The finance-growth nexus: The role of banks

We contribute to the finance-growth nexus literature by showing that credit origin, bank ownership, type of credit, and bank type matter in economic growth. We use a unique dataset covering 5555 cities in Brazil, with granular information on credit characteristics. We find that non-earmarked credit to the corporate sector is associated with municipal economic growth more strongly than earmarked credit, despite the increase in the relevance of the latter after the global financial crisis. We also find that the type of credit—whether the loans are general purpose or for a specific purpose—is associated with economic growth in different ways. Overall, credit provided to the corporate sector by domestic private banks is correlated with higher economic growth rates. In contrast, the relationship between credit from state-owned banks and economic growth becomes statistically significant only after the crisis. Although we follow the finance-growth literature in our empirical exercises using internal instruments in generalized method of moments (GMM) estimations, we also conduct robustness tests using two additional external instruments: the number of complaints filed against each bank and local credit accessibility. Our findings with external instruments are the same with respect to the use of traditional internal instruments in GMM estimations.     

A systematic mapping study on enterprise architecture mining

Enterprise architecture allows companies to deal with digital transformation through the proactive presentation and alignment of business and IT in a holistic manner. One important challenge is EA modelling since it is time-consuming (thus expensive), error-prone, and biased owing to experts’ subjective opinions. This challenge might consequently be addressed through automatic EA modelling. We conducted a systematic mapping study to classify and evaluate the research concerning EA mining proposals developed specifically for TOGAF and Archimate. After analysing results, we concluded that the research field is not sufficiently mature and further research on EA mining is necessary.     

Interaction between crop insurance and technology adoption decisions: The case of wheat farmers in Chile

This paper examines relationships between crop insurance and input technology decisions among Chilean wheat farmers. Using nationwide farm‐level data, a bivariate probit model is estimated. We investigate the extent to which the adoption of production input technologies is associated with farmers’ participation in the insurance program. We find that relationships between insurance and technology decisions are significant only for family farmers. In particular, there is a negative relationship between participation in the insurance program and the adoption of modern irrigation. Interpretations based on the role of input technologies on insurance adoption and adverse selection behaviours are discussed.     

Assessing Systemic Importance With a Fuzzy Logic Inference System

Three metrics are designed to assess Colombian financial institutions' size, connectedness and non-substitutability as the main drivers of systemic importance: (i) centrality as net borrower in the money market network; (ii) centrality as payments originator in the large-value payment system network; and (iii) asset value of core financial services. An aggregated systemic importance index is calculated based on expert knowledge by using a fuzzy logic inference system. We use principal component analysis to calculate a benchmark index for comparison purposes. Overall similarities between both indexes put forward that expert knowledge aggregation is consistent with that based on a purely quantitative standard approach. Specific non-negligible differences concur with the nonlinear features of an approach whose intention is to replicate human reasoning. Both indexes are complementary and provide a comprehensive relative assessment of each financial institution's systemic importance in the Colombian case, in which the choice of metrics pursues the macroprudential perspective of financial stability. Copyright © 2015 John Wiley & Sons, Ltd.     

Business Ethics and Accounting Information. An Analysis of the Spanish Code of Best Practice

The main purpose of this article is to analyse one aspect of Spanish business ethics: the role of the transparency and quality of the economic and financial information given to meet the demands and requirements of shareholders. To that end we concentrate firstly on analysing the Spanish capital market and the situation of shareholders prior to the publication in February 1988 of the Code of Best Practice for Spanish Companies, drawn up by a Special Committee created at the request of the Ministry of Economy and Finance. We analyse the importance of the behaviour and actions of three groups which are fundamental to assuring quality and transparency of information: those who prepare financial statements, the Board of Directors (particularly the Audit Committee) and the external auditors. Finally, we look at the possible consequences of the Code of Best Practice on Spanish business ethics.     

Data-mining,GIS and multicriteria analysis in a comprehensive method for bicycle network planning and design

In many Brazilian cities, the most common procedure for planning cycling networks is using aggregated population data in census tracts, which may not take into account the true origin and destination of trips. It may also not identify potential users of a particular mode of transport. This is particularly important considering that implementing cycling infrastructures should be based on the assumption that they are able to meet the users' needs. Therefore, the aim of this study is to develop and adopt an objective method to design and compare cycling networks based on data-mining of disaggregated origin-destination data, GIS resources, and multicriteria analysis techniques. The method follows three steps: 1) identifying potential users based on real user profiles, 2) designing proposed cycling networks and 3) a comparison between the networks proposed in this study and those developed by the municipality selected as a case study, considering real and potential users, as well as cost and benefit criteria. As a positive outcome, using disaggregated data allows for a reasonable estimate of the number of people served by the networks, a detailed analysis of their proximity to the infrastructure, as well as identifying potential users. Comparing cycling networks considering cost and benefit criteria shows that the chosen criteria were effective. It was also determined that the cycling network of the studied city poorly serves bicycle transport users, if compared to the proposed networks. These findings indicate that appropriate methods for planning cycling networks are still needed.     

Restructuring in the British Construction Industry: Implications of Recent Changes in Project Management and Technology

Theoretical and policy treatments of the processes and management of innovation in construction have neglected the complexity of the social practices in construction and the new conflicts between the parties that may arise from the introduction of organizational and technological change. Based on extensive interviews with contractors, consultants, suppliers and developers, this paper shows that new developments in project management and technologies have not eliminated the adversarial relations associated with the traditional contracting system but have created the potential for new conflicts in the construction sector that might affect innovation adversely. These problems may be further exacerbated by the impacts of these changes on skills and employment conditions in the construction industry. It is argued that these new conflicts suggest the need for research and policy initiatives to move beyond stylized generalizations of the industry.     

Partial credit guarantees and firm performance: evidence from Colombia

This paper studies the effect of government-backed partial credit guarantees on firms’ performance in Colombia. These guarantees are automatically granted by the National Guarantee Fund (NGF) to firms without enough collateral to lift their credit constraints. We put together a panel of firms covering the period 1997–2007 that allows us to control for observed and unobserved firm characteristics potentially affecting both the selection of firms into the program and firms’ performance. We find that firms that gain access to credit backed by the NGF were able to grow in terms of both output and employment. However, we do not find any effect on productivity, wages, or investment.