Do rice prices follow a random walk? Evidence from Markov switching unit root tests for Asian markets

This study revisits the issue of mean reversion in the import rice prices of six Asian countries over the period between 1995 and 2015. Augmented Dickey Fuller tests with a conventional linear regression model support the presence of a unit root in the levels of the price data. However, when regressions allow for Markov switching in coefficients and variances to capture periodic shifts in levels and volatilities, there is strong evidence against the unit‐root null hypothesis in favor of stationarity over much of the observation period.     

Enhancing Stock Market Return with New Product Preannouncements: The Role of Information Quality and Innovativeness

To advance development and application of signaling theory in the new product preannouncement literature while seeking to resolve ambiguity regarding the influence of innovativeness on stock market return, the role of information quality is examined. Specifically, this study investigates the effect of innovativeness across low and high levels of information quality. The results, ascertained using event study methodology on a sample of 243 new product preannouncements collected over a nine‐year period, indicate that higher information quality increases the strength of the positive relationship between innovativeness and stock market return. The findings offer managers insight into what role information quality plays in new product preannouncements that can help their firms generate higher stock market return.     

The welfare costs of monopoly are larger than you think

We show that monopoly is the parent of monopsony when an industry employs specialized resources. This means that the welfare loss from monopoly and monopolization is larger than commonly portrayed. Copyright © 2010 John Wiley & Sons, Ltd.     

Unraveling public support for casino gaming: The case of a casino referendum in Penghu

By integrating the social exchange theory (SET) and the theory of planned behavior (TPB), this study unravels the factors associated with residents’ intention to support casino gaming development in Penghu in future referenda. Residents’ attitudes toward casino gaming development in their community were examined in the SET framework while their intention to support such development was investigated in the TPB framework. Despite that partisan difference did not have a significant interaction with TPB variables, past behavior exerted moderating effects determining residents’ intention to support casino gaming development through two TPB variables: subjective norm and perceived behavioral control. Implications are provided.

Abbreviations: ATTU: attitude; DPP: Democratic Progress Party; ECOI: perceived economic impact; ENVI: perceived environmental impact; INT: intention to support casino gaming development in future referenda; KMT: Kuomingtang; PBC: perceived behavioral control; PPB: perceived personal benefit; SET: social exchange theory; SN: subjective norms; SOCI: perceived social impact; TPB: theory of planned behavior     

Recursive Formula for Arithmetic Asian Option Prices

I derive a recursive formula for arithmetic Asian option prices with finite observation times in semimartingale models. The method is based on the relationship between the risk‐neutral expectation of the quadratic variation of the return process and European option prices. The computation of arithmetic Asian option prices is straightforward whenever European option prices are available. Applications with numerical results under the Black–Scholes framework and the exponential Lévy model are proposed. © 2012 Wiley Periodicals, Inc. Jrl Fut Mark 34:220–234, 2014     

Examining the relations between open innovation climate and job satisfaction with a PLS path model

The paper studies the relations between open innovation climate and job satisfaction, in particular the causal effects of the various dimensions of open innovation climate on different facets of job satisfaction. We assume firms which pursuing open innovation climate will result in higher level of employee job satisfaction. Both open innovation climate and job satisfaction are assumed to be multidimensional constructs (second-order model). Meanwhile the difference caused by employees’ organizational level was also investigated. A partial least squares path model was developed, in which significant effects were discovered. This study provides valuable materials for hoteliers who want to promote open innovation climate in their organizations.     

Engagement partner specialization and corporate disclosure transparency

This paper explores the association of audit partners' industry specialization with corporate disclosure transparency and the latter's informativeness. The distinctive institutional designs of partner signature requirement and Information Disclosure and Transparency Ranking System (IDTRS) adopted in Taiwan allow us to empirically address the issue. We posit and find that the rankings from the IDTRS are higher for firms audited by industry specialist engagement partners than for firms audited by non-specialist engagement partners. Additionally, the results show that the probability of informed trade (PIN) proxy for information asymmetry is negatively associated with the rankings for clients of industry specialist engagement partners, but not for clients of industry non-specialist engagement partners. The results are robust with respect to alternative estimation method and alternative measures of industry specialization. Overall, the evidence suggests that industry specialist engagement partners enhance the credibility of corporate disclosure transparency, through which information asymmetry is further declined. The evidence provides policy implications to the partner signature requirement adopted in Taiwan and China.     

Comparative persistence and adherence with newer anti-hyperglycemic agents to treat patients with type 2 diabetes in the United States

Objectives: Non-adherence and non-persistence to anti-hyperglycemic agents are associated with worse clinical and economic outcomes in patients with type 2 diabetes. This study evaluated treatment persistence and adherence across newer anti-hyperglycemic agents (canagliflozin, dapagliflozin, sitagliptin, saxagliptin, linagliptin, liraglutide, or exenatide).

Methods: This retrospective cohort study of Truven Health Analytics Marketscan databases included adult patients with type 2 diabetes whose first pharmacy claim for a newer anti-hyperglycemic agent was between February 1, 2014 and July 31, 2014. Treatment persistence and adherence were assessed for 12 months after the first claim (post-index). Persistence was defined as no gap ≥90 days between the end of one pharmacy claim and the start of the next pharmacy claim post-index. Adherence used two definitions: proportion of days covered (PDC) and medication possession ratio (MPR). Multivariable analyses of non-persistence (hazard ratios) and adherence (odds ratios) were adjusted for baseline demographics, drug cost, clinical characteristics, and other anti-hyperglycemic agents.

Results: A total of 11,961 patients met all study selection criteria. Persistence rates at 12 months were significantly greater (p?p?=?0.83; PDC?=?0.79) and canagliflozin 300?mg (MPR?=?0.92; PDC?=?0.81) were greater than for the other index anti-hyperglycemic agents (MPR?=?0.33–0.75; PDC?=?0.33–0.72). Consistent results for treatment persistence and adherence were observed in multivariable analyses that were adjusted baseline characteristics.

Conclusions: Canagliflozin was associated with better treatment persistence and treatment adherence compared with other anti-hyperglycemic agents in real-world settings.