The non-binding vote on executive pay : a review of the CLERP 9 reform

Directors’ and executives’ remuneration, including levels of pay, accountability and transparency, is controversial. Section 250R of the CLERP (Audit Reform & Disclosure) Act 2004 that was not greatly anticipated, requires the holding of a non-binding resolution on board remuneration at companies’ annual general meetings. The reform has been criticised on the basis that, inter alia, it blurs the respective roles of shareholders and directors. This article identifies possible motivations for the imposition of the non-binding resolution in Australia. These are evaluated with reference to sources of corporate governance policy and the current state of Australia’s relevant corporate governance structures. We speculate that the non-binding vote will not amount to a substantive addition to the corporate governance regime.

Vote with your feet : hyperlocal polling for urban screens

Vote with Your Feet is a hyperlocal polling tool for urban screens that lets users express their opinion on current affairs. Similar to vox populi interviews on TV, it is meant to reflect the mindset of the community and its diversity. It shows one Yes/No question at a time and lets the user vote by stepping with their foot on one of two physical buttons. By not only displaying the local but also national results (taken from newspaper polls or TV news), it creates a sense of place and can spark offline conversations as well as making people think about their own opinion. As a tangible media installation that bridges physical and digital urban layers, the project empowers citizens and facilitates a bottom-up approach in terms of stimulating opinions and decision making (rather than broadcasting or automating). In a second iteration of the design, we want to encourage users to submit their own questions.

Vote with your feet : hyperlocal public polling for urban screens

Technological advances have led to an ongoing spread of public displays in urban areas. However, they still mostly show passive content such as commercials and digital signage. Researchers took notice of their potential to spark situated civic discourse in public space and have begun working on interactive public display applications. Attracting people’s attention and providing a low barrier for user participation have been identified as major challenges in their design. This thesis presents Vote With Your Feet, a hyperlocal public polling tool for urban screens allowing users to express their opinions. Similar to vox populi interviews on TV or polls on news websites, the tool is meant to reflect the mindset of the community on topics such as current affairs, cultural identity and local matters. It shows one Yes/No question at a time and enables users to vote by stepping on one of two tangible buttons on the ground. This user interface was introduced to attract people’s attention and to lower participation barriers. Vote With Your Feet was informed by a user-centred design approach that included a focus group, expert interviews and extensive preliminary user studies in the wild. Deployed at a bus stop, Vote With Your Feet was evaluated in a field study over the course of several days. Observations of people and interviews with 30 participants revealed that the novel interaction technology was perceived as inviting and that Vote With Your Feet can spark discussions among co-located people.

Vote with your feet : local community polling on urban screens

Falling prices have led to an ongoing spread of public displays in urban areas. Still, they mostly show passive content such as commercials and digital signage. At the same time, technological advances have enabled the creation of interactive displays potentially increasing their attractiveness for the audience, e.g. through providing a platform for civic discourse. This poses considerable challenges, since displays need to communicate the opportunity to engage, motivate the audience to do so, and be easy to use. In this paper we present Vote With Your Feet, a hyperlocal public polling tool for urban screens allowing users to express their opinions. Similar to vox populi interviews on TV or polls on news websites, the tool is meant to reflect the mindset of the community on topics such as current affairs, cultural identity and local matters. It is novel in that it focuses on a situated civic discourse and provides a tangible user interface, tackling the mentioned challenges. It shows one Yes/No question at a time and enables users to vote by stepping on one of two tangible buttons on the ground. This user interface was introduced to attract people’s attention and to lower participation barriers. Our field study showed that Vote With Your Feet is perceived as inviting and that it can spark discussions among co-located people.

Vote as you go : Blending interfaces for community engagement into the urban space

This paper presents a series of studies on situated interfaces for community engagement. Firstly, we identify five recurring design challenges as well as four common strategies used to overcome them. We then assess the effectiveness of these strategies through field studies with public polling interfaces. We developed two very different polling interfaces in the form of (1) a web application running on an iPad mounted on a stand, allowing one vote at a time, and (2) a playful full-body interaction application for a large urban screen allowing concurrent participation. We deployed both interfaces in an urban precinct with high pedestrian traffic and equipped with a large urban screen. Analysing discoverability and learnability of each scenario, we derive insights regarding effective ways of blending community engagement interfaces into the built environment, while attracting the attention of passers-by and communicating the results of civic participation.

