Inflation, currency substitution and dollarization: The case of Argentina

This dissertation discusses the relationship between inflation, currency substitution and dollarization that has taken place in Argentina for the past several decades.^ First, it is shown that when consumers are able to hold only domestic monetary balances (without capital mobility) an increase in the rate of inflation will produce a balance of payments deficit. We then look at the same issue but with heterogeneous consumers, this heterogeneity being generated by non-proportional lump-sum transfers.^ Second, we discussed some necessary assumptions related to currency substitution models and concluded that there was no a-priori conclusion on whether currencies should be assumed to be "cooperant" or "non-cooperant" in utility. That is to say, whether individuals held different currencies together or one instead of the other.^ Third, we went into discussing the issue of currency substitution as being a constraint on governments' inflationary objectives rather than a choice of those governments to avoid hyperinflations. We showed that imperfect substitutability between currencies does not "reduce the scope for rational (hyper)inflationary processes" as it had been previously argued. It will ultimately depend on the parametrization used and not on the intrinsic characteristics of imperfect substitutability between currencies.^ We further showed that in Argentina, individuals have been able to endogenize the money supply by holding foreign monetary balances. We argued that the decision to hold foreign monetary balances by individuals is always a second best due to the trade-off between holding foreign monetary balances and consumption. For some levels of income, consumption, and foreign inflation, individuals would prefer to hold domestic monetary balances rather than foreign ones.^ We then modeled the distinction between dollarization and currency substitution. We concluded that although dollarization is necessary for currency substitution to take place, the decision to use foreign monetary balances for transactions purposes is largely independent from the dollarization process.^ Finally, we concluded that Argentina should not fully dollarize its economy because dollarization is always a second best to using a domestic currency. Further, we argued that a fixed exchange system would be better than a flexible exchange rate or a "crawling-peg" system because of the characteristics of the political system and the possibilities of "mass praetorianism" to develop, which is intricately linked to "populist" solutions. ^

Elementary classroom teachers' knowledge of tort liability for negligence

The purpose of this research study was to investigate the legal knowledge of Florida's public elementary classroom teachers in the area of tort liability for negligence. A second purpose of the study was to assess the knowledge of school law in the area of negligence according to specific variables to determine if significant differences in knowledge existed among groups of teachers classified by: years of teaching experience, whether or not teachers took a school law course or inservice, college degree held and whether or not teachers had administrative experience. A validated survey instrument consisting of 22 scenarios based on decided court cases in the United States was utilized. These cases included court decisions ranging from 1938–1994, and represented the categories of duty and standard of care, proper instruction, proper supervision, proper maintenance, field trips, and post-injury treatment. ^ A random sample of 420 elementary classroom teachers were sent the survey instrument to complete, and a total of 309 surveys were returned producing a return rate of 77%. The results of this research study revealed that the overall level of legal knowledge of public elementary classroom teachers in the State of Florida produced a mean percent correct of 53%. The range of scores varied from 18%–82%, with the approximate average of correct answers of 12 out of 22. The category of proper instruction produced the lowest mean percent correct of 35%, and the area of post-injury treatment yielded the highest mean percent correct of 78%. ^ The findings of this study emphasize the necessity of preparing teachers regarding their legal rights, duties and responsibilities. The need for teachers to receive training at the preservice and inservice levels has become clear by this study. ^

Lender Liability: The Legal and Management Effects on the Hospitality Industry

With the savings and loan crisis and the tail end of a recession at hand, the '90s are bound to be a difficult decade for the financing of hospitality operations through borrowing from commercial lenders. The authors discuss one of the least known dangers associated with borrowing, lender liability. The issue is discussed from both a legal and managerial perspective.

Payroll Taxes and Personal Liability

Many corporate officers and responsible employees may be exposing their personal assets to liability for unpaid corporate payroll taxes. The authors discuss where liability may arise and identify strategies to avoid personal liability.

Casino Drink Policies: Limiting Third-Party Liability

In their efforts to provide an atmosphere or hospitality to their casino customers, many operators will provide complimentary alcoholic beverage service. This practice is fraught with liability, particularly in venues outside of Nevada. Conscientious operators must take every precaution to mitigate the possibility of lawsuit.

