Non-linear Gaussian sovereign CDS pricing models

Prior literature indicates that quadratic models and the Black–Karasinski model are very promising for CDS pricing. This paper extends these models and the Black [J. Finance 1995, 50, 1371–1376] model for pricing sovereign CDS’s. For all 10 sovereigns in the sample quadratic models best fit CDS spreads in-sample, and a four factor quadratic model can account for the joint effects on CDS spreads of default risk, default loss risk and liquidity risk with no restriction to factors correlation. Liquidity risk appears to affect sovereign CDS spreads. However, quadratic models tend to over-fit some CDS maturities at the expense of other maturities, while the BK model is particularly immune from this tendency. The Black model seems preferable because its out-of-sample performance in the time series dimension is the best.     

The impact of wearable devices on employee wellness programs: A study of hotel industry workers

Hospitality workplaces are particularly challenging contexts in which to implement wellness initiatives. The present study implemented a technology-based wellness intervention to improve various aspects of employee wellness in contemporary hotel workplaces. The participants were given a wearable device (Fitbit, used here as an innovative tool) in order to monitor their activity levels and sleep patterns over a 14-day period. Additionally, the participants provided researchers with food diaries in separate electronic form. Information regarding job satisfaction, job engagement, organizational citizenship behaviors, and intention to leave was obtained before and after the observation period. The results demonstrate an increase in physical activity, an increase in healthy food consumption, and a reduction in overall caloric intake. Furthermore, positive changes in employee engagement, job satisfaction, and organizational commitment were noted. Care should be exercised when implementing such interventions in order to ensure data privacy and positive employee relations.     

Policies for managing peak stock of food grains for effective distribution: A case of the Indian food program

The Indian food program has encountered a significant shortfall in storage due to slow expansion of storage facilities in comparison with procurement. The open storage of food grains results in substantial loss and deterioration of quality. While increasing storage capacity is a viable but costly and time consuming option, the adoption of policies for peak storage reduction would go a long way towards effective food grains management. On this background, this study proposes policy adoption for peak storage reduction for effective inventory management. A dynamic simulation model was built by replicating the complex flow process and incorporating the process variability for finding the bottleneck and significant factors. It was found that steep wheat procurement is the critical bottleneck factor for peak storage requirements. Two practical and straightforward, yet effective policies are proposed from the few existing strategies for peak storage reduction owing to the constraints associated with the food program. With the actual data of the food program, reduction in peak stock was estimated for the recommended policies, including the operational cost saving in storage. The practical implications of these policies within the system were also discussed. Through peak reduction, the use of open storage can be significantly reduced, and this leads to better food grains management for effective food distribution.     

Tick Size and Financial Reporting Quality in Small-Cap Firms: Evidence from a Natural Experiment

Using a natural experiment (the SEC's 2016 Tick Size Pilot Program), we investigate the effects of an increase in tick size on financial reporting quality. The tick size pilot program reduces algorithmic trading (AT) and increases fundamental investors’ information acquisition and trading activities. This in turn increases the scrutiny of managers’ financial reporting choices and reduces their incentives to engage in misreporting. Using a difference-in-differences research design, we find a significant decrease in the magnitude of discretionary accruals, a significant reduction in the likelihood of just meeting or beating analysts’ forecasts, and a marginally significant decrease in restatements for the treated firms in the pilot program. Furthermore, we find that the change in financial reporting quality is concentrated in treated firms experiencing decreases in AT and increases in information acquisition activities. We also find that the mispricing of accruals is significantly lower for treated firms. Taken together, our results suggest that an increase in tick size has a causal effect on firms’ financial reporting quality.     

