Back to Basics: Remittances in the Keynesian Macroeconomic Framework

This paper examines a remittance multiplier based on the short-run Keynesian equilibrium approach and shows how income may be affected by remittance inflows. We explore this through the equilibrium in the goods and money markets, where remittances can affect both consumption and the demand for real money balances. We present this simple theoretical model utilizing a standard Keynesian framework. The short-run Keynesian equilibrium approach provides insight into how remittances affect output and income, and its potential multiplier effects. The model used is indicative of a positive relationship between the marginal propensity to consume out of remittances and the multiplier. The framework also shows that remittances will have a greater impact if its marginal propensity to consume is greater than that for standard disposable income.     

Parallel machine replacement under horizon uncertainty

Construction projects usually get delayed for several time periods. When the planning horizon of a project is extended, projections for purchase and salvage of machinery within the planning horizon become inaccurate and less beneficial and often lead to unexpected costs. In this article, we formulate a parallel machine replacement (PMR) problem as a two-stage stochastic program with an uncertain planning horizon. We consider renting as an alternative to purchasing and maintaining the machinery. We show the application of the model through a case study in construction projects. Through numerical analysis, we derive managerial implications and show the value of the stochastic model.     

Farm and farmer characteristics and off‐farm work: evidence from Algeria

Off‐farm work is a widespread, two‐edged, phenomenon that can help both the survival and the demise of small‐ and medium‐sized agricultural exploitations. Given the prevalence of poverty in rural areas, nonfarm income has been credited with helping farmers to survive. But the observed shrinking of rural areas has also raised the question of whether off‐farm work is pulling farmers permanently away from farming. This paper explores the impact of farmer characteristics on the decision to work off‐farm in developing countries where this phenomenon has been largely neglected. A review of theory and prior empirical work suggests four main hypotheses which we test empirically. The results suggest that while some farmer characteristics appear to be universal, others appear to be country‐ or culture‐specific.     

Developing a Website Service Quality Scale: A Confirmatory Factor Analytic Approach

The surge in online consumers and their preference to buy over the Internet is nudging marketers to embrace e-commerce, but mere online presence without distinct user experience may not help attract and retain customers. Research suggests that website service quality is a determining factor in Internet buyer behavior. Several measurement tools have been used in the context of developed economies to measure e-service quality. The very few empirical researches in emerging economies, including India, motivated the researchers in the present study to refine the WEBQUAL 4.0 scale developed by Barnes and Vidgen (2002 Barnes, S. J., and R. T. Vidgen. 2002. An integrative approach to the assessment of e-commerce quality. Journal of Electronic Commerce Research 3 (3):114–27. [Google Scholar]) to measure the service quality at shopping websites. The present study employs tools like SPSS 20.0 and AMOSS 20.0 to analyze the data through exploratory factor analysis and confirmatory factor analysis. Study results suggest a 14-item WEBQUAL four factor (Ease of Use, Information Quality, Reliability, and Empathy) scale that is appropriate for Indian settings.     

Does Religion Matter? A Comparison Study of the Ethical Beliefs of Marketing Students of Religious and Secular Universities in Japan

This study was designed to examine the determinants of and differences between the ethical beliefs of two groups of Japanese students in religious and secular universities. Multiple regression analysis revealed that students of the Japanese religious university perceived that young, male, relativistic, and opportunistic students tended to behave less ethically than did older, female, and idealistic students. Students of the Japanese secular university perceived that male, achievement-oriented, and opportunistic students tended to behave less ethically than did female and experience-oriented students. Opportunism was found to be one of the most important determinants in explaining misconduct. Multivariate analysis of variance (MANOVA) and multiple discriminant analysis (MDA) revealed that students of the Japanese secular university tended to score higher on achievement and humanism, and lower on theism and positivism than did students of the Japanese religious university. In addition, students of the Japanese secular university were somewhat more sensitive to academic dishonesty practices than were students of the Japanese religious university.     