Alcohol Server Liability Law Suits Result From Dram Shop Statutes

The country is experiencing a trend of alcohol server liability law suits resulting from dram shop statutes and common law liability, relatively recent developments in the field of tort law. The author, an expert on liquor liability law, explores the meaning of this trend for the hospitality industry.

Inflation, currency substitution, and dollarization : the case of Argentina

This dissertation discusses the relationship between inflation, currency substitution and dollarization that has taken place in Argentina for the past several decades. First, it is shown that when consumers are able to hold only domestic monetary balances (without capital mobility) an increase in the rate of inflation will produce a balance of payments deficit. We then look at the same issue but with heterogeneous consumers, this heterogeneity being generated by non-proportional lump-sum transfers. Second, we discussed some necessary assumptions related to currency substitution models and concluded that there was no a-priori conclusion on whether currencies should be assumed to be "cooperant" or "non-cooperant" in utility. That is to say, whether individuals held different currencies together or one instead of the other. Third, we went into discussing the issue of currency substitution as being a constraint on governments inflationary objectives rather than a choice of those governments to avoid hyperinflations. We showed that imperfect substitutability between currencies does not "reduce the scope for rational (hyper)inflationary processes" as it had been previously argued. It will ultimately depend on the parametrization used and not on the intrinsic characteristics of imperfect substitutability between currencies. We further showed that in Argentina, individuals have been able to endogenize the money supply by holding foreign monetary balances. We argued that the decision to hold foreign monetary balances by individuals is always a second best due to the trade-off between holding foreign monetary balances and consumption. For some levels of income, consumption, and foreign inflation, individuals would prefer to hold domestic monetary balances rather than foreign ones. We then modeled the distinction between dollarization and currency substitution. We concluded that although dollarization is necessary for currency substitution to take place, the decision to use foreign monetary balances for transactions purposes is largely independent from the dollarization process. Finally, we concluded that Argentina should not fully dollarize its economy because dollarization is always a second best to using a domestic currency. Further, we argued that a fixed exchange system would be better than a flexible exchange rate or a "crawling-peg" system because of the characteristics of the political system and the possibilities of "mass praetorianism" to develop, which is intricately linked to "populist" solutions.

An assessment of legal knowledge of preservice teachers completing accredited teacher education programs in South Florida

The purpose of the study was to assess the legal knowledge of preservice teachers completing their educational training at accredited South Florida universities. The population consisted of 372 preservice kindergarten through twelfth grade teachers completing their educational training in any area of public school education.^ The researcher selected areas of school law to assess based on nationwide studies of litigation involving teachers and school boards, the areas most pertinent to the teachers' daily activities and responsibilities. A forty-item instrument was developed and administered to preservice teachers at six South Florida public and private universities. The areas of school law surveyed were tort liability, teachers' rights as instructors and employees, and students' rights. The research questions asked if preservice teachers possess a fundamental knowledge of school law in any of the identified areas and if a significant difference of legal knowledge existed when comparing preservice teachers by university and comparing preservice elementary and preservice secondary teachers. The criteria for a fundamental knowledge of school law was established as scoring 80% or above on the total survey or any area of school law.^ Conclusions. (1) On the overall survey, the preservice teachers did not exhibit a fundamental knowledge of school law. The mean score was 64.2%, with 11.6% of the respondents scoring at or above the 80% level. (2) The preservice teachers did not possess a fundamental knowledge of school law in any of the three areas of school law, though the survey revealed a difference in the preservice teachers' knowledge in the specific areas. The scores were tort liability, 71.9%; teachers' rights, 65%; and students' rights, 52.3%. (3) A significant difference did not exist between elementary and secondary preservice teachers' knowledge of school law. (4) A significant difference did not exist among the preservice teachers' knowledge of school law when compared by university.^ The study suggested a need for increased instruction in these areas of school law to preservice teachers prior to the beginning of their teaching careers. ^

