Inflation, output, and stock prices: Evidence from two major emerging markets

Research in economics and finance documents a puzzling negative relationship between stock returns and inflation rates in markets of industrialized economies. The present study investigates this relationship for Korea and Mexico. We show that the negative relationship between the real stock returns and unexpected inflation persists after purging inflation of the effects of the real economic activity. Johansen and Juselius cointegration tests verify that the long-run equilibrium between stock prices and general price levels is weak. However, in both economies, stock prices and general price levels seem to show a strong long-run equilibrium with the real economic activity. This paper benefited from the constructive suggestions of an anonymous referee. The remaining errors are the authors’ responsibility. Financial support from the Dr. Robert B. Pamplin, Jr., School of Business Administration, University of Portland, is greatly appreciated.     

Market effects of private equity placement: Evidence from Chinese equity and bond markets

Research has provided empirical evidence for the stock market reaction toward private placement; however, similar research has not been conducted in terms of the bond market. Using the event study method, we empirically examine the explanatory power of the signaling, free cash flow, and wealth transfer hypotheses based on the reaction of the stock market, bond market, and firm abnormal returns to the private placement announcement. The results show that the stock market has a negative reaction toward private placement, whereas the bond market has a positive reaction. The results also show that the scale of private placement is correlated with the severity of the market reaction. Abnormal returns indicate no significant change both before and after the private placement, and they are unaffected by the scale of private placement. These results are consistent with the wealth transfer hypothesis; however, the market reaction is not attributable to the signaling hypothesis and the free cash flow hypothesis. Extensive research shows that the abnormal returns of private placement change dramatically in non-state-owned enterprises and firms with low credit rating bonds, whereas the bond maturity has no significant impact on the abnormal returns—the wealth transfer effect of private placement is stronger in non-state-owned enterprises and firms with low credit rating bond.     

Information flow between prediction markets,polls and media: Evidence from the 2008 presidential primaries

Are the forecast errors of election-eve polls themselves forecastable? We present evidence from the 2008 Democratic Party nomination race between Barack Obama and Hillary Clinton showing that the answer is yes. Both cross-sectional and time series evidence suggests that market prices contain information about election outcomes that polls taken shortly before the contests do not. Conversely, election surprises relative to polls too Granger cause subsequent price movements. We then investigate whether the additional information in prices could come from the media coverage of these campaigns, and uncover a set of complex relationships between pollster’s surprise, price movements, and various aspects of media coverage. Prices anticipate the balance and content of media coverage, but not the volume. On the other hand, it is the volume of media coverage, not the balance or content, that anticipates the surprise element in election outcomes. Moreover, Granger causality between prices and election surprises barely changes after controlling for media coverage, and causality from media volume to surprises persists too after controlling for price movements. Taken together, the results suggest that both prices and the volume of media coverage contain independent election-relevant information that is not captured in polls.     

The performance effects of major workforce reductions: longitudinal evidence from North America

This paper investigates the performance effects of major job cuts.1 1 Like Wayhan and Werner (2000 Wayhan, V. and Werner, S. 2000. The Impact of Workforce Reductions on Financial Performance: A Longitudinal Perspective. Journal of Management, 26: 341–63. [Crossref] , [Google Scholar]), we interchangeably use the expressions ‘workforce reduction’ and ‘job cuts’ instead of the broad concept of ‘downsizing’ which is subject to multiple confusing definitions (DeWitt, 1998 DeWitt, R.L. 1998. Firm Industry and Strategy Influences on Choice of Downsizing Approach. Strategic Management Journal, 19: 59–79.  [Google Scholar]). Using data from Compustat S&P database, we examined the longitudinal impact of workforce reductions on labour productivity and operational indebtedness of 239 US and Canadian companies. Repeated measures analysis showed that firms that substantially cut jobs failed to improve their labour productivity and their operational indebtedness. Then, taken a step further, statistical analysis surprisingly revealed that firms that cut the highest proportions of their workforce had a significant deterioration of their operational indebtedness and a non-significant change of their labour productivity. These results call into question the economic legitimacy of major workforce reductions increasingly institutionalized to the detriment of the strategic approach of HRM.     

