Stock Market Response to the Financial Regulations in the Mortgage‐Lending Market in Korea

This study investigates the economic impact of the financial regulations that aimed to control the housing market in Korea during the reign of late President Ro's Administration, which had diligently fought against the then speculative bubble in the Korean real‐estate market. We test for the validity of the general prediction that the financial regulations in the form of the loan‐to‐value (LTV) and debt‐to‐income (DTI) restrictions would have adverse impacts on the value of the firms operating in the mortgage‐lending industry. In this event study, we select two critical days as event dates and check whether the stock prices of the financial firms react negatively to the announcements of the regulations. Overall, the initial imposition of the DTI restrictions (i.e., the first event) adversely affects those banks that possess a relatively large number of mortgage loans in their asset portfolio. By contrast, banks that hold a small number of mortgage loans appear to benefit from the risk‐reducing effect of the DTI regulation. Subsequently, the reinforcement of the LTV and DTI rules (i.e., the second event) has negative impacts on the banks with large mortgage loans. The degree of this adverse effect is greater in the second event than in the first event (i.e., the DTI restrictions). The reinforced regulations also unfavorably affect the savings banks with large mortgage loans but to a lesser degree compared with their counterparts in the banks. Meanwhile, the reinforcement of the financial regulations has negligible impacts on the banks and the savings banks with smaller mortgage loans.     

Harnessing third parties as surrogate regulators: achieving environmental outcomes by alternative means

The need to design innovative strategies alternative or complementary to that of government regulation is becoming increasingly apparent. This article examines one such innovation: to use both business and commercial entities and non‐commercial third parties as surrogates for, or complements to, direct government regulation. This strategy will still involve government intervention, but selectively and in combination with a range of market solutions, and of public and private orderings. The contexts and circumstances in which third parties might be used as surrogate regulators are considered; the impediments to them acting in this role and the extent and circumstances in which they might be overcome are identified; and the roles that governments might play in facilitating, encouraging or otherwise ensuring that third parties do act successfully as surrogate regulators are examined. Copyright © 1999 John Wiley & Sons, Ltd and ERP Environment.     

On the Applicability of the Sieve Bootstrap in Time Series Panels*

In this article, we investigate the validity of the univariate autoregressive sieve bootstrap applied to time series panels characterized by general forms of cross‐sectional dependence, including but not restricted to cointegration. Using the final equations approach we show that while it is possible to write such a panel as a collection of infinite order autoregressive equations, the innovations of these equations are not vector white noise. This causes the univariate autoregressive sieve bootstrap to be invalid in such panels. We illustrate this result with a small numerical example using a simple DGP for which the sieve bootstrap is invalid, and show that the extent of the invalidity depends on the value of specific parameters. We also show that Monte Carlo simulations in small samples can be misleading about the validity of the univariate autoregressive sieve bootstrap. The results in this article serve as a warning about the practical use of the autoregressive sieve bootstrap in panels where cross‐sectional dependence of general form may be present.     

EDITORIAL: BETTER REGULATION WITHOUT THE STATE

There has been mounting concern about the increasing level of regulation in the UK economy over the last decade or more. Regulation has significant costs and is difficult to repeal. The government has set up various bodies to examine deregulation and better regulation. This article and the other articles in this issue look at those approaches and ask whether the state should be involved to a lesser degree in regulation. In many areas, it may be appropriate for the state to withdraw altogether, either because the private sector can spontaneously develop better regulation than the state can or because the unintended costs of state regulation are so great.     

The “New HR” and the new HR consultant: developing human resource consultants at Andersen Consulting

This article deals with the manner in which Andersen Consulting trains its HR consultants. In the face of the new complexity of HR, where new executive buyers are demanding HR solutions with business value, new ways must be found to bring professionals to high performance levels. Consultants must be armed with a broader and deeper set of competencies—not just in HR skills but in general business and interpersonal skills, and in technology. The article addresses new kinds of delivery philosophies and mechanisms—finding the right delivery for the right kind of training. It then presents an overview of the general curriculum for Andersen's consulting professionals and the specialized curriculum for those concentrating on HR delivery. © 1999 John Wiley & Sons, Inc.     