The effects of defendant account on damage award decisions

The purpose of this study was to examine whether the manner in which civil defendants account for their behavior influences compensatory and punitive damage awards. Jurors read three civil trial summaries, in which I manipulated injury severity (high vs. low), defendant reprehensibility (high vs. low), defendant status (individual vs. corporate), and account (concession, excuse, justification or refusal) in a factorial design. I also included four control groups in which the defendant stipulated liability. In all other conditions, participants read that a jury had found the defendant negligent. Only defendant reprehensibility influenced punitive awards. Both plaintiff injury and defendant reprehensibility influenced compensatory awards. When individuals offered justifications and when corporations offered excuses, jurors awarded lower compensatory awards against low reprehensibility defendants than against high reprehensibility defendants. Negligence stipulations led to lower damage awards for individuals than for corporations. Additionally, concessions tended to produce lower awards when combined with a stipulation of negligence as opposed to a jury decision. These findings support the hypothesis that in cases in which the defendant is clearly negligent, circumstances exist in which stipulating negligence and offering an apologetic account will lead to reduced damage awards decisions. Results indicate that individual and corporate defendants offering justifications and refusals should first consider the reprehensibility of their actions. In a broader realm, findings demonstrate that the manner in which a jury perceives the explanation given by the defendant is dependent upon defendant characteristics and case-specific factors. ^

"And a child shall lead them?": Slavery, childhood, and African cultural identity in Jamaica, 1750--1838

Based primarily on archival evidence collected in Jamaica, this dissertation examined the nature of childhood in the plantation complex between 1750 and 1838, how colonial society and the slave community defined childhood, and how that definition changed over time. It proves how childhood and slavery influenced and changed each other during these years, with the abolitionist movement standing as the main catalyst for change. Although this project chronologically examined the changing nature of slave childhood in Jamaica through four shifts of Jamaican history, each chapter topically focused on slave childhood through the lenses of labor, family, resistance, race, status, culture, education, and freedom. ^ The research showed that although slavery forced slave children into an early adulthood, childhood was a contested process that changed with each generation of children. As the abolitionist movement motivated changes in planter opinion on the value of children to the plantation economy, planters placed increased responsibility on slave children to lead them towards economic stability and profitability. Meanwhile, slave children struggled to survive slavery by reinventing and modifying their ideas of family and kinship and reacting to their situation through various acts of resistance. Although slave parents gained many opportunities to raise their children on their own terms, they struggled to maintain control over that process as planters attempted to change the nature of African cultural identity in Jamaica by impressing Christian and English values on slave children. Under apprenticeship, childhood returned to its previous status as a liability in the eyes of the Jamaican planters. Yet, Jamaican children faced the prospect of an unwritten childhood, one that was free from planter control and gave Jamaican laborers hope for the future. In the end, this dissertation told the story of an overlooked childhood, one that was often defined by Jamaican planters, but frequently contested by the slaves themselves. ^

Improving civil jury decision-making: Evidentiary and procedural issues

The civil jury has been under attack in recent years for being unreliable and incompetent. Considering the myriad causes for poor civil juror decision-making, the current investigation explores both procedural and evidentiary issues that impact juror's decisions. Specifically, the first phase of this dissertation examines how jurors (mis)use evidence pertaining to the litigants when determining liability and awarding damages. After investigating how jurors utilize evidence, the focus shifts to exploring the utility of procedural reforms designed to improve decision-making (specifically revising the instructions on the laws in the case and bifurcating the damage phases of the trial). Using the results from the first two phases of the research, the final study involves manipulating pieces of evidence related to the litigants while exploring the effects that revising the judicial instructions have on the utilization of evidence in particular and on decision-making in general. ^ This dissertation was run on-line, allowing participants to access the study materials at their convenience. After giving consent, participants read the scenario of a fictitious product liability case with the litigant manipulations incorporated into the summary. Participants answered several attitudinal, case-specific, and comprehension questions, and were instructed to find in favor of one side and award any damages they felt warranted. Exploratory factor analyses, Probit and linear regressions, and path analyses were used to analyze the data (M-plus and SPSS were the software packages used to conduct the analyses). Results indicated that misuse of evidence was fairly frequent, though the mock jurors also utilized evidence appropriately. Although the results did not support bifurcation as a viable procedural reform, revising the judicial instructions did significantly increase comprehension rates. Trends in the data suggested that better decision-making occurred when the revised instructions were used, thus providing empirical support for this procedural reform as a means of improving civil jury decision-making. Implications for actual trials and attorneys are discussed. ^