Barriers to entry in the healthcare markets: Winners and Losers from certificate-of-need laws

In states with Certificate of Need (CON) laws, medical services providers must file an application and demonstrate community need before being permitted to start or expand a service. We examine CON laws for magnetic resonance imaging (MRI), computed tomography (CT), and positron emission tomography (PET) scanners to test the hypothesis that the approval process favors established incumbent hospitals over new hospital entrants and nonhospital providers. Using Medicare claims data in 2013, we find that states with CON laws have 20 to 33% fewer providers, depending on the type of scanners to which the laws apply. As a result, residents of CON law states are 3.4–5.3 percentage points more likely to travel outside their home county to obtain imaging services than residents of non-CON states. In addition, there is a notable shift in the type of provider: CON laws are associated with 27–53% fewer scans by nonhospital providers per beneficiary, 23 to 70% fewer by new hospitals, but 6 to 21% more scans in older hospitals.     

Research on the time-varying effects among green finance markets in China: A fresh evidence from multi-frequency scale perspective

Green finance is an essential instrument for achieving sustainable development. Objectively addressing correlations among different green finance markets is conducive to the risk management of investors and regulators. This paper presents evidence on the time-varying correlation effects and causality among the green bond market, green stock market, carbon market, and clean energy market in China at multi-frequency scales by combining the methods of Ensemble Empirical Mode Decomposition Method (EEMD), Dynamic Conditional Correlation (DCC) GARCH model, Time-Varying Parameter Vector Autoregression with Stochastic Volatility Model (TVP-VAR-SV), and Time-varying Causality Test. In general, the significant negative time-varying correlations among most green finance markets indicate a prominent benefit of risk hedging and portfolio diversification among green financial assets. In specific, for different time points and lag periods, the green finance market shock has obvious time-varying, positive and negative alternating effects in the short-term scales, while its time delay and persistence are more pronounced in the medium-term and long-term scales. Interestingly, a positive event shock will generate positive connectivity among most green finance markets, whereas a negative event including the China/U.S. trade friction and the COVID-19 pandemic may exacerbate the reverse linkage among green finance markets. Furthermore, the unidirectional causality of “green bond market - carbon market - green stock and clean energy markets” was established during 2018–2019.     

Information effects of announced stock index additions: evidence from S&P 400

The study examines the information content of press announcements of S&P 400 additions between 2002 and 2007. Prior research into stock index additions has explained the positive valuation effects of additions to S&P indices mostly in terms of the price pressure hypothesis and downward sloping curve hypothesis. The two hypotheses attribute the positive market reaction purely to index-fund buying rather than information effects of announcements. My empirical investigation further reinforces the credibility of the information hypothesis by showing that the market varies its response to added firms depending on the information released about them at the announcement. The analysis demonstrates that the mode of addition, exchange listing, reason for index change, and firm size can modulate valuation effects of stock index additions. The paper also strengthens the argument that announcements of additions to an S&P index contain new signals about the industries represented by the added firms. Positive and significant wealth effects are exclusively attributable to ??non-member?? rival firms. Overall, the results imply that the market discerns and rewards firms that come from outside the S&P universe (pure additions) and rival firms that are not part of a target index.     

Modeling dynamic conditional correlations with leverage effects and volatility spillover effects: Evidence from the Chinese and US stock markets affected by the recent trade friction

In this article, we investigate the dynamic conditional correlations (DCCs) with leverage effects and volatility spillover effects that consider time difference and long memory of returns, between the Chinese and US stock markets, in the Sino-US trade friction and previous stable periods. The widespread belief that the developed markets dominate the emerging markets in stock market interactions is challenged by our findings that both the mean and volatility spillovers are bidirectional. We do find that most of the shocks to these DCCs between the two stock markets are symmetric, and all the symmetric shocks to these DCCs are highly persistent between Shanghai’s trading return and S&P 500′s trading or overnight return, however all the shocks to these DCCs are short-lived between S&P 500′s trading return and Shanghai’s trading or overnight return. We also find clear evidence that the DCC between Shanghai’s trading return and S&P 500′s overnight return has a downward trend with a structural break, perhaps due to the “America First” policy, after which it rebounds and fluctuates sharply in the middle and later periods of trade friction. These findings have important implications for investors to pursue profits.     

