Although fuel wood still supplied 70 per cent of the total energy requirements of the United States in 1900, a marketing mechanism for the millions of cords consumed each year is not evident. Professor Cole concludes that no other commodity of such importance had such little effect on distributive institutions.

The determinants of prices of common stocks have been studied extensively by both academicians and practitioners. Differences in points of view between these two groups are evident in their corresponding interpretations of market behavior, which is represented by the assumedly contradictory random walk and intrinsic value “hypotheses.”

In recent years, large commercial banks in the United States have turned to so-called “liability management” as a way to acquire additional funds. The use of Certificates of Deposit (CD's), Eurodollar balances, debentures, and recently the issuing of commercial paper through their holding companies represent an extension of the more traditional secondary reserve asset management approach to bank liquidity and reserve adjustment.

This paper describes ways in which computers can be used to help teach elementary college economics. Most of the methods can be implemented with present-day equipment; the rest will prove feasible within a few years. Examples given here are not intended to provide a full or even a representative menu for a beginning course; they simply illustrate some of the more interesting possibilities.

This paper is concerned with the validity of the conventional t tests on regression coefficients when there is serious multicollinearity between the explanatory variables. It is well known that increasing multicollinearity causes the true standard errors of regression coefficients to rise. The crucial question, however, is whether the conventional formulas will in practice reflect this rise. The purpose of this note is to show that the conventional t tests will in practice reflect this rise. But this note also points out the danger involved in mechanically dropping variables from multiple regression equations by t tests because t values of the regression coefficients may not be significantly different from zero when the true (population) values of these coefficients are in fact not zero, if the explanatory variables are highly intercorrelated.

Stocks differ in the variability of their prices; thus, as the level of stock market prices swings periodically, one observes a change in structure as the prices of more volatile issues change relative to those of a more stable character. Here we attempt to empirically establish some of the differentiating characteristics of these volatile issues. In doing so we add to the empirical and analytical work of Fritzemeier [4], Clendenin [2], Latané [7], Malkiel [8], and Heins and Allison [6]. Only the last of these efforts used regression techniques.

In a recent article, Professors Robichek and Van Horne have noted the importance of considering abandonment in the capital budgeting process. The basic point of their paper is that:

… a project should be abandoned at that point in time when its abandonment value exceeds the net-present value of the subsequent expected future cash flows discounted at the cost-of-capital rate.

A great deal of interest has been expressed by economists and policy-makers concerning the adequacy of the financing of small and, especially, new firms. This paper presents an empirical study of the adequacy of one particular source of funds—outside equity.