An investigation of the behaviour of Australia's business cycle

In this paper we examine the relative importance of permanent and transitory shocks in explaining variations in income, consumption and investment at business cycle horizons for Australia. We use the common trend–common cycle restrictions to estimate a variance decomposition of shocks, and find that over short horizons the bulk of the variations in income and investment are due to permanent shocks, while transitory shocks explain the bulk of the variations in consumption. The former finding is consistent with real business cycle models which attribute business cycles to aggregate supply shocks, while the findings for consumption are consistent with the Keynesian view, which attributes business cycles to aggregate demand shocks.

Corporate governance, board responsibilities and financial performance : the National Bank of Australia

This paper examines board responsibilities and accountability by management and Board of Directors in relation to the National Australia Bank's (NABs) performance. The NAB, an international financial service provider within the top thirty most profitable banks in the world, is compared with the Australian major banks. The evidence suggests that NABs poor performance was consistent with a lack of accountability, poor corporate governance and board dysfunction associated with fraudulent currency trading and the subsequent AUD360 million foreign currency losses. The NAB's performance is investigated by utilising accounting-based measures of profitability and cost efficiency as proxies for performance. Following the foreign currency trading losses in 2004 the NAB under-performed the other major Australian banks in terms of profits, cost to income ratio and growth in assets. In terms of profitability and cost efficiency NAB had the lowest ROE and ROA with a 19.7% fall in net profit and the highest cost to income ratio of 5 7.4% of any of the five largest banks. This case study provides an Australian example of poor corporate governance and suggests that financial institutions and regulators can learn from the NAB's experience. Failure to have top-down accountability can have significant impact on over-all performance, profitability and reputation. In particular, it suggests that management and Boards need to review their risk management procedures and regulators need to be more pro-active in their prudential oversight of financial institutions.

Straight to the source : an exploratory study of Australia's regional newspaper journalists' checks on validity and accuracy of sources

This paper reports on an exploratory study that examined whether journalists
undertake the vital role of checking the validity and accuracy of information
supplied to them in media releases. It also monitored how much information
journalists used from press releases in their published work. The study followed Gandy's information subsidy theory by surveying 10 local government media relations officers who regularly issued media releases via
electronic mail or facsimile to a sample of 14 rural/regional newspapers. The data analysed found that rural/regional journalists were not adequately verifying information supplied in media releases and using a significant amount of this information verbatim.

Testing some myths about I.T. outsourcing : a survey of Australia's top 1000 firms

This study examines the extent to which surveyed outcomes of IT outsourcing supported several commonly-argued propositions. Following confirmatOl), factor analysis, eight measures of success were used: access to skilled staff, technology benefits, economies of scale, cost reductions, strategic benefits, technical service quality, capacity to concentrate on core business, and overall satisfaction/value. The analysis produced some surprising findings. Some widely-promoted benefits of outsourcing were reported by most respondents, but other benefits that have been similarly promoted (such as cost savings) were reported by only a minority of respondents. There were no differences in success outcomes between medium-sized «500 employees), large (500 to 1000 employees), and very large (1000+ employees) organizations. There were some minor differences between government agencies and finns from the private sector, but no differences for key outcomes. Contrary to findings from case study research, "selective" outsourcing was no more successful than "total" outsourcing, although "total" outsourcing was uncommon. On the basis of these results, decision makers are urged to be cautious when planning to outsource IT services, and to be critical of claims that they will make substantial savings from outsourcing, or that outsourcing will automatically allow them to refocus more on their core business.

The strength of strong ties : how women become supporters of Australian Rules Football

Two glaring omissions in the research on sports fans are on women fans and on how people become fans. In this paper we begin to address both of these issues by examining how women become fans of Australian rules football (AFL). From data generated in single-person and focus group interviews with women AFL supporters conducted in Victoria and NSW, we use their accounts to map-out four ways in which they became fans. We show that at the heart of each of these paths to fandom are the close ties that the women formed in their social networks – either as children through their kin, or later in life through others that entered their networks. Women become fans, we argue, because of the strong social ties that they have with people who are existing fans.

