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The 1998 Survey of Small Business Finances provides robust information on the financing of small businesses, including an overview of the firms’ organization, financial characteristics, and credit use. Information from the survey is used in this study to compare the financial characteristics of metro and rural small businesses. While many financial characteristics are similar, rural small businesses do own more land and depreciable assets, and have lower inventory and other current assets when compared to metro firms. Rural firms have relatively similar access to technology and financial services, although utilization varies. Both metro and rural small businesses rely on a wide variety of sources for financing; however, rural small businesses have significantly more mortgages, loans from shareholders, and other types of loans, but fewer credit cards. Use of nonparametric rank order statistical methods was required because normality assumptions were violated due to asymmetric distribution of small firms.

This article examines trade credit practices of rural small business firms. The results show that these firms borrow money and then re‐lend it to others in the form of trade credit. There is a strong direct relationship between various forms of debt held by these firms and their level of accounts receivable (e.g., trade credit extended to customers). The actual level of re‐lending varied among firms depending on their adoption level of computer usage for cash management and credit services. Accounts receivable balances were also dependent on sales levels, costs of doing business, and other income.

New federal legislation proposes to reduce greenhouse gas (GHG) emissions associated with biofuel production. To comply, existing corn ethanol plants will have to invest in new more carbon efficient production technology such as dry fractionation. However, this will be challenging for the industry given the present financial environment of surplus production, recent profit declines, numerous bankruptcies, and lender‐imposed covenants. The purpose of this paper is to examine a dry mill ethanol firm's ability to invest in dry fractionation technology in the face of declining profitability and stringent lender cash flow repayment constraints. Firm level risk aversion also is considered when determining a firm's willingness to invest in dry fractionation technology.

A Monte Carlo simulation model is constructed to estimate firm profits, cash flows, and changes in equity following new investment in fractionation to determine an optimal investment strategy.

The addition of a lender‐imposed sweep, whereby a percentage of free cash flow is used to pay off extra debt in high profit years, reduces the firm's ability to build equity and increases bankruptcy risk under investment. However, the sweep increases long‐run equity because total financing costs are reduced with accelerated debt repayment.

Results show that while ethanol firm profits are uncertain, imposition of a lender sweep combined with increased profit from dry fractionation technology helps the firm increase long‐run financial resiliency.

Examination of ethanol plant financial structures and investment capabilities has received scant research attention to date.

Lenders, regulatory agencies, and investors have increased their demand for credit risk exposure information to appropriately price risk and evaluate risk migration patterns that affect institution safety and soundness. This review provides a synthesis of the advances in credit risk assessment made through journal articles and other professional reports. Contributions in three primary areas are considered: (a) how the credit risk assessment problem has been defined and redefined over time in response to the changing information needs of lenders and regulators, (b) how methodological innovations have improved credit assessment procedures, and (c) how the efficiency of financial markets has changed due to the evolution of credit risk assessment. The paper concludes with a discussion of how transactional and relationship lending approaches are expected to evolve in the future and whether measures can be developed to more accurately assess factors such as management capacity and commitment to repay.

Precision agriculture has been practiced since the early 1990s, but the adoption rate of this technology has been slower than experts had predicted. This study explores the role of public‐ and private‐sector financial assistance in the adoption of variable‐rate fertilizer application. Public‐ and private‐sector financial assistance are modeled to show the marginal impacts of changes in the traditional flow of government assistance, sales consultant visits, and financial risk. Results indicate that deviation from traditional Aone stop shopping@ has a negative and significant impact on the adoption of alternative fertilizer application technology. However, sales consultant visits, in conjunction with conservation and environmental quality incentive programs and the availability of financing opportunities, significantly favor the adoption of variable‐rate fertilizer application. Changes in business risk produced opposite movements in financial risk to facilitate increased adoption of variable‐rate fertilizer application technologies.

