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The Library Association of Ireland issued last month the first number of An Leabharlann, their new official journal. The title, for those of us who do not speak the language of Erin, means The Library. It is an extremely interesting venture which will be followed by librarians on the mainland with sympathetic curiosity. In particular our readers would be interested in the first of a series of articles by Father Stephen J. Brown, S.J., on Book Selection. The worthy Father lectures on this subject at University College, Dublin, in the Library School. It is mainly concerned with what should not be selected, and deals in vigorous fashion with the menace of much of current published stuff. No doubt Father Brown will follow with something more constructive. Mr. T. E. Gay, Chairman of the Association, discusses the need for a survey of Irish libraries and their resources. We agree that it is necessary. The Net Books Agreement, the Council, Notes from the Provinces, and an article in Erse—which we honestly believe that most of our Irish friends can read—and an excellent broadcast talk on the Library and the Student by Miss Christina Keogh, the accomplished Librarian of the Irish Central Library, make up a quite attractive first number. A list of broadcast talks given by members of the Association is included.

This paper investigates the role of economic disagreement in the cross-sectional pricing of individual stocks. Economic disagreement is quantified with ex ante measures of cross-sectional dispersion in economic forecasts from the Survey of Professional Forecasters (SPF), determining the degree of disagreement among professional forecasters over changes in economic fundamentals.

The authors introduce a broad index of economic disagreement based on the innovations in the cross-sectional dispersion of economic forecasts for output, inflation and unemployment so that the index is a shock measure that captures different aspects of disagreement over economic fundamentals and also reflects unexpected news or surprise about the state of the aggregate economy. After building the broad index of economic disagreement, the authors test out-of-sample performance of the index in predicting the cross-sectional variation in future stock returns.

Univariate portfolio analyses indicate that decile portfolios that are long in stocks with the lowest disagreement beta and short in stocks with the highest disagreement beta yield a risk-adjusted annual return of 7.2%. The results remain robust after controlling for well-known pricing effects. The results are consistent with a preference-based explanation that ambiguity-averse investors demand extra compensation to hold stocks with high disagreement risk and the investors are willing to pay high prices for stocks with large hedging benefits. The results also support the mispricing hypothesis that the high disagreement beta provides an indirect way to measure dispersed opinion and overpricing.

Most literature measures disagreement about individual stocks with the standard deviation of earnings forecasts made by financial analysts and examines the cross-sectional relation between this measure and individual stock returns. Unlike prior studies, the authors focus on disagreement about the economy instead of disagreement about earnings growth. The authors' argument is that disagreement about the economy is a major factor that would explain disagreement about stock fundamentals. The authors find that disagreement in economic forecasts does indeed have a significant impact on the cross-sectional pricing of individual stocks.

The increased market share of foreign investment trusts in Japan may be attributed to the fact that Japanese managers have dramatically underperformed benchmarks. Recently, we showed that this underperformance can be attributed to a unique Japanese tax environment. Using data from 1998 though 2001, we find that Japanese and foreign managers are becoming very similar in style and performance. However, Japanese managers suffered in the immediate aftermath of a major April 2000 revision in the tax code. We attribute this result to the huge inflow of new money into this sector and the style shifts necessary to accommodate this flow.

IN this and subsequent numbers we are issuing an art supplement devoted to the subject of Library Architecture. Sheffield's new library system is the first to be dealt with, followed by Exeter, Dagenham, Croydon, Burnley, Hornsey, Bolton, Halifax, and others. The importance of library planning for the modern librarian cannot be overestimated, seeing the great need for remodelling old buildings and for providing new ones for new areas of population. The spread of population over the country is the most remarkable phenomenon of the age in which we live; there are now flourishing towns in places where ten years ago corn was growing. The old idea of one library in a town has given place to library provision which in some places approximates in its numbers of “agencies” to that which is frequent in America. So we get the need for many types of building, and hope to describe a number of them in this series.

This study explores the nature of the spot foreign exchange risk premium. Employing Ross's Arbitrage Pricing Theory (APT) as a vehicle, it tests the hypothesis that cross‐sectional differences in pure currency returns depend on measures of systematic (covariance) risk. These tests have greater power, in the sense of an enhanced ability to reject the hypothesis, since they explicitly allow for the possibility that idiosyncratic risk is priced. A battery of tests is unable to reject the hypothesis that expected exchange returns can be explained by a single‐factor APT. One implication of these results is that official intervention in exchange markets is unnecessary and undesirable.

“UNDER the clock at Charing Cross Station at 8.30 p.m.” So ran our instructions for Thursday, April 13th. The weather for a fortnight past had brought snow, a wind that was nipping and eager, and weather prophets were not sanguine. One London periodical indeed had burst out with a quotation from Browning adapted to the circumstances:

The market for mergers and takeovers, often referred to as the market for corporate control [Manne (1965)], has always attracted the attention of investors and researchers because takeovers represent corporate investment decisions on a scale several times larger than the normal, ongoing, growth‐maintaining capital outlays by the typical value‐maximising firm. Although the theoretical justifications for such corporate actions are reasonably well understood, the true motives for the mergers and the strategies adopted by acquiring firms to consummate them can be complex and diverse in scope. Corporate acquisitions can therefore have widespread effects on the wealth of various groups of agents involved in the market for corporate control.

THE recruitment, training and payment of librarians are matters of import, not only to the youngest entrant into this work, but also to established librarians and to the public. Although training was initiated forty years ago by the then chief librarians of libraries, it has in recent years become a very intimate concern of library assistants and of parents and others in charge of young folk who are considering librarianship as their possible career. After thirty years of experiment, with minor changes, the Library Association syllabus has now been completely remodelled. We have also reached a stage when we can consider to some extent, although not adequately, the effect upon the profession of our whole‐time library school of university rank. The various phases of the work must therefore be of great interest to every reader of The Library World; and this is sufficient justification for the special attention which the subject receives in this number. The first question must always be the economic and human one. Is the profession sufficiently large, and of enough importance, to justify parents in allowing lads or girls, who have gone through a secondary or even university training, to devote themselves to the somewhat protracted study which is prescribed for the work? Then, again, is the training now placed before the would‐be aspirant to library work a wise training? Is it too special, too technical, too scholarly; indeed, is the library authority, whoever and wherever it may be, asking too much for what most people regard as the very simple work of managing and distributing and exploiting books?

THE question of display in libraries becomes more important with the days. It is therefore a peculiar pleasure to us to publish a fine article by Mr. Savage on this. From his earliest days the ex‐President has been deeply and practically interested in book‐display. We believe that nearly forty years ago he and Mr. Jast worked out many experiments in it which are occasionally revived by those who have quite forgotten their origin. He was, we think, the first librarian here to take an ordinary shop as a branch library and dress its window as if it were a bookshop. Before him few English libraries used colour to any extent, or were aware of the aesthetic value of plants, flowers, curtains and well‐shaped furniture.

This chapter reports on the pilot of an innovative approach to business education that was instituted at a small university in the United States. In the program, students were divided into three learning cohorts. Each group was encouraged to learn as a community while taking three integrated classes. Teams competed within their cohort and cohorts competed against other cohorts. Students took introductory managerial accounting, introductory computer information systems and introductory management in the first semester and financial management, operations management and an introductory marketing course in the second semester. The program was designed to bridge the gap between theory and practice by helping students gain a better appreciation of how business functions are integrated. After the first semester, an anonymous survey revealed some useful insights that could be incorporated to enhance such programs. The structure of the program, its benefits, limitations and insights from the survey are reported in this chapter.