Roy Hargrove

Copyright 2004
Help with taxes benefits students and low-wage staff
Action on hold for tuition proposal
Festival features America's popular songs
University Gazette


Summer book choices narrowed to five finalists

The list of some 500 books has been chiseled away to five, and in the next week one will be chosen as the 2004 Carolina Summer Reading Program (SRP) selection.

That list included more than 100 selections suggested by the campus community following an e-mail inviting input last November. Others came from suggestions from student participants and volunteer discussion leaders over the past five years of the program along with titles used by other campuses.

Jan Bardsley, associate professor of Asian studies and chair of the 2004 SRP Book Selection Committee, said of this year's choices, "The nearly 500 titles suggested by the campus community set our committee on a path of richly diverse readings. We're confident that our top choice will inspire entering students to read, to question, and to talk about the book with their family and friends over the summer, and with their new classmates in the fall."

The finalists are:

"Absolutely American: Four Years at West Point," by David Lipsky;
"Enough: Staying Human in an Engineered Age," by Bill McKibben;
"A Hope in the Unseen," by Ron Suskind;
"Life of Pi," by Yann Martel; and
"The Middle of Everywhere: Helping Refugees Enter the American Community," by Mary Pipher.

The selection committee -- made up of faculty, staff and students -- will meet on Feb. 22 to pick the book. Members are:

Jan Bardsley, chair, associate professor of Asian Studies;
John McGowan, professor of English;
Reginald Hildebrand, associate professor of African and African-American Studies;
Kimberly Abels, director, Writing Center;
David Gilbert, assistant dean of students;
Cookie Newsom, director, Diversity Education and Research, Office of Minority Affairs; and
Students Zachary Clayton, Jennifer Peddycord and John "Freiler" Wayne.

The committee's selection process has been open to observers for the first time this year even though the panel does not meet the criteria for a public body and the state's open meetings law.

Chancellor James Moeser made that determination to open the process in response to a request from "The Daily Tar Heel" saying that would best serve the University and the committee.

Observers at recent meetings have included media representatives and the Pope Center for Higher Education, affiliated with the John Locke Foundation in Raleigh.

To enhance first-year students' experiences, the Intellectual Climate Task Force Report in 1997 recommended a summer reading program as one component of a "First Year Initiative," and it became a reality in 1999.

Transfer students take on the non-credit assignment as well as entering freshmen. The SRP, however, is not a requirement. Students read the selected book during the summer and prepare for small group discussions during Fall Orientation.

The goals of the program include enhancing students' participation in the intellectual climate of the campus, enhancing a sense of community among students, faculty and staff and providing a common experience for all incoming students.

More information about the SRP is available on its web site, www.unc.edu/srp.

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Task force promotes 34 measures

"It's as important as any issue I've dealt with since I came to Carolina."

That's what Chancellor James Moeser told a campus audience that had gathered to hear about a report that identifies ways to improve the work environment at the University.

Presented Feb. 5 at an Employee Forum Community Meeting, the report of the Chancellor's Task Force for a Better Workplace includes 34 measures that range from healthy lunch alternatives to a community college program located on campus.

All aim to boost employee morale, which has suffered in the face of sparse -- if any -- pay raises and higher health-care costs in recent years. Eroding morale threatens Carolina's goal of becoming the nation's leading public university, Moeser said, because staff play such a critical role in supporting the work of faculty and students, as well as facilities.

"While our staff ranks second to none, it is foolish to believe it will always be that way simply because it always has been that way," Moeser said.

The 34 points in the task force's plan cover short-, medium- and long-term steps, with the top priority in each timeframe being:

Short term -- Establish an ombudsperson's office to help make sure that employees are treated fairly in job disputes.

Medium term -- Increase financial assistance available for employees to attend community college or college classes, and publicize the availability of resources to assist employees.

Long term -- Expand tuition waiver program to include more courses per year, coverage of dependents, and inclusion of non-credit courses.

For more details

The complete report of the Chancellor's Task Force for a Better Workplace has been posted online under the "Informational Documents" heading at hr.unc.edu/hottopics/betterworkplace. Also, the task force's recommendations are listed in the Feb. 4 "Gazette:" http://gazette.unc.edu/archives/04feb04
/file.1.html

The task force report reflects campus community input garnered from a survey distributed to SPA and EPA non-faculty employees. Lynn Williford, director of institutional research, reviewed the results at the Feb. 5 meeting.

