Financial Inclusion and Policy-Making: Strategy,Campaigns and Microcredit a la Turca

As in many other cases in the global South, creating more aware financial consumers is a prominent goal of the financial inclusion process in Turkey. The Turkish case has two peculiarities: the non-commercial character of the microcredit sector, which is partly organised by the state; and the state’s proactive role in Turkey’s financial transformation. This article analyses how the global financial inclusion agenda has been adapted for the Turkish context. The strength of Turkey’s financial infrastructure motivated policy-makers to focus on financial consumers, with the state intervening to spread further the financial modes of calculation. The article argues that the financial integration of large segments of Turkish society creates conundrums which cannot be easily overcome.     

Violence in/by the market

ABSTRACT

In this paper, I discuss a definition of violence to unearth the generally unrecognised violence perpetrated by the logic of the market as is was constructed through a history of modern thought and capitalist organisation of life as the central system of modernity. Enslavement of humanity to the purpose of capitalist economy and its key institution, the market, which is to optimise economic value, is arguably the consequence.     

The Relationship Between Price Stability and Financial Stability: Evidence From Major Emerging Economies

We examine the relationship between price stability and financial stability for major emerging economies using a Markov regime-switching model. Empirical results suggest that monetary policy is consistent with the Taylor rule in all countries except for India and all countries followed both low and high inflation targeting monetary policy regimes. Low inflation targeting regime seems to be more persistent and has higher duration than high inflation targeting regimes except for Indonesia and South Africa. All countries seem to have had financial stability concerns when they formulated their monetary policy as the coefficient of the financial stress index is statistically significant at least in one regime. Overall the results suggest that Taylor rule-based monetary policies have been implemented to various degrees in major emerging economies to achieve economic stability, price stability, and financial stability.     

Is the Allais paradox due to appeal of certainty or aversion to zero?

Experimental Economics - We provide a novel but intuitive explanation for expected utility violations found in the Allais paradox: individuals are commonly averse to receiving nothing. We call this...     

Lexicographic choice under variable capacity constraints

In several matching markets, to achieve diversity, agents' priorities are allowed to vary across an institution's available seats, and the institution is let to choose agents in a lexicographic fashion based on a predetermined ordering of the seats, called a (capacity-constrained) lexicographic choice rule. We provide a characterization of lexicographic choice rules and a characterization of deferred acceptance mechanisms that operate based on a lexicographic choice structure under variable capacity constraints. We discuss some implications for the Boston school choice system and show that our analysis can be helpful in applications to select among plausible choice rules.     

An extension to the classical mean–variance portfolio optimization model

Abstract

The purpose of this study is to find a portfolio that maximizes the risk-adjusted returns subject to constraints frequently faced during portfolio management by extending the classical Markowitz mean–variance portfolio optimization model. We propose a new two-step heuristic approach, GRASP & SOLVER, that evaluates the desirability of an asset by combining several properties about it into a single parameter. Using a real-life data set, we conduct a simulation study to compare our solution to a benchmark (S&P 500 index). We find that our method generates solutions satisfying nearly all of the constraints within reasonable computational time (under an hour), at the expense of a 13% reduction in the annual return of the portfolio, highlighting the effect of introducing these practice-based constraints.     

Paternalist leadership style of the organizational trust

This study aims to evaluate the effect of paternalist administrators on the organizational trust of teachers working in their context. The notions of paternalist leadership style, trust, and organizational trust are explained based on literature. The study is based on qualitative research approach. Despite this, the short version of “Paternalist Leadership Scale”, developed by Cheng in 2004 and a short version prepared in 2014 is used initially. Administrators with paternalist leadership characteristic were established with the help of this scale. Later, open ended questions, developed by the authors, were asked to teachers in the schools as organizations of those administrators with the aim of establishing their “trust for the administrator and for the organization”. The sample of the research was made up of 30 teachers working at 5 primary schools of the North Cyprus Ministry of National Education during the 2016–2017 school year. It was observed in the findings that in the eyes of the teachers social characteristics of individuals were most important in creating and enhancing the feeling of trust. In addition, it was observed that personal characteristics were some of the defining factors in developing trust. The conclusion was reached that teachers working with paternalist administrators had positive communications with school administrators and colleagues, and that they carried out their relationships within the rules of good manners and kindness. Again, in the eyes of teachers, it was established that paternalist administrators were eager to renew themselves. Finally, paternalist administrators were found, with a high percentage, to be quite qualified in establishing organizational trust. In conclusion, based on the findings of this study, it can be said that administrators with paternal leadership qualities are qualified in creating organizational trust; therefore, it will be important to train administrators in developing their paternal leadership styles.     

The Influence of Funding Approaches,Growth Expectations,and Industry Gender Distribution on High‐Growth Women Entrepreneurs

This study examines three key aspects of entrepreneurship associated with women business owners and their ability to achieve high growth: debt versus equity financing, growth expectations, and industry gender distribution. We present a number of theoretical lenses spanning disciplines such as gender studies, entrepreneurship, social psychology, and finance. Using longitudinal data from U.S. startups over an eight‐year period, our research reveals a number of interesting findings. We find that, proportionally, high‐growth women entrepreneurs are more likely to finance their growth with personal and business equity funding. Additionally, women‐owned firms in “feminine industries” are more likely to achieve high growth than women‐owned firms in “non‐feminine industries.”     

ICT and employment generation: evidence from Turkish manufacturing

This study is said to be the first attempt in exploring the impact of information and communication technologies (ICT) capital on employment generation/destruction in Turkish manufacturing industry by using labour demand estimation framework. The analysis is based on firm-level data, which includes all firms employing 20 or more employees in Turkish manufacturing for the period 2003–2013. Our findings based on system GMM estimations show that ICT has employment-enhancing effects in Turkish manufacturing. Moreover, our results provide the evidence that tangible ICT capital has stronger employment generation impact than that of intangible ICT capital in medium- and low-tech industries.