Attitudes towards American brands and brand America

A study of 556 students at colleges and universities in Australia, Hong Kong and Singapore explored the relationship between attitude towards the United States and brand attitudes and preferences. Singaporean student attitudes towards both the US Government and US people were higher than were those of the Australian and Hong Kong students. Coke, Nike and McDonald's were among both the most-liked and disliked US brands among the international students, a finding suggesting that brands may possess both a 'lovemark' status, as described in the literature, and its opposite — 'loathemark' status — within the same demographic group. US brand preference scores did not offer support for the belief that international consumers 'vote with their pocketbooks' by refusing to purchase US brands if they have a negative attitude towards the United States. Among Hong Kong and Singaporean students, favourable attitudes towards the purchase of US brands was found to be positively related to favourability towards the US Government.

Recommending best answer in a collaborative question answering system

The World Wide Web has become a medium for people to share information. People use Web-based collaborative tools such as question answering (QA) portals, blogs/forums, email and instant messaging to acquire information and to form online-based communities. In an online QA portal, a user asks a question and other users can provide answers based on their knowledge, with the question usually being answered by many users. It can become overwhelming and/or time/resource consuming for a user to read all of the answers provided for a given question. Thus, there exists a need for a mechanism to rank the provided answers so users can focus on only reading good quality answers. The majority of online QA systems use user feedback to rank users’ answers and the user who asked the question can decide on the best answer. Other users who didn’t participate in answering the question can also vote to determine the best answer. However, ranking the best answer via this collaborative method is time consuming and requires an ongoing continuous involvement of users to provide the needed feedback. The objective of this research is to discover a way to recommend the best answer as part of a ranked list of answers for a posted question automatically, without the need for user feedback. The proposed approach combines both a non-content-based reputation method and a content-based method to solve the problem of recommending the best answer to the user who posted the question. The non-content method assigns a score to each user which reflects the users’ reputation level in using the QA portal system. Each user is assigned two types of non-content-based reputations cores: a local reputation score and a global reputation score. The local reputation score plays an important role in deciding the reputation level of a user for the category in which the question is asked. The global reputation score indicates the prestige of a user across all of the categories in the QA system. Due to the possibility of user cheating, such as awarding the best answer to a friend regardless of the answer quality, a content-based method for determining the quality of a given answer is proposed, alongside the non-content-based reputation method. Answers for a question from different users are compared with an ideal (or expert) answer using traditional Information Retrieval and Natural Language Processing techniques. Each answer provided for a question is assigned a content score according to how well it matched the ideal answer. To evaluate the performance of the proposed methods, each recommended best answer is compared with the best answer determined by one of the most popular link analysis methods, Hyperlink-Induced Topic Search (HITS). The proposed methods are able to yield high accuracy, as shown by correlation scores: Kendall correlation and Spearman correlation. The reputation method outperforms the HITS method in terms of recommending the best answer. The inclusion of the reputation score with the content score improves the overall performance, which is measured through the use of Top-n match scores.

Accountability, transparency, impartiality, and other ethical issues : improving democracy reduces violence

Violence is detrimental to the stability of any democracy. If people are too scared to vote, or if they lack confidence in their government to bring peace, how will their voices be heard? By discussing how accountability, transparency, and ethics dissuade social confusion, improve democracy, and lessen occurrences of violence, perhaps one can increase the success in the instance of stabilizing a new democracy or reinvigorating an old one. Theoretically resulting in more peaceful governmental transitions; accountability, transparency, and ethics in democracy are a must to build social trust, improve democracy, and reduce violence.

A political economy perspective on persistent inequality, inflation, and redistribution

In this paper we examine the dynamics of the link between inequality and inflation from a political economy perspective. We consider a simple dynamic general equilibrium model in which agents vote over the desired inflation rate in each period, and inequality is persistent. Inflation in our model is a mechanism of redistribution, and we find that the link between inequality and inflation within any period or over time depends on institutional and preference related parameters. Furthermore, we find that differences in the initial distributions of wealth can yield a diverse set of patterns for the evolution of the inflation and inequality link. Relative to existing literature, our model leads to more precise predictions about the inflation-inequality correlation. To that end, results in the extant empirical literature on the inflation and inequality link need to be interpreted with caution.