What people wanted most included flexible scheduling options, expanded tuition waiver offerings and wellness classes, she said. Higher salaries, improved benefits and better and more affordable parking and transportation also scored high.

The task force report addresses all of these except compensation, which the panel did not tackle because that falls under the jurisdiction of the state General Assembly.

But Moeser pledged that he and his administration, along with the UNC Board of Governors and Office of the President, would continue to lobby legislators to improve pay and benefits for state employees.

Employee Forum Chair Tommy Griffin, who co-chaired the task force with Moeser, said that the panel's work will pay off, as each step has been assigned to someone for action and will be tracked by a committee.

"We'll keep on informing the campus, so they'll know where we're at," Griffin said.

Employees at the meeting raised issues such as the perception on campus that faculty are more important than staff. Others, while praising the task force's report, questioned whether it could have been even better with more rank-and-file representation on the panel.

Moeser said the task force's composition of faculty, staff and students provided perspectives that "made for a dynamic process and a better set of recommendations."

Griffin, too, credited the panel for its diligence.

"Every time I left a task force meeting, I was walking about 10 feet off the ground," he said.

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Workforce growth patterns vary

It's a tale of two staff workforces at Carolina.

On one hand, there are the growing ranks of employees brought in to work on research grants. On the other hand, there are the employees who work in the offices and in the shops and on the grounds, whose numbers have stagnated in the face of state budget cuts and efficiency gains.

That was the picture painted in a Feb. 4 Employee Forum meeting presentation by Laurie Charest, associate vice chancellor for Human Resources, and Bob Knight, assistant vice chancellor in finance and administration.

The University workforce has grown 18 percent in the last 10 years, and much of that growth has stemmed from Carolina's burgeoning research enterprise. Since 1994, the full-time equivalency number of employees paid with funds from contracts and grants has jumped by 53 percent, from 1,533 to 2,337. And those paid with overhead receipts have increased even more, from 241 to 455, a climb of 88 percent.

While some of this growth has come in faculty, much has come from staff, who work on the grants that faculty members secure. In the area covered by the vice chancellor for research and economic development, the permanent non-academic staff workforce has risen 60 percent since 1994, from 395 to 631.

Meanwhile, the number of employees paid with state appropriations or tuition dollars has increased just 3 percent in the past 10 years, with the full-time equivalent of 4,531 in 1994 and 4,670 now.

In fact, the number of permanent non-academic staff under the vice chancellor for finance and administration has dropped by 5 percent in the past decade, from 1,638 to 1,562. Specific job classifications reflect those numbers. Permanent SPA clerical employees have decreased from 2,290 to 1,834 and maintenance/skilled trades from 1,189 to 1,072.

In a graphic illustration of how those declines have affected Facilities Services, the presentation showed that there was one facilities worker for every 5,958 square feet of building space in 1994, compared to one for every 7,597 square feet in 2002.

One SPA job classification to increase in numbers since 1994 is technical/professional -- from 2,320 to 3,355 -- reflecting the rise in demand for information technology specialists.

Knight warned that the trend in lean state funding for positions here could get to a "dangerous tipping point" and encouraged forum members to let legislators know about the importance of the issue.

The presentation that the forum saw also has been shown to the University Board of Trustees, and Employee Forum Chair Tommy Griffin said that trustees already are hearing that message.

"They know that we need money," he said.

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Williams family joins Carolina Covenant team

North Carolina men's basketball coach Roy Williams is lending his name and -- with his family -- making a generous gift to the Carolina Covenant, the University's groundbreaking initiative to make a debt-free Chapel Hill education possible for low-income students.

Williams, a 1972 Carolina graduate and the nation's winningest active college coach, his wife, Wanda, and their children, Scott and Kimberly, have pledged a $100,000 gift to the Carolina Covenant. The Carolina Covenant was a first for a major U.S. public university when it was announced last fall to emphasize the University's traditional commitment to access for those who are academically qualified.

Williams, an Asheville native, also endorses the Carolina Covenant in a new 30-second institutional television message that Carolina will use in its national and regional TV games and in other venues, including the Smith Center.

