ALBERT

Notes: The paper describes an experiment using three different methods for the production of control for topographic mapping from super-wide angle photography. The result showed that aerial triangulation by independent models observed on a Wild A9 would show economic advantages in cartographic effort required, control requirements, and accuracy attained in contouring. The experiment also indicated that great benefit in heighting accuracy is derived from the addition of tie strips flown at right angles to the main photographic cover at a suitable interval and that heights supplied by airborne profile recorder are not sufficiently accurate to be economically advantageous where close interval contours are a requirement.

Notes: The colour photograph requirements of the photogrammetrist and the photo-interpreter are not always compatible. The author puts forward suggestions for improving the quality and reducing the cost of photography for interpretation purposes, based on the use of 70 mm film cameras. He found supporting evidence for this point of view during his visit to the United States as the result of the award of a Winston Churchill Fellowship in 1969.

Notes: Book reviews in this article:INTRODUCTION TO THE ALGEBRA OF MATRICES WITH SOME APPLICATIONS. By E. H. Thompson.BIBLIOGRAPHIE DES SCHRIFTTUMS AUF DEM GEBIET DER FORSTLICHEN LUFTBILDAUSWERTUNG 1887–1968. By G. Hildebrandt.INFRARED SYSTEM ENGINEERING. By R. D. Hudson.ELEMENTARY SURVEYING. By R. C. Brinker.REFERENCE GUIDE OUTLINE: SPECIFICATIONS FOR AERIAL SURVEYS AND MAPPING BY PHOTOGRAMMETRIC METHODS FOR HIGHWAYS.INTERNATIONAL YEARBOOK OF CARTOGRAPHY (VOL. VIII, 1968). Editor K. Frenzel.MODERN MAPS AND ATLASES. By C. B. M. LOCK.USE OF STRIPS CONNECTED TO BLOCKS FOR LARGE SCALE MAPPING. Results of Experimental Research Organized by Commission B of the O.E.E.P.E. from 1959 to 1966. By M. Cunietti.PRINCIPLES OF HOLOGRAPHY. By H. M. Smith.LA PHOTOGRAMMÉTRIE DES PLANS TOPOGRAPHIQUES ET PARCEL-LAIRES. By B. DUBUISSON.

Notes: The paper describes work undertaken in North Wales in 1967 and 1968 in which panchromatic and colour air photographs were used in the mapping of vegetation and in the study of other ground surface features. The problems of relating a priori classification schemes to the categories distinguished by air photo-interpretation are discussed and the case stated for developing classifications which enable more benefit to be derived from the advantages of air photo-ecology.

Notes: In recent years interest has been increasing in the use of measurements from single photographs for analytical work. A monocular instrument based on the theodolite is described, together with preliminary test results.

Notes: In attempting to assess the possibilities of mapping from earth satellites, various factors which do not occur with aerial photography must be considered. The orbital characteristics of satellites are discussed from the point of view of their effects on photographic scale and coverage and the problems of taking and retrieving photography from satellites are outlined. An evaluation of the possibilities and limitations of mapping from both single and stereoscopic television pictures and normal frame photography is made and the tentative conclusion reached that topographic mapping from earth satellite photography may only be considered seriously for the scales 1 : 250 000 to 1 : 1 000 000 and for a minimum contour interval of 100 m. The economy of this very small-scale mapping is at present very doubtful in view of the current costs of building and launching a suitable satellite. Any extensive programme of satellite photography for mapping purposes could pose some difficult legal and political problems if the photography was made freely available.

Notes: Edinburgh Castle is an ancient monument situated on a basalt crag which has steep cliffs falling away on three of its sides. Periodically, remedial measures have to be carried out on these cliffs by engineering geologists in order to stabilise loosened parts of the surface and thus prevent rock falls occurring. The rock structure on the sheer north-facing cliff is currently being studied to determine the extent of work required to ensure its stability. Before such a study could proceed satisfactorily it was necessary to obtain a large scale, contoured survey of the face and this has been achieved by terrestrial photogrammetric methods. Stereoscopic photography was taken with a Wild RC5A wide angle camera pointing horizontally, being specially mounted on its side in the elevated bucket of a Simon hydraulic platform, positioned 17 metres above ground level at a distance of 100 metres from the rock face and at eight successive locations in West Princes Street Gardens. The elevation was plotted with a Zeiss Stereoplanigraph C8 at a scale of 1 : 50 with contours (with respect to a vertical datum) at horizontal intervals of 250 mm.

Notes: Photogrammetry at close ranges can be applied to solve a great number of interesting and important non-topographical problems. The author presents and illustrates a dozen examples taken from the fields of engineering and architecture, most of them involving work performed in his laboratory. In order to introduce modern photogrammetry to the engineer's working methods, it must, as far as possible, be made independent of the existence of surveying cameras. Three different, well-tried types of simple camera are illustrated. If precise and reliable results are desired, three requirements must be fulfilled: careful calibration of the camera, a sufficient number of control points and, as a rule, a medium-sized computer to enable a numerical treatment of the problems.

Notes: The paper considers the experimental comparison of a method of aerial triangulation in previous experimental use by Eden and the standard Ordnance Survey method using stereocomparators. The accuracy of plan fixations was high by both methods, with Eden's method providing the better result. A comparison is made of the times taken under experimental conditions for both methods.

Notes: The paper discusses aspects of air photography and electronic processes which produce imagery by infra-red radiation and by radar waves. After preliminary comments on lenses, laboratory techniques and colour photography, the author indicates certain advantages in simultaneous photography using black and white, infra-red and colour films. Moreover, information is given on simultaneous photography by satellite and the paper terminates with a resume of methods that are used to obtain imagery by infra-red radiation and by radar.

Notes: The results are given of a series of tests where a stereoscope, parallax bar, and digital computer were used to derive accurate heights of a large number of points in several models. After suitable modifications of the standard formula, the conclusion is reached that results approaching those obtained with plotting machines are possible, provided that the observer has sufficient experience of stereoscopic measurement.

Notes: The Technical Meeting of the Society, held on 16th December, 1969, took the form of a discussion between members of the Society, the Royal Institution of Chartered Surveyors and the Institution of Highway Engineers. Several topics of importance to surveying and highway design were considered, including the questions of accuracy, the use of Ordnance Survey maps, checking, height information, specifications and the communication of new ideas and information to engineers, surveyors and photogrammetrists working in this field.

Notes: The heights of buildings in the city centre of Glasgow have been measured by photogrammetric methods. A comparison of the heighting accuracy with ground checks obtained by the use of a reducing telemeter indicates the possibilities of achieving accurate results by means of photogrammetric instruments and methods. An attempt to present the third dimension of the city on paper has also been made with the Stereosimplex He and the Perspektomat coupled together to form a drawing system. It is hoped that this approach can be further developed so that it will be of use to town planners, urban geographers and others with an interest in the rapid collection of accurate data about cities.

