Broadband penetration,financial development,and economic growth nexus: evidence from the Arab League countries

This paper examines the mutual relationship between broadband penetration, financial development, and economic growth in the 22 Arab League countries for the period between 2001 and 2013. Financial development (represented by broad money supply, claims on the private sector, domestic credit to the private sector, domestic credit provided by the banking sector, market capitalization, turnover ratio, and traded stocks) is assessed both individually, and by a composite index. Our results reveal that there is a long-run equilibrium relationship between broadband penetration, financial development, and economic growth. Additionally, we use a panel vector autoregression model to reveal the nature of Granger causality between the covariates. The most important insight of this study is the presence of bidirectional causality from economic growth to broadband penetration in the long run. In addition, we find that financial development together with broadband penetration Granger-cause economic growth in the long run.     

Inflation determination with Taylor rules: Is new-Keynesian analysis critically flawed?

Cochrane (2007) has strongly questioned the basic economic logic of current monetary policy analysis, arguing that New Keynesian (NK) models imply rational expectations paths with explosive inflation that do not imply explosions in real variables relevant for transversality conditions. Consequently, the usual logic does not rule out solutions with explosive inflation. That result does not, however, justify negative conclusions about NK analysis, for a different criterion is logically satisfactory. It is that, to be plausible, a RE solution must satisfy the property of least-squares learnability. Adoption of this criterion serves to justify in principle the bulk of current mainstream analysis.     

An analysis of the reasons for the asymmetries surrounding earnings benchmarks

Several studies report an asymmetry in the distribution of earnings around specified benchmarks. However, doubt has arisen over whether the observed ‘kink’ in the distribution of earnings is solely caused by earnings management. We use a ratio analysis approach to examine a range of specific accruals for evidence of earnings management. We find little evidence that firms immediately above the benchmark have abnormal receivables, inventories or provisions. However, they do increase cash‐from‐customers and reduce inventory. Thus, our results support the recent research that suggests that firms engage in real actions to meet earnings benchmarks.     

COMMERCIAL ACTIVITY AS INSURANCE: THE INVESTMENT BEHAVIOUR OF NON‐PROFIT ORGANIZATIONS

ABSTRACT ** : We provide a new explanation for commercial activities by non‐profit organizations whose primary concern is to supply mission output. Starting from the observation that donations to individual non‐profits are often highly volatile, we show how investment in commercial activity can constitute a form of insurance for mission activity. Although investment in commercial activity has an opportunity cost in terms of capacity to produce mission output, if donations turn out to be low the commercial revenue will enable cross‐subsidization of mission output. The equilibrium commercial investment is (weakly) positively related to the degree of risk aversion.     

When managers pressure employees to behave badly: Toward a comprehensive response

Over the last 10 to 15 years, a disturbing number of well-publicized cases of unethical worker behavior have made national headlines. These events have been associated with tragic consequences: countless people have lost their jobs and the associated health insurance and retirement benefits on which they depended; investors have lost their nest eggs; and the trust in the corporate world that is so critical to a thriving economy has been sullied. Pundits have offered simple explanations for these events (e.g., greed) and equally simple solutions (e.g., punish the wrong-doers). In this article, I draw attention to a trigger of unethical work behavior that has received less attention than is warranted: pressure to behave unethically (PBU) perpetrated by organizational authorities. Many instances in which employees violate ethical standards reflect acquiescence to managerial pressure. Herein, I introduce a comprehensive approach to reduce the frequency with which managers execute acts of PBU. My approach draws on a recent influence framework to target managers’ motivation to perform PBU, and ability to achieve personal and organizational goals without resorting to PBU.     

Shoppers,Start Your Engines

If Christmas did not exist,Toys‘R’Us would have to invent it—or someother joyful family-themed holiday togive millions of people the license to goon a weeks-long spending bender.Thesedays Christmas shopping is not just asport,it’s a spectator sport.We tune into the local news on Black Friday to     

A longitudinal ethnographic study of night‐freight pilots

This paper records the lived reality of night‐freight operations at a UK‐registered airline. Observations were made over an 18‐month period. The paper answers calls for more research into the working and living conditions of night‐freight pilots. Pilots perceived numerous issues. These included cultural cleavage, terms and conditions, roster instability and the impact of night flying on physical and psychological health. Some issues (volatile rosters and deep first nights, for example) had the potential to increase operational risk. Two sub‐cultures were identified within the airline: the quality‐of‐working‐life sub‐culture and competitiveness and corporate survival sub‐culture. A ‘paradox of control’ was observed. While pilots controlled the aircraft in flight, their patterns and conditions of work were decided by roster managers, crewing officers and other office‐based technocrats. Technocrats’ directive power was resented by some pilots. Some claimed that technocrats did not understand the lived reality of the line, resulting in ‘uninformed’ decisions that augmented operational risk. The study involved a single airline. No claims are made for the generalisability of the findings. More studies are required.     

The Logic of Membership of Sectoral Business Associations

This paper assesses the logic of membership of sectoral business associations in Britain using evidence from a proportionate stratified random sample of associations. The British system gives no statuatory status to business associations. As a result the size and fragmentation of associations is similar to the US, membership of associations is interpreted in terms of the logic of specific business service demand and the logic of collective activities. Expectations from models of collective action, associability and involvement are used to interpret association membership. The paper argues that the normal distinction between associations as trade, professional or "peak" bodies is too simplistic in not properly differentiating the types of member. The paper employs instead a set of six categories dependent on the type of members: companies, owner-managers, the self-employed, and individuals, as well as bodies with mixed membership, and federations (which are associations of associations). Survey evidence demonstrates that member motives for joining, lapsing and constraining service development differ significantly between association types and tend most strongly to emphasise the logic of individual services as complements to the logic collective activity. Analysis of the rates of joining and lapsing membership show evidence of reluctance to join and high rates of lapsing.     

Transfer of Marketing Knowledge Within Business‐Nonprofit Collaborations

Companies often develop collaborative joint ventures with nonprofits, and sometimes help their nonprofit partners with the marketing activities associated with these projects. Often, the assistance furnished is embodied in a transfer of knowledge from a firm to a nonprofit and involves knowledge about marketing techniques, strategies and methods. This article presents the results of a survey concerning the extents, natures and effectiveness of marketing knowledge transfers taking place between 291 UK enterprises and their nonprofit partner organisations. The survey covered the knowledge transfer methods that companies employed, the scope of the knowledge communicated, the factors that encouraged or impeded marketing knowledge transfer, and the considerations that determined which partner completed most of the marketing tasks associated with a project. It emerged that knowledge transfers occurred mainly through face‐to‐face communications, though with little formal teamworking. Both the extent and the effectiveness of transfers depended on the degree of marketing knowledge within the nonprofit partner, on levels of knowledge specificity and project complexity, and on the financial importance of the collaboration. The extent of knowledge transfer was additionally influenced by cultural and organisational distance. Similar considerations affected commercial partners' decisions to do most of the marketing work required by a collaboration. Such decisions were especially likely if anti‐marketing bias existed within the nonprofit organisation and if the nonprofit's staff knew little about marketing.