Taking the ivory from the tower to coat the economic world: Regional strategies to make science useful

In this paper, we aim at providing a critical appraisal of academic research valorisation models adopted in three regions in the world: the Provincia di Milano in Italy, the Technology-Region Karlsruhe in Germany and the Chinese municipality of Chongqing.Our first originality consists in developing a literature-based analytical grid to characterise and classify existing tools. In a second step, we depict and compare, thanks to a qualitative analysis run on fine-grained data (collected through in depth interviews and frequent interactions with actors of the regional innovation systems), the mechanisms adopted in the three regions so as to test for specificities in the implementation of academic knowledge transfer.Our analysis exhibits on the one hand a strong similarity among regions in terms of variety of existing tools. On the other hand, we also notice some specificities in the nature of the tools: European regions are characterised by an under-representation of absorption and appropriation tools, whereas the Chinese region seems to put great stress on direct valorisation mechanisms. Finally, rather than supporting the imitation, multiplication and superposition of newly created tools, our study encourages policy makers to be more selective and adapt their tools to regional innovative needs.     

A multivariate GARCH in mean approach to testing uncovered interest parity: evidence from Asia-Pacific foreign exchange markets

The existence of time-varying risk premia in deviations from uncovered interest parity (UIP) is investigated based on a conditional capital asset pricing model (CAPM) using data from four Asia-Pacific foreign exchange markets. A parsimonious multivariate generalized autoregressive conditional heteroskedasticity in mean (GARCH-M) parameterization is employed to model the conditional covariance matrix of excess returns. The empirical results indicate that when each currency is estimated separately with an univariate GARCH-M parameterization, no evidence of time-varying risk premia is found except Malaysian ringgit. However, when all currencies are estimated simultaneously with the multivariate GARCH-M parameterization, strong evidence of time-varying risk premia is detected. As a result, the evidence supports the idea that deviations from UIP are due to a risk premium and not to irrationality among market participants. In addition, the empirical evidence found in this study points out that simply modeling the conditional second moments is not sufficient enough to explain the dynamics of the risk premia. A time-varying price of risk is still needed in addition to the conditional volatility. Finally, significant asymmetric world market volatility shocks are found in Asia-Pacific foreign exchange markets.     

Do the GSEs matter to low-income housing markets? An assessment of the effects of the GSE loan purchase goals on California housing outcomes

This study evaluates the effects of the GSE mortgage purchase goals on homeownership and housing conditions among communities that are the focus of the 1992 GSE Act and the HUD affordable housing goals. To identify GSE effects, the test framework exploits differences in the definition of lower-income and underserved neighborhoods under the 1992 GSE Act, which specifies loan purchase goals for the GSEs, and the 1977 Community Reinvestment Act, which governs loan origination activity among the federally-insured depository institutions. Research finding suggest little efficacy of the GSE home loan purchase goals in elevating the homeownership and housing conditions of targeted and underserved neighborhoods, in turn suggesting the importance of ongoing federal policy focus in achievement of affordable housing objectives.     

整合港口信息服务资源的国外经验借鉴

首先对信息服务资源的概念进行界定,然后对本课题的研究意义进行了必要的说明,指出整合信息服务资源是第四代港口的发展要求。接着,提出了整合港口信息服务资源的三个层次:战略层次、战术层次和技术层次。然后,结合三个具有代表性的国外著名港口信息服务资源的整合状况,得出三点借鉴。一是港口一体化,进行跨港资源整合;二是港口内部,物流供应链角度,各企业部门间的信息整合,三是技术支持,新技术的采用和信息平台的集成。     

On the globalization of stock markets: An application of Vector Error Correction Model,Mutual Information and Singular Spectrum Analysis to the G7 countries

This paper analyzes stock market relationships among the G7 countries between 1973 and 2009 using three different approaches: (i) a linear approach based on cointegration, Vector Error Correction (VECM) and Granger Causality; (ii) a nonlinear approach based on Mutual Information and the Global Correlation Coefficient; and (iii) a nonlinear approach based on Singular Spectrum Analysis (SSA). While the cointegration tests are based on regression models and capture linearities in the data, Mutual Information and Singular Spectrum Analysis capture nonlinear relationships in a non-parametric way. The framework of this paper is based on the notion of market integration and uses stock market correlations and linkages both in price levels and returns. The main results show that significant co-movements occur among most of the G7 countries over the period analyzed and that Mutual Information and the Global Correlation Coefficient actually seem to provide more information about the market relationships than the Vector Error Correction Model and Granger Causality. However, unlike the latter, the direction of causality is difficult to distinguish in Mutual Information and the Global Correlation Coefficient. In this respect, the nonlinear Singular Spectrum Analysis technique displays several advantages, since it enabled us to capture nonlinear causality in both directions, while Granger Causality only captures causality in a linear way. The results also show that stock markets are closely linked both in terms of price levels and returns (as well as lagged returns) over the 36 years analyzed.     

