Biogeography based optimization for mining rules to assess credit risk

Financial institutions, by and large, rely on the use of machine learning techniques to improve the classic credit risk assessment model for reduction of costs, delivery of faster decisions, guaranteed credit collections, and risk mitigations. As such, several data mining and machine learning approaches have been developed for computation of credit scores over the last few decades. Moreover, the existing rule-based classification algorithms tend to generate a number of rules with a large number of conditions in the antecedent part. However, these algorithms fail to demonstrate high predictive accuracy while balancing coverage and simplicity. Thus, it becomes quite a challenging task for the researchers to generate an optimal rule set with high predictive accuracy. In this paper, we present an effective rule based classification technique for the prediction of credit risk using a novel Biogeography Based Optimization (BBO) method. The novel BBO in the context of rule mining is named as locally and globally tuned biogeography based rule-miner (LGBBO-RuleMiner). This is applied for discovering optimal rule set with high predictive accuracy from the dataset containing both the categorical and continuous attributes. The performance of the proposed algorithm is compared against a variety of rule-miners such as OneR (1R), PART, JRip, Decision Table, Conjunctive Rule, J48, and Random Tree, along with some meta-heuristic based rule mining techniques by considering two credit risk datasets obtained from University of California, Irvine (UCI) repository. It is found from the comparative study that the proposed rule miner in ten independent runs of ten-fold cross validation outperforms all of the aforesaid algorithms in terms of predictive accuracy, coverage, and simplicity.     

Earnings management and deregulation: The case of motor carriers

This study investigates the discretionary accounting choices of federally-regulated interstate motor carriers during the period in the late 1970s when the U.S. government successfully deregulated the industry. We predict that motor carriers were likely to use income-decreasing earnings management to lessen the public perception of excessive industry profits and thus to avoid deregulation that during this period of heightened political cost.     

Implications of Debt Renegotiation for Optimal Bank Policy and Firm Behavior

This paper analyzes the problems associated with the renegotiation of debt contracts involving a bank (the lender) and a firm (the borrower) when the latter is operated by a risk averse manager. Firms undertake risky projects with loan capital borrowed from the bank. When a firm cannot pay off a loan it is technically bankrupt. Both the borrower and the lender may however experience a Pareto-improvement in their positions by renegotiating the loan. By renegotiating the terms of the debt the financially distressed firm can avoid the stigmatization of bankruptcy and the bank can avoid the costs of seizing the borrower's assets. However, our main finding is that, from the bank's point of view, renegotiating as a policy of recovering loan payments may be inefficient in practice because of false bankruptcy claims and moral hazard problems associated with exposure of the borrowing firm to the risk of default. We present a solution to the false bankruptcy claim problem that involves a mixe d strategy between asset seizure by the bank and debt renegotiation.     

The Effects of Youth Job Seeker Allowance in South Korea

The severity of youth unemployment in South Korea has prompted the government to implement various preventive measures such as employment services and vocational training. Local governments implemented a Youth Job Seeker Allowance in 2016 as a new form of support, which was adopted by the central government in 2017. This study examines the impact of the Youth Job Seeker Allowance in South Korea on employment. It finds that the allowance had a positive effect on employment; recipients of the allowance have a higher probability of being employed. However, recipients took longer to obtain employment than non-recipients, corroborating previous studies that unemployment benefits lengthen the duration of unemployment. But, recipients of the allowance have more time to look for quality work. Therefore, although the Youth Job Seeker Allowance has the effect of demotivating recipients from looking for employment, its limited duration of three months obliges them to engage in job search activities. The study has implications for the introduction of Youth Job Seeker Allowance systems to support job search activities.     

Human resource management, corporate governance structure and corporate performance in Korea: a comparative analysis of Japan, US and Korea

This paper investigates the influences of human resource management (HRM) and corporate governance structure on the corporate performance in Korean firms. Prior to the Asian economic crisis, large Korean firms mostly followed the Japanese style HRM paradigm where the practice of lifetime employment is guaranteed. However, in the aftermath of the crisis, they have pursued structural downsizing and changed their paradigm more towards the US HRM paradigm where inter-firm mobility becomes prominent in the flexible labor market. The empirical evidence introduced in this paper affirms the argument that the first step towards a HRM paradigm shift in Korea should be the establishment of an efficient corporate governance structure. This implies that a simple switch from the Japanese HRM paradigm to the US model may not improve corporate performance unless the change is accompanied by a solution to the problems posed by the minority controlling structure of Korean companies. The implications of this study for guiding policy in developing countries having labor market rigidities and underdeveloped corporate governance is clear. Corporate governance systems may provide an appropriate starting point for the development of any policies aimed at building an efficient human resource management system and a flexible labor market.     

韩中两国物流网现状及发展可能性

韩中两国自1992年建交以来,在政治、经济、文化、社会等各领域的合作都取得了举世瞩目的成果,韩中物流发展存在很大的空间.     

欧洲工商管理学院（INSEAD）信任背后的“魔鬼”

信任是好事，但好事太多也会变成坏事。麦道夫骗局堪称华尔街的惊天大丑闻，它生动地诠释了信任过度与误导所能导致的最严重后果。     

A dynamic,policy oriented model of the regulated housing market: The Swedish prototype

The design and preliminary implementation of a dynamic, policy oriented model of the regulated housing market is presented. The model is developed in the context of the Swedish housing market institutions which combine nearly all features encountered in other nations. Free buying and selling by homeowners, black markets, swapping of dwellings and rationing of price controlled dwellings both by landlords and a public authority are included as explicit transaction options (with distinct costs) available to existing and newly formed households in the market. The model simulates a sequence of temporary annual equilibria which are obtained by balancing effective demands with effective supplies. Household mobility choices, landlords' selling decisions and the rationing of dwellings at fixed prices are derived from stochastic maximization resulting in multinomial or nested logit models of choice behavior. An aggregated preliminary 16-equation version is calibrated with partly real, partly guesstimated data for the Greater Stockholm region in the mid-seventies. Qualitative comparative statatics and income compensated policy simulations with this version illustrate some unintended effects of Swedish housing policy resulting from the manipulation of the income tax, an income tax dependent property tax and housing allowances. The model provides a tool whereby deregulating institutional changes which are potentially Pareto improving can be identified. If, however, current institutions such as the rationing of dwellings result in sufficiently lower transactions costs for households relative to the free market, then deregulation is not Pareto preferred.     

Tour Leaders' Impression Management and Job Performance: Exploring the Moderating Role of Tourists' Self-Monitoring

A tour leader (TL) is a first-line service provider whose performance shapes a tourist's experience and satisfaction during a journey. We examine the moderating effects of the self-monitoring level of group package tour members on the relationship between the use of impression management (IM) tactics by TLs and tourists' subsequent job performance ratings (PRs) of a TL. Data from 485 responses of tourists from 59 outbound tour groups in Taiwan revealed that TLs' use of positive IM tactics – that is, ingratiation, self-promotion, and exemplification – is positively related to tourists' PRs. In contrast, their use of non-positive IM tactics – that is, supplication and intimidation – is negatively related to tourists' PRs. Furthermore, tourists' self-monitoring appears to weaken the effects of supplication and intimidation on their PRs. We also found that tourists' level of self-monitoring is a stronger moderator when TLs use supplication than when they use other tactics.