Notes: Book reviews in this article:PHOENIX NI 12-7 EXPERIMENTAL 1 : 250000 SCALE SPACE PHOTOMAPS.PHOTOMAP TECHNIQUES.NEW HORIZONS IN COLOR AERIAL PHOTOGRAPHY.SIMPLE PHOTOGRAMMETRY. By J. C. C. Williams.REMOTE SENSING WITH SPECIAL REFERENCE TO AGRICULTURE AND FORESTRY.PHOTOMICROGRAPHY. A COMPREHENSIVE TREATISE. By R. P. Loveland.INTERNATIONAL YEARBOOK OF CARTOGRAPHY (VOL. IX, 1969, and VOL. X, 1970). Editor K. FrenzelPROCEEDINGS OF THE ITC POST-CONGRESS SEMINAR. Editors J. Kure and D. A. Tait.A PROCEDURE FOR ANALYTICAL BLOCK TRIANGULATION. By K. Kubik.A COMPUTER PROGRAMME FOR ANALYTICAL BLOCK TRIANGULATION. By K. Kubik, B. Kunji and J. Kure.CALCULATION OF ORTHOGONAL MATRICES. By M. Tienstra.OPTICAL FUNDAMENTALS OF UNDERWATER PHOTOGRAPHY. By G. T. McNeil.

Notes: There appears to be some confusion as to the behaviour of false colour film when used for photo-interpretation in forestry studies. The authors, working in Australia, call for a critical examination of the value of this film type. Their plea has prompted a statement, based on European experience, which forms the second section of the paper.

Notes: The role of photo-interpretation in topographic map production is examined in an attempt to show how this phase of the work influences the total procedure. The advantages of a separate photo-interpretation phase are explained.

Notes: The present article deals systematically with the objections against the traditional manpower-approach. The result thereof is a catalogue of variably urgent research aims. The wide-spread pessimism concerning the possibilities of methodically extending the manpower-approach thereby turns out to be at least premature. The traditional manpower-approach is very inflexible. It is based on the assumption of a predetermined expansion of final demand and labour productivity and takes coefficients as fixed. This means among other things that political decisions —like determining the teacher/pupil-ratio or the share of research workers among total personnel—cannot be changed. In the article is outlined how to overcome these shortcomings. Allowing for decision margins in dividing up the labour force between the production of consumption- and capital-goods and between education and research poses difficult theoretical and statistical problems; but it does not fundamentally make impossible the application of the manpower-approach.

Notes: Some federal structures are and have been stable for relatively long periods; others, though apparently stable, are chronically subject to important strains, while others still are either unstable or have ceased to exist as federal entities. In the paper, I develop a limited model of federalism, built on the number and properties of public goods, which appears to account for some of the observable stability features of federal structure. Essentially, the model assumes that when individuals in one jurisdiction do not only passively receive spillovers from other jurisdictions, but react and adjust to them, possibilities of conflict exist which can only be resolved by the creation of the appropriate machinery. It is shown how a change in the number of public goods can affect the outcome.

Notes: In recent years U. S. foreign appropriations have featured annual reductions which the authors feel reveal what is expected to be a discernible trend for the next few years and a very real manifestation of a newly-expressed disinterest in foreign aid. The reasoning underlying this altered attitude toward foreign aid is examined in relation to the U. S. balance-of-payments, the domestic inflation problem, and private enterprise impetus. Many revisions have been made in the administration of foreign aid to insure a U. S. origin for the real resources imported by the aid receiving country. However, these failed to curb our balance-of-payments problems as well as failed to correct the severe lag in export volume. In an attempt to mitigate domestic inflation, reductions were made in foreign aid appropriations, and preliminary calculations again show this policy to have been ineffective. The most recent disinterest in foreign aid has been generated by those who examined possible alternatives to foreign aid, in particular, the emphasis on private enterprise assuming a more active aid-type role. In summary, the authors advise that this new disinterest has reached proportions sufficient to insure some definite changes in the modus operandi of foreign aid.

Notes: Recent studies have stressed that a foreign exchange constraint can be limiting the rate of output growth in many developing countries. On the basis of a simple constraints model the role of tariffs and related import substitution in relieving a foreign exchange constraint are analyzed. It is first argued that the assumptions necessary for a foreign exchange constraint to be limiting output growth require that the optimal government intervention is through non-uniform exchange rate adjustment implied by trade controls and multiple exchange rates. But, whereas the optimum government intervention is through the establishment of a structure of optimum tariffs and subsidies, such a policy is not feasible in light of data availability and administrative capacity in developing countries. The costs and benefits of a non-optimal intervention through controls are then explored and standards of minimum acceptability of developing countries’ trade policies are established against which actual policy can be compared. It is concluded that trade controls can be used to improve growth performance but only if a number of rigid conditions are met.

Notes: This article analyzes the exchange speculation in the French franc when the exchange rate was floating in the 1920's to determine both whether speculation was stabilizing or destabilizing, the relationships between speculation and domestic inflation. Speculative behavior is analyzed by comparing changes in the spot rate with changes in the forward rate (adjusted for changes in the money market-interest differential). The impact of speculation on the price level is analyzed by measuring the terms-of-trade effect, the decrease in export prices necessary to generate increased net exports, and the absorption effect, the increase in the current account balance necessary to finance the capital outflow.The comparison of changes in the spot rate and forward exchange rate lead to the conclusion that speculation was destabilizing during much of the 1924-26 period. Only a relative small part of the observed price increases during this period appeared as a result of the terms-of-trade and the absorption effects. However, during the period when speculation was destabilizing, the economy was becoming less liquid; the demand for money was falling. This reduction is attributed to a reaction to speculation against the franc. Both the reduction in demand for money and the speculation against the franc could be attributed to some other factors, especially to political instability. Since the exchange rate depreciated much more rapidly than domestic prices increased, it is concluded that speculation was a trigger rather than a response.

Notes: This study provides evidence on the causes of per capita output differences between the United States on the one hand and Britain and Germany on the other. By assuming first-degree homogeneous production functions and using capital data, we find that more than half of such differences were due to capital endowment and the remainder to resource effectiveness in the U. S. -German comparison. In the U. S. -British case resource effectiveness was the main cause. Of at least equal interest was the difference from one industry to another in productivity ratios. This fact casts some doubt on the factor-endowment explanation for international trade, at least so far as manufactures arc concerned. Level of technology, organization, and scale may be causes at least as important for trade in industrial products.Elasticities of substitution between labor and capital were calculated and they were found to be quite small. These were used to check whether actual factor-rental ratios were safely within a range where intensity reversals would not take place for substantial further rental changes. This proved indeed to be the case. A tentative conclusion is therefore that the Heckscher-Ohlin explanation of trade is not called into question so much by shifting of relative factor-intensities as by large domestic inter-industry differences of efficiency.