铁路货运企业向物流信息化方向发展的探讨

本文针对铁路货运系统．分析其向物流业发展的优势．并就实施物流信息化的必要性．提出针对铁路货运企业的具体解决方案以及今后向多式联运发展的前景。     

传统政府信息化平台向云技术平台过渡的研究

本文分析在云技术平台优势的基础上,讨论了传统政府信息化平台存在的问题,提出了政府信息化平台实施云部属的必要性,并以实例说明了政府云技术平台的实施方案。     

Causes and effects of multimarket activity from theory to empirical analysis

In this paper some of the results emerged in the empirical literature on diversification are put into perspective against the background of a simple integrative model of multiproduct firms. By letting diversification strategies depend on the simultaneous play of four factors (demand relationships and technological links between goods, collusion within a market and across markets), the latter provides an illustrative framework which is useful to discuss how effectively the issue of ambiguous findings has been tackled in applied works. In some cases scholars have devoted substantial effort in order to build tests which can successfully discriminate among the different views on the causes and effects of diversification, while in other circumstances empirical investigations have been conducted with much less care. Other then criticising some of the methods used in the past, the paper provides a number of suggestions that can help guiding future empirical work on corporate diversification. Copyright © 2004 John Wiley & Sons, Ltd.     

Psychological distancing: the effects of narrative perspectives and levels of access to a victim's inner world on victim blame and helping intention

• To explore what is an (in)effective way to tell victim stories in order to elicit support for charitable causes, an experiment was conducted to examine how narrative perspectives (first‐person versus third‐person) and levels of access to a victim's inner world (high versus low) may influence reactions to the victim. It found that the two factors interacted to influence victim blame and helping intention through affecting the perceived psychological distance of the victim. Specifically, the first‐person (versus third‐person) narrative increased victim blame and reduced helping intention by motivating participants to distance themselves from the victim when the level of access to the victim's inner world was relatively high but not when the level of access was relatively low. The findings contribute to our understanding of what would be an (in)effective way of telling victim stories to elicit compassionate reactions to those in need.

Copyright © 2015 John Wiley & Sons, Ltd.     

基于公司治理结构:防范会计信息失真的思考

会计信息失真问题不断蔓延,造成了严重的经济后果。本文主要对会计信息失真与公司治理结构进行分析和探讨,发现我国公司治理结构存在的制度性缺陷,对会计信息质量造成了严重的影响,针对这些现象,本文对提高会计信息质量提出了对策。     

Corporate Incentives to Disclose Carbon Information: Evidence from the CDP Global 500 Report

We investigate how the Global 500 companies respond to the challenge of climate change with regard to their carbon disclosure strategies. This paper is motivated by a growing body of research that examines the role of large companies in carbon disclosure responsibility and practices. We consider the impact of social, financial market, economic, regulatory, and institutional factors on the motivation to voluntarily participate in the 2009 Carbon Disclosure Project. We find that economic pressure is significantly associated with the decision. That is, companies facing direct economic consequence are more likely to disclose. Companies in greenhouse gas (GHG) intensive sectors show the same tendency. In addition, big companies have a higher propensity for disclosing, suggesting that social pressure plays an important role. We also provide possible explanations as to why a large proportion of our sample firms refuse to disclose. Furthermore, our results suggest that the proxies for information needs of investors are not associated with a higher propensity to disclose the amount of their emission footprints. In sum, it appears that the major driving force for climate change disclosure comes from the general public and government rather than from the other major stakeholders such as shareholders and debtholders. Our results are robust after controlling for other influences.     

地方高校图书馆向当地企业开展文献信息服务的可行性探讨

地方中小企业因观念、资金、技术、人才等局限,信息利用水平很低,与地方高校图书馆合作是地方企业既节约又高效获取信息服务的好途径。共建共享、信息整合、牵线搭桥、远程服务、专业导航"、镜象"服务、个性化服务等方式是地方高校图书馆向当地中小企业提供信息服务的主要途径和方法。图书馆主动与地方企业交流合作,是充分发挥信息搜集、加工、处理和传递功能,繁荣当地社会文化,服务当地经济建设,推动高校与地方经济协调发展,促进地方高校图书馆自身快速成长的明智选择。