SECTOR-SPECIFIC PATTERNS OF ORGANIZATIONAL DESIGN CHANGE*

Recent approaches to understanding change in organizations have moved beyond just looking at structure and have focused on the role of values in defining the manner in which organizations change. This article integrates the concepts of design archetypes, tracks and high impact systems in an effort to understand the patterns of change for an institutionally specific set of organizations. the sample used for the study was a set of Canadian national sport organizations undergoing institutional change. Three design archetypes (Kitchen Table, Boardroom and Executive Office) that represent institutionally specific coherent value-structure relationships were used to show that patterns of change are determined by the extent to which the coherence of organizational design elements shift over time. Using these design archetypes as a model for change, tracks were identified that provided an indication of the degree and direction of change and the extent to which design coherence was maintained. This paper shows that there is variety in organizational design coherence and that this is related to patterns of change. In addition, reorientations to a new design are signalled by changes in structures or systems that are central to the organization's purpose and as such can have a high impact on moving the organization to a new design.     

The Internationalisation Process of Danish Firms -Gradual Learning or Discrete Rational Choices?

Abstract

The Uppsala Internationalisation model has greatly influenced Nordic research on the internationalisation process of firms. In this article, the Uppsala model is tested on Danish empirical material. The Danish firms largely follow a sequential development as regards the geographical dimension, where, typically, they set up in culturally close markets first and later set up in the more distant markets. On the other hand, the firms seem to follow to a less extent a pattern of sequential expansion of market commitment on the single foreign markets, just as a surprising number of establishments are set up without previous activity on the market. Crucial differences cannot be found between the establishment pattern abroad of large and small firms. The Uppsala model in itself cannot explain the internationalisation pattern of the Danish firms, which is why the article advocates that the internationali-sation process should be understood as an interaction between internal conditions in the firm (“learning” processes), external competitive conditions and more basic economic factors (assessment of market potential).     

What has been happening to collective bargaining under New Labour? Interpreting WERS 2004

The late 20th century saw the rapid decline of collective bargaining, which had hitherto been the dominant means of regulation of employment in Britain. The article uses a comparison of the Workplace Employment Relations Surveys for 1998 and 2004 to assess how far this changed during the later period of economic growth and sympathetic labour legislation. Contrary to expectations, the data show that collective bargaining coverage has continued to fall, although much of this decline is concentrated in small firms in the private sector. The article goes on to analyse the recent change at sectoral level and examines evidence on the extent to which the character, as well as the extent, of collective bargaining had changed. The locus of management decision making has continued to move down organisations, both where collective bargaining occurs and also where unions are absent. Finally, the article evaluates how the perceptions of those involved in the bargaining process have shifted at a time of greatly diminished trade union influence.     

The Alternative of Private Regulation: The London Stock Exchange's Alternative Investment Market as a Model

Most people assume that markets require a strong set of government rules and regulations to eliminate problems associated with transparency and fraud. Commonly overlooked is the fact that stock exchanges did, and to a large extent still do, provide a set of private rules and regulations. One modern stock exchange that relies heavily on private rather than government regulation is the London Stock Exchange's Alternative Investment Market (AIM). Founded in 1995, AIM is an exchange regulated market in which private regulators, called Nominated Advisors or Nomads, oversee individual firms and decide whether they can list their shares. This system of private regulation reduces regulatory barriers and has attracted many new firms. But rather than being ‘a race to the bottom’ in which anything goes, the private regulators work to put their stamp of approval only on firms that warrant trading. The market has attracted a lot of investment, and the survival rate of IPOs is in line with that of other more regulated markets.     

浅议混合所有制企业的内部审计

本文对多种经济成份构成的经济组织,混合所有制企业内部审计的重要性作了论述,提出了混合所有制企业内部审计组织机构的设置原则,独立性原则和权威性原则。介绍了目前常见的混合所有制企业内审组织机构的设置模式:总经理领导的组织模式、监事会领导的组织模式和董事会领导的组织模式及其利弊。提出了混合所有制企业内部审计的主要内容,对混合所有制企业内部审计的规范化和内审人员的素质也提出了要求。     

Accounting change in Norway

During the last twenty years, a change from a continental towards what can broadly be characterized as an Anglo-Saxon perspective of accounting has taken place in Norway.

This paper discusses whether the new Norwegian Accounting Act of 1998 and the accounting standards issued by the Norwegian standard-setting body represent a further focus on the Anglo-Saxon perspective. Important parts of Norwegian accounting regulation, particularly the Norwegian Conceptual Framework, are highlighted and compared with the positions of European (EC Accounting Directives) and international (IASB) accounting.

The findings indicate that the Anglo-Saxon perspective of accounting appears to be strengthened by the new Norwegian law. Even if the findings indicate that the IAS solutions are generally accepted under the new regulation, the flexibility of the regulation seems to indicate that other solutions are accepted as well. These ‘specific Norwegian’ accounting solutions may generally lead to balance sheets which are less prudent than the balance sheets set up under IAS.