Notes: Books reviewed in this articleArrow, Kenneth J., and Scitovsky, Tibor (Eds.): Readings in Welfare Economics.Beckmann, Martin J. : Dynamic Programming of Economic Decisions.Berking, Klaus: Arbeitspotential und Wirtschaftswachstum.Borch, Karl: The Economics of Uncertainty.BrÄker, Hans: Multilateral Hilfeleistung für Entwicklungsländer.Brown, Alan A., and Neuberger, Egon (Eds.): International Trade and Central Planning.BÜlow, Friedrich, und Langen, Heinz : Wörterbuch der Wirtschaft.Clauss, Franz Joachim: Konjunktur und Neoklassik.Eliasson, Gunnar : The Credit Market, Investment Planning and Monetary Policy.Enke, Stephen (Ed.): Defense Management.European Coordination Center for Research and Documentation in Social Sciences: Regional Disequilibria in Europe. Backward Areas in Industrialized Countries.Feiwel, George R. : New Economic Patterns in Czechoslovakia.Feuer, Lewis S. : The Conflict of Generations.Galatin, Malcolm: Economies of Scale and Technological Change in Thermal Power Generation.Gamarnikow, Michael : Economic Reforms in Eastern Europe.Goldsmith, Raymond W. : Financial Structure and Development.Granick, David : Soviet Metal-Fabricating and Economic Development—Practice versus Policy.Kahn, Harry C. : Employee Compensation under the Income Tax.Kendrigk, John W. (Ed.): The Industrial Composition of Income and Product.Kneese, Allen V., and Bower, Blair T. : Managing Water Quality: Economics, Technology, Institutions.Kolaja, Jiri : Social System and Time and Space.Krupp, Hans-JÜrgen : Theorie derpersonellen Einkommensverteilung.Kunz, Dieter: Preisniveau und Aussenhandel.Landes, David S. : The Unbound Prometheus: Technological Change and Industrial Development in Western Europe from 1750 to the Present.Luthe, Heinz Otto : Interpersonal Kommunikation und Beeinflussung.Mikesell, Raymond F. : The Economics of Foreign Aid.Mishan, E. J. : Welfare Economics: An Assessment.Monissen, Hans Georg : Konsum und Vermögen.Musgrave, Richard A. : Fiscal Systems.Quinet, E. : Séries temporelles et décisions économiques.SchrÖder, JÜrgen: Zur Theorie der Devisenmärkte.Schumann, Jochen: Input-Output-Analyse.Sherif, Muzafer, and Sherif, Carolyn W. (Eds.): Interdisciplinary Relationships in the Social Sciences.Stewart, I. G. (Ed.): Economic Development and Structural Change.Stiglitz, Joseph E., and Uzawa, Hirofumi (Eds.): Readings in the Modern Theory of Economic Growth.Turner, Carl B. : An Analysis of Soviet Views on John Maynard Keynes.Usher, Dan : The Price Mechanism and The Meaning of National Income Statistics.Veliz, Claudio (Ed.): Obstacles to Change in Latin America.

Notes: In this paper a simple macro-model of an open economy is presented in order to investigate the relationship between the trade balance and the interest rate. It is shown that under certain conditions the model generates a lag relationship between the two variables. This is consistent with the relationship which JÜrg Niehans found to exist between the Swiss trade balance and its interest rate.With interest-rate sensitive capital movements introduced into the model, fluctuations in the balance of payments can be greater or less than fluctuations in the balance of trade. It is interesting to note that in the case where an internal balance is maintained with a monetary policy fluctuations in the balance of payments are greater than in the case where an internal balance is maintained with a fiscal policy. This conclusion is consistent with Mundell's prescription for an optimal mix of monetary and fiscal policy.

Notes: In the ‘Economic Theory of Politics’ the model of pure democracy has the same importance as the model of perfect competition in economic theory. The author shows that both ‘ideal’ models use almost identical assumptions with respect to social actors (vote-, profit-, and utility-maximizers) and social states. Both guarantee a Pareto-optimal allocation of resources. In the equilibrium of a two party democracy the same programs are advanced and put into reality. It follows that in equilibrium (and only there) nobody votes. Extensions of the simple two-party model to include various parties and induced preferences of voters by the parties destroy some of the simple results: sometimes no equilibrium exists, it is unstable or does not conform to observations of reality. Finally, democracy's allocation with generally more equal distribution of income than through the price system, is destroyed when the declamatory assumption of ‘one man—one vote’ is given up and the inequality of political starting positions is taken account of.

Notes: In this paper the voting behaviour on public finance issues is examined. The authors presuppose that individuals do reveal their true preferences in referenda and that, therefore, it is possible to explain their underlying utility calculus. For this purpose different cost concepts are introduced: (1) private opportunity costs (benefits from alternative private expenditures), (2) public opportunity costs (benefits from alternative public expenditures), and (3) expected tax increases. Having analyzed theoretically the weight these different cost categories have in the utility calculus of the voters of different income classes, the determinants of the utility of public projects are examined. The results of this theoretical reasoning are tested empirically in the last part of the paper by using poll-data from the canton Basel-Stadt (Switzerland). On the whole the empirical tests confirm the derived hypotheses.

Notes: The essay discusses history and meaning of urbanity and compares it with terms derived from this idea which are used to denote town planning programmes of today. An analysis gives distinctive evidence to the fact that because of the cultural, economic, political and sociological changes of the last century there are no possibilities today for a revival of urban life in the historic sense of the word. Moreover, the development of German reconstruction and town and regional planning after 1945 in comparison with that of other industrialized countries shows—apart from the infeasibility to produce urbanity—that even the given possibilities for adequate city development have been wasted. This was due

Notes: This paper analyses the German private capital movements in the period 1955-69. For this period it cannot be said that the capital movements played an equilibrating role in the balance-of-payments: In eight of the fifteen years a current surplus was coupled with a capital inflow; in one year (1969) the capital outflow was twice as high as the current surplus. To these disequilibrating capital movements the following causes have contributed: (i) frequent conflicts between internal and external equilibrium in the conduct of monetary policy; (ii) the political impossibility of an adequate policy mix; (iii) in conflict situations priority was given to internal considerations; (iv) speculative movements anticipating a revaluation. Germany frequently succeeded in influencing domestic credit conditions in the desired direction despite of countervailing capital flows. In 1960 and 1969, when a domestic boom was coupled with a substantial current surplus, partial controls of capital movements were not successful and Germany had to revalue. A regression analysis for the period 1959-68 supports the hypothesis that the private capital balance is a negative function of the current balance and positively correlated with the interest differential between Germany and the Euro-dollar market.

