Sri Lanka's trade regime has been gradually liberalized over the last two decades with the aim of deeper integration into the global economy. The purpose of this study is to present a quantitative assessment of the impacts of major unilateral, regional and multilateral trade liberalization on Sri Lanka, and rank the trade policy options in terms of their welfare effects. This study contributes to the empirical literature on trade liberalization. The Global Trade Analysis Project (GTAP) model is used to analyze the welfare effects of trade liberalization in a multi-country, multi-sector general equilibrium framework. The results show that if Sri Lanka implements the South Asian Free Trade Agreement (SAFTA), while maintaining 15 percent external tariffs for the rest of the world, this combined policy would provide the highest welfare gain to Sri Lanka. The SAFTA by its own would provide the second-highest ranked gain from the trade reforms due to the benefits of preferential access to the large SAARC market. The third-highest ranked policy option comes under the unilateral reduction of import tariffs to 15 percent scenario. As results indicate, the Indo-Lanka Free Trade Agreement (ILFTA) offers the fourth-highest policy option for Sri Lanka. Finally, the phasing-out of MFA on Textiles and Clothing under the Uruguay Round Agreement, rank as the fifth-highest policy option for Sri Lanka. Thus, regional trade liberalization is far more preferable to unilateral and multilateral liberalization. However, as the GTAP model permits, these rankings based on only to the static welfare gains, ignoring the dynamic effect of trade liberalization. In addition, the gravity model has been employed to examine the determinants of Sri Lanka's bilateral trade flows with her selected trading partners, in order to sort out the influence of geographical proximity versus preferential trading policies in creating a regional concentration in trade. Our results confirm the validity of geographical factors such as proximity and cultural familiarity, as determinants of Sri Lanka's trade with neighbouring countries. They suggest that the selected trading partners are “natural trading partners” of Sri Lanka. / Subscription resource available via Digital Dissertations only.

This study’s primary objectives are to establish the dimensions, strategies, and tactics used by auditors in the negotiation of sensitive disclosure issues with clients. These issues are typically addressed at the end of the audit and are the primary concern of the audit partner and senior manager. This study uses the tactics established in the negotiation research to test if auditors use the same groups of tactics, and whether these tactics are related by some underlying dimensions, and their relevant strategies. Multidimensional scaling found that there are four dimensions to the tactics that auditors use. During negotiations with their clients, auditors employ tactics representing the underlying dimensions which can be interpreted as “Concern for Self”, “Concern for Client”, “Concern for Others”, and “Concern for Accounting Principles”. Results of cluster analysis established four primary classifications to the 38 auditor tactics. These are “Facilitating”, “Contextual”, “Forcing/asserting”, and “Appeal to authority”. Within these four classifications, twelve sub-categories were observed. These findings reinforce the complexities inherent in the resolution of an audit conflict, and suggest that auditors group together certain tactics for use as called for in the circumstances with which they are dealing. This research contributes to theory within the fields of auditing and general negotiation because it has established that the two-dimensional model of concern that has formed the basis of much behavioural research is insufficient to describe an auditor’s responsibilities. There are four dimensions of concern. While some researchers have proposed a three-dimensional model of negotiation for auditors, the fourth dimension identified in this study is a contribution. This research expands current knowledge fundamental to the audit discipline by establishing the negotiation tactics used by auditors and their underlying multidimensionality, and thus has extended the knowledge of audit conflict management beyond that of strategy-level. Accordingly,this research is beneficial to practicing auditors and for the education of auditors.