If Kate voted conservative would you? The role of celebrity endorsements in political party advertising

Purpose – This research has been conducted with the aim of determining if celebrity endorsers in political party advertising have a significant impact on UK voter intentions. The use of celebrity endorsements is commonplace in the USA, but little is known about its effects in the UK. This research also aims to incorporate the use of celebrity endorsements in political party advertising with the political salience construct. Political salience represents how prominent politics and political issues are in the minds of the eligible voter. Design/methodology/approach – A 2 (endorser: celebrity; non-celebrity) £ 2 (political salience: high; low) between-subjects factorial design experiment was used. The results show that celebrity endorsements do play a significant role in attitudes towards the political advert, attitudes towards the endorser and voter intention. However, this effect is significantly moderated by political salience. Findings – The results show that low political salience respondents were significantly more likely to vote for the political party when a celebrity endorser is used. However, the inverse effect is found for high political salience respondents. Practical implications – The results offer significant insights into the effect that celebrity endorsers could have in future elections and the importance that political salience plays in the effectiveness of celebrity endorsement. If political parties are to target those citizens that do not actively engage with politics then the use of celebrity endorsements would make a significant impact, given the results of this research. Originality/value – This research would be of particular interest to political party campaigners as well as academics studying the effects of advertising and identity salience.

The geometric modelling of social frames and contexts

How do humans respond to their social context? This question is becoming increasingly urgent in a society where democracy requires that the citizens of a country help to decide upon its policy directions, and yet those citizens frequently have very little knowledge of the complex issues that these policies seek to address. Frequently, we find that humans make their decisions more with reference to their social setting, than to the arguments of scientists, academics, and policy makers. It is broadly anticipated that the agent based modelling (ABM) of human behaviour will make it possible to treat such social effects, but we take the position here that a more sophisticated treatment of context will be required in many such models. While notions such as historical context (where the past history of an agent might affect its later actions) and situational context (where the agent will choose a different action in a different situation) abound in ABM scenarios, we will discuss a case of a potentially changing context, where social effects can have a strong influence upon the perceptions of a group of subjects. In particular, we shall discuss a recently reported case where a biased worm in an election debate led to significant distortions in the reports given by participants as to who won the debate (Davis et al 2011). Thus, participants in a different social context drew different conclusions about the perceived winner of the same debate, with associated significant differences among the two groups as to who they would vote for in the coming election. We extend this example to the problem of modelling the likely electoral responses of agents in the context of the climate change debate, and discuss the notion of interference between related questions that might be asked of an agent in a social simulation that was intended to simulate their likely responses. A modelling technology which could account for such strong social contextual effects would benefit regulatory bodies which need to navigate between multiple interests and concerns, and we shall present one viable avenue for constructing such a technology. A geometric approach will be presented, where the internal state of an agent is represented in a vector space, and their social context is naturally modelled as a set of basis states that are chosen with reference to the problem space.

Disclosure of proxy voting information by Australian managed investment schemes

The US Securities and Exchange Comission requires registered management investment companies to disclose how they vote proxies relating to portfolio securities they hold. The primary purpose of this rule is to enable fund investors to monitor the role of institutional shareholders in the corporate governance practices of public companies. In Australia, despite reform proposals, there are no regulations requiring institutional investors to report proxy voting procedures and practises. There is little evidence of voluntary disclosure of proxy voting by Australian managed investment schemes in equities, indicating that there are costs involved in such disclosure.