The spot opens with a narrator noting Carolina's commitment to excellence, a better future and educating the next generation of leaders in medicine, business, education and other fields. Then Williams discusses one of the University's latest commitments -- the Carolina Covenant -- from one of the most picturesque academic settings on campus: the Rare Book Reading Room in the Louis Round Wilson Library.

Says Williams in the spot: "The Carolina Covenant is a promise. It's a promise to help kids from low-income families get a college education debt-free. It's a promise that Carolina is proud to make because everyone deserves a shot."

Starting next fall, the Carolina Covenant will enable qualified low-income students to come to Carolina and graduate debt-free if they work on campus 10 to 12 hours weekly in a federal work-study job instead of borrowing. Carolina will meet the rest of those students' needs through a combination of federal, state, University and privately funded grants and scholarships.

When Chancellor James Moeser announced the Carolina Covenant last October in his "State of the University" speech, Williams called the chancellor to say that he was proud of Carolina's leadership. He also expressed interest in making a personal gift to assist students with needs the initiative aims to meet.

The coach's call later gave Moeser the idea to ask Williams to appear in the University's TV message. Most networks airing men's basketball and football games give each campus 30 seconds of air time for an institutional message supplied by the university. Those spots typically run at halftime or another point in the broadcasts.

"The University is grateful for all of Coach Williams' generous support for the Carolina Covenant and what it stands for: a commitment to access for those students who can make the grade academically regardless of their ability to pay," Moeser said. "Coach Williams was moved by this powerful message, and now he is helping us reach out to prospective students, their parents and the public. His involvement, as one of America's most successful coaches and teachers, is just one more indication of the strong momentum the Carolina Covenant has achieved over the four short months since it was announced."

The gift from the Williams family counts toward the Carolina First Campaign, a comprehensive, multi-year private fund-raising campaign with a goal of $1.8 billion to support Carolina's vision of becoming the nation's leading public university.

The covenant is the first program of its kind to be launched by a public university in the United States. The University of Virginia just announced plans for a similar program. UVa. officials began consulting with their Chapel Hill counterparts to learn more about Carolina's program shortly after it was announced.

Several other major public campuses have been exploring the possibility of creating similar programs and have contacted the University for information. Reaction in North Carolina and across the nation has been overwhelmingly positive to the plan. University officials have been in frequent demand in recent weeks to give presentations at national and regional meetings with educators and others. Interest from public school officials and even elementary school-age students also has been strong.

Carolina's initiative comes at time when the cost of college is rising steadily for low-income families. Nationally, the average student loan debt has nearly doubled to $17,000 over the past decade. About one-fifth of full-time students work 35 or more hours a week.

As a result, many low-income youth abandon plans for college -- or drop out -- because the burden of that debt and workload is too much. The patterns are even stronger among minority students. Research also shows that low-income families need more information -- and greater predictability -- about the availability of financial aid.

The Carolina Covenant responds to such concerns. The University already meets 100 percent of the documented financial need of all students who apply for aid on time, but about one-third of that need is met through loans. To fund the Carolina Covenant, the University will make reallocations of existing funds in the Office of Scholarships and Student Aid and pledge growing private gifts dedicated to low-income students.

Eligible students must be at or below 150 percent of the federal poverty level. Under current federal poverty levels, a family of four with an annual income of about $28,000 would qualify. For a single parent with one child, the eligible income would be about $18,000.

The state of the economy and the rising number of families living in poverty demonstrate the need for the Carolina Covenant. Since one in four North Carolina children now live in poverty, the need for an accessibility initiative like the Carolina Covenant will remain strong. According to the North Carolina Children's Index of 2002, more than one-third of North Carolina's families made less than $28,000 a year in 1999, the last year data were available.

In fall 2003, 281 of Carolina's freshmen, or 8 percent of the freshman class, came from low-income families. Most of those -- 89 percent --were from North Carolina. More than half were minorities. Federal and state financial aid covered about 60 percent of the college costs for those students.

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Leloudis covers Carolina's twists and turns

How could anyone, in the space of a single lecture, capture the essence of this place?

