1603 : multiple monarchy and Scottish identity

Early modern geopolitics were largely driven by dynastic imperatives – births, marriages and deaths among Europe's royal families – and this article approaches the union of 1603 from the perspective of J. H. Elliott's A Europe of Composite Monarchies . Thus, it explores how Scots perceived their place within this new dynastic empire and the hopes and fears their new relationship with England engendered. It begins, however, by examining the baptism in 1594 of James VI's son and heir, Prince Henry, and the clear dynastic message that the Scottish king was sending to his future English subjects. It then turns to the ways in which the Scots sought to celebrate the king's accession to the English and Irish thrones in 1603, ways that deliberately legitimised their belief that the union should be perceived as one of equals. It then examines four tracts written at the time of the union by the Scottish lawyer and legal scholar Thomas Craig of Riccarton that reveal both the aspirations and anxieties that the union generated in Scotland. Overall, it argues that Scots were both deeply sceptical of the king's plans for ‘complete’ union and deeply hostile to prevailing English assumptions of superiority. Rather they saw it as a union of equals with profound implications for the future stability of the new Stewart imperium.Publisher PDFPeer reviewe

How Much Do Taxes Discourage Incorporation.

One of the most basic distortions created by the double taxation of corporate income is the disincentive to incorporate. In this paper, we investigate the extent to which the aggregate allocation of assets and taxable income in the U.S. between corporate vs. noncorporate forms of organization during the period 1959-86 has responded to the size of the tax distortion discouraging firms from incorporating. In theory, profitable firms should shift out of the corporate sector when the tax distortion to incorporating is larger, and conversely for firms with tax losses. Our empirical results provide strong support for these theoretical forecasts, and hold consistently across a wide variety of specifications and measures of the tax variables. Measured effects are small, however, throwing doubt on the economic importance of tax-induced changes in organizational form.

Why Is There Corporate Taxation In a Small Open Economy? The Role of Transfer Pricing and Income Shifting

Several recent papers argue that corporate income taxes should not be used by small, open economies. With capital mobility, the burden of the tax falls on fixed factors (e.g., labor), and the tax system is more efficient if labor is taxed directly. However, corporate taxes not only exist but rates are roughly comparable with the top personal tax rates. Past models also forecast that multinationals should not invest in countries with low corporate tax rates, since the surtax they owe when profits are repatriated puts them at a competitive disadvantage. Yet such foreign direct investment is substantial. We suggest that the resolution of these puzzles may be found in the role of income shifting, both domestic (between the personal and corporate tax bases) and cross-border (through transfer pricing). Countries need cash-flow corporate taxes as a backstop to labor taxes to discourage individuals from converting their labor income into otherwise untaxed corporate income. We explore how these taxes can best be modified to deal as well with cross-border shifting.

Effects of the Tax Reform Act of 1986 on Corporate Financial Policy and Organizational Form

We examine the effects of the Tax Reform Act of 1986 on the financial decisions made by firms. We review the theory and empirical predictions of prior literature for corporate debt policy, for dividend and equity repurchase payouts to shareholders, and for the choice of organizational form. We then compare the predictions to post-1986 experience. The change in debt/value ratios has been substantially smaller than expected. Dividend payouts increased as predicted, but stock repurchases increased even more rapidly which was unexpected and is difficult to understand. Based on very scant data, it appears that some activities have shuffled among organizational forms; in particular, loss activities may have been moved into corporate form where they are deducted at a higher tax rate, while gain activities may have shifted towards noncorporate form, to be taxed at the lower personal rates. In addition, several interesting new issues are raised. One concerns previously neglected implications for the effective tax on retained earnings that follow from optimal trading strategies when long- and short-term capital gains are taxed at different rates. Also, new interest allocation rules for multinational corporations provide a substantial incentive for many firms to shift their borrowing abroad.

A marketing mix model for a complex and turbulant environment

Purpose: This paper is based on the proposition that the choice of marketing tactics is determined, or at least significantly influenced, by the nature of the company’s external environment. It aims to illustrate the type of marketing mix tactics that are suggested for a complex and turbulent environment when marketing and the environment are viewed through a chaos and complexity theory lens. Design/Methodology/Approach: Since chaos and complexity theories are proposed as a good means of understanding the dynamics of complex and turbulent markets, a comprehensive review and analysis of literature on the marketing mix and marketing tactics from a chaos and complexity viewpoint was conducted. From this literature review, a marketing mix model was conceptualised. Findings: A marketing mix model considered appropriate for success in complex and turbulent environments was developed. In such environments, the literature suggests destabilising marketing activities are more effective, whereas stabilising type activities are more effective in simple, stable environments. Therefore the model proposes predominantly destabilising type tactics as appropriate for a complex and turbulent environment such as is currently being experienced in South Africa. Implications: This paper is of benefit to marketers by emphasising a new way to consider the future marketing activities of their companies. How this model can assist marketers and suggestions for research to develop and apply this model are provided. It is hoped that the model suggested will form the basis of empirical research to test its applicability in the turbulent South African environment. Originality/Value: Since businesses and markets are complex adaptive systems, using complexity theory to understand how to cope in complex, turbulent environments is necessary, but has not been widely researched. In fact, most chaos and complexity theory work in marketing has concentrated on marketing strategy, with little emphasis on individual tactics and even less on the marketing mix as a whole. Therefore, this paper can be viewed as an important foundation for a new stream of research using chaos and complexity theory to better understand marketing mixes and the choice of marketing tactics for complex and turbulent business environments

Marketing Communications and Environmental Turbulence: A Complexity Theory View

This paper investigates how the choice of different marketing communications activities is influenced by the nature of the company’s external environment, when viewing the environment through a complexity theory lens. A qualitative, case method, using depth interviews, investigated the marketing communications activities in four companies in order to identify the promotional activities adopted in more successful firms in turbulent and stable environments. The results showed that the more successful company, in a turbulent market, subtly uses some destabilizing promotional activities but also makes use of some stabilizing promotional activities. This paper is of benefit by emphasizing a new way to consider promotional activities in companies

Price Tactics For A Turbulent Environment: A Complexity Theory View

This paper proposes that pricing tactics are influenced by the nature of the external environment. It illustrates the pricing tactics suggested for a turbulent, versus a stable, environment, when viewed through a complexity theory lens. A qualitative, case method, using depth interviews, investigated the pricing tactics in four firms to identify the tactics adopted in more successful, versus less successful, firms in turbulent versus stable environments. The results partially confirmed that the use of destabilizing pricing tactics can be helpful in a turbulent market, while stabilizing tactics can be helpful in a stable market. However, the effect of such tactics on business performance was not clear. These findings will benefit marketers by emphasizing a new way to consider future pricing activities. How this approach can assist marketers, and suggestions for further research, are provided. Since businesses and markets are complex adaptive systems, using complexity theory to understand how to cope in turbulent environments is necessary but has not been widely researched. Therefore, this paper can be seen as a foundation for research using complexity theory to better understand pricing tactics in turbulent environments