Tax evasion, inequality, and progressive taxes : a political economy perspective

The standard approach to tax compliance applies the economics-of-crime methodology pioneered by Becker (1968): in its first application, due to Allingham and Sandmo (1972) it models the behaviour of agents as a decision involving a choice of the extent of their income to report to tax authorities, given a certain institutional environment, represented by parameters such as the probability of detection and penalties in the event the agent is caught. While this basic framework yields important insights on tax compliance behavior, it has some critical limitations. Specifically, it indicates a level of compliance that is significantly below what is observed in the data. This thesis revisits the original framework with a view towards addressing this issue, and examining the political economy implications of tax evasion for progressivity in the tax structure. The approach followed involves building a macroeconomic, dynamic equilibrium model for the purpose of examining these issues, by using a step-wise model building procedure starting with some very simple variations of the basic Allingham and Sandmo construct, which are eventually integrated to a dynamic general equilibrium overlapping generations framework with heterogeneous agents. One of the variations involves incorporating the Allingham and Sandmo construct into a two-period model of a small open economy of the type originally attributed to Fisher (1930). A further variation of this simple construct involves allowing agents to initially decide whether to evade taxes or not. In the event they decide to evade, the agents then have to decide the extent of income or wealth they wish to under-report. We find that the ‘evade or not’ assumption has strikingly different and more realistic implications for the extent of evasion, and demonstrate that it is a more appropriate modeling strategy in the context of macroeconomic models, which are essentially dynamic in nature, and involve consumption smoothing across time and across various states of nature. Specifically, since deciding to undertake tax evasion impacts on the consumption smoothing ability of the agent by creating two states of nature in which the agent is ‘caught’ or ‘not caught’, there is a possibility that their utility under certainty, when they choose not to evade, is higher than the expected utility obtained when they choose to evade. Furthermore, the simple two-period model incorporating an ‘evade or not’ choice can be used to demonstrate some strikingly different political economy implications relative to its Allingham and Sandmo counterpart. In variations of the two models that allow for voting on the tax parameter, we find that agents typically choose to vote for a high degree of progressivity by choosing the highest available tax rate from the menu of choices available to them. There is, however, a small range of inequality levels for which agents in the ‘evade or not’ model vote for a relatively low value of the tax rate. The final steps in the model building procedure involve grafting the two-period models with a political economy choice into a dynamic overlapping generations setting with more general, non-linear tax schedules and a ‘cost-of evasion’ function that is increasing in the extent of evasion. Results based on numerical simulations of these models show further improvement in the model’s ability to match empirically plausible levels of tax evasion. In addition, the differences between the political economy implications of the ‘evade or not’ version of the model and its Allingham and Sandmo counterpart are now very striking; there is now a large range of values of the inequality parameter for which agents in the ‘evade or not’ model vote for a low degree of progressivity. This is because, in the ‘evade or not’ version of the model, low values of the tax rate encourages a large number of agents to choose the ‘not-evade’ option, so that the redistributive mechanism is more ‘efficient’ relative to the situations in which tax rates are high. Some further implications of the models of this thesis relate to whether variations in the level of inequality, and parameters such as the probability of detection and penalties for tax evasion matter for the political economy results. We find that (i) the political economy outcomes for the tax rate are quite insensitive to changes in inequality, and (ii) the voting outcomes change in non-monotonic ways in response to changes in the probability of detection and penalty rates. Specifically, the model suggests that changes in inequality should not matter, although the political outcome for the tax rate for a given level of inequality is conditional on whether there is a large or small or large extent of evasion in the economy. We conclude that further theoretical research into macroeconomic models of tax evasion is required to identify the structural relationships underpinning the link between inequality and redistribution in the presence of tax evasion. The models of this thesis provide a necessary first step in that direction.

Leadership change, policy issues and voter defection in the 2010 Australian election

Leadership change formed the backdrop to the 2010 Australian federal election, with the replacement of Kevin Rudd as prime minister by Julia Gillard, the country’s first female prime minister. This article uses the 2010 Australian Election Study, a post-election survey of voters, to examine patterns of voter defection between the 2007 and 2010 elections. The results show that the predominant influence on defection was how voters rated the leaders. Julia Gillard was particularly popular among female voters and her overall impact on the vote was slightly greater than that of Tony Abbott. Policy issues were second in importance after leadership, particularly for those moving from the Coalition to Labor, who were concerned about health and unemployment. Labor defectors to the Greens particularly disliked Labor’s education policies. Overall, the results point to the enduring importance of leaders as the predominant influence on how voters cast their ballot.