Sri Lanka's trade regime has been gradually liberalized over the last two decades with the aim of deeper integration into the global economy. The purpose of this study is to present a quantitative assessment of the impacts of major unilateral, regional and multilateral trade liberalization on Sri Lanka, and rank the trade policy options in terms of their welfare effects. This study contributes to the empirical literature on trade liberalization. The Global Trade Analysis Project (GTAP) model is used to analyze the welfare effects of trade liberalization in a multi-country, multi-sector general equilibrium framework. The results show that if Sri Lanka implements the South Asian Free Trade Agreement (SAFTA), while maintaining 15 percent external tariffs for the rest of the world, this combined policy would provide the highest welfare gain to Sri Lanka. The SAFTA by its own would provide the second-highest ranked gain from the trade reforms due to the benefits of preferential access to the large SAARC market. The third-highest ranked policy option comes under the unilateral reduction of import tariffs to 15 percent scenario. As results indicate, the Indo-Lanka Free Trade Agreement (ILFTA) offers the fourth-highest policy option for Sri Lanka. Finally, the phasing-out of MFA on Textiles and Clothing under the Uruguay Round Agreement, rank as the fifth-highest policy option for Sri Lanka. Thus, regional trade liberalization is far more preferable to unilateral and multilateral liberalization. However, as the GTAP model permits, these rankings based on only to the static welfare gains, ignoring the dynamic effect of trade liberalization. In addition, the gravity model has been employed to examine the determinants of Sri Lanka's bilateral trade flows with her selected trading partners, in order to sort out the influence of geographical proximity versus preferential trading policies in creating a regional concentration in trade. Our results confirm the validity of geographical factors such as proximity and cultural familiarity, as determinants of Sri Lanka's trade with neighbouring countries. They suggest that the selected trading partners are “natural trading partners” of Sri Lanka. / Subscription resource available via Digital Dissertations only.

Sri Lanka's trade regime has been gradually liberalized over the last two decades with the aim of deeper integration into the global economy. The purpose of this study is to present a quantitative assessment of the impacts of major unilateral, regional and multilateral trade liberalization on Sri Lanka, and rank the trade policy options in terms of their welfare effects. This study contributes to the empirical literature on trade liberalization. The Global Trade Analysis Project (GTAP) model is used to analyze the welfare effects of trade liberalization in a multi-country, multi-sector general equilibrium framework. The results show that if Sri Lanka implements the South Asian Free Trade Agreement (SAFTA), while maintaining 15 percent external tariffs for the rest of the world, this combined policy would provide the highest welfare gain to Sri Lanka. The SAFTA by its own would provide the second-highest ranked gain from the trade reforms due to the benefits of preferential access to the large SAARC market. The third-highest ranked policy option comes under the unilateral reduction of import tariffs to 15 percent scenario. As results indicate, the Indo-Lanka Free Trade Agreement (ILFTA) offers the fourth-highest policy option for Sri Lanka. Finally, the phasing-out of MFA on Textiles and Clothing under the Uruguay Round Agreement, rank as the fifth-highest policy option for Sri Lanka. Thus, regional trade liberalization is far more preferable to unilateral and multilateral liberalization. However, as the GTAP model permits, these rankings based on only to the static welfare gains, ignoring the dynamic effect of trade liberalization. In addition, the gravity model has been employed to examine the determinants of Sri Lanka's bilateral trade flows with her selected trading partners, in order to sort out the influence of geographical proximity versus preferential trading policies in creating a regional concentration in trade. Our results confirm the validity of geographical factors such as proximity and cultural familiarity, as determinants of Sri Lanka's trade with neighbouring countries. They suggest that the selected trading partners are “natural trading partners” of Sri Lanka. / Subscription resource available via Digital Dissertations only.

Master of Agribusiness / Agricultural Economics / Vincent R. Amanor-Boadu / Despite at least three waves of transformations in the US coffee retail market, traditional retailers have not altered their merchandizing approaches for decades. This may be due primarily to the fact that there are still margins being made in selling canned coffee, the initial coffee wave in this research. Yet, because of their significant role in the retail segment, traditional retailers cannot be ignored by coffee suppliers. This implies that with each shift in the coffee industry, it is important for the participants to find ways of enabling the traditional retailer to make the necessary transformation – at least with their products – so that they can secure their market share and their continuing success. The research develops a number of case studies of different coffee retailers who are developing innovative processes for merchandizing new coffee formats, such as Keurig K-Cups and Ready to Drink (RTD) products. The research shows that coffee merchandizers can learn from these retailers to develop support programs for their traditional retail customers to leverage their importance in the coffee market to enhance their own sales and profitability. We identify a number of value innovation strategies that may be used to achieve this objective of enhancing performance in traditional coffee merchandizing. For example, we identify a store-within-a store strategy that is already in operation for a number of product categories in traditional retail, and suggest that it be expanded to include coffee. This approach will elevate purchases across the segment and help enhance overall competitiveness. The approach is not unlike Kroger’s treatment of its natural and organics as a separate department or Roche Brothers’ creation of a gourmet specialty, which is prominently displayed near the store’s entry. It has become a prime location where new and exciting entrants to the specialty assortment are presented to shoppers in an elevated way. In this location, they are typically expected to sell-through initial quantities rapidly. The research presents innovative ideas to help coffee purveyors help their customers reposition emerging “waves” of coffee products in their traditional retail systems. It hopes that traditional retailers will benefit from the case studies of lessons from other categories and initiatives so that they can improve their own performance, and in so doing help coffee purveyors enhance their own performance.

