoral response as a stochastic function of party positions. We use these models to perform a thought experiment so as to estimate the expected vote maximizing party positions. We go on to propose a model of internal party decision-making based both on pre-election electoral estimation and post-election coalition bargaining. This model suggests why the various parties in the period in question did not adopt vote maximizing positions. We argue that maximizing expected vote will not, in general, be a rational party strategy in multiparty political systems which are based on proportional representation.     

Bureaucratic choice and nonoptimal provision of public goods: Theory and evidence

Local governments' allocation decisions are modeled in the context of a slack maximizing bureaucrat who produces public goods according to a production function that includes both provision and the constituents' socio-economic characteristics. To gain a better understanding of the determinants of slack, comparative statics and an empirical study of Illinois municipalities are conducted. The indirect output distance function provides efficiency scores upon which we regress several variables, representing socio-economic characteristics, costs and competition measures. We find that slack or inefficient behavior is associated with richer communities, lower education levels and a lack of competition for residents among municipalities.     

On the Nature of Tolerance: Dichotomous or Continuous?*

The purpose of this article is to reconsider the claim made recently by Mondak and Sanders that political tolerance ought to be thought to be a dichotomous rather than continuous variable. Using data from both Russia and the United States, I demonstrate that those Mondak and Sanders regard as uniquely tolerant are most likely no more than people who were given insufficient opportunity to express their intolerance. Even if such a phenomenon of “absolute tolerance” exists (all ideas expressed in all ways are to be tolerated), it is sufficiently rare that few practical implications are indicated for those doing empirical work on political tolerance and intolerance. * I appreciate the valuable comments of Jeffcry Mondak on an earlier version of this paper.     

Taking the Keys from Grandpa

Recent highly publicized traffic accidents involving older drivers have led to renewed interest in state policies and administrative practices that award and renew drivers’ licenses in the American states. Because the probability of traffic accidents is linked to the medical conditions that are more prevalent among the elderly, and because the number of older drivers is expected to rise over the next several decades, one might expect that this will be an increasingly important policy issue. This article discusses variations that are observed across states in law and administrative practice. A longitudinal analysis of data on crashes involving elderly drivers in fifteen states indicates that crash rates are directly related to the length of the renewal cycle for older drivers and inversely related to the stringency of testing at renewal. It is also likely that states requiring physicians to report conditions that would impair driving will experience lower crash rates. A secondary analysis of policy impacts on the licensing rates is not conclusive, a finding that is attributable to inaccuracies in the reported numbers of licensed drivers.     

A Question of Morality: Artists' Values and Public Funding for the Arts

In 1989, the combination of art, religion, homosexuality, ana¹ public dollars set off an explosive two-year battle and a decade of skirmishes over funding for the National Endowment for the Arts. To promote artistic freedom and to avoid political controversy, federal arts policy delegates specific funding decisions to private donors and arts professionals. In an era of morality politics—hot-button issues driven by deeply held beliefs rather than by expertise—that strategy no longer works. Artists, donors, and arts audiences diverge widely from the rest of the American public in their attitudes toward religion, sexual morality, and civil liberties, as General Social Survey data show. Delegating funding decisions to them has naturally led to some subsidies of art offensive to important segments of the population.