Notes: Oscillation in demand, and sales irregularity, is not an uncommon phenomenon; it occurs in the restaurant trade, retail stores, holiday resorts, in the use of recreational facilities, etc. But the economic problem is usually discussed in the context of public utilities, especially in the demand for electric power where an independent peak and off-peak demand arises and different prices are charged.The varying prices are attributable ultimately to the presence of heavy capital costs and (relatively) unimportant variable costs. Further, as a precondition, it is essential that the user-costs of equipment be nearly nominal; otherwise there would be no point in using equipment to sell output at moments of low demand and low price.Given these conditions the peak-off-peak problem arises. Steiner, in a major article, distinguishes two cases: (1) a ‘shifting’ peak, and (2) a ‘firm’ peak. In the former case output is uniform at both ‘hours’ but price is different, according to his solution. In the ‘firm’ peak, price at the peak-hour covers the full capital costs; at the off-peak hour the price is zero and the capacity output is not fully absorbed.Steiner's solution for the ‘shifting’ peak is criticized for uniform output requires emergency stand-by capacity. This may render his price policy uneconomic.For the ‘firm-peak’, Steiner has rejected his own logic of uniform output by his intuitive refusal to accept a negative price. Nevertheless, his solution involves a ‘give-away’—meaning that output is handed over free to off-peak users.This ‘free-ride’ outcome is indefensible on equity grounds; it negates some basic relations in an economy based on private property.The proposal suggested here is that the proper pricing policy should seek to maximize the sum of peak plus off-peak output. In this solution both groups can benefit. As an important virtue in the public utility sector the policy is easy to explain. Further, if it is somewhat compromised on allocational grounds, it possesses important merits from an equity standpoint.

Notes: The disparities in international differences between wage rates and between the rates of return on capital cannot be fully explained by using the functional relationship between the wage/rental ratio and the capital/labor ratio. Nor can it be explained adequately by the differences in the degree of international mobility of the two factors. This paper presents an alternative explanation of the disparities. They are attributed to the fact that the output/labor ratios vary across countries much more widely than the output/capital ratios, which fact in turn may be explained by the typically greater degree of labor/capital substitutability toward the higher labor/capital end of the isoquants, and the international differences in the efficiency of production functions.

Notes: There are numerous devices which are used to affect individuals' consumptions of various goods—direct distributions of goods, vouchers, price-reductions, etc. This paper investigates the efficiency aspects of these devices. In a simple two-person model, it is shown that lumpsum transfers of a good whose consumption yields external benefits will lead to neither optimality nor equilibrium. But a price cut, an alteration of exchange ratios, can produce an optimal equilibrium. In a model in which there is one subsidy recipient and many benefactors, it is shown that in certain cases a transfer of the externality-generating good, of an equal amount of money, or of some other good will all produce the same effect in the individual's consumption of the externality-generating good. A price reduction on an ‘all-or-nothing’ subsidy scheme, in which the individual must pay a given amount for a given quality of the good or receive none at all, will lead to optimality. When there are many givers and many receivers, an efficient subsidy device will in general not be one which faces all individuals with the same conditions. Price reductions, all-or-nothing schemes, and legal standards are shown to be alternate ways of reaching optimality, differing mainly in the way in which they affect the distribution of real income.

Notes: The goals expressed in the Bundesraumordnungsgesetz (Federal Law for Spatial Order) are almost ‘Leerformeln’, too abstract to serve as an orientation for rational decisions in regional policy. Therefore the goals have to be made operational, and at the same time, the objects of regional policy, the criteria for their evaluation, and their quantitative regional aspects (categories of regions) have to be worked out within a consistent system. In the view of lacking preconditions for this task it is proposed to draw orientation from specific problems by fixing unwanted situations. Their summary within a catalogue of negative situations marks the goals of regional policy by their reciprocal values. This approach will incrementally lead towards a complete concept.

Notes: Since 1965 an underground-railway is built in Hannover. For this project a cost-benefit-analysis was established. The present article discusses those problems, which will emerge whenever such an analysis for public transport investments will be carried out. To begin with it is shown that under certain conditions concerning the distribution it is possible to justify pure efficiency analyses.The result of the calculation points out that the present value of the difference between all the recorded benefits and costs amounts to DM 287,400,000.-. The applied rate of discount is 6.5 per cent. The assumed economic life of the project is 50 years. The internal rate of return is 10.1 per cent. After the discussion of some problems of estimating the real costs of construction and operation, it is described how it was possible, to estimate the quantity of private transport, which will divert to the underground-railway after its opening. Furthermore a technique is given, which allows the conversion of the benefits according to the diverted and the generated traffic into time savings. Time-savings contribute 82 per cent to the total recorded benefits. An attempt was made, to justify the evaluation of those savings with average wage rates.

Notes: Recent discussions in the literature on tariffs and quotas generally conclude that under competitive market conditions the two policy measures are equivalent, while equivalence in one sense or another breaks down with the introduction of monopoly into one or more markets involved in international trade. This paper shows that this is a misleading conclusion, based entirely on the static nature of the analysis. With partial equilibrium tools it is shown that if changes in demand are allowed for, the two measures give different results. The welfare loss from a quota is more severe than that from a tariff. And under certain restricted conditions a quota can be likened more to exchange control than to a tariff.

Notes: Everywhere Man acts purposefully, undesired secondary effects can take place. In the first section of this article the problem is exposed giving examples out of nature and society, whereas in the second section its importance for the economic policy is argued on. Undesired secondary effects until now have been discussed along two lines: as practical cases in specific historical situations and as optimality rules for using policy means. In the third section W. A. JÖhr's rule—developped 1947—is derived mathematically supposing cardinal measurement of utility. A figure shows that with intensifying the application of a policy measure, four phases can be discriminated: absolute and relative underdose, and relative and absolute overdose. In the forth section some practical problems are discussed and therefrom a justification for the ‘piecemeal approach’ is derived.