Master of Arts / Department of Economics / William F. Blankenau / The financial crisis that began in the summer of 2007 has greatly tested the abilities of central banks to counter financial instability and economic slowdown through traditional monetary policy. This paper will examine in detail the monetary response of both the Federal Reserve Bank of the United States (Fed) and the Bank of England to the turmoil in the financial markets. The Bank of England, which adopted inflation targeting after the Black Wednesday crisis in 1992, and the Fed, which has no such stated policy, allows us to compare two different monetary regimes in the aftermath of a crisis. To counter the financial crisis the Bank of England resorted to unconventional monetary policies that included expansion of liquidity easing operations and a policy of quantitative easing through purchase of debt securities. The Fed also made use of both traditional tools as well as more innovative measures to combat liquidity concerns in the financial market. A multitude of new programs was initiated by the Fed to supply liquidity to susceptible lending institutions and lower the spreads on commercial loans and securities. Overall, we find that the actions of the Bank of England and the Fed were effective in restoring stability to financial markets and preventing a prolonged economic depression. Further, the Bank of England's inflation targeting framework did not hinder its ability to respond to the crisis and there was no major divergence in the policy actions of the two central banks.

Master of Agribusiness / Department of Agricultural Economics / Vincent R. Amanor-Boadu / The intent of this thesis is to conduct a case study on the optimization of blending soft red winter wheat, prior to processing into flour, in order to meet specific solvent retention capacity, SRC, specifications, based on predetermined customer specifications. The thesis will provide the company with a greater understanding of how to effectively manage the customer’s demands, and the costs associated with these activities in order to create greater customer value. If optimizing wheat blends is successful, the company will be able to provide similar SRC information to other customers as a value added service. (Solvent retention capacity) is a test that provides analytical data that measures three specific physical components within soft wheat flour. Traditionally, wheat flour is sold according to moisture, ash, protein content, and basic dough characteristic data; though this information is important, SRC provides specific flour functionality information that will aid customers. SRC examines the: glutenin characteristics of the flour, pentosan content and gliadin characteristics, and the starch damage from the milling process. These values describe the functionality of the flour and provide information regarding the flour’s ability to absorb water during the mixing process and the flour’s ability to release that water during the baking process. SRC quality endpoints include: reduced mixing and baking times, reduced levels of breakage after baking, and greater overall ingredient consistency throughout all the customer’s commercial bakeries. This thesis develops a process that the company may use to meet SRC quality specifications determined by the customer. The company gains customer loyalty by supply a consistent product to the customer. This product in turn yields savings for the customer in the areas of lower water use, shorter baking time and consequently lower energy use.

Master of Agribusiness / Department of Agricultural Economics / Daniel M. O'Brien / The Chicago wheat futures contract has received attention in recent years regarding non-convergence with SRW wheat cash prices. In 2009 the CME Group announced their decision to implement a market based mechanism to set daily storage rates at registered delivery locations for the Chicago wheat contract. The new market based mechanism is a variable storage rate (VSR) that monitors Chicago wheat futures spreads relative to financial full carry. The running average of the futures spread at the end of the contract observation period determines future changes to existing storage rates. The objective of this study is to determine whether or not the adoption of VSR mechanisms has had an impact on SRW wheat basis convergence in the Toledo, OH switching district. The Chicago wheat contract months that were studied using OLS regression models include July 2010, September 2010, December 2010, and March 2011. A final OLS regression model examining the cumulative data collected from these four contract months concludes the research. The explanatory variables used to study SRW wheat basis convergence in Toledo includes days to delivery, all wheat ending stocks as a percentage of use for the United States, and VSR. In two of the regression models for the contract months studied VSR found to have a statistically significant impact, i.e., the December 2010 and March 2011 models. In the cumulative regression model covering all four wheat contract months VSR was also found to have a statistically significant impact on SRW wheat basis convergence. The regression models in this analysis appear to contain some degree of multicollinearity, a statistical condition in which the explanatory variables tend to move collinearly or “together” with each other. Multicollinearity oftentimes can result in deceptively high and inconsistent statistical results in econometric models.

