THE WELFARE COSTS OF SUPPLY RESTRICTIONS IN THE GENERAL PRACTICE LABOUR MARKET

Abstract: This paper examines policy arguments for further restricting supply to the Australian General Practice profession by immigration and medical school policies. It uses economic analysis to assess the costs and benefits of supply restrictions. The effects of Medicare and GP income-targeting on policy design are analysed. Restrictions are shown to impose net costs on the community as a whole and on government. Even with Medicare subsidies, the inefficiency costs of the current health system are minimised with liberal policies for accepting foreign- trained GPs.     

A comparative modeling of tax reform before and after the legislative process

This research modeled the extent to which the normative goals of equity and efficiency are embodied in three seminal tax reform proposals (Bradley-Gephardt, Kemp-Kasten, and the Treasury Department proposals) relative to the extant regime. The Tax Reform Act of 1986 (TRA86) is also modeled in the same manner. The objective of this study is to compare the equity and efficiency of the initial proposals with that of the final tax reform law. This before and after analysis is designed to ascertain the degree to which the legislative process undermined the normative goals of the tax reform movement. The National Tax Model was applied to model each regime and to measure the distributional and redistributional effects on tax burdens and wage efficiency costs associated with each system across ten income classes. The reform models, including TRA86, are shown as superior to the pre-reform system with respect to the normative criteria. The legislative process did not substantially compromise the goals as reflected in the seminal reform proposals in the development of a more politically acceptable tax reform law. This exercise demonstrates that it is possible for sound legislation to survive a political process that frequently permits the sacrificing of normative goals in favor of special interests.Financial support provided by the Arthur Young Foundation Tax Research Grant Program and The Ralph E. Kent Fund. The helpful suggestions of Jim Curtis were sincerely appreciated.     

Diversity in the American States: Updating the Sullivan Index

The index of socioeconomic and cultural diversity among theAmerican states formulated by John L. Sullivan for 1960 is recreatedfor 1980. Comparisons are made between the index for the twotime periods, and changes among the states are examined overtime. Significant differences continue to exist between northernand southern states, mainly because of cultural rather thansocioeconomic factors. The diversity index remains a relativelypowerful predictor of policy variation among the states and,as such, might be considered as a substitute for geographicregion in comparative state policy research.     

Books in review

A former editor of theAmerican Historical Review, he has written extensively on the history of modern Great Britain and more recently has published essays on the nature of the contemporary urban university.     

An analysis of contributions and contributors to Public Choice and the Journal of Law and Economics; 1973–1987

Several conclusions may be drawn from the information we have presented here. First and without doubt, the University of Chicago is by far the most dominant force overall, and is particularly so with respect to the production of pages and papers published in the Journal of Law and Economics. The George Mason-Virginia Tech influence is strong with respect to Public Choice, but is not, in our opinion, dominant.One does not necessarily need to be located at a large, research-oriented school in order to publish in either journal, but these schools are the source of most contributions. This is particularly true of the JLE but significantly less so for PC. The source of contributions is very broad, but top 50 institutions account for the lion's share. Contributions by persons employed at foreign institutions are important, particularly for PC.     

Cycle avoiding trajectories,strategic agendas,and the duality of memory and foresight: An informal exposition

This paper considers the notion of cycle avoiding trajectories in majority voting tournaments and shows that they underlie and guide several apparently disparate voting processes. The set of alternatives that are maximal with respect to such trajectories constitutes a new solution set of considerable significance. It may be dubbed the Banks set, in recognition of the important paper by Banks (1985) that first made use of this set. The purpose of this paper is to informally demonstrate that the Banks set is a solution set of broad relevance for understanding group decision making in both cooperative and non-cooperative settings and under both sincere and sophisticated voting. In addition, we show how sincere and sophisticated voting processes can be viewed as mirror images of one another — embodying respectively, “dmemory” and “foresight.” We also show how to develop the idea of a “sophisticated agenda,” one in which the choice of what alternatives to propose is itself a matter of strategic calculation.     

Construct accessibility and electoral choice

Chronic accessibility refers to a long-term bias to notice, process, and have available for recall certain types of information across a variety of different stimulus objects in a variety of different situations. This paper illustrates the usefulness of studying the chronic accessibility of political constructs in the field of political behavior. The chronic accessibility of four generic political constructs are operationalized: candidates, issues, groups, and parties. The accessibility of these four political constructs is shown to be relatively stable over time and to guide the processing of information about a wide variety of political objects. Next, a voting model is tested that identifieswhich voters will rely chiefly on issue orientations, group orientations, candidate orientations, and/or party orientations in making their vote decision. The voting model is validated across two distinct ways of operationalizing the political chronicities and three different election studies spanning a 28-year period. Finally, although this paper has focused onindividual political behavior, several ways that an information processing approach could shed light on macrolevel political questions are discussed.     

Resources of supplemental security income recipients

In order to receive payments under the Supplemental Security Income (SSI) program, an aged, blind, or disabled person's countable resources must fall below specified limits. The current limits are +2,000 for an individual and +3,000 for a couple. In 1987, when the data were collected for this study, these limits were +1,800 for an individual and +2,700 for a couple. This study found that the resource levels of most SSI recipients were well below the 1987 limits. A majority of SSI recipients had less than +100 in countable resources, and only about 12 percent of SSI recipients had more than +1,000 of resources. These low levels of resources ensure that relatively few recipients become ineligible for SSI payments because of resource accumulation. The most common forms of countable resources held by SSI recipients were cash, checking accounts, and savings accounts.