Inflation Targeting,Fiscal Policy,and the Exchange Rate Regime

Until recently, Turkey’s economy was characterized by high inflation, undisciplined public finance management, and a fragile banking system and experienced multiple economic crises. After the economy was hit by another crisis in 2001, the central bank became independent, adopted inflation targeting as the monetary policy framework, and implemented reforms to adopt a more stringent fiscal policy. Inflation rates decreased to single-digit levels within 3 years after the independence of the central bank. This article analyzes the end of the high inflation period in the context of monetary and fiscal policy interactions within a Markov-Switching Dynamic Stochastic General Equilibrium model in which monetary and fiscal policies are allowed to switch between different regimes.     

An empirical study on the nexus between the emotional intelligence of top managers and their assessment of intellectual capital

This study considers intellectual capital based on the assumption that this capital, which possesses social aspects, is related to the emotional capacities (i.e., emotional intelligence) of an organization’s members. A literature review indicates that this relationship has been previously noted and studied, and researchers agree that the emotional intelligence of the members of an organization affects the organization’s intellectual capital. Based on this analysis, this relationship is examined in the Turkish business context. Data are collected from top managers, who can affect the intellectual capital oftheir businesses and who, as human beings, are emotional. Thus, in this study, the emotional intelligence of top managers and their opinions regarding the intellectual capital of their businesses are considered to be related, with interesting results. When all of the factors of emotional intelligence that are likely to affect opinions regarding intellectual capital are examined using a multivariate model, the effect of emotional intelligence is revealed. Primarily, three factors of the emotional intelligence—empathy and communication skill, self-awareness and sociability—affect the participants’ opinions regarding the intellectual capital of their businesses. Univariate models are used to evaluate the effect of each emotional intelligence factor on the participants’ opinions regarding the intellectual capitalof their businesses. Empathy and communication skills affect opinions about the quality of human capital. Self-awareness affects opinions about the organizational commitment of workers. Sociability can affect opinions about information technology and information sharing. In summary, emotional intelligence affects opinions about human capital quality, information technology and information sharing.     

Political Business Cycles and Partisan Politics: Evidence from a Developing Economy

This paper explores whether the evidence supports the Political Business Cycle (PBC) theory, Partisan Theory (PT), and Rational Partisan Theory (RPT) using stock market data from Turkey, a rapidly growing developing economy. The results indicate that the PBC hypothesis is not supported by the data. We find permanent partisan effects in the conditional variance but not in returns. The conditional volatility of the returns is higher during the periods in which a leftist party or a coalition government is in office. We also find that the stock market returns temporarily decreases (increases) at the beginning of a right‐wing (left‐wing) government, providing evidence in favor of RPT.     

An integrated model for stock replenishment and shipment scheduling under common carrier dispatch costs

We examine a joint inventory replenishment and shipment scheduling problem that arises in the context of a vendor-managed inventory (VMI) arrangement. Since a temporal shipment consolidation policy is being implemented, the inventory requirements at the vendor are affected by the timing and quantity of shipment release. The vendor’s problem is to determine an integrated policy for inventory replenishment and shipment release and to set its parameters. We develop analytical models for computing such integrated policies where it is economical to use common carriage for outbound transportation. We propose algorithmic approaches to set the optimal policy parameter values.     

Plantations,Resistance and the Greening of the Agrarian Question in Coastal Ecuador

Worldwide, industrial tree plantations are at the origin of a growing number of conflicts between local populations and commercial planters. Such conflicts – which often turn out to be ‘environmental’– have largely remained understudied. By focusing on the establishment of an industrial eucalypt monoculture in a coastal Ecuadorian canton, this paper investigates the effects of the penetration of capital into the rural sphere, emphasizing the resulting resistance campaign of a local NGO originating from a peasant organization. We analyse the evolution of land conflicts in the region – historically as well as operationally during the latest eucalypt campaign. We find that displacement of local peasants is a recurrent theme, while environmental issues have recently been incorporated into the resistance to landowners. We thus argue that the agrarian question also includes – now perhaps more than ever – an environmental dimension, thereby providing space for a fruitful dialogue between political ecologists and students of agrarian conflicts.     

EXPERIENCING URBAN SMELLS WHEN WALKING: Kastamonu City Case

Urban experiences are increasing in popularity every day. In these experiences sensory elements are significant, and a review of the urban environment, in which visual perceptions have prevailed in the past, would demonstrate that other senses are important as well. As Le Corbusier remarked, urban experiences can be achieved by walking with a wide perspective. In the present study scent walks were conducted to reveal the significance of the scent factor in urban experience. As a result of these walks, the existing scents in Kastamonu city, the role of the scents in urban memory, and their effects on individuals were determined, thus emphasizing the significance of scents for urban planning and design.     

QUADRATIC PEN'S PARADE AND THE COMPUTATION OF THE GINI INDEX

Following Milanovic's (1997) paper, we propose a simple way to compute the Gini index when income y is a quadratic function of its rank among n individuals.     

Income Support and Stigma Effects for Young Australians

The central research question addressed in this article is how receipt of income support payments affects the well‐being of youths. Using 1997–2004 panel data from a nationally representative survey of Australian youths, we attempt to estimate the size of the welfare stigma faced by Australian youths, where stigma is defined as the effect of welfare receipt on reported happiness levels. In analysing the determinants of happiness, we argue that it is important to control for dynamics and initial conditions. The latter arguably measures an initial setpoint of happiness which the psychology literature has found strong support for. In contrast to the general findings of the existence of a welfare stigma for adults, based on our results using dynamic panel probit models, our findings suggest that for Australian youths there is a small negative, but not statistically significant, stigma associated with welfare receipt.     

Retirement in Australia: A Closer Look at the Financial Incentives

In Australia, labour force participation among older people has been declining. Previous research has found that in many OECD countries, the retirement income system actually provides a financial incentive for older workers to retire early. In this article, we model the retirement behaviour of Australian men and women aged between 55 and 70 years, where individuals retire in the period that the present value of their lifetime retirement income is maximised. Our findings suggest that the Australian retirement system does provide an incentive to retire early. However, men are much more likely than women to respond to these financial incentives.     

MICRO CREDIT RISK METRICS: A COMPREHENSIVE REVIEW

Default modelling is a general term used for several interrelated fields of risk management. Bond defaults, credit (loan) defaults, firm defaults and country defaults are examples of this kind. The scope and reason for existence of this study is to focus mainly on firm default. The purpose of this review is to shed light on the development and evaluation of the models proposed for predicting bankruptcy in terms of conceptualization, country distribution, sector specification, time dimension, variables used and findings reported. The current review includes firm default studies published in business fields such as accounting, economics, finance and management science. This review is distinct in that it seeks (i) to give a comprehensive examination of the models, (ii) to compare and contrast the features of the models and (iii) to show with a solid argument where future research should be focused. Copyright © 2013 John Wiley & Sons, Ltd.