How special rewards in loyalty programs enrich consumer–brand relationships: The role of self-expansion

Although brands offer different kinds of rewards through their loyalty programs, little is known about how they can impact consumer–brand relationships and brand attitude. How do loyalty program rewards influence the consumer–brand relationship? And which kinds of rewards establish or maintain closer relationships between consumers and brands than others? To answer these questions, the present research makes use of self-expansion theory (Aron & Aron, 1986) and two experiments that manipulate the extraordinary character of rewards offered to consumers. Our findings show that special rewards produce higher self-expansion than mundane rewards. Moreover, the positive effect of the rewards’ extraordinary character on brand evaluation, recommendation, and identification is sequentially and fully mediated by self-brand inclusion and self-expansion. Finally, we show that consumer satisfaction moderates the impact of special and mundane rewards on self-brand inclusion.     

Cash transfer program and child underweight—Empirical evidence from a causal mediation analysis

Despite the existence of a voluminous literature on cash transfer programs, little is known about their impacts on the underweight of children. To fill the knowledge gap, this study uses a unique individual panel data set to analyze how participation in the Children Sponsorship Program (CSP) improves underweight status among needy children and adolescents in Taiwan. This study examines not only the program effect on children's underweight, but also underscores the potential pathways behind the program effect by employing a causal mediation analysis. Our analysis finds that exiting the CSP has a negative impact on the improvement of underweight status. Moreover, eating breakfast every day and receiving pocket money from parents can be two significant mediators that link the effect of exiting the CSP and the change in underweight status among children and adolescents.     

贸易争端背景下特朗普政府农业贸易补贴政策研究

美国长期实行农业补贴政策,其中农作物保险、农业风险补贴和价格损失补贴是补贴的主要形式。特朗普政府上台以后,美国同中国等一些国家发生贸易争端,美国农业出口面临关税报复和贸易壁垒的困境。为保持农业稳定发展,特朗普政府在原有农业补贴形式的基础之上新增了农业贸易援助计划,该计划主要包括市场促进项目、食品采购和分配项目、农业贸易促进项目。这些援助计划在稳定农业生产的同时,也扭曲了市场。美国在2019年度的农业补贴可能会超过其对世贸组织承诺的"黄箱"补贴上限,从而导致违反世贸组织规则。如美国长期执行该政策,我国应采取对美施压措施。     

农民工子女社区服务的行动研究——以成长向导计划为例

以行动研究的方法,探讨农民工子女社区服务模式。评估农民工子女在社区成长方面的需求,结合成长向导模式和合作服务机构的实践智慧,实践农民工子女社区服务,改进成长向导服务模式,通过不断反思获得农民工女子社区健康成长服务的最大效益。     

Loyalty programs and their impact on repeat-purchase loyalty patterns

Loyalty programs are currently increasing in popularity around the world. This paper discusses the potential of loyalty programs to alter the normal market patterns of repeat-purchase behaviour which characterise competitive repeat-purchase markets. In line with this thinking, a large scale loyalty program is evaluated in terms of its ability to change normal repeat-purchase patterns by generating ‘excess loyalty’ for brands in the program. Panel data were used to develop Dirichlet estimates of expected repeat-purchase loyalty statistics by brand. These estimates were compared with the observed market repeat-purchase behaviour. Overall a trend towards a weak level of excess loyalty was observed, although the expected deviation was not consistently observed for all the loyalty program brands. Only two of the six loyalty program participant brands showed substantial excess loyalty deviations. However, these deviations in repeat-purchase loyalty were observed for non-members of the loyalty program as well as members and appear likely to be at least partially the result of other loyalty efforts particular to these brands.     

Understanding Active Loyalty Behavior in Hotel Reward Programs Through Customers’ Switching Costs and Perceived Program Value

Whether loyalty programs have become part of the lexicon of buzzwords or not, the hotel industry continues to adopt loyalty/rewards programs as a major channel to nurture customers’ active loyalty as well as to reap return business. This study examins the structural relationships among perceived program value, switching costs, and active loyalty. The proposed model is supported by an online survey dataset collected from United States (US) tourists. The findings show that perceived program value is less effective in driving active loyalty compared with switching costs. This implies a need for strategic thinking on the part of hoteliers and the industry. Rather than aggressively spending money or copying schemes used by competitors to gear up program value, the value of a defensive tactic of increasing switching costs should be considered.