Intellectual capital reporting practices in an Islamic bank: A case study

Given the nature and importance of Islamic banks in recent times, we can expect them to have significant intellectual capital anchored in their Sharia‐based knowledge and expertise. However, we know very little or nothing about how and why intellectual capital‐related information is provided in their corporate reports. We fill this gap in our existing knowledge of the field with a view to enhance relevant literature. As far as we know, this article is one of the earliest exploratory attempts to examine intellectual capital reporting practices of an Islamic bank. We have undertaken a longitudinal (2001–2015) case study related to the intellectual capital reporting practices of an Islamic bank. Key results include significant rise of intellectual capital reporting over time, dominance of internal capital‐related items in intellectual capital reporting profile and the dynamics of changes in intellectual capital reporting practices over time. Through an institutional theory lens, we explain that this is due to the changes in the external institutional environment and various intra‐organisational factors such as strong ethical culture, unique knowledge base (Sharia), and corporate governance regime.     

When idealists evade taxes: the influence of personal moral philosophy on attitudes to tax evasion – a Lebanese study

This paper explores attitudes regarding tax evasion and the relationship between personal moral philosophy and such attitudes in a weak tax environment. The results confirm the multidimensionality of tax evasion attitudes. Idealism was negatively related to self‐interest tax evasion attitudes while relativism was positively related to such attitudes. Idealism was also positively related to tax evasion attitudes stemming from concerns about the justice of the tax system. Idealists in a weak tax environment seemingly go through a cognitive reframing process where they recognize that the tax system is unfair, and accordingly tax evasion is a way to serve a different moral absolute, that is of equity, rather than another different moral absolute, which is fulfilling obligations to governments. The results are also explained in light of the suggested low moral intensity of tax evasion among respondents. Policy implications are presented.     

Risk-Taking Behavior and Capital Adequacy in a Mixed Banking System: New Evidence from Malaysia Using Dynamic OLS and Two-Step Dynamic System GMM Estimators

This study is the first attempt to investigate the relationship between the level of risky assets and capital level in a mixed Malaysian banking system covering 83 months starting December 2006. The results of dynamic ordinary least squares indicate positive relationship between capital ratio (CAR) and risk-weighted asset ratio (RWA) in the long run. Furthermore, the causality analysis based on panel vector error correction model (VECM) and two-step dynamic system generalized method of moments indicates unidirectional causality from CAR to RWA. Our results further suggest that higher capital growth and capital buffer provide an extra cushion for the Malaysian banks to pursue relatively riskier financial activities, and the nature of risk-taking behavior of Islamic banks follows that of the conventional banks.     

Wealth effect from real estate and outbound travel demand: the Malaysian case

This study uses quarterly data from Malaysia (2000–2011) to examine the relationship between the wealth effect from real estate (WERE) and outbound tourism while controlling for other relevant outbound tourism determinants. By applying time-series cointegration regressions, the results show that WERE has a positive and significant impact on Malaysian outbound travel demand. Then, we exclude the departures for business purposes from the total departures in order to have a better understanding of the impact of WERE on the consumption of a luxury good like international travel for leisure purposes. Similarly, we find that WERE increases Malaysian international travels for leisure purposes. The findings provide some implications for Malaysian policy-makers as well as tourism and travel agents.     

The ethical profile of global marketing negotiators

As international trade and business opportunities grow globally, insight into trading partners’ strategies is essential. One of the major strategies that impact trading partners’ relationships is negotiation strategy employed by each partner. These strategies assume even greater importance when these strategies have ethical content. This study examines the effects of marketing executives’ preferred ethical ideologies (relativism and idealism), opportunism and Machiavellianism on their perceived appropriateness of unethical negotiation tactics. Utilizing a sample of 995 marketing executives from six countries, cluster analysis and multivariate analysis of variance revealed two types of marketing negotiators: principled and corrupt negotiators. Corrupt negotiators tend to be more Machiavellian, more relativist, more opportunistic and less idealistic than their principled counterparts. Principled negotiators tend to perceive unethical negotiation tactics less favorably than their corrupt counterparts. Implications of these results for practitioners and directions for future research are discussed.