It fell upon James Leloudis, while giving the inaugural Gladys Coates University History Lecture, to make the attempt. The lecture was delivered Feb. 12 before a packed Pleasants Family Assembly Room in Wilson Library.

As associate professor of history, Leloudis knew too much of the University's history to even pretend its many stories could be knitted together into a single uplifting tale.

"The truth, of course, is there is no essence to capture or convey," Leloudis said. "Its history has been contentious and contested, and it is centered on some of the most fundamental and profound questions we can ask in the academy."

What should a university be? What counts as knowledge? What is to be taught?

How should the University understand its relationship to the larger society?

We struggle with these questions today, he said, but they are not peculiar to our own time.

"They are, in fact, our inheritance," Leloudis said. "And they are, by their very nature, irresolvable."

Born of revolution
As the nation's first public university, Carolina was established to serve a radical experiment in the founding of a republic, a society of citizens rather than subjects.

The curriculum was the handiwork of William Richardson Davie, a former officer in the Continental Army and author of the University's charter. Under Davie's plan, science and modern language stood on an equal footing with the classics of ancient Greece and Rome. Students were free to make their choice between two diplomas. One was in Latin, for young men wishing to master an ancient tongue. The other was in English, for those who concentrated on science and politics and modern literature.

But Davie's experiment would be swallowed up by the tide of reaction that swept throughout Europe and America in the wake of the French Revolution. Troubles broke to the surface here in 1799 when, after a popular student was expelled, students rallied to his defense by rioting. The rioting would culminate with students horsewhipping the president of the University.

Samuel McCorkle, who was a Presbyterian minister on the Board of Trustees, argued that Davie's curriculum be abandoned lest it perpetuate in America the same forces of infidelity, free thinking and moral decay that corrupted the French Revolution and unleashed a reign of terror.

By 1804, Greek and Latin had been restored here as the twin pillars of instruction.

By the midpoint of the 19th century, the mission of the University was no longer in question. Sons of the slaveholding elite came to Chapel Hill from every corner of the South to learn to become master, in every sense of the word, Leloudis said. "Young men came to Chapel Hill to affirm their place in society, not to discover a prescription for making the world anew," Leloudis said.

Rapid rise of a modern university
After the Civil War, North Carolina began to be remade by the establishment of cotton mills and tobacco factories and the construction of thousands of miles of railroad. The University began remaking itself in the image of that economic revolution, starting in 1875 when the trustees scuttled the antebellum curriculum, Leloudis said.

"This University, they insisted, would serve no longer as a mere storehouse of knowledge. It would operate instead as -- their phrase -- `a great metropolis of thought.' By gathering and creating and distributing knowledge, they said, the University would become a force in the world of progress, a dynamo of change.

"Under this new conception of the University, the faculty changed from a handful of ministers who had served as jacks-of-all-trades to include specialists certified by a degree, borrowed from German universities, called the doctorate of philosophy, the Ph.D."

The first of Carolina's new faculty to hold the Ph.D. was a chemist named Francis Preston Venable who came here in 1881. In turn, Carolina conferred its first Ph.D. to one of Venable's students in 1883.

"North Carolina was one of the poorest states in the nation," Leloudis said. "It labored under the burden of defeat, and like the South at large it was hobbled by the legacies of slavery, most particularly, a rigid, unforgiving and brutal system of racial segregation. In that context, the embrace of the research ideal was accompanied by something akin to missionary zeal. The knowledge that research produced came to be valued not only for its own sake but also as a tool of redemption and reform."

That pattern built steam throughout the 20th century.

Edward Kidder Graham and Harry Woodburn Chase, the eighth and nine presidents of the University, insisted that Carolina engage the South's great ills: racism, poverty, illiteracy, sickness and disease. Howard Odum in the 1920s established the School of Social Work and the Institute for Research in Social Science that produced scholarship on such taboo topics as lynching, unions and child labor.

Frank Porter Graham, president of the University from 1930 to 1949, crafted a declaration of workers' rights, and, as a member of Harry Truman's Commission on Civil Rights, called for the dismantling of Jim Crow.

And there were Albert Coates and his wife Gladys, who took seriously Edward Kidder Graham's suggestion that the boundaries of the University were coterminous with the boundaries of the state, Leloudis said.