Master of Agribusiness / Agricultural Economics / Vincent R. Amanor-Boadu / The United States was the world’s third largest producer of raspberries (by pounds) in 2013, behind Russia and Poland. Raspberries are the third most popular berry in the United States behind strawberries and blueberries. Most U.S. production of red raspberries occurs in the states of Washington and Oregon during July and August depending on variety. Harvest and production for industrial pack typically runs for five weeks. Sieved red raspberries or single strength red raspberry puree is one of many industrial packs produced in the Pacific Northwest of the United States. Sieved red raspberries are produced by forcing fresh, cleaned and sorted red raspberries and red raspberry crumbles and pieces through a mesh screen, collected in drums or pails and stored for use in further processed products such as pies, confectioneries and other consumer food products. For this thesis, sieved berries are packed in 55-gallon steel drums lined with food grade plastic bags. They are shipped from the processing plant to a third party warehouse to be frozen and stored. The final processing plant draws on these stored frozen products for use in the production of the Company’s consumer food products. The purpose of this thesis is to review the Company’s current procurement practices of sieved red raspberries and determine how these practices may be improved to reduce its total delivered cost. We use an optimization modelling approach to assess the procurement process used by the Company. The results indicate that it is possible to reduce procurement costs and improve efficiencies by making changes to the current procurement strategy. By implementing the procurement strategy developed in this study, we show that the Company can save as much as $1.69 million per year, which is equivalent to about 20.3% of the current spend. This would suggest that adopting the optimization strategy could allow the Company to increase its total sieved raspberry utilization by as much as 0.9 million pounds per annum, all other things remaining unchanged.

Master of Agribusiness / Department of Agricultural Economics / Vincent Amanor-Boadu / The purpose of this thesis was to estimate the value accruing to Zambian bean supply chain participants with the view to showing that value at the different stages is a function of the value addition and risk incurred at those stages. The data used in the study came from two different surveys done under the Pulse Value Chain Initiative – Zambia focusing on producers and bean traders. The surveys used structured questionnaires for both producers and traders. The producers were sampled from three principal bean producing provinces in Zambia: Lundazi, Mbala and Kalomo. The traders were sampled from the largest consumer region in the country – Lusaka – and focused on traders operating in the three principal markets in the city: Soweto; Chilenje; and Mtendere. The analyses were conducted using STATA®, employing both statistical and econometric methods. Value was defined as a function of transaction costs and value addition as well as the risks borne. In the Zambian mixed bean trade environment, where traders travel to remote locations where producers live and produce, they are seen to incur higher levels of risk and undertake higher levels of value addition – assembling the grain, bagging them and moving them from the rural areas where production occurs to the cities where customers reside. As such, it is expected that value creation and distribution would increase away from the farm. The results confirmed this expectation. The total average value created at the farm level was ZMK3,391.06/kg. However, the average value accruing to traders who only undertook wholesaling was ZMK7,405.75/kg while that accruing to traders going further down the chain to retail was ZMK9,663.56/kg. Traders who engaged in institutional trade produced an average value of ZMK8,750.75/kg. The share of total value produced accruing to producers in the producer-wholesaler-retailer chain was about 16.6 percent because of the higher value addition and risk that occur further downstream in the chain. The share of total value produced accruing to producers in the producer-wholesaler-institutional buyer chain was about 17.3 percent. The study showed that female producers’ share was not different, statistically speaking, from male producers’ value. It also showed that the average value created in thin (smaller) markets was higher than the value created in larger markets, probably because of the level of competition that occurs in the latter markets. Interestingly, the results showed that the larger the land holdings of producers, the lower the value created. This is in line with the foregoing results of size, competition and value. The study suggests that producers’ share of total value created may be enhanced by helping producers undertake specific activities that increased the value they added and reduce the risks that traders bear in their search for grain. One of such activities could be the formation of horizontal strategic alliances among producers that allowed producers to aggregate grain at particular locations in significant lots and bag them. This service would allow them to extract higher value from the exchange with traders. Any attempt to address the perceived “unfair” distribution of value along the supply chain by administrative fiat could result in higher costs to the whole supply chain and crate adverse unintended consequences for producers and the treasury.