Notes: Given the number and the sizes of business enterprises and their location on a homogeneous plain, the optimal city size from the perspective of the individual firm will be determined by demand and supply conditions. These conditions are in a static framework reduced to agglomeration economies and the cost of infrastructure and administrative urban services. As both vary with city sizes, each firm has to compare the relevant supply and demand prices at different levels and will find its optimal city size at the tangency point of the cost function of urban services with its isoprofit curve. As a next step, one has to find out how many firms have their optimum at each particular city size group. The assumption of a given number of competing firms has then to be relaxed. When the number of the firms settling in a city size group has been determined, it must be translated into population figures, so that it can be seen how many cities would be necessary to lodge all the firms for which the particular size group is optimal.In a second section, the optimal distribution in space is discussed for the cities whose optimal size has been determined. Among the various interactions between cities, the author concentrates on two factors which strengthen the viability and the growth potential of a city: common agglomeration economies enjoyed in the vicinity of a bigger center, and the existence of an economically strong hinterland. The combined effect of these two factors will result in a ‘pessimum distance’ from one center to another.In the last section the author discusses intra-city and inter-firm relationships. He shows the necessity of further research laying particular emphasis on the problems of intra-regional labor mobility, the degree of dispersion of economic activities in a metropolitan area and the costs of changing already existing structures.

Notes: A standard opinion is that the international reserve role of the dollar gives a 100 per cent seignorage profit to the United States: they can take over foreign firms by printing notes which other countries as a whole will forever keep in portfolio. An emerging opinion is that this is no seignorage since these dollar reserves yield interest: in fact, the U. S. pay with perpetuities. However, each year the interest paid is matched by the increase in reserves (exactly in case of balanced growth where interest and growth rates are equal), so that they cancel each other: on the average, there is no real interest paid, just a yearly mark-up of the reserves by the amount of the interest. But, if the operation is neutral in real terms in the current year, there remains a 100 per cent seignorage on the initial accumulation of dollars. And the present value of this seignorage is its amount increased at compound interest, that is the value of present reserves. Therefore the first mentioned opinion arrives at the right conclusion, although through faulty reasoning. In addition, the initial Western European dollar accumulation roughly coincide in amount and time with Marshall Plan gifts. It is as if the dollars received have just been kept in cash. The U. S. seignorage profit cancels out the grant. There has been no Marshall aid.This paper also analyses the international seignorage implications of the following phenomena: payment of short term interest rate on de facto long term reserves, which represent liquidity services; term and volatility differences between private and official reserves; U. S. inflation; U. S. federal bank required reserves which yield no interest; international politics influences; gold; U. S. monetary policies.

Notes: Books reviewed in this articleAdams, F. G., Eguchi, H., and Meyer-zu-Schlochtern, F.: An Econometric Analysis of International Trade.Ando, Albert, Brown, E. Cary, and Friedlaender, Ann F. (Eds.): Studies in Economic Stabilization.Atteslander, Peter: Methoden derempirischen Sozialforschung.Ben David, Arye : Jerusalem und Tyros.Bohn, Peter: Konsumenten- und Sparerverhalten.Borner, Silvio: Die Überbeschäftigung.Bowen, William G., and Finegan, T. Aldrich: The Economics of Labor Force Participation.Braibanti, Ralph (Ed.): Political and Administrative Development.CourthÉAoux, Jean-Paul : Attitudes collectives et croissance économique.Denton, Geoffrey, Forsyth, Murray, and MacLennan, Malcolm : Economic Planning and Policies in Britain, France, and Germany.Doebel, Rüdiger: Devisenbewirtschqftung und Wirtschaftswachstum in Entwicklungsländern.Dyos, H. J., and Aldcroft, D. H.: British Transport. An Economic Survey from the Seventeenth Century to the Twentieth.Goldthorpe, John H., Lockwood, David, Beghhofer, Frank, and Platt, Jennifer: The Affluent Worker: Industrial Attitudes and Behaviour.Idem: The Affluent Worker: Political Attitudes and Behaviour.Hagen, Everett E.: The Economics of Development.Hauser, Mark M. and Burrows, Paul: The Economics of Unemployment Insurance.Hicks, John: A Theory of Economic History.Holbik, Karel: The United States, the Soviet Union and the Third World.Ilghman, Warren F., and Uphoff, Norman T.: The Political Economy of Change.Jaeger, Dieter: Handelspolitik als Entwicklungspolitik.Johnson, Harry G. (Ed.): New Trade Strategy for the World Economy.Krelle, Wilhelm, unter Mitarbeit von Coenen, Dieter : Präferenzund Entscheidungstheorie.Lancaster, Kelvin: Introduction to Modern Microeconomics.Malinvaud, E.: Leçons de Théorie microéconomique.Mercier Vega, Luis : Roads to Power in Latin America.Glassman, Ronald M.: Political History of Latin America.Ott, Alfred E.: Grundzüge der Preistheorie.Perlman, Richard: Labor Theory.van Praag, Bernard M. S.: Individual Welfare Functions and Consumer Behavior. A Theory of Rational IrrationalityRittenbruch, Klaus: Zur Anwendbarkeit der Exportbasiskonzepte im Rahmen von Regionalstudien.Salin, Edgar, Stohler, Jacques, und Pawlowsky, Peter (Hrsg.): Notwendigkeit und Gefahr der wirtschaftlichen Konzentration in nationaler und internationaler Sicht.Seltzer, Lawrence H.: The Personal Exemptions in the Income Tax.Simonis, Udo Ernst: Die Entwicklungspolitik der Volksrepublik China 1949 bis 1962.Tanzi, Vito: The Individual Income Tax and Economic Growth: An International Comparison.Termote, Marc: Migration et équilibre économique spatial.Urfer, Rudolf : Wirtschaftsintegration — Gegenwart und Zukunft der Sozialen Sicherheit.Vente, R. E.: Planting wozu?Ward, Barbara: The Lopsided World. Wirtschaftstheorie als Verhaltenstheorie. Ein Symposium der Forschungsstelle für empirische Sozialökonomik.

Notes: The paper analyzes the effect of inflation on interest rates in the context of economic growth. It is well known that in a stationary economy inflation will result in an upward adjustment in the nominal rate of interest on bonds, but by less than the rate of inflation. To the substitution effects operating under stationary conditions economic growth adds income effects. These will generally reduce the adjustment on interest rates and may, in exceptional cases, even produce a fall in the (nominal) bond rate. This is because inflation, by stimulating capital formation, may increase real income which, depending on the income elasticity of the demand for different assets, stimulates the demand for bonds. The exceptional case may materialize even under stable conditions. The analysis is based on a model of balanced growth with stock demand functions for capital goods, bonds and cash balances, while money is issued by the government in purchasing goods and services.