"They struggled for many years in the middle of the last century to establish the Institute of Government, now the School of Government, and to promote standards of public administration that would bring new opportunities and better lives in communities all across North Carolina," Leloudis said.

In 2001, the University awarded Mrs. Coates, who was then 99, an honorary doctor of laws degree. She died Sept. 25, 2002, 13 years after her husband's death.

Chancellor James Moeser described the Coateses as "thinkers, writers, researchers and teachers, movers and shakers, founders and promoters. Above all, they were doers." The Institute of Government, he said, "is their firstborn child." Her last act of generosity came to the University in a $1 million bequest for the benefit of the University's libraries and North Carolina Collection, he said.

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Bookies practice economics by the book

If you bet a few dollars on the Super Bowl this month, you weren't alone. Americans place billions of dollars in bets on sports each year, according to the American Gaming Association.

Only 1 to 3 percent of those bets were legal. Those numbers qualify illegal bookmakers as big business, and these underground operations act like real corporations in many other ways, according to a study conducted by Koleman Strumpf, associate professor of economics.

Technology transfer update

The Office of Technology Development helps Carolina faculty, students and staff develop and commercialize patentable inventions resulting from their research. In the last four months of 2003, the University executed seven license agreements and had nine U.S. patents issued.

A patent is a legal document granting inventors the exclusive right to prevent others from making, using or selling an invention for a number of years. A license agreement is a written contract granting permission for a person or company to use an invention under certain terms. For more information about OTD, go to research.unc.edu/otd.

Strumpf studied detailed records from six bookmakers who were arrested from 1995 to 2000 in Kings County, New York. The records included such information as what prices were set, where bettors lived and how much they owed.

Summing up his results, Strumpf said, "Standard economic principles that you would learn in a principles course govern what these guys do." That finding goes against some common assumptions about bookmakers, he said.

"Most people claim that bookmakers always try to balance books on a game," he said. "For example, the assumption is that on the Super Bowl, bookmakers would try to get the same amount of bets on the Panthers as on the Patriots, so they would pay out the same amount of money regardless of who wins." Then the bookmakers would simply make their profits from commissions.

But the bookmakers that Strumpf studied didn't operate that way. Instead, they would take huge losses on some games and make big profits on others. "Sometimes they win a lot, sometimes they lose a lot. But on average it works out well for them," Strumpf said.

He also found that these bookmakers use a practice that economists call "price discrimination." If certain bettors always bet for the same team, regardless of the price, the bookmakers tended to charge them higher prices. "The only way a bookmaker can consistently charge someone a high price is by knowing how the bettor will behave," Strumpf said.

Strumpf was surprised by the volume of business these operations handled. One of the bookmakers took about $250 million a year in bets. "That's as big as a legal Las Vegas Strip bookmaking operation," Strumpf said. To handle the potential payouts, the bookmaker had to keep as much as a million dollars in cash lying around. "When the guy was arrested, they found $600,000 in cash in the room," Strumpf said.

Do these operations make a lot of money? Strumpf found that the average profit was about $2 million a year. That sounds like a lot. But Strumpf points out that it's lower than what the bookmakers could have made if they invested a similar amount of capital in legitimate markets. "But these people do not have an extensive formal education," he said. "I don't know how they would have made this kind of money anywhere else."

Strumpf has submitted his study to a peer-reviewed journal. For more information about the study, visit his web site at www.unc.edu/~cigar.

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Music in a world gone wired
Is the Internet the music industry's enemy or its saving grace?

Editor's note: This story is reprinted from the Winter 2004 issue of Endeavors, a magazine highlighting research at Carolina. It is published three times a year by the Office of Graduate Studies and Research. Neil Caudle serves as editor. Michelle Coppedge wrote this piece. Employees who would like a free subscription to Endeavors should send their name, job title, department and campus address to the Endeavors office via campus mail (Endeavors, CB 4106), e-mail (endeavors@unc.edu) or the subscription form at the magazine's web site (research.unc.edu/endeavors).

The business of music is in turmoil. Record stores close. Industry executives lose their jobs. Sales of albums drop -- and many in the record industry blame the countless people who share music over the Internet. You hear sinister words such as "piracy" thrown around. But is file sharing really responsible for the industry's woes?