Malting barley is an important specialty crop in the Northern Plains and growers mitigate risk with federally subsidized crop insurance and production contracts. The purpose of this paper is to quantify risks growers face due to “coverage gaps” in crop insurance that result in uncertain indemnity payments when their crop does not meet contract specifications.

A stochastic dominance model is developed to evaluate alternative strategies for growers with differing risk attitudes and production practices (irrigation vs dryland).

The results illustrate how alternative crop insurance provisions affect efficient choice sets for growers. Risk premiums for irrigated growers all point to valuations favoring more coverage, contracts, and malting option B. As the crop insurance industry matures in the functions it performs, it will become increasingly more important to address quality attributes.

This paper addresses quality issues and coverage gaps in crop insurance provisions.

This paper summarizes the findings of the empirical papers in this volume and outlines future research directions for global leadership in general. We summarize the state of global leadership development in universities and recommend design criteria for these efforts. Given the popularity of study abroad as an integral component in many global leadership programs, we highlight common challenges for study abroad programs and the importance of taking an organization development approach. We conclude with future directions for global leadership development research in university settings, most of which emerged from the featured papers on this topic in this volume of Advances in Global Leadership. It is our hope that this chapter serves as a primer for both university program directors and researchers.

The chapter reviews recent evidence of, and debates about, the integration of art, entertainment, and media in media portrayals (e.g., movies, photographs, theater, music, performance art, museums, story-telling, modifications of an environmental space, social media, painting, comics, dance, videogames, etc.) of climate change based on three sources of data: 1) articles listed in academic reference databases and Google Scholar, 2) online sites, and 3) climate change news images. 1) Retrieved articles discuss both the potential and challenges of communicating about climate change through art, entertainment, and media. However, research is inconsistent on and in some cases is critical of the nature and extent of effects of art-based climate communication. 2) The Internet is a rich and diverse source of websites and videos about climate change. We analyzed 49 sites based on the art medium or form discussed, the primary content related to climate change, and the apparent goal of the site or video. The most frequent goals were promote action, collaboration, raise awareness, climate change communication, discussion, empowerment, reshape public perception, and engagement. 3) Based on the major themes and frames identified through content and cluster analysis of 350 images associated with 200 news articles from 11 US newspaper and magazine sources through late 2009, we summarize the theme of art and mass media representations of the environment, and how those are associated with the other major themes. We conclude by suggesting promising areas for future research on the intersection of art and science in communicating about climate change.

It is widely established that many hiring managers view social networking websites (SNWs) such as LinkedIn and/or Facebook in the employment selection process, leading to the acceptance or rejection of job applicants. Due to the rapid evolution of social media, scientific study of SNWs has been substantially outpaced by organizational practice. This chapter focuses on a wide range of issues related to SNW screening relevant to research and practice.

The chapter: (1) reviews the current state of SNW screening practices, (2) describes a wide range of HR issues that should be considered such as privacy, discrimination, negligent hiring, validity, reliability, generalizability, impression management, applicant reactions, and utility, (3) draws connections to related issues already addressed by established employment selection methods to inform SNW screening, (4) discusses pros and cons of potential SNW screening approaches, and (5) provides a framework of best practices that should be incorporated into social network screening policies.

As an emerging employment selection approach, SNW screening demonstrates potential as a rich source of applicant information, but includes numerous legal and ethical issues. Further, these potential benefits and risks vary widely depending on the approaches used.

Provides HR practitioners with a wide range of information necessary to develop an effective social network screening policy, while making the case for academics to pursue research in this nascent area.

The radical center is a space of convergence among overlapping circles, a space in which various ecosystems come into contact. In this chapter, we discuss curricular approaches that take their home in this radical center, leveraging documentary mediamaking practices to connect students, disciplinary approaches, community members, and organizing efforts in relationships of transparency, accountability, and mutuality. In such contexts, students can be equipped to create responsible documentaries through engaged pedagogies that focus on critical documentary theory and understanding of individual location (Coles, 1997). This chapter presents two case studies that facilitated documentary-as-praxis in different communities in the Lehigh Valley, in Pennsylvania.