Notes: The paper discusses the relevance of the so-called Phillips-curve to the existence of a trade-off between employment and inflation. First, a critical analysis is provided of the main interpretations found in the literature on the Phillips-curve (the relation between rate of change of wage rates and rate of employment). These interpretations are the competitive adjustment mechanism and the bargaining one. The bargaining theory seems to be more realistic. Starting from this point of view and related with well-known assumptions about price formation, the conditions for the existence of disequilibrium trade-off are formulated. It is shown that simple arguments of plausibility do not contribute much to the particularities of the trade-off; a Phillips-curve of a normal shape is neither a necessary nor a sufficient condition for the existence of a positive correlation between employment and inflation. This unsatisfactory situation will be changed as soon as the assumption is being introduced that the process of wage-price formation leads to a state of quasie quilibrium relatively quickly. The properties of this equilibrium trade-off as a relation of (quasi)-equilibrium combinations between rate of employment and inflation are exclusively a function of the several behaviours contained in the Phillips-curve. In principle, however, only a part of this equilibrium trade-off curve is compatible with an equilibrium position in respect to production decisions, too. Finally, the paper discusses the reasoning and conditions necessary for a limitation of this overall equilibrium position which under the assumptions made could be politically relevant.

Notes: This contribution intends to discuss the question whether econometrics indeed conform to the methodological demands, outlined by Popper in his Logic of Scientific Discovery for empirical research. Part I deals shortly with the goals and methods of econometrics. It is then argued that the falsification criterion can be used on stochastic hypotheses in a moderated version only, not in the stringent form as postulated by Popper (Part II). This necessitates, however, that tautologies, contrary to common practise, be ruled out. Using the Cobb-Douglas-function as an example it is shown that it is possible in econometrics to exempt an originally non-circular concept from testing by introducing a residue variable and so rendering in effect a tautology (Part III). Finally, the question whether aggregate data of macro-economic surveys meet the validity criterion is discussed and negated (Part IV).

Notes: The formal brilliance of the neoclassical theory of economic growth cannot compensate the fact that its definition of capital is not convincing. The objections Joan Robinson already made in 1953 have never been definitely cleared, whether by operating with a homogenous good to avoid the index number problem, nor with the surrogate production function Samuelson derivated from the neoclassical original production function. Joan Robinson's argument that the definition of capital is already presupposing the distribution of income which should be derivated thereof, is not covered by the index number problem; Samuelson's surrogate production function is only applicable with limited suppositions. Thus, two corner-stones fall out of the neoclassical structure: (1) capital is no given amount of a factor but its value depends on wage-rate, labour input and gestation period of investment. This will withdraw the basis of the neoclassical axiom, i.e. that supply of factors determines the growth over the system of relative prices. The choice of the most profitable technique will be the key instrument of growth theory. (2) Distribution of income cannot be derivated from a production theoretical context, either of the factor prices must be determined exogenously. How this is done, will be a problem of political economy.

Notes: This paper examines some dangerous aspects of the ‘humanistic counterrevolution’ in progress. The destruction of ancient orientations offered in philosophy and traditional religions created apparently an unstable pattern. The feverish search for ‘new values’ and ‘commitments’ shaped an intellectual regression which denies the role of cognition and is incapable to distinguish between cognition and valuation. The conflicts bearing on assessment and choice of economic organization illustrate the dangers inherent in the sacrifice of cognition fashionably enveloping increasing portions of our intellectual establishment.

Notes: This paper deals with a model of the bargaining process in which time is an explicit variable in the utility function of each bargainer. The model explains two phenomena that are not derivable from simpler models but that seem to occur in reality and are part of most intuitive understanding of the bargaining process:1. The outcome of a bargaining process may be stable (agreed upon by both parties) and yet not be efficient (Pareto-optimal or on the contract curve).2. Time preference is an important determinant of the so-called bargaining power. The lower any given bargainer's time preference, the better off-in relative terms-will he emerge from the negotiated solution.

Notes: The paper discusses the use of fiscal policy as a tool of economic stabilization in seven OECD countries since the mid-fifties. It draws on a recent empirical study, with attached fiscal policy recommendations, made by an expert group within the OECD, in which the author was a member.The method of analysis in the paper is to compare on one hand the ‘direct’ impact on aggregate demand of fiscal policy changes with on the other hand the timing of the business cycle. Among the countries included in the study, the U. K. and Sweden seem to have most systematically tried fiscal policy as an instrument of economic stabilization. It seems quite clear that the policy in the U. K. has been rather unsuccessful against the background of domestic economic conditions, whereas the experiences in Sweden are considerably more promising. In other countries fiscal policy has been used at particular occasions for economic stabilization, such as in Germany and Belgium during some periods with tendencies to recessions (1958 and 1962), in the U. S. to move the economy closer to full capacity utilization (1964-65) and at several occasions in various countries as part of a policy package to avoid balance of payments crises.It does not seem that forecasting mistakes have been the main obstacle to a more efficient stabilization policy. Time lags in the decision-making procedure, as well as lack of determination and firmness in policy, seem to have been more important obstacles. Another important complication has been conflicts of goals. Sometimes the policy has been more geared to the external than to the internal economic situation. At other times when the policy has been directed to influence the development of prices, unemployment problems have arisen, particularly as the price variable usually seems to lag the business cycle of the volume components. There has also been a tendency to let the expansionary actions during recessions last too long a time, thereby giving the next boom a ‘flying start’.

Notes: The importance of the ‘concerted action’ as an instrument of controlling the economic process is generally overestimated and its drawbacks are often over-looked. Some of the most conclusive causes thereof are discussed in this article. A more intensive policy of growth and structural change is proposed and the government advised to keep reserve in cooperating with the big associations.

Notes: This paper starts by examining why demand curves are not as useful in the analysis of public as of private goods. It is argued that the ‘quantity’ of most public goods amounts to what is usually called a ‘quality’ measure. Because of this, and for other reasons developed in the paper, it is fruitful in the analysis of public goods to deal directly with the total amount individuals would pay for changes in public good provision, rather than with the average amount per unit change. A demand curve-like construction, dubbed an ‘aggregate bid curve’, is shown to be a useful tool. The aggregate bid is the precise meaning of ‘benefit’ in benefit cost analysis. It is conjectured that, under certain assumptions, all of the conditions of efficiency, with and without public goods and externalities, can be derived using aggregate bid curves.

Notes: Environmental disruption and social costs have long been neglected or kept at the periphery of conventional economic theory. This is not surprising. They are largely extra market phenomena and traditional economic theory is ill equipped to deal with phenomena which are the result of interdependencies and effects of which markets and prices take no or only partial account.The challenge to economics is due to the complexity of the causal chain which gives rise to environmental disruption and the magnitude of the social costs. These defy any treatment in terms of such traditional concepts as ‘externalities’, GNP, etc.—and, moreover, put in question the validity of our traditional measures of efficiency and optimalization by economic units or subsystems of the economy. The answer to this challenge will have to be found not by means of formal welfare criteria but in terms of concepts defining a substantive rationality reflecting actual human needs and requirements of human life. While conventional economic theory has so far refused to accept this challenge its status and relevance as a discipline in the future will depend upon its willingness and ability to develop new modes of thinking more appropriate for the problems caused by environmental disruption and social costs.

