Pricing Outputs: A Case Study in Law Enforcement

This paper discusses the advantages and limitations of economic evaluation as a measurement methodology within the Australian government's outcome and output framework including preliminary benefit–cost analysis of Australian Federal Police investigations. The results suggest that the Australian Federal Police is returning over $5 to the community for every dollar invested in fraud and drug investigations. It is concluded that benefit–cost analysis is a useful tool for comparing the price of an output to the value of an outcome. The method has limitations. Not all outcomes will admit of easy assessment and the information may be difficult to collect. However, the use of surrogate measures and extrapolation of results may overcome most of these limitations.     

Municipal Capital Spending during the "Boom"

This article analyzes municipal governments, capital spending, and revenue-raising decisions between 1993 and 2000, an era of unprecedented economic growth. It finds that, as anticipated, greater-than-expected revenues allowed many cities to advance projects from their capital improvement plans to their capital budgets. Moreover, the article concludes that growth in cities' own-source-revenue-generating capacity and transfers from carryover or ending balances from earlier years, rather than debt issuances and intergovernmental aid, seem to be the most important fuel for the remarkable growth rate in capital spending.     

The evolving profile,qualifications and roles of the senior public affairs officer

Leading a public affairs department or function in North America has become increasingly complex, difficult, and valued in the last decade. The knowledge, skills and abilities (KSAs) to perform this role effectively have undergone a transformation and become reflective of the socio‐political challenges entailed in the fast‐moving, global, information‐intensive economy. The top public affairs officer (PAO) will need to be a strategic thinker who can communicate effectively, have unquestioned integrity, maintain an international perspective, be an effective manager, and have the experience and savvy to navigate the trickiest of public policy processes and structures. These positions can be greatly rewarding for those individuals who are up to the task. Copyright © 2002 Henry Stewart Publications.     

The prohibition-repeal amendments: A natural experiment in interest group influence

The pattern of state support for Prohibition (18th Amendment, 1919) and Repeal (21st Amendment, 1933) is analyzed and compared. This comparison is important because Prohibition is the only amendment ever to be repealed. The main thesis is that there was no wholesale change in preferences of citizens. Instead, producer interests failed to mobilize effectively in 1919, and the coupling of moral and economic arguments that worked in 1919 broke apart in 1933. Regression analysis is conducted on state legislatures (for Prohibition) and state referenda on convention delegates (for Repeal), so states are observations in the cross-sectional regression analysis. The results broadly support the main thesis.     

Shareholder wealth effects of legislative events: The case of airline deregulation

This paper presents empirical evidence about the impact on shareholder wealth of legislative events leading to the enactment of the Airline Deregulation Act of 1978. In contrast to prior regulatory event studies, this paper examines not only the final legislative enactment but also the Congressional hearings that preceded it. No significant effect on shareholder wealth is indicated when averaged across all airline firms and all legislative events. Impact of deregulation, however, was expected to be different for trunk airlines than for local airlines. Moreover, market expectations likely changed with the change in the political climate during the course of deregulation deliberations, from an industry financial health emphasis under a Republican (Ford) administration to a consumer welfare emphasis under a Democratic (Carter) administration. We find that trunk airlines experienced significant positive abnormal returns during the Ford administration, but negative abnormal returns during the Carter administration. In contrast, local airlines exhibited significant negative abnormal returns during both the Ford and Carter eras. Systematic risk of both trunk and local airlines also increased with the change in the political climate.     

The State-Local Nexus in Policy Innovation Diffusion: The Case of School Choice

Our knowledge of how policy innovations diffuse in federal systemscould be enhanced by paying greater attention to the behaviorof policy entrepreneurs. This study shows how policy entrepreneurshelped stimulate the diffusion of state school-choice plansby collecting and generating evidence of workability of thisinnovation. Importantly, these policy entrepreneurs have oftenused evidence from local experiments to promote state policychange. Thus, a state-local nexus exists in the diffusion schoolchoice. This analysis suggests that there is value in conceptualizingpolicy innovation diffusion a federal system as both a horizontal(that is, state to state) and a vertical (that is, state andlocal) phenomenon.