Investigating a career choice for nursing based on social cognitive career theory

Nursing shortages still exist in the U.S. so it is important to determine factors that influence decisions to pursue nursing as a career. This comparative, correlational research study revealed factors that may contribute to, or deter students from choosing nursing as a career. The purpose of this study was to determine factors that contribute to a career choice for nursing based on the concepts of social cognitive career theory (SCCT), self efficacy, outcome expectations, and personal goals, among senior high school students, final year nursing students, and first year nursing students. Based on the results strategies may be developed to recruit a younger pool of students to the nursing profession and to boost retention efforts among those who already made a career choice in nursing. Data were collected using a three part questionnaire developed by the researcher to obtain demographic information and data about the respondents' self efficacy, outcome expectations, and personal goals with regards to nursing as a career. Point bi-serial correlations were used to determine relationships between the variables. ANOVAs and ANCOVAs were computed to determine differences in self efficacy and outcome expectations, among the three groups. Additional descriptive data determined reasons for and against a choice for nursing as a career. Self efficacy and outcome expectations were significantly correlated to career choice among all three groups. The nursing students had higher self efficacy perceptions than the high school students. There were no significant differences in outcome expectations between the three groups. The main categories identified as reasons for choosing nursing as a career were; (a) caring, (b) career and educational advancement, (c) personal accomplishment, (d) proficiency and love of the medical field. Common categories identified for not choosing nursing as a career were; (a) responsibility, (b) liability, (c) lack of respect, and (d) low salary. Other categories regarding not choosing nursing as a career included; (a) the nursing program and (b) professional (c) alternate career choice options and (d) fear of sickness and death. Findings from this study support the tenets of SCCT and may be used to recruit and retain nurses and develop curricula.

The boundaries of acceptance: Do expectations for the complainant's psychological injury affect legal decisions in a sexual harassment case

Research indicates that people engaged in legal decision-making use a host of biases and preconceptions to guide their decisions about whether the evidence presented to them is reasonable. However, few theories address how such expectations affect legal decision-makers. The present study attempted to determine if social judgment theory (SJT) can explain how and when legal decision-makers rely on expectations for the complainant's psychological injury in a hostile environment sexual harassment case. Two experiments provided undergraduate participants with a written summary of a hostile work environment allegation that first manipulated participants' expectations about reasonable psychological injuries (mild v. severe), and then presented them with actual severity levels of psychological injury (ranging from minimal to extreme). Experiment 1 (N = 295) hypothesized and found that participants who expected severe injuries perceived a greater range of psychological injuries to be reasonable than participants expecting mild injury. Experiment 2 ( N = 202) used similar methodology and investigated whether perceived reasonableness for the injury allegations affected legal decisions. Experiment 2 hypothesized that participants expecting severe psychological injury should render more pro-complainant decisions than participants expecting mild psychological injury. This result should be most pronounced when participants receive a moderate injury allegation, since this allegation was perceived as reasonable by participants expecting severe injury, but unreasonable by participants expecting mild injury. Consistent with SJT, participants who received a moderate injury but expected a severe injury found more liability than participants who received a moderate injury but expected a mild injury. Inconsistent with SJT, participants' expectations did not affect their compensatory damage decisions. In fact, more severe injury allegations increased damage awards regardless of participants' expectations. Although the results provide mixed support for applying SJT to legal decisions in sexual harassment cases, they emphasize the continuing role of oft-unstudied extra-legal factors (juror's expectations and psychological injury severity) on legal decisions.

