Government Partisanship, Elections, and the Stock Market: Examining American and British Stock Returns, 1930–2000

We construct a model of speculative trading to examine how the mean and volatility of stock prices is affected both by government partisanship and by traders' expectations of electoral victory by the right-wing or left-wing party. Our model predicts that rational expectations of higher inflation under left-wing administrations lowers the volume of stocks traded in the stock market. The decline in trading volume leads to a decrease in the mean and volatility of stock prices not only during the incumbency of left-wing governments, but also when traders expect the left-wing party to win elections. Conversely, expectation of lower inflation under right-wing administrations leads to higher trading volume. This leads to an increase in the mean and volatility of stock prices during the tenure of right-wing governments and when traders anticipate the right-wing party to win elections. Daily and monthly data from U.S. and British equity markets between 1930 and 2000 statistically corroborate the predictions from our formal model.     

Australian External Policy and the End of Britain's Empire1

The winding down of Britain's colonial empire in the 1950s and 1960s impacted upon Australian external policy in several ways. Australia had to build diplomatic capacity in order to manage relationships with numerous newly independent states. As many of these states were non-aligned in the Cold War context, Australia had to think afresh about the problems of regional security. Decolonisation also meant the transformation of the Commonwealth into a "nest of republics", a development that hastened the demise of the older sense of organic empire and, for Robert Menzies, compromised the quality of the Anglo-Australian relationship. The effect on Australia of Britain's post-colonial restrictive immigration policy compounded this process. So too did Britain's move towards Europe. In addition there were implications for Australia's policy towards the United Nations and towards its own dependent territories.     

Brave New Liberal: Percy Spender

Percy Spender's pioneering work as External Affairs Minister is often held up as a significant contribution to Liberal policy-making and Australian foreign policy more generally. A closer look at his life and thinking illuminates some of the factors behind his policy-making. Some of the more prominent, shaping factors can be organised under the headings of his overseas travels before becoming External Affairs Minister at the end of 1949; his sense that the mid-twentieth period was one in which Asia suddenly played a big role; and his determination that Australians should be proactive in their relations in their region, rather than merely reactive in foreign policy.     

Surviving the suicides of significant others: a case study

Psychological pain has been reported to be major contributing factor for completed suicide, and classical suicidology based its wisdom on this construct. In this paper we report the case of a patient whose family experienced a high number of suicides apparently due to an escalation of psychological pain in the family members after the successive suicides. We also briefly discuss the problem of helping survivors after the suicide of loved one.     

Debt,democratization, and development in Latin America: How policy can affect global warming

The environmental Kuznets curve (EKC) hypothesis conjectures a nonlinear relationship between pollution and economic growth, such that pollution per capita initially increases as countries economically develop, but then reaches a maximum point before ultimately declining. Much of the EKC literature has focused on testing this basic hypothesis and, in studies that find evidence of an EKC, estimating the “turning point” level of development at which the per capita pollution‐growth relationship changes sign. This approach has not emphasized the policy relevance of specification issues or the potential role of policy variables. This research explores a modified EKC specification which conditions the pollution‐growth relationship on a country's level of debt and degree of democratization. These variables turn out to be significant, implying that different political and economic contexts can shift EKCs and their turning points. These findings suggest that policies to relieve debt burdens and institute political reform, in addition to their usual justifications, also could be used as a strategy to reduce carbon emissions from developing countries. © 2008 by the Association for Public Policy Analysis and Management.     

Review of “Crime and Culpability: A Theory of Criminal Law”

This is a review of the challenging book in which Larry Alexander and Kimberly Ferzan propose sweeping revisions to the structure of substantive criminal law.