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Purpose – We study the determinants of growing wage inequality in 16 OECD countries in the past two decades of the twentieth century. The main independent variables that we consider are those pertaining to labor market institutions, to international trade with less developed nations, and to deindustrialization.

Methodology – We specify a statistical model of pay differentials using first differences over five-year periods. The main estimation method used is weighted ordinary least squares. Where necessary, we use instrumental variables and two-stage least squares. We also undertake extensive robustness exercises, including a version of extreme bounds analysis and deleting each individual country from the analysis.

Findings – The determinants of wage inequality are different in the 1980s and in the 1990s. In the 1980s, growing wage dispersion is due to changes in the institutions of the labor market, including declining unionization and declines in the level at which wages are bargained collectively. In the 1990s, increases in pay inequality are due to increasing trade with less developed nations and weakening of social insurance programs.

Originality – This is the first study to report that the causes for pay inequality differed between the 1980s and the 1990s. It is also the first to document statistically that trade with the less developed nations systematically increases pay inequality in the developed world in the 1990s.

This qualitative study investigated how small group communication influences the development of shared mental models in a committee of public librarians addressing a problem-solving task. It examines the influence of communication themes, functions, roles, and rules on the group's development of shared mental models about the task and about team interaction. Data were collected over the course of a year from group meetings, email messages, group documents, and participant interviews and then analyzed using existing coding schemes and qualitative coding techniques. The findings indicate that within the group there was a strong superficial convergence around the task mental model and the team interaction mental model but a weaker convergence at a deeper level. Analysis of the group communication data shows that the group focused discussion on understanding the problem and identifying tasks, enacting group roles and rules that facilitated sharing information. The functions of their messages focused on task communication. The findings suggest that, in this group, communication themes most heavily influenced the development of a shared mental model about the task, while communication roles, rules, and functions were more influential toward the development of a shared mental model about team interaction. Implications for practice include adopting intentional tactics for surfacing mental models at various points in the group life and anchoring the emerging model within the collective cognition of the group through devices such as narratives, objects, or documentary materials.

Materiality is a critical and challenging auditing concept. To help auditors improve their materiality judgments, the authors provide examples from Judaism, primarily due to its longevity and the richness and variety of its stories. The authors show how Judaism interprets and applies materiality in many contexts. For each, the authors provide guidance on how auditors might apply these lessons to improve their materiality judgments. The authors examine five areas where Judaic examples can inform modern auditing including: (1) considering both quantitative and qualitative measures; (2) recognizing that small quantitative changes can lead to material qualitative effects; (3) understanding that ignoring small issues can become a slippery slope; (4) considering the importance of financial statement users’ needs in developing materiality criteria; and (5) prioritizing substance over form. In all examples, context is a critical factor to consider when applying materiality. These results should be of interest to auditors, financial statement users and others.