"I've never seen anything that even comes close to providing evidence of that," says Koleman Strumpf, associate professor of economics.

The fall in record sales -- a 26 percent reduction in total units from 1999 through 2002, according to figures released by the Recording Industry of America (RIAA) -- could be due to many factors, he says, including the state of the economy, competition from video games and cell phones for consumers' time and money, or changes in consumer demographics. Strumpf, an avid music fan himself, is studying the effects of file sharing -- freely sharing digital versions of songs among computer users via the Internet -- on record sales.

Strumpf is analyzing log files from a file-sharing service called Open Nap. His data are lists of what people were looking for and what they actually downloaded on Open Nap over a four-month period. "I have over 1 million transfers," Strumpf says. "That's actually a pretty large sample of what's out there."

The goal of Strumpf's research is to link the names of the songs people downloaded to a database of record sales by album from the same period. Two years ago, in the midst of a court case involving Napster, a file-sharing service, he found that no one had done a concrete study of the correlation between the rise in file sharing and the fall in record sales. Was there really a direct connection between the two trends? If so, he also wanted to know if the loss of royalties hurt the people actually making music -- the artists.

"The music industry says that it's being decimated by file sharing and there's no longer any incentive to become a musician," Strumpf says. He thinks his research will show that this is not the case. In the United States, there are somewhere around 30,000 bands on the five largest record labels, he says, and probably only 500 of them make a living from their album royalties anyway. "The economic incentives for being a musician are very, very limited," Strumpf says. "A lot of it is luck. Regardless of what file sharing's going to do, I believe it will not have much influence on people's desire to form bands and create music."

But whether or not file sharing is hurting musicians or putting record executives in the poorhouse, it is still a problem for the industry, and it is still illegal.

"The law doesn't deal specifically with file sharing," says Laura Gasaway, professor of law and director of Carolina's law library. "But it's a reproduction of a copyrighted work, which is infringement." Hence the recent onslaught of lawsuits by the RIAA, a powerful music-industry lobbying group, against individuals they identify as heavy file sharers. These legal efforts hit Carolina in November 2003, when the RIAA subpoenaed for the personal information of a student who had allegedly shared files.

But could the lawsuits really be making things worse? Strumpf thinks so. "This lawsuit approach fuels the people who are the backbones of these file-sharing networks and gets them even more ticked off at the music industry," Strumpf says. "There are going to be people who are even more committed to helping other people do this."

What can the music industry do for what ails it without alienating all its customers? This is a question that intrigues Anne York and her students. York, assistant professor of management-strategy in the business school, incorporated in-depth case studies of the music industry into the syllabus for her senior-level strategic management course in both the spring and fall 2003 semesters.

"Basically the recording industry is an oligopoly -- just a few big companies that control pricing, distribution, everything about the process," York says. It has been this way for years. "But of course the little chink in the armor is that now the Internet is here."

Discussions of the music industry merge technology, market power, legal issues, and ethical issues, York says. "And students are the best ones to see what the opportunities are. They're the ones going to the concerts, buying the albums, downloading the music." Students in her classes admitted they downloaded and shared music -- and that they considered it stealing. When asked why they did it, though, "Their reasons were pretty valid," York says. "They haven't been given what they want -- the ability to buy individual songs affordably, to make their own mixes digitally. They also see recording firms as huge companies that rip off customers and the artists, too."

York's students researched the history of the industry and its five major companies. A music executive, a legal expert (Gasaway, from Carolina's law school), and an ethics expert visited the class. Students also investigated the artist's perspective and developed business strategies for the companies.

To share her students' research with others, York is compiling an instructional case based on their work for distribution to business schools. Their case will be one of the first to package information about an entire industry's trends with studies of individual firms, York says -- a way to teach students about competition in an industry that's changing almost daily.

Former music executive Jay Boberg, one of the speakers to York's class, is convinced that the old recording-industry model may no longer work. "He suggested that firms will have to accept downloading as inevitable and look for ways to increase the value of what they provide to consumers," York says.

What are some of the strategies the music giants are using besides lawsuits? "Mergers are the biggest thing right now," says Josh Payne, a senior business major who took York's class and contributed an independent study to the final teaching case. "There are two theories: Either you get bigger and cut your costs, or you sell off noncore assets such as CD manufacturing or publishing and try to be flexible." Even though there are many successful independent, or "indie," music companies and artists, Payne points out, 80 to 90 percent of the music market is controlled by the five major companies.