S Corporations Can Benefit Many Closely-Held Hospitality Firms

In his discussion - S Corporations Can Benefit Many Closely-Held Hospitality Firms - by John M. Tarras, Assistant Professor, School of Hotel, Restaurant & Institutional Management at Michigan State University, Assistant Professor Tarras initially offers: “Organization as an S corporation has many advantages for hospitality firms since passage of the Tax Reform Act of 1986. The author discusses those advantages and lists the disadvantages as well.” In the opening paragraphs Tarras alludes to the relationship between hospitality firms, S corporations, and the Tax Reform Act of 1986, and then defines what an S corporation is. “An S corporation is a form of business entity that combines many of the tax advantages of partnerships with the legal attributes of a corporation, including limited liability for its shareholders. Its name is obtained from a subchapter of the Internal Revenue Code. Except for tax purposes, the S corporation is treated in the same manner as any regular corporation. Like a partnership, income and losses for an S corporation are generally passed through directly to shareholders for inclusion on their individual returns. An S corporation thus avoids the double tax problem facing regular corporations.” There are certain criteria to be met and caveats to be avoided in qualifying for S corporation status. Tarras lists and cites these for you. “Due to the complicated nature of S corporations, the election may be inadvertently terminated if the eligibility requirements are violated,” Tarras expands and cites. As the article suggests at the outset, there are advantages and disadvantages to S corporation status; the author outlines some examples for you. “Traditionally, the S corporation has been used by hospitality firms wishing to avoid the "double tax" problem of a regular corporation,” Tarras informs you. “Regular corporations are taxed once at the corporate level, and again at the shareholder level when income is distributed to shareholders in the form of dividends.” Tarras advises you as to why an S corporation is an advantage in this situation. “Since the S corporation generally is not subject to any corporate taxes, it generally makes no difference whether distributions to shareholders of S corporations are characterized as compensation or dividends,” thus the double tax is avoided. This is just one such positive illustration. Assistant Professor Tarras wants you to know: “Perhaps the most important reason to consider the S corporation has to do with the downward revision of tax rates for both individuals and corporations.” He highlights a case study for you. Some of the disadvantages of S corporation affiliation are the caveats alluded to earlier. They include, “the limitation of an S corporation of 35 shareholders,” Tarras cites. “Also, there are limits as to who may own stock in an S corporation.” These are but two of the limitations of an S corporation. Tarras closes with a further glimpse of the down-sides of an S corporation.

The IRS Collection Division: Contacts and Settlements

In his study -The IRS Collection Division: Contacts and Settlements - by John M. Tarras, Assistant Professor School of Hotel, Restaurant and Institutional Management, Michigan State University, Tarras initially states: “The collection division of the internal revenue service is often the point of contact for many hospitality businesses. The author describes how the division operates, what the hospitality firm can expect when contacted by it, and what types of strategies firms might find helpful when negotiating a settlement with the IRS.” The author will have you know that even though most chance meetings with the IRS Collection Division are due to unfortunate tax payment circumstances, there are actually more benign reasons for close encounters of the IRS kind. This does not mean, however, that brushes with the IRS Collection Division will end on an ever friendlier note. “…the Tax Reform Act of 1986 with its added complexity will cause some hospitality firms to inadvertently fail to make proper payments on a timely basis,” Tarras affords in illustrating a perhaps less pugnacious side of IRS relations. Should a hospitality business owner represent himself/herself before the IRS? Never, says Tarras. “Too many taxpayers ruin their chances of a fair settlement by making what to them seem innocent remarks, but ones that turn out to be far different,” warns Professor Tarras. Tarras makes the distinction between IRS the Collection Division, and IRS the Audit Division. “While the Audit Division is interested in how the tax liability arose, the Collection Division is generally only interested in collecting the liability,” he informs you. Either sounds firmly in hostile territory. They don’t bluff. Tarras does want you to know that when the IRS threatens to levy on the assets of a hospitality business, they will do so. Those assets may extend to personal and real property as well, he says. The levy action is generally the final resort in an IRS collection effort. Professor Tarras explains the lien process and the due process attached to that IRS collection tactic. “The IRS can also levy a hospitality firm owner's wages. In this case, it is important to realize that you are allowed to exempt from levy $75 per week, along with $25 per week for each of your dependents (unless your spouse works),” Professor Tarras says with the appropriate citation. What are the options available to the hospitality business owner who finds himself on the wrong side of the IRS Collection Division? Negotiate in good faith says Professor Tarras. “In many cases, a visit to the IRS office will greatly reduce the chances that a simple problem will turn into a major one,” Tarras advises. He dedicates the last pages of the discussion to negotiation strategies.