Journal Article Chamberlin versus Chicago Get access G. C. Archibald G. C. Archibald London Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 29, Issue 1, October 1961, Pages 2–28, https://doi.org/10.2307/2296178 Published: 01 October 1961
Journal Article An Economic Justification of Protectionism: Comment Get access Anthony Y. C. Koo Anthony Y. C. Koo Michigan State University Search for other works by this author on: Oxford Academic Google Scholar The Quarterly Journal of Economics, Volume 75, Issue 1, February 1961, Pages 133–144, https://doi.org/10.2307/1883209 Published: 01 February 1961
The Review of Economics and Statistics196143(3), 269
CCORDING to a recent estimate by the A Department of Commerce, the United States direct foreign investments are in excess of $22 billion and are expanding at a record rate. How much do we know about the impact of United States enterprises abroad on the host countries, and what is their economic contribution in particular? Aside from a few isolated case studies,' our knowledge is extremely limited. This is perhaps because direct foreign investment is of relatively recent origin. On the basis of total investment made by Britain during the nineteenth century, bonds and preferred stocks comprised indeed no less than three-quarters of the outstanding total in I9I3 2 As a result, there is a lack of concensus among economists of what constitutes economic contribution, let alone an acceptable measure of it. It is argued that direct foreign investment exerts an impact on almost every aspect of life in the recipient country.3 Measurement in some cases is extremely difficult if not impossible, and precise statistics which would illustrate the relationships are in general not available. For example, some foreign enterprises contribute to the opening of new frontiers, resource discovery, and creation of social capital in the form of road building, provision of public utility services, etc., and most of the foreign manufacturing operations engage in the training of skilled and semi-skilled workers. In this way, the foreign establishments, consciously or not, have created an ever-growing supply of many of the modern skills which are indispensable to the economic and social progress of the host countries. stimulation of more private investment within less developed countries is intimately related to the development of a spirit of enterprise among the natives themselves. Here again, the foreign companies can make an important contribution. They provide living examples of the material rewards of private enterprise and its importance to the community, and they also familiarize the natives with modern business attitudes and activities and disseminate the necessary managerial know-how. In short, such direct foreign operations give the wage and market economy its decisive start, with an attendant loosening of the bonds of the static self-sufficient agrarian societies. benefits presented above are undoubtedly valid. broad social and economic consequences of transformation should not be passed over lightly. But the nature of these impacts is generally regarded as belonging to the long-term effects of an industrialization process. In short-run analysis, economists customarily confine themselves to the immediate impact of investment in terms of changes in production, employment, and income. In this respect, the statistical survey conducted by the Department of Commerce on the various phases of United States business operations in Latin America is worthy of attention, because the survey provides, for the first time, data on production, income, and capital accumulation in this area.4 However, comprehensive as the data are, with figures classified by industry and by country, there is no criterion in the survey by which we can arrive at an over-all evaluation of the relative contributions by United States operations in different industrial groups and/or countries. purpose of this paper is to utilize the data in the survey in such a way as to make a composite ranking possible. In attempting to do this, we shall first sort out the data in accordance with four criteria which we shall lay down I See six case studies on U.S. business performance abroad published by the National Planning Association. They are Sears, Roebuck de Mexico, Casa Grace in Peru, Philippine American Life Ins. Co., Creole Petroleum Corporation in Venezuela, Firestone Operations in Liberia, and Stanvac in Indonesia. 2R. Nurkse, The Problem of International Investment Today in the Light of Nineteenth-Century Experience, Economic Journal, LXIV (December I954), 744-58. 8For a more detailed listing of possible principal benefits of foreign direct investment to the host country, see the policy statement of the National Planning Association in its series of case studies referred to above. ' U.S. Investm6nt in Latin America (I957).
Abstract American Accounting Association and its predecessor organization, The American Association of University Instructors in Accounting, have had as a primary objective the encouragement and promotion of research in accounting. On December 28, 1935, the regular business meeting of the twentieth annual convention of the American Association of University Instructors in Accounting was adjourned and the assembled members immediately reconvened in a business meeting and the members were shifted from the old organization to the new. The only changes that had been effected were the change of name and the adoption of a new set of By-Laws. The chief activities of the new Association were listed in the By-Laws as "publications and research." The first of the stated objectives of the Association was phrased thus: "To encourage and sponsor research in accounting and to publish or aid in the publication of the results of research."The means by which the American Accounting Association expected to encourage intensive research on accounting subjects was never fully faced. The Executive Committee did suggest a substantial, but very general, list of topics on which it was felt study was needed. It is quite evident that the master's and doctoral programs in accounting were looked upon as a source of research talent and effort which was readily available in quantity.
Abstract Although social implications may exist, businesses are formed primarily in response to ownership conviction that profits can be obtained from operation. In order to measure operating results, to gauge the effectiveness of management and to estimate the vitality of the owners' investment, detailed knowledge of past performance is essential. Subsequent investors and creditors need to know past performance to estimate profit making potential. Accountants in public practice may well be facilitating the administration of economic activity by making themselves available for management services. Someone however, ought to be able to compute profitability for the owners and to tell them what net return for a given period of time has been enjoyed on their investment. Economists follow the principle that costs should be related to revenues on the same price level basis and that the income in one period should be compared with the income in another period on the same price-level basis. Determination of net income is certainly one of the important functions of the accountants.
Abstract This article focuses on some of the problems facing the accounting society and suggests what the profession of accounting can do toward their future solutions. The problems are summarized as--To induce, rather than to force, business management and union labor to reach collective bargaining agreements, to save out of the flow of consumer purchasing power and corporate earnings, enough to equip with adequate tools and other capital assets, to achieve a more adequate understanding on the part of many more persons of the nature and workings of monetary system in its relationship to international and domestic commodity prices, wage rates, volume of business, volume of savings and levels of interest rates. To make progress towards something, that is a paradox and may turn out to be an impossibility. According to the author, accountants can and must play a leading role in disseminating the necessary information and knowledge and the extent to which Accountancy contributes to the necessary solution of these problems will determine the brilliance of its future.