Institutional cross-ownership,heterogeneous incentives,and negative premium mergers

Review of Quantitative Finance and Accounting - Cross-owners, investors who have stakes in both the acquiring and target firms, are likely to focus on the total portfolio wealth effects from...     

Not all shadow banking is bad! Evidence from credit intermediation of non-financial Chinese firms

Review of Quantitative Finance and Accounting - Using data from 2009 to 2016 data, we investigate the relation between leverage and investment in listed firms in China against the backdrop of...     

Which eligible households get grants? Demographic correlates of receipt in South Africa

Since Apartheid, the South African government transformed and expanded the social grants system to improve the well-being of its vulnerable populations. Despite increased efforts, a sub-section of the grant-eligible population is not reached. Too little is known about the factors that contribute to grant receipt, especially for the household as a whole. This article examines the household and community characteristics associated with grant receipt among poor households in KwaZulu-Natal. We add to previous work by assessing grant receipt at the household level, examining receipt of the two major grants and analysing correlates in a multivariate framework. While associations with grant receipt are complex and varied, we find higher grant receipt (especially the Child Support Grant) among more disadvantaged households. We also find that characteristics across multiple domains are needed to best distinguish household grant receipt. We discuss theoretical implications for models of grant receipt and practical implications for improving grant access.     

Drowning deaths among anglers: Are waders a contributing factor?

Recreational fishing has been a popular activity for Australians over at least the past two centuries. While the use of waders for recreational fishing is widely adopted by participants, there is considerable speculation as to whether waders are contributing to fishing-related drowning deaths. This study involved a comprehensive search of peer-reviewed and grey literature to identify relevant information and a pilot investigation in a swimming pool to understand the accuracy of the currently available information. Extensive searching indicated that there is no published peer-reviewed evidence on the contribution of waders to drowning deaths, although the grey literature and personal communication with fishers offer a range of opinions, some that aim to discredit the claim that waders contribute to drowning, and others that support it. Improved understanding of the actual effect of waders based on biomechanical buoyancy principles and a pilot study of submersion in controlled conditions contributes to enhanced safety of fishers who choose to wear waders, dispels current myths and informs future studies of fishers wearing waders.     

A tangled web: views of deception from the customer's perspective

While there has been extensive research on deception, extant literature has not examined how deception is processed solely from the customer's perspective. Extensive qualitative interviews were conducted and analyzed to inform the proposed framework. Cognitive dissonance theory and attribution theory are used to frame the process consumers go through when deception is perceived. When consumers perceive deceit, they will consider attribution before determining intentionality. Internal attributions relieve the company of wrongdoing to some extent, whereas external attributions lead consumers to examine several elements of deception including intent. Unintentional deceit will trigger assessments of magnitude, stability, and switching costs; while less is considered when deceit is intentional. The findings of this research are important for advancing theory in relation to deceit and for helping practitioners understand the importance of changing consumer cognitions before consumers decide to change their behavior by discontinuing the relationship.     

An investigation of the black-box supplier integration in new product development

This research examines black-box supplier integration in new product development (NPD). A model and several hypotheses are proposed to study the relationship between product task characteristics (importance and complexity), supplier integration, and product performance. Data from 136 U.S. high-tech firms were used to test the hypotheses. Results suggest that assessing the importance and complexity of NPD tasks is critical to the implementation of supplier integration innovation strategy. Firms are likely to perform NPD tasks that are related to firms' core competencies in-house. They tend to externalize complex tasks to suppliers in order to utilize suppliers' resources and to increase NPD speed. The black-box supplier integration influences the speed to market. However, it is more effective on speed to market when technology uncertainty is low than when technology uncertainty is high.     

Spectral density and spectral distribution inference for long memory time series via fixed-b asymptotics

This paper studies taper-based estimates of the spectral density utilizing a fixed bandwidth ratio asymptotic framework, and makes several theoretical contributions: (i) we treat multiple frequencies jointly, (ii) we allow for long-range dependence or anti-persistence at differing frequencies, (iii) we allow for tapers that are only piecewise smooth or discontinuous, including flat-top and truncation tapers, (iv) we study higher-order accuracy through the limit distribution’s Laplace Transform, (v) we develop a taper-based estimation theory for the spectral distribution, and show how confidence bands can be constructed. Simulation results produce quantiles and document the finite-sample size properties of the estimators, and a few empirical applications demonstrate the utility of the new methods.     

The Ancillary Benefits from Climate Policy in the United States

This study investigates the benefits to human health that would occur in the United States (US) due to reductions in local air pollutant emissions stemming from a federal policy to reduce greenhouse gas emissions. In order to measure the impacts of reduced emissions of local pollutants, this study considers the Warner-Lieberman bill (S.2191) of 2007 and the paper considers the impacts of reduced emissions in the transport and electric power sectors. This analysis provides strong evidence that climate change policy in the US will generate significant returns to society in excess of the benefits due to climate stabilization. The total health-related co-benefits associated with a representative climate policy over the years 2010–2030 range between 103 billion and103 billion and 1.2 trillion in present value terms. Much of the co-benefit stems from between 32,000 and 189,000 avoided premature mortalities associated with exposure to PM_2.5 and O₃. Most of the co-benefits are due to reduced emissions of SO₂ from coal-fired power plants since these are an important contribution to ambient concentrations of PM_2.5. Among the most important determinants of co-benefits is the relationship between climate policy and existing policies governing SO₂ discharges from coal-fired power generation capacity. If SO₂ emissions are permitted to remain at current levels, total co-benefits are cut by 65%. We find that the co-benefit per ton of CO₂ emissions ranges between 1 and1 and 77 depending on modeling assumptions and year.