Equity and Nonequity Determinants of FHA Single-Family Mortgage Foreclosures in the 1980s

We examine foreclosures on FHA single-family mortgages insured during the 1975–87 period. The importance of the market value of borrower equity and national house price dispersion support much earlier work emphasizing the key role of negative equity in triggering default. The lower is "mean" market-value equity, and the greater is dispersion, the greater is the fraction of borrowers likely to have negative equity. The unemployment rate and the book value of borrower equity are also shown to be significant determinants of default. Unemployment is one of those events that can force borrowers to move. The moving decision increases the likelihood of default because moving costs no longer deter default, and the costs of selling the house reduce the effective equity in the house. The book value of equity is relevant to this decision because it is what the sellers receive if they move without defaulting. Not only are both of these variables significant determinants of default, but the smaller is book equity, the greater is employment impact (with large book equity, unemployment should not matter because selling the house is preferred to default).     

Corporate Bond Trading Costs: A Peek Behind the Curtain

In this paper, I use institutional corporate bond trade data to estimate transactions costs in the over-the-counter bond market. I find average round-trip trading costs to be about $0.27 per $100 of par value. Trading costs are lower for larger trades. Small institutions pay more to trade than large institutions, all else being equal. Small bond dealers charge more than large ones. I find no evidence that trading costs more for lower-rated bonds.     

FACTORS INFLUENCING THE NEW YORK STOCK EXCHANGE SPECIALISTS' PRICE-SETTING BEHAVIOR: AN EXPERIMENT

This study uses an experimental approach to analyze variables hypothesized to influence specialists' behavior in establishing opening prices on the New York Stock Exchange. Participants in this study are actual NYSE specialists. A factorial design is employed, and data are analyzed using the analysis of variance model. Current demand and supply data are shown to have the most significant impact on specialists' decisions, with limit order book information and inventory position also proving to be significant and consistent for specialists participating in the study.     

Die Moderation politischer Gesprächsrunden im Fernsehen

A great number of discussion programmes (talkshows) has been established on television. They constitute a popular medium for processes of political communication. Media critics have complained that the programmes lack substance and deform public discourse. The programmes’ quality partly depends on the performances of their hosts. Critics reproach them for an insufficient level of journalistic activity, for being too soft on their guests, and for being unable to ask adequate questions that would stimulate a rational discussion. While such criticism is widespread, there are but a few empirical studies that provide systematic quantitative data on these programmes. Most of the research in the field dealt with interviews and discussions directly before or after elections. This article, however, focuses on talkshow hosts’ performances in regular TV discussions by content analyzing ten editions each of »Sabine Christiansen«, »Berlin Mitte«, »Presseclub« and »19:zehn«. The study shows notable differences in journalistic activities between different hosts, but also between different editions of the same show. Although some critical evaluations of discussion programmes are supported, the analysis hints at the need to consider significant variations in the performance of political talkshow hosts.     

A critical examination of the AICPA Code of Professional Conduct

The American Institute of Certified Public Accountants (AICPA) is responsible for the Code of Professional Conduct that governs the actions of CPAs. In 1988, the Code was revised by the AICPA, but a number of issues still remain unresolved or confounded by the new Code. These issues are examined in light of the profession's stated commitment to the public good, a commitment that is discussed at length in the new Code.Specifically, this paper reviews the following issues: (1) client confidentiality and whistleblowing, (2) limited liability, and (3) auditor independence. We argue that, in each of these areas, the AICPA promotes a position that is potentially harmful to the public good.Allison Collins is an Assistant Professor in the Department of Accounting and Taxation at Colorado State University. She has been a Certified Public Accountant since 1982. She has published previously inJournal of Business Ethics.Normal Schutz is an Associate Professor in the Department of Accounting and Taxation at Colorado State University. He has published in such journals asJournal of Business Ethics, EDP Auditor Journal andInternal Auditor.     

An examination of factors associated with the integration of human resource management and strategic decision making

Conceptually, a central aspect of “strategic HRM” is the integration of the HR function with strategic decision making. Little is known, however, about the factors that influence integration or its subsequent effects. Using data from 148 diverse organizations, it was found that strategic type and whether or not top management views employees as strategic resources were associated with integration, but that labor market munificence and organizational growth were not. The results concerning the relationship between integration and performance were surprising; integration was associated with a lower evaluation of the HRM function by top management. © 1998 John Wiley & Sons, Inc.