Notes: Beckmann, Martin: Location Theory. New York 1968. Random House. XII, 132 pp. $5.95Bhagwati, J. (Ed.): International Trade—Selected Readings. (Penguin Modern Economics.) Harmondsworth 1969. Penguin Books Ltd. 414 pp. 9 s.Cooper, R. N. (Ed.): International Finance—Selected Readings. (Penguin Modern Economics.) Harmondsworth 1969. Penguin Books Ltd. 384 pp. 9 s.Billerbeck, Klaus: Kosten-Ertrags-Analyse, ein Instrument zur Rationalisierung der administrierten Allokation bei Bildungs- und Gesundheits-investitionen. Berlin 1968. Verlag Bruno Hessling. 286 S.Buchanan, James M.: The Demand and Supply of Public Goods. Chicago 1968. Rand McNally & Co. IX, 214 pp.Butterwick, M., and Rolfe, E. N.: Food, Farming, and the Common Market. London 1968. Oxford University Press. XIV, 259 pp. 55 s.Childs, Gerald L.: Unfilled Orders and Inventories. A Structural Analysis. Amsterdam 1967. North-Holland Publishing Company. 142 pp. Dfl. 30.-Drewe, Paul: Ein Beitrag der Sozialforschung zur Regional- und Stadt-planung. Meisenheim am Glan 1968. Anton Hain. 250 S. DM 33.50Duesenberry, J. S., Fromm, G., Klein, L., and Kuh, E. (Eds.): The Brookings Model: Some Further Results. Amsterdam and Chicago 1969. North-Holland Publishing Company, Rand McNally & Co. XXI, 519 pp. Dfl. 65.-DÜrr, Ernst: Probleme der Konjunkturpolitik. Freiburg 1968. Verlag Rombach. 309 S. DM 19.-Easterlin, Richard A.: Population, Labor Force, and Long Swings in Economic Growth: The American Experience. (National Bureau of Economic Research, General Series 86.) New York 1968. Columbia University Press. XX, 298 pp. 90 s.Eckel, Dieter: Das Kartell. Ein Modell der Verhaltenskoordination. (Volkswirtschaftliche Schriften, Heft 119.) Berlin 1968. Duncker & Humblot. 334 S. DM 59.80Einzig, Paul: Leads and Lags. The Main Cause of Devaluation. London, New York 1968. McMillan. XI, 169 pp. 36 s.Farmer, R. N., Long, J. D., and Stolnitz, G. J. (Eds.): World Population - The View Ahead. (International Development Research Center Series, Nr. 1.) University of Indiana 1968. VIII, 310 pp.Fels, Rendigs, and Hinshaw, C. Elton: Forecasting and Recognizing Business Cycle Turning Points. New York 1968. National Bureau of Economic Research, Columbia University Press. XVII, 131 pp. 40 s.Gollnick, Heinz: Einführung in die Ökonometrie. Stuttgart 1968. Verlag Eugen Ulmer. 319 S. DM 40.-Grossmann, Gregory (Ed.): Money and Plan. Financial Aspects of East European Economic Reforms. Berkeley and Los Angeles 1968. University of California Press. 188 pp. $6.-Hallett, G.: The Economics of Agricultural Policy. Oxford 1968. Basil Blackwell. IX, 292 pp. 50 s.Hart, P. E. (Ed.): Studies in Profit, Business Saving and Investment in the United Kingdom 1920-62. Vol. II. London 1968. George Allen and Unwin. 283 pp. 60 s.Helliwell, John F.: Public Policies and Private Investment. Oxford 1968. Clarendon Press. XIII, 238 pp. 50 s.Hershlag, Z. Y.: Turkey: The Challenge of Growth. Leiden 1968. E. J. Brill. XVII, 406 pp.Horwich, George (Ed.): Monetary Process and Policy: A Symposium. Homewood, Illinois 1967. Richard D. Irwin. 388 pp.Kaufer, Erich: Die Bestimmung von Marktmacht. Dargestellt am Problem des relevanten Marktes in der amerikanischen Antitrustpolitik. (Berner Beitrage zur Nationalökonomie, Band 5.) Bern und Stuttgart 1967. Verlag Paul Haupt. 176 S.Larenz, Karl Friedrich: Untersuchungen zur Einkommenspolitik. (Kieler Studien, Nr. 91.) Tubingen 1968. J. C. B. Mohr (Paul Sie-beck). 117 S. DM25.-Lydall, Harold: The Structure of Earnings. Oxford 1968. Oxford University Press. XIII, 394 pp. 63 s.Maillet, Pierre, Hipp, Gerhard, Krijnse-Locker, Hugo, und Sunnen, Robert: L économie de la Communauté Européenne. Paris 1968. Editions Sirey. 642 p. 64 FMichaely, Michael: Balance-of-Payments Adjustment Policies: Japan, Germany, and the Netherlands. New York 1968. National Bureau of Economic Research, Columbia University Press. 108 pp. $3.-Miles, Caroline: Lancashire Textiles: A Case Study of Industrial Change. (The National Institute of Economic Research.) Cambridge 1968. Cambridge University Press. 121 pp. $ 3.75Murray, Roger F.: Economic Aspects of Pensions: A Summary Report. (NBER, General Series No. 85.) New York and London 1968. Columbia University Press. XV, 132 pp. 40 s.Napp-Zinn, Anton Felix: Verkehrswissenschaft. Heidelberg 1968. Quelle und Meyer. 226 S.Perkins, J. O. N.: Australia in the World Economy. Melbourne 1968. Sun Books. 197 pp. $ 2.65Robinson, Derek: Wage Drift, Fringe Benefits, and Manpower Distribution. (OECD Labour Mobility Series, No. 7.) Paris 1968. OECD. 190 pp. 30 s.Russet, Bruce M. (Ed.): Economic Theories of International Politics. Chicago 1968. Markham Publishing Company. 542 pp.Salin, Edgar: Politische Ökonomie. Geschichte der wirtschaftspolitischen Ideen von Platon bis zur Gegenwart. (5. erweiterte Auflage der ↞Geschichte der Volkswirtschaftslehre↠.) Tübingen und Zürich 1967. J. C. B. Mohr (Paul Siebeck), Polygraphischer Verlag. 205 S. DM 16.-SchÄfers, Bernhard : Bodenbesitz und Bodennutzung in der Grosstadt. Eine empirisch-soziologische Untersuchung am Beispiel Münster. Bielefeld 1968. Bertelsmann Universitätsverlag. 138 S.Schlieper, Ulrich: Pareto-Optima, externe Effekte und die Theorie des Zweitbesten. Köln 1969. Carl Heymanns Verlag. 97 S. DM 13.60Spencer, Daniel L., and Woroniak, Alexander (Eds.): The Transfer of Technology to Developing Countries. (Praeger Special Studies in International Economics and Development.) New York, Washington, London 1967. Frederick A. Praeger. XI, 209 pp. $ 12.50Taylor, W. L.: Francis Hutcheson and David Hume as Predecessors of Adam Smith. Durham, N. C. 1965. Duke University Press. 180 pp. $6.-Wolfelsperger, Alain: Les biens collectifs. Fondements théoriques de l'économie publique. (Collection SUP, ↞L'économiste↠, No 7.) Paris 1969. Presses universitaires de France. 206 p. 12 F

