Cash holding dynamics and competition intensity: Evidence from UK firms

Using a quasi-natural experiment and various measures of competition intensity, we examine whether an increase in product market competition is a key driver of firm cash holdings. We find that firms increase cash holdings when competition is intense. The results suggest that the degree of increase in cash holdings is magnified among firms exposed to high predatory threat and financing friction. In addition, we examine if increasing cash holdings offers a competitive advantage in the product market. Our results indicate that firms with large cash reserves make gains in market share at the expense of their rivals. Gains in the product market are more pronounced among firms with low exposure to predatory risk and financing frictions.     

10. The Universal Concept of Human Rights as a Regulative Principle: Freedom Versus Paternalism

This essay examines the current debates regarding the politics of human rights. The universal concept of human rights is considered as a regulative principle for the possible critique of any state, including a democratic one. Moreover, the philosophical justification of the universal regulative principle for evaluating these states is vital for progressive political change and for the politics of human rights. At the heart of the analysis is Kant's concept of human rights as freedom. It is opposed to a more utilitarian interpretation of rights and political paternalism. Kant's philosophy helps us to better understand the meaning of the definition of human rights as inherent, sacred, and inalienable, as formulated by Thomas Jefferson in the Declaration of Independence. Kant makes these meanings explicit, and he elaborates on the moral-philosophical explanations of humanitarian rights. His philosophy of law was developed in a process of a systematic criticism of political paternalism (which is the flip side of dependence). Kant developed his definition of individual freedom in opposition to authoritarian paternalism, utilitarian arbitrariness, and the "despotism of paternalistic benevolence." The categorical imperative is threefold: the imperatives of morality, right, and peace. Thus it could be interpreted as "the categorical imperative of peace." The analysis shows the ongoing relevance of Kant's ideas and their recent development by the theorists of "discourse ethics" and of "cosmopolitan democracy." It affirms that the solution to the problems of securing peace and protecting human rights can only be achieved by peaceful means, based on the international rule of law.     

THE ACCUMULATION OF HOUSEHOLD WEALTH OVER THE LIFE-CYCLE: A MICRODATA ANALYSIS*

In this paper, I investigate the validity of the Modigliani-Brumberg (M-B) model as an explanation of the variation of wealth holdings among households. The model as such, even with the inclusion of estimates of household lifetime earnings, explains only a minute portion of the variation in household wealth. Indeed, for certain groups such as non-white, rural residents, and the low educated, the coefficients of the regression model are insignificant. Moreover, when the top wealth holders are removed from the sample and when non-cash financial and business assets are eliminated from the household portfolios, the explanatory power of the M-B model increases markedly. Essentially, the validity of life-cycle wealth accumulation models must be restricted to the white, urban, educated middle classes and their accumulation of housing, durables, and cash. The rich have very different motives for saving and very different sources of saving, while the poor do not earn sufficient income over their lifetime to accumulate any non-negligible wealth.     

Effective institutions for presidential science advice

The Presidential science advisory apparatus has traditionally enjoyed two principal functions– judgements about organization and expenditures for scientific research and advice about large Government decisions and programs where scientific and technical components were prominent. The latter category—science for policy-making—is by far the most important. However, in practice, this function, which resembles explicit planning, is very difficult to sustain against the tide of political uneasiness.     

Transformational Growth and the Long-period Method

The long-period method rests on gravitation which, in turn, implies that the real price-quantity system adjusts in a stable manner. The process of gravitation rests on prices that are flexible in both directions, and on the willingness of investors to shift capital in response to changes in market prices. Neither are empirically present or plausible in modern conditions, though both may have characterised capitalism in its earlier stages, based on craft technology. But later capitalism—operating mass production—exhibits inflexible relative prices coupled with volatile quantities. For the Classical equations to serve as the basis for the analysis of cycles and growth in modern conditions an interpretation must be found which does not beg the question of stability. Such an approach is sketched.     

快速检测你的脑——最新的脑损伤检测设备将帮助医生更好地判断运动员头部撞击的严重程度

BrainScope正在利用定量脑电波技术开发一个手持式的、简单易用的便携式设备,用来帮助医生对受伤运动员进行快速和准确的脑部功能评定。     

A STRATEGIC PERSPECTIVE OF BANK FINANCIAL CONGLOMERATES IN LONDON AFTER THE CRASH

The deregulation of financial markets has led to severe challenges for bank management and banking strategy. Investment banking is a sector that has experienced important and well-publicized changes. London's celebrated ‘Big Bang’ helped to stimulate new banking strategies that were characterized by the formation of so-called ‘bank financial conglomerates’. The October 1987 stock market crash, however, has precipitated strategic and organizational crises for many of these banks active in securities business and capital market products. This article re-examines investment banking strategies in London and some of the lessons associated with the crash experiences.     

What's absent in absence management?

Current approaches to absence management, such as focused attendance management, integrated disability management, benefit design and wellness programs, are necessary but not sufficient. Employers should focus on building a "present and committed" workforce, reducing the number of absences and using technology to link absences to the bottom line.