Trade liberalization,wilful credit defaults and bank bribery in a credit-constrained economy

The rising incidence of credit defaults may cause credit crunch. This affects the ability of firms to finance working capital and also fixed capital formation. Naturally, this is a major macroeconomic shock. This paper is an attempt to address the microeconomic foundation of such macroeconomic shock. We provide a theoretical framework to explain the economic rationale behind ‘wilful corporate defaults’ and ‘financial corruption’ in the specific context of trade liberalization. First, we model the behavioural aspects of wilful corporate defaulters and bank officials to determine the bank bribe rate as an outcome of the Nash bargaining process in a two-stage sequential move game. Based on the results of the partial equilibrium framework, we examine aspects of trade liberalization in an otherwise 2 × 2 general equilibrium framework. We also compare the efficacy of punishment strategies to economic incentives to deter credit defaults and banking sector corruption. Methodologically, our analytical model integrates finance capital distinctly from physical capital in Jonesian general equilibrium framework. Interestingly, our findings indicate that there exists a trade-off at equilibrium between curbing credit defaults and bribery. We also find that not all punishment strategies are equally effective at deterring credit defaults if general equilibrium interlinkage effects are carefully dealt with.     

Examining the Time Varying Spillover Dynamics of Indian Financial Indictors from Global and Local Economic Uncertainty

Journal of Quantitative Economics - The research aims to excavate the role of global (Fed Rate, Crude, Real Dollar Index) and endogenous economic variables (GDP and Consumer Price Index) in shaping...     

Twenty-five years of consumer vulnerability research: Critical insights and future directions

Consumer vulnerability is gaining increasing attention from researchers and practitioners as a social phenomenon in modern consumption-driven societies. In an attempt to conduct a comprehensive review using credible published research materials on the topic, this study applies a big data analytics approach to analyze scholarly research with a pool of 859 articles covering the last 25 years of post-modern marketing practices that have been a precursor to market-driven vulnerability. This paper identifies the most influential articles, as well as the top contributing journals and authors, along with their affiliations. In addition, this study reveals four major themes of research in consumer vulnerability, namely marketing, fraud and consumers, consumer vulnerability and well-being, ethics and vulnerable consumers, and consumption, disability and gender. These integrative perspectives will serve as a critical starting point to encourage focused theme-based exploration in the field.     

The impact of regional trade policy uncertainty on the productivity of Chinese export enterprises: The case of China–ASEAN Free Trade Area

Reduction of regional trade policy uncertainty is critical for promoting Chinese export enterprise productivity and will help the economy enter the high-quality development stage. We use the case of the China–ASEAN Free Trade Area to empirically tests the impact of the reduction of regional trade policy uncertainty on the productivity of Chinese export enterprises. We apply the difference-in-difference method to micro-enterprise level data from the “China industrial enterprise database” and “China Customs enterprise database” for 2007–2013. Our analysis and results show that establishing the China–ASEAN Free Trade Area has dramatically reduced regional trade policy uncertainty, significantly impacting the productivity of Chinese enterprises exporting to ASEAN. The results also show that enterprises with different ownership types, regions, factor density, and pollution emission intensity show significant heterogeneity in the level of productivity improvement. Applying a mechanism test, we found that the promotion of productivity from a reduction of regional trade policy uncertainty is achieved through the learning effect, the competition effect, and improving the trade environment of imported intermediate goods. The learning effect mechanism has the highest contribution, accounting for 39.01% of the net effect. The empirical results provide novel insight into promoting the productivity of Chinese enterprises exporting to ASEAN from the perspective of reducing regional trade policy uncertainty.     

Applying the theory of reasoned action to examine consumers' attitude and willingness to purchase organic foods

The organic food market has emerged as a growing trend among consumers. The present study examines the relationship between Health Consciousness (HC), Organic Food Knowledge (OFK), Subjective Norms (SN), Price Perception (PP), Environmental Concern (EC), Attitude (ATT), Willingness to Purchase (WP), and Actual Buying Behaviour (ABB) towards organic food. Furthermore, the study explores the mediating effects of ATT and WP in the relationship between the aforesaid variables and ABB. The data was collected from 240 respondents using convenience sampling approach. The Structure Equation Modelling (SEM) using ADANCO 2.2 is used to test the hypotheses of the conceptual model proposed in the present study. The study found that the variables HC, OFK, SN, EC, ATT, WP significantly affect the ABB. Also, it is observed that EC is the strongest predictor of ATT, WP, and ABB in organic food purchase, whereas PP is the least influencing factor. Further, HC positively influences ATT and WP but shows a negative association with ABB. The antecedents HC, OFK, SN, PP, EC has shown a significant indirect effect on ABB among respondents through ATT and WP. Finally, the theoretical and practical implications are discussed.     