Notes: Five-to-50-gallon slicks of No. 6 (Bunker C) fuel oil were tracked for several hours on six different occasions. Slick motion was due mainly to surface currents. The slick wind factor varied with wind speed, showing a threshold at seven knots and approaching 2.0 percent at 20 knots. Published values of 2.3 to 5 percent did not exclude the effects of wind-generated surface currents. Prediction of slick motion using wind and published tidal-current data was deficient; accuracy will require extensive wind and surface-current time-series data.

Notes: Large scale water resource investigations and effective pollution surveillance programs require the development of additional instrumentation and techniques to supplement existing methods of data acquisition. As a result, interest is growing in the concept of remote sensing. Described in this paper is the multispectral sensor concept and its application in water resource studies.

Notes: The methodology of operations research is judged in relation to its utility to water resource management in an urbanized arid environment and to the study of worth of data for such management. Conditions for existence of a managerial problem are reviewed as is the multilevel structure of the decision process, including decisions on social goals for Western water use. Worth of data can only be judged in relation to a particular use to meet a social or managerial objective. The role of data uncertainty on the decision process is reviewed in the light of past water decisions and present and future problems.

Notes: Books review in this article: Nuclear Desalination, Proceedings of IAEA Symposium, held in Madrid, November 1968. Waters and Water Bights, Vol. 3 - Water Pollution and Quality Controls, by Burton J. Gindler.

Notes: The U.S. National Committee for the International Hydrological Decade is proposing a National Water Atlas as a contribution to the improvement of the quality of information available for this Nation's large-scale planning and management studies. The atlas would provide hydrological maps of the United States and its principal basins and of its territories. The nationwide maps would be at a scale of 1:5,000,000 and the 17 principal basins at 1:2,500,000. The principal basins will be those delineated by the Water Resources Council. Wherever feasible and appropriate, the data will be presented with a common standard period of record, preferably 1941–70, as a base. Map subjects would include station networks, radiation, precipitation, snow and ice, evaporation, atmospheric vapor fluxes, surface-water discharge, ground-water storage and discharge, chemical quality, sediment discharge, water temperatures, and soil moisture. The list of maps subjects and types of data shown within each subject are flexible and open-ended so that additional maps could be added to the atlas as information is available or as new needs arise.

Notes: When the boundaries of nations cover the same watershed, who owns the border water? The answer to that question is the premise of this paper. A discussion of international water law is given. Implementing the law is portrayed in an outline for (1) administration, (2) a procedure for data collecting, and (3) a computer system for data processing and determining ownership of water for each country. Special situations are considered, and a conclusion developed. After international law between two countries has been established, determining the ownership of boundary water is both feasible and practical. A computer method is shown whereby this is accomplished. The unique aspect of the method is the fact that cooperation and mutual esteem between individuals of both countries are necessary in order to obtain results.

Notes: The proof is rapidly mounting that instream aeration is a technically and economically feasible supplement to secondary treatment of wastes, an alternative to tertiary waste treatment. Some phenomena remain unexplained; and competing technologies, especially those employing molecular oxygen, are being explored vigorously. However, there are convincing arguments in favor of aeration on theoretical grounds, proved technology is available; and the first installations have already been made. While remaining questions are being further investigated, it is time to consider in more detail the broader aspects, as to the institutional, legal, and political hurdles to be overcome before advantage can be taken of the new technology. This paper first summarizes the state-of-the-art as far as technology is concerned; and then outlines the institutional problem.

Notes: The recent versions of nonlinear programming techniques such as the conjugate gradient and the gradient projection algorithms are used to obtain the optimal operating conditions of a multiple reservoirs system with multiple purposes. These algorithms are compared with other techniques in the literature. The conjugate gradient method incorporates the advantages of both the generalized Newton-Raphson, also known as the quasilinearization technique, and the gradient approach while avoiding their major drawbacks. To illustrate the technique, a water resources system with three reservoirs and a tabular objective function is solved by the two algorithms.

Notes: This paper deals with the problem of isolating random errors from rainfall measurements in watersheds of relatively small size. The residual variance is shown to be a practical measure for assessing the error term. KEY WORDS: random errors; rainfall; watershed

Notes: The decision making process in development of water resources has often been subjective. A scheme for inventorying the hydrologic properties of watersheds would be a powerful tool, providing objective criteria that can be used in judgments and which can be applied in surveys for water management or conservation purposes. Such an inventory was used in studying the Green River, Wyoming and Little Miami, Ohio. The classification system considered characteristics of the water budget, variability and reliability of flow, and water quality. Class ranks for water budget were based on amount of runoff and water loss. Regulation and variation in flow were ranked on impoundments, variability index, coefficient of variability, 90% flow duration and maximum flow index. The streams’ chemical and solid loads were also considered. Classification of the Green and Little Miami rivers pointed out distinctive differences between their hydrologic characteristics. The inventory can thus be examined to compare stretches of river or whole watersheds, objectively determining the best possible use.

Notes: The difficulty and complexity in evaluating water resource problems is becoming more evident to management with each passing year. Decisions are required sooner, in more detail, with some background—and yet cost more to evolve. One potential method to arrive at solutions at least more rapidly and in more detail is via simu- lation. A manager may evaluate many alternative solutions to his problem—provided an evaluated simulation system is at his disposal.One such system under development is a highly flexible computerized model system for evaluating real economic/technical applicability of desalting to a selected area. The Economic Evaluation Model System (EEMS) was initially conceived during 1968 and the first version was completed in 1969.This system represents the combination of technical, environmental and economic functions into an interrelated system, which allows the user to examine a broad range of water related problems—oriented toward the applicability of desalting as an additional or alternative source of water.The major thrust of the development of the system thus far, however, has been with the methodology involved and further refinements and extensions of the system are recognized and planned for in future research and development.