The companies are also pursuing new marketing tactics. York mentions car ads that promote catchy songs along with shiny new vehicles, as well as an emerging trend to sell live concert videos at venues immediately following performances. Strumpf points to the cross-marketing of like items by retail services such as Amazon.

Most important, perhaps, to the music industry's economic survival are the resources of the Internet itself. A major advantage of the Internet's pervasiveness is that it can help indie artists and companies. Musicians not backed by one of the big five companies, or not on a label at all, can get their music directly to listeners via the Web. Often the listener then purchases the music he or she has heard.

Sean McCrossin, the owner of CD Alley, an independent Chapel Hill record store, says the Internet is good for business. "It gives people an opportunity to get turned on to music," he says. CD Alley, McCrossin says, hasn't experienced any drop in sales resulting from file sharing, since most of the music they sell is not mainstream. "We've never really sold the stuff that's been affected," he says, adding that the independent music community is self-supporting.

Several fledgling pay services for downloading music, including iTunes and a new version of Napster, have emerged, and Napster recently announced a preliminary arrangement with Pennsylvania State University to include music-downloading as part of students' technology services.

"If companies can, to some extent, protect their content from sharing, and offer it over the Internet at a lower cost, they could have a really viable alternative to piracy," Payne says. Gasaway says, "They're already saying that file sharing is decreasing, but we don't know if it has anything to do with the lawsuits. It could be that people understand what infringement is now or that they're using the new pay services for downloading music."

Strumpf is a little more skeptical about these services. "Until they get the selection up to snuff, it's going to be tough," he says. People are used to freely downloading not only material that can be purchased in stores, but much that cannot, including live and unreleased versions of songs.

"Currently, there are very big gaps. There are a lot of copyright holders to deal with -- and they would have to get all the indie labels if they want to have a big selection on board," Strumpf says.

Will the music industry learn to use the Internet's complexities to meet consumers' demands? It seems that it must. File sharing is inevitable, York suggests. And it's too global, Strumpf says. Two-thirds of the song downloads over the period he's studying were done outside of the United States. Even if all U.S. file sharing were stopped by the RIAA's lawsuits, the problem wouldn't be solved. And file-sharing networks them-selves continue to be centered farther and farther out of U.S. reach.

"The whole thing is reminiscent to me of Prohibition," Strumpf says. "You shut it down here, it appears somewhere else. Whether you think it's a good thing or a bad thing, when there's a tremendous demand for an activity, markets tend to find a way to provide it."

Strumpf expects to have updated results of his study -- which he will post on his web site, www.unc.edu/~cigar -- in March. York's teaching case on the music industry will be available for distribution in the spring.

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Cogeneration facility honored for efficiency

The U.S. Environmental Protection Agency and the U.S. Department of Energy recently recognized Carolina's cogeneration facility for promoting efficient energy.

The University, along with the University of Michigan, received the Energy Star Combined Heat and Power Award that recognizes exemplary cogeneration projects for increasing the nation's electric generation efficiency.

In 2000, Carolina received a certificate from the departments in recognition of its project's ability to demonstrate leadership in environmental performance. Programs that receive certificates are not required to meet all award standards set by the EPA.

"I think it's an honor to be recognized twice in such an elite program," said Raymond E. DuBose, director of energy services. "To receive recognition twice in a four year period emphasizes the clean and efficient operation we have at cogeneration systems."

Cogeneration produces significant environmental benefits, said Tom Kerr, chief of the energy supply and industry branch of the EPA, who presented the awards.

"Cogeneration uses less fuel, so you have less emissions," he said. "When you burn less fuel, you're also saving money."

Carolina's cogeneration facility, located off Cameron Avenue, was completed in 1992. It uses advanced technology called circulating fluidized combustion, making it one of the cleanest coal-burning facilities in that nation, DuBose said.

The facility burns coal to generate and distribute steam to the campus and UNC Hospitals through about 40 miles of steam pipes and 10 miles of chilled water pipes. Steam is used for heating and cooling, as well as for heating domestic hot water, sterilization, humidification, cooking and cleaning. The plant also generates about one-third of the University's electricity; the rest is purchased from Duke Power.