Price sensitivity,government green interventions,and green product availability triggers intention toward buying green products

In the 21st century, environmental problems are wreaking havoc, and sustainability is now of primary importance. Several external factors like population growth, industrialization, development, and overexploitation of natural resources play a crucial role in environmental degradation. Thus, the present study endeavors to explore the impact of price sensitivity, governments green interventions and green product availability on green buying intention through the lenses of the theory of planned behavior and the theory of consumption values. It also intends to examine the moderating effect of demographic factors on green buying intention. A cross-sectional study was carried out. Responses were gathered through a self-administered questionnaire-based survey. The final data set of 708 respondents were subjected to structural equation modeling for hypothesis testing. Price sensitivity, government green interventions, and green product availability show negative and significant interaction effects. Perceived behavioral control shows a relatively more substantial impact on green buying intention. Indian consumers from the age group of 41–50 years relatively have higher intention toward green buying. Overall, gender does not reveal any different approaches to environmentally friendly products. Green marketers must focus on communicating the availability of green products to reduce perceived difficulty.     

A story to sell: The influence of storytelling on consumers' purchasing behavior

Storytelling can arouse consumers' emotions and affect purchasing behavior through desires and attitudes. While the marketing literature discusses storytelling, there is a lack of consensus because of the diverse conceptual and operational definitions used. To untangle the complexities and consolidate the fragmented knowledge about storytelling in marketing, this research examines how the marketing literature has addressed the influence of storytelling on consumers' purchasing behavior. The findings aid in understanding how the topic has been discussed from a marketing perspective in consumer behavior studies. Through a systematic literature review using a bibliometric analysis, we demonstrate that the marketing literature features four strands about the uses of storytelling to influence consumers' purchasing behavior. First, storytelling stimulates the consumer's identification with the brand. Second, storytelling allows consumers to experience emotional value. Third, storytelling supports engagement behaviors. Finally, storytelling has a downside in that it also propagates harmful speech. This study concludes with a roadmap for future research about how storytelling impacts consumers' purchasing behavior.     

Investigating cross-media effects in a multichannel marketing environment: the role of email,catalog, television,and radio

Marketing Letters - We empirically examine the cross-media effects of personalized and mass media on consumers’ purchase incidence in a multichannel shopping environment. We capture the...     

Publication trends in the Journal of International Financial Management and Accounting: A retrospective review

This study uses bibliometric analysis to assess Journal of International Financial Management & Accounting (JIFMA's) evolution between 1989 and 2021. In this retrospective review, we investigate the journal's performance, authorship trends, and intellectual structure. The journal's international focus is primarily on cross-country studies and the effects of country-level factors on various accounting and finance outcomes. The collaborative network of JIFMA's authors has also grown substantially consistent with rise in research collaboration in general across the world. We identify nine major themes making up JIFMA's knowledge structure: (1) value relevance of accounting information relating to the adoption of International Financial Reporting Standards, (2) voluntary corporate disclosure, (3) corporate use of financial derivatives, (4) corporate governance, (5) equity valuation, (6) stock return seasonalities, foreign equity ownership, and cost of capital, (7) earnings announcements and pecking order behavior, (8) triple-bottom-line disclosures, and (9) managerial ownership and earnings management. Our findings will likely benefit JIFMA's editorial board and other journal stakeholders including future researchers.     

Imports,technology, and employment: Job creation or creative destruction

This study examines the employment impact of technology by using firm-level survey data for a large number of developing countries. We not only examine the impact of technology on overall employment but also investigate the effect on different types of employment, such as skilled, unskilled, temporary, and seasonal. Considering asymmetric distribution of employment, we utilize quantile regression for empirical analysis. Our findings unequivocally suggest that technology does not kill jobs. Further, we could not find any skill-biased impact of technology. Finally, results suggest that technology received through alternative sources works in combination, enhances absorptive capacity and promotes employment.