Summary annual reports: length,readability and content

This paper examines summary annual reports (SAR) as an alternative channel for communicating financial information. We use a sample of New Zealand local governments (councils) that are required to report audited SAR. Using various measures, we compare document length and readability of SAR and annual reports (AR). We find that SAR are approximately 10 percent of the AR length and both have a ___very difficult___ readability score. We then use a disclosure index to examine the relation between SAR report length and the level of disclosures. After controlling for other factors that impact the level of disclosure, we conclude that the reduction in SAR is driven by lower levels of content. We then discuss the policy implications of our findings.     

The cooperation model between tourism development and traditional culture: new perspectives on regional context

This study provides new insights on regional context that culminate in a proposed model of the elements determining the development stage of regional cultural tourism. In-depth interviews were conducted with 25 regional participants, collecting data on tourist arrivals, investors, and residents' attitudes in the Sanyi region, Taiwan. Responses, especially those who are not economically dependent on the tourism industry, had negative attitudes toward the increase in tourists. Even so, most responses support cultural tourism development and are willing to participate in tourist festivals. Overall, investment responses preferred preserving traditional culture and less commercial activities. Results expressed the sense that developing tourism can also help preserve and allow more visitors a chance to experience the traditional culture. It is shown that Sanyi is in the third stage, advanced commodification, of the process of creative destruction, with signs that it is moving into the fourth stage, early destruction. The model emphasizes that the increasing number of tourists and positive attitudes of the residents can stimulate the introduction of investors and the development stage of regional cultural tourism. Managerial implications are provided for cultural tourism driven economic development and planning.     

Transfer mechanisms and knowledge transfer: The cooperative competency perspective

This study examines the role of transfer mechanisms, including replication and adaptation, in knowledge transfer from the cooperative competency perspective. This study tests the hypotheses in a sample of 120 knowledge transfer cases. The results indicate that transfer mechanisms relate positively to cooperative competency with partnering firms, which then improves knowledge transfer performance. The results provide evidence that cooperative competency plays a mediating role between transfer mechanisms and knowledge transfer performance. The findings of this study contribute to the theoretical development of a conceptual model for explaining the interrelationships among transfer mechanisms, cooperative competency, and knowledge transfer performance. The empirical evidence of the Sobel test in line with Baron and Kenny's procedure and bootstrap analysis supports the process-oriented view and indicates that cooperative competency mediates the effects of transfer mechanisms on knowledge transfer performance. Finally, this study discusses the managerial implications and highlights future research directions.     

The emerging market crisis and stock market linkages: further evidence

This study examines the long‐run price relationship and the dynamic price transmission among the USA, Germany, and four major Eastern European emerging stock markets, with particular attention to the impact of the 1998 Russian financial crisis. The results show that both the long‐run price relationship and the dynamic price transmission were strengthened among these markets after the crisis. The influence of Germany became noticeable on all the Eastern European markets only after the crisis but not before the crisis. We also conduct a rolling generalized VAR analysis to confirm the robustness of the main findings. Copyright © 2006 John Wiley & Sons, Ltd.     

Assessing the trade impacts of the ASEAN + 6 FTA for Lao PDR

Using an unbalanced panel dataset of bilateral exports from 1992 to 2009, we assess the potential trade impacts of the expansion of the Association of Southeast Asian Nations (ASEAN) to ASEAN + 3 and ASEAN + 6 on the Lao People's Democratic Republic (Lao PDR). It is found that bilateral exports are positively related to overall bilateral country size and similarity in country size but inversely related to the factor endowment differences, transportation costs, and import tariffs. Simulation results show that the formation of preferential trade agreements (PTAs) between ASEAN and the Plus‐6 economies (the People's Republic of China, Japan, and the Republic of Korea in East Asia; and the other three economies of Australia, India, and New Zealand) could increase bilateral trade between the Lao PDR and ASEAN + 6 by US$1 billion, and ASEAN + 3 by US$981 million. Nonetheless, the trade balance of the Lao PDR is likely to worsen in both the ASEAN + 3 and ASEAN + 6 PTAs because they stimulate more imports than exports.     

Multiphase Assessment of Project Risk Interdependencies: Evidence from a University ISD Project in Taiwan

Project risks evolve dynamically, so variations in risk influences during the life cycle of an information system development project require analyses to devise risk management strategies cost effectively and at the appropriate stages. This study extends the Decision Making Trial and Evaluation Laboratory technique, using network theory, to assess the risk interdependencies for distinct project phases. A multiphase observation of a university information system development project in Taiwan provides a more in‐depth understanding of the key risk factors. To enhance risk assessments, this study proposes integrating an interdependency indicator with risk exposure measures.     

The impact of liquidity on option prices

This study illustrates the impact of both spot and option liquidity levels on option prices. Using implied volatility to measure the option price structure, our empirical results reveal that even after controlling for the systematic risk of Duan and Wei ( 2009 ), a clear link remains between option prices and liquidity; with a reduction (increase) in spot (option) liquidity, there is a corresponding increase in the level of the implied volatility curve. The former is consistent with the explanation on hedging costs provided by Cetin, Jarrow, Protter, and Warachka ( 2006 ), whereas the latter is consistent with the “illiquidity premium” hypothesis of Amihud and Mendelson ( 1986a ). This study also shows that the slope of the implied volatility curve can be partially explained by option liquidity. © 2011 Wiley Periodicals, Inc. Jrl Fut Mark     

A PANEL DATA APPROACH FOR PROGRAM EVALUATION: MEASURING THE BENEFITS OF POLITICAL AND ECONOMIC INTEGRATION OF HONG KONG WITH MAINLAND CHINA

We propose a simple‐to‐implement panel data method to evaluate the impacts of social policy. The basic idea is to exploit the dependence among cross‐sectional units to construct the counterfactuals. The cross‐sectional correlations are attributed to the presence of some (unobserved) common factors. However, instead of trying to estimate the unobserved factors, we propose to use observed data. We use a panel of 24 countries to evaluate the impact of political and economic integration of Hong Kong with mainland China. We find that the political integration hardly had any impact on the growth of the Hong Kong economy. However, the economic integration has raised Hong Kong's annual real GDP by about 4%. Copyright © 2011 John Wiley & Sons, Ltd.