If one accepts that a characteristic of Anglo-Saxon accounting is that it is, historically, generally less prudent than continental European accounting, it can indeed be concluded that Norwegian financial reporting has become more Anglo-Saxon than Anglo-Saxon countries in general. One factor seems to weaken this conclusion: Norway does not allow the revaluation of fixed assets.     

对高职机电维修专业教学模式的构想

本文首先阐述了普通文化课及技术基础课采用"宽基础"的教学模式,接着叙述了在专业设置上实行"活模块"的改革思路,并论述了能力培养方面实行"多技能"以及应采取的措施。     

我国产权交易市场的特征及其市场失灵问题解析

市场经济条件下的市场调节功能失灵是普遍存在的现象,必须依靠政府监管和调控才能有效克服。我国现行产权交易市场的基本特征表明,国有资产所有者非人格化缺陷是我国产权交易市场失灵的最主要原因。必须尽快健全和完善我国国有资产监督与管理的法律体系,为各级国有资产管理部门履行出资人职责提供立法依据,建立起一个在政府有效监管下的行业和企业自律的产权交易市场。     

Competition in prescription drug markets: is parallel trade the answer?

This article uses a price determination model with dynamic panel data estimation to examine the extent to which pharmaceutical parallel trade promotes price competition and leads to downward price convergence. Little evidence of sustainable price competition is found. We find that prices are mainly affected by regulation and by competition in the wholesale distribution chain; that the pricing strategy of parallel distributors resembles that of originator drugs in importing countries; and that there may be upward rather than downward price convergence. Drawing on the European evidence, the findings also indicate that opening the US market to parallel imports will not necessarily lead to competition and enhance pharmaceutical cost containment. Copyright © 2010 John Wiley & Sons, Ltd.     

Can the government create a vibrant cluster? Understanding the impact of cluster policy on the development of a cluster

Research has debated to what extent policy measures can facilitate or contribute to the development of clusters. This article contributes to this debate by questioning how the government can create a cluster that is self-organizing and vibrant but also maintain sufficient influence to continue using the cluster as a policy instrument. Taking the perspective of cluster members, the article investigates how members perceive the ambiguous role of the government in a government-supported cluster. It analyses to what extent cluster members value a government-supported cluster and whether they perceive the government as one that facilitates or hinders them in self-organizing the cluster. Empirical evidence is derived from a case study of a French cluster established as a result of a cluster policy initiative and which has recently been required to fulfil a new set of objectives by the same government. The findings suggest that government-supported clusters can self-organize if members are given the opportunity, but with the consequence that it becomes difficult for the government to fully control such clusters. To continue steering the cluster’s development, the government would have to leverage the technology gatekeepers’ power by designing policies that allow gatekeepers to translate government objectives into meaningful objectives for themselves.     

FLEXIBLE MANPOWER RESOURCING: A LOCAL LABOUR MARKET SURVEY

This article presents the results of an establishment level investigation carried out late in 1986 and early in 1987 of the extent of flexible manpower resourcing in the Aberdeen local labour market. It is necessary to place these results in the context of the general background of an increasing interest in flexible manning and of certain theoretical developments in labour and industrial economics. The results suggest that whilst a variety of means are used to attain flexibility in manning, few establishments can be regarded as truly ‘flexible firms’ and manpower strategies tend to be largely reactive and ad hoc.     

Privatizing Museum Services In Uk Local Authorities

This article investigates the extent to which ‘privatization’ has taken place in museum services provided by local authorities in Britain. Three aspects of privatization are examined: change in the legal status of museums to charitable trusts; contracting-in and buying-in private service providers for specific work; and market- and marketing-orientation. All of these have a resonance in new public management in general and are of increasing significance to the international museum community. In the empirical site chosen for this article, privatization has progressed in varying degrees in relation to the three areas concerned, but overall only to a limited extent despite central government's pressure promoting this policy. Reasons suggested for this gap between the political context and the findings are the distinctiveness in the institutional arrangement of policy and the nature of the service. A good understanding of a polrcy arena along these llnes is needed for effective policy application.     

Mutuality in the management of human resources: assessing the quality of alignment in employment relationships

How can managers improve the alignment of organisational and individual interests in the management of human resources? This article integrates a diverse set of literatures to propose three tests of mutuality in employment relationships: (a) the quality of the match between the organisation's needs for human capabilities and the individual's needs to deploy and develop them; (b) the extent to which the organisation's dual needs for commitment and flexibility are aligned with the needs of individuals for security and community; and (c) the extent to which both parties feel they are making a worthwhile return on their investment. These tests form a starting point for assessing and modelling the quality of employment relationships in particular contexts.