American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Understanding the Soft Budget Constraint JánosKornai EricMaskin GérardRoland 1095 1136 We propose a clarification of the notion of a soft budget constraint, a concept widely used in the analysis of socialist, transitional, and market economies. Our interpretation is broad enough to embrace most existing approaches to soft budget constraint phenomena and provides a classification of their causes and consequences. In light of this interpretation, we then review the theoretical literature on the subject and compare it with those on other dynamic commitment problems in economics. http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=1&issue_date=December 2003 10.1257/002205103771799999 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article The Economic Design of Sporting Contests StefanSzymanski 1137 1187 This paper reviews the literature on commercial sport through the lens of the economic theory of contests/tournaments. It seeks to draw together research on incentives in individualistic sports such as golf and footraces with the research on uncertainty of outcome and competitive balance in team sports such as baseball and soccer. The contest framework is used to analyze issues such as the optimal distribution of prizes, the impact of revenue sharing, salary caps, draft rules, and a variety of other restraints commonly employed in sports leagues. The paper draws heavily on a comparative analysis of contest organization, in particular between North America and Europe. http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=2&issue_date=December 2003 10.1257/002205103771800004 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Which Is the Fairest One of All? A Positive Analysis of Justice Theories JamesKonow 1188 1239 This paper evaluates numerous positive and normative theories of justice in positive terms, i.e., in terms of how accurately they describe the impartial fairness preferences of real people. In addition, the paper proposes and defends an integrated justice theory based on preferences over four distinct and sometimes conflicting forces. These forces frame the analysis of the individual theories and inspire four corresponding theoretical classes: equality and need, utilitarianism and welfare economics, equity and desert, and context. This synthesis enables one to treat justice rigorously and to reconcile results that often appear contradictory or at odds with alternative theories. http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=3&issue_date=December 2003 10.1257/002205103771800013 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Sraffa, Wittgenstein, and Gramsci AmartyaSen 1240 1255 Two distinct but interrelated issues are investigated here. The first concerns Sraffa's critical role in contemporary philosophy through his pivotal influence on Wittgenstein. The intellectual origins of this profound influence can be traced to the philosophical interests of the activist political circle in Italy (clustered around the journal L'Ordine Nuovo) to which both Sraffa and Antonio Gramsci belonged. The second inquiry concerns the influence of Sraffa's philosophical views on his economics. Sraffa's economic contributions can be much better understood by paying attention to the way Sraffa changed the nature of the questions asked, rather than seeking different answers to already established questions. http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=4&issue_date=December 2003 10.1257/002205103771800022 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Meltzer's History of the Federal Reserve DavidLaidler 1256 1271 This review argues that Allan Meltzer's account of the Federal Reserve between 1913 and 1951 complements Friedman and Schwartz's in their Monetary History. Meltzer emphasizes policy making within the system, rather than the evolution of the money supply and its effects on the economy. He stresses the uncertainty of the Fed's independence before the 1951 Accord, and the effects of economic ideas, notably the real bills and Riefler-Burgess doctrines, on policy. Many virtues in the book are noted, and one weakness, namely a failure to explain why inadequate ideas became dominant within the Fed when sounder alternatives were available in contemporary monetary thought. http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=5&issue_date=December 2003 10.1257/002205103771800031 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Book Reviews 1272 1332 http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=6&issue_date=December 2003 10.1257/002205103771800040 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Annotated Listing of New Books 1333 1448 http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=7&issue_date=December 2003 10.1257/002205103771800059 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article JEL Classification System 1449 1460 http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=8&issue_date=December 2003 10.1257/002205103771800068 American Economic Association Nashville, TN 0022-8282 Journal of Economic Literature http://www.aeaweb.org/journal.html 41 4 December 2003 http://www.aeaweb.org/articles/issue_detail.php?journal=JEL&volume=41&issue=4&issue_date=December 2003 Journal Article Doctoral Dissertations in Economics 1461 1483 http://www.aeaweb.org/articles/article_detail.php?journal=JEL&volume=41&issue=4&article=9&issue_date=December 2003 10.1257/002205103771800077