"The primary purpose of the facility is to produce all the steam for the University and UNC Hospitals," DuBose said. "We produce electricity as a byproduct of the steam, so we can produce it a lot cheaper."

Carolina's heating and air conditioning system serves about 200 campus buildings containing more than 14 million square feet of floor space, DuBose said. The plant is capable of producing 750,000 pounds of steam per hour, while its generator can produce 28 megawatts of electricity.

"Our combined heat and power technology provides for beneficial use twice the energy from a pound of coal than does the average power plant in the United States," he said.

DuBose said that because the University uses steam for heat during the winter and for air conditioning in the summer, the facility is able to generate power for little additional cost.

"Our cogenerated power costs less than a penny per kilowatt hour compared to purchased power cots of about 4.3 cents," he said.

RETURN TO TOP

How much does elder care cost?

The figures cited in this article are only averages; it is important to call your care providers to determine the cost of services in your area. In addition, be sure to contact your elder's insurance provider to find out what services are covered by health insurance.

You know that your elder adult needs help. Now is the time to compare costs of at-home care versus care in a facility. If your elder can no longer live at home, you need to consider the costs of nursing homes and assisted-living facilities. If your elder can remain at home but needs assistance, you might consider home care and home health care, adult day-care programs and senior centers. Other services for your elder might include an emergency response or medication reminder service, companion or friendly visitor programs and transportation.

Nursing home care is the most intense level of care and therefore is the most expensive. Nursing home care provides comprehensive care -- skilled medical and personal care, medication management and meals as well as other necessary services. Nursing homes range in cost, but the average cost of care could be $50,000 annually or $115 per day. Medicare will pay for nursing home care under certain conditions, such as a brief stay after a recent hospitalization. Medicare does not cover nursing home costs for a person who lives in a nursing home permanently. Medicaid, if a person qualifies for it, does cover nursing home costs.

Assisted-living facilities are an option for seniors who do not require daily medical care. Assisted-living options vary in cost -- from $1,000 to more than $5,000 a month. Most assisted-living facilities offer several living options, recreational activities, meals, transportation to doctors' appointments and staff on location 24 hours a day. Assisted-living costs are not covered by health insurance plans, Medicare or Medicaid.

Home care is a service for elders who need assistance with activities of daily living in order to live at home. Home care usually includes assistance with personal care and running errands. Home care is not covered by health insurance or Medicare but may be covered by Medicaid in some instances. Private pay for home care usually costs $15 to $20 an hour, or $100 a day for 24-hour care.

Home health care is medical care provided in a senior's home. Home health care is typically covered by Medicaid or health insurance if a doctor can provide a qualifying condition. Home health care is usually time limited and does not provide personal or home care services. Private pay home health care can cost as much as $85 per visit.

Adult day-care programs typically offer a place where elders can congregate and participate in various activities. In some cases, adult day programs offer meals and transportation. Some programs specialize in certain types of care, such as dementia care. Adult day programs vary in cost -- from $10 to $50 a day.

Senior centers are community centers, usually operated by the local department on aging. Most centers offer a range of recreational activities and a place for seniors to gather and socialize. Most senior center activities are offered free of charge with the exception of transportation and meals.

If your senior loved one chooses to remain at home, you may want to institute certain services to ensure your elder's safety and health. An emergency-response service will ensure that if your loved one needs help, he or she will get it as soon as possible. Emergency response services feature various options that usually cost between $35 and $50 a month, with an additional, one-time installation fee of from $50 to $100 month. Another helpful at-home service is a medication-reminder service. Such a service will call your elder to remind him or her to take medications. These programs will usually make up to four calls a day for $20 a month. Other costs to consider if your elder lives at home are meals or meal-delivery programs, companion or visitor programs and transportation.

After surveying the options available to you and figuring out what you and your elder's budget can manage, you can choose the type or types of care that will work best for your loved one. As always, your local department on aging can guide you in finding the right care for your family.

Contact me by calling 962-6008 or e-mail Leslie_Bacque@unc.edu.

Stay balanced!

Writer: Leslie Bacque, Work-Family Manager,
Employee Services, Office of Human Resources