Interaction perspectives of individuals and destination marketing organizations in the tourism network of Australia

This paper seeks to assess the nature, perspectives and characteristics of interactions in the tourism network in Australia. The pattern of interactions between network participants is crucial in defining the network and its boundaries. Ford and Hakansson (2007) develop a structure of interactions between participants in a network. Time dimensions of the interactions are sequence, ordering and trajectory. Relativity dimensions are jointness, interdependence and heterogeneity. Interaction can be problem solving both incurring costs and producing benefits.
There are two stages of this research. The first stage obtained the perspectives from 35 organizations regarding the challenges facing tourism, key growth segments, brand and promotional strategies and customer insights and satisfaction levels. The second stage of this research uses follow up personal interviews and assesses the interaction patterns among network participants. The sequence, ordering and trajectory of the interactions are examined as are the jointness, interdependence and heterogeneity of the interactions. A network map is produced based on the frequency and importance of the communications and interactions. The research will also address key questions identified by Johnston, Peters and Gassenheimer (2006). Is the network characterized by tighter or looser coupling? How important is collaboration to the survival (or success) of each participant?

Why do young women drop out of sport and physical activity? A social ecological approach

This study explored significant individual, social, and environmental factors and how they interact to influence participation in physical activity for adolescent young women. These factors were explored at two transitional life stages: from primary to secondary school and from middle to upper years at secondary school. Ten focus groups with young women and 10 interviews with teachers were conducted and multiple, interrelated themes emerged. Our findings indicated that there are a number of strategies that could be undertaken to increase the participation of young women in physical activity. These include: (1) enhancing intrinsic motivation for sport and physical activity; (2) appealing to young women’s need for socialising through opportunities for informal physical activity; (3) educating parents about the benefits of sport and physical activity; (4) overcoming gender stereotypes about what is acceptable behaviour for young women; (5) improving physical education teachers’ understanding of gender issues and motivating less physically active students; (6) the provision of accessible sport and physical activity facilities, programs, and services in schools; and (7) prioritorisation of sport and physical activity in the school curriculum. These strategies are not ‘quick fixes’, but rather require a whole-ofcommunity approach and, in some cases, a reorientation of societal values.

The politics of developing reference standards for nutrient intakes : the case of Australia and New Zealand

Objective Nutrient Reference Values (NRV) are evidence-based benchmarks for assessing the dietary adequacy of individuals and population groups as well as informing public health nutrition policies and programmes. The present paper presents the findings of an analysis of the views of submitters to a draft document associated with the development of the 2006 NRV for Australia and New Zealand. The aim of the study was to explore how these views were reflected in the policy-making process and final policy document.

Design The information necessary to fulfil this aim required access to stakeholder submissions to the NRV development process and this necessitated exploiting the provisions of the Commonwealth of Australia’s Freedom of Information (FOI) Act 1982. We understand that the present research represents the first time that an FOI request seeking information about a National Health and Medical Research Council food and nutrition policy process has been made and therefore is novel in its approach to public health nutrition policy analysis.

Results The analysis of stakeholder submissions identified that stakeholders had particular concerns about the conduct of the review process and the future application of the nutrient values to policy and programmes. There is a lack of evidence that the majority of stakeholder comments were addressed in the final NRV document.

Conclusion Although these findings cannot be interpreted to assess the validity or otherwise of the set nutrient values, they do raise questions about the process for their development and the adequacy of the final document to reflect the views of key stakeholders.

The cost-effectiveness of Australia's active after-school communities program

The objective of this study was to assess from a societal perspective the cost-effectiveness of the Active After-school Communities (AASC) program, a key plank of the former Australian Government's obesity prevention program. The intervention was modeled for a 1-year time horizon for Australian primary school children as part of the Assessing Cost-Effectiveness in Obesity (ACE-Obesity) project. Disability-adjusted life year (DALY) benefits (based on calculated effects on BMI post-intervention) and cost-offsets (consequent savings from reductions in obesity-related diseases) were tracked until the cohort reached the age of 100 years or death. The reference year was 2001, and a 3% discount rate was applied. Simulation-modeling techniques were used to present a 95% uncertainty interval around the cost-effectiveness ratio. An assessment of second-stage filter criteria ("equity," "strength of evidence," "acceptability to stakeholders," "feasibility of implementation," "sustainability," and "side-effects") was undertaken by a stakeholder Working Group to incorporate additional factors that impact on resource allocation decisions. The estimated number of children new to physical activity after-school and therefore receiving the intervention benefit was 69,300. For 1 year, the intervention cost is Australian dollars (AUD) 40.3 million (95% uncertainty interval AUD 28.6 million; AUD 56.2 million), and resulted in an incremental saving of 450 (250; 770) DALYs. The resultant cost-offsets were AUD 3.7 million, producing a net cost per DALY saved of AUD 82,000 (95% uncertainty interval AUD 40,000; AUD 165,000). Although the program has intuitive appeal, it was not cost-effective under base-case modeling assumptions. To improve its cost-effectiveness credentials as an obesity prevention measure, a reduction in costs needs to be coupled with increases in the number of participating children and the amount of physical activity undertaken.