Sentiment effects on Chinese share prices and savings deposits: The post-2003 experience

This paper examines the importance of sentiment effects on asset allocation decisions in mainland China and beyond. Rising stock market sentiment appears to have negatively and significantly impacted Chinese savings account growth over the 2003–2007 period. Investor sentiment also exerted consistently significant effects on the discounts attached to Chinese B-shares, H-shares and ADRs by foreign investors. Although the sample period is limited by availability of the sentiment data, the indicated effects remain most robust when controlling for relative stock market performance, liquidity levels, expected exchange rate movements, and such ‘indirect’ sentiment measures as market and firm-specific price-earnings ratios.     

Lost Profits from Patent Infringement: The Simulation Approach

A patent owner is entitled to recover any additional profits that would have been earned but for infringement. This paper suggests the use of an adaptation of merger simulation to assess lost profits in patent infringement cases. A model of the industry with infringement is calibrated to observed prices and quantities and estimated demand elasticities. Lost profits are then estimated by calculating a new equilibrium without the infringing product(s).     

Corporate enterprise: a new reality for hospitality organisations?

Corporate enterprise (CE) is in many ways a new subject and yet paradoxically, there is nothing new about the practice of enterprise in larger organisations. This paper has examined the changing nature of hospitality organisations using the lens of ‘entrepreneurship’ rather than that of organisational behaviour and/or strategic management. The work is primarily conceptual illustrating how larger hospitality organisations can become more enterprising and thus utilises ideas and theories from research into CE. The paper explores in detail a conceptual framework for understanding CE developed by the author. It applies this framework to hospitality organisations showing the principles involved with the promotion of business creation and innovation. Further, the paper illustrates practical steps one can take to promote new ventures in existing organisations.     

Economic Assessment of the Recreational Value of Ecosystems: Methodological Development and National and Local Application

We present a novel methodology for spatially sensitive prediction of outdoor recreation visits and values for different ecosystems. Data on outset and destination characteristics and locations are combined with survey information from over 40,000 households to yield a trip generation function (TGF) predicting visit numbers. A new meta-analysis (MA) of relevant literature is used to predict site specific per-visit values. Combining the TGF and MA models permits spatially explicit estimation of visit numbers and values under present and potential future land use. Applications to the various land use scenarios of the UK National Ecosystem Assessment, as well as to a single site, are presented.     

Information Linkages between Chinese and World Copper Futures Markets

In this paper, we examine the price discovery process and volatility spillover effects in informationally linked futures markets. Using synchronous trading information from the Shanghai Futures Exchange (SHFE), the New York Mercantile Exchange (NYMEX), and the London Metal Exchange (LME) for copper futures from 2000 to 2012, we show that the cointegration relationships of these futures markets changed during 2006–2008. The results indicate that there is a bidirectional relationship in terms of price and volatility spillovers between the LME and NYMEX and the SHFE, with a stronger effect from the LME and NYMEX to the SHFE (versus the effect from the SHFE to the LME and NYMEX) prior to 2006. Our results also highlight the increasingly prominent role of the SHFE in the price formation process and cross-volatility spillover effects since 2008. Finally, we show that volatility spillover has important implications for constructing optimized portfolios for copper investors.     

Cabri Project—a Collaborative Research Facility

This paper describes the results of a case-study carried out within the context of a wider evaluation of the benefits and costs of international collaboration in Europe for the development of fast breeder reactors. The Cabri reactor is a large scale research facility jointly owned and operated by France and Germany, with the UK, USA, and Japan involved as junior partners. The organisation of the collaboration is discussed. Particular issues include problems surrounding barter arrange- ments, personnel aspects and the extent to which costs and benefits have been incurred. It is concluded that a substantial saving was achieved compared with performing the work in one country, but at a cost of reduced national control. The collaboration was facilitated by the lack of immediate commercial significance and by the organisational structure.     

A change in the time-varying correlation between oil prices and the stock market

We investigate the time-varying correlation between oil prices and stock prices. Estimation results from a multivariate DCC-GARCH model reveal that the correlation has changed since the financial crisis. Historically, the correlation has been close to zero or slightly negative. However, the correlation changed to positive during the Great Recession and continued to be positive through the first half of 2017. We investigate the role quantitative easing played in this change in correlation using a threshold model.