The decision to first enter the public bond market: The role of firm reputation,funding choices,and bank relationships

This paper uses survival analysis to investigate the timing of a firm’s decision to issue for the first time in the public bond market. We find that firms that are more creditworthy and have higher demand for external funds issue their first public bond earlier. We also find that issuing private bonds or taking out syndicated loans is associated with a faster entry to the public bond market. According to our results, the relationships that firms develop with investment banks in connection with their private bond issues and syndicated loans further speed up their entry to the public bond market. Finally, we find that a firm’s reputation has a “U-shaped” effect on the timing of a firm’s bond IPO. Consistent with Diamond’s reputational theory, firms that establish a track record of high creditworthiness as well as those that establish a track record of low creditworthiness enter the public bond market earlier than firms with intermediate reputation.     

Believing Facts in the Fog of War: Identity,Media and Hot Cognition in Ukraine’s 2014 Odesa Tragedy

ABSTRACT

How do people form beliefs about the factual content of major events when established geopolitical orders are violently challenged? Here, we address the tragic events of 2 May 2014, in Odesa, Ukraine. There, Euromaidan protest movement supporters and opponents clashed following Russia’s annexation of Crimea and the onset of the Donbas conflict, culminating in the worst civilian death toll the city had seen since World War II. Shortly after, we surveyed Ukraine’s population about who they thought had actually perpetrated the killings and relate people’s answers to alternative narratives (frames) that an original content analysis finds were available to Ukrainian citizens through different media. We find evidence, consistent with theories of hot cognition and motivated reasoning, that the Odesa violence triggered emotional responses linked to ethnic, regional, and partisan identity, which then activated attitudes associated with these identities that, in turn, led people to adopt very different (sometimes highly improbable) beliefs about who carried out the killings. Ethnic identity in particular is found to have strongly moderated the effects of television, with Ukrainian television greatly influencing Ukrainians but backfiring among Russians, and Russian television mainly impacting non-Ukrainians. Education and local information are found to reduce susceptibility to televised factual narratives.     

Under the sway of a mobile device during an in‐store shopping experience

Mobile device technology is transforming the retail shopping experience. Today's consumers are mobile dependent, preferring to consult with their phone, instead of using the salesperson, while shopping at the retail store. In the absence of literature investigating how the salesperson might sell to this omni‐channel, mobile‐connected consumer, this paper proposes a conceptual model and tests its proposed linkages. The empirically tested model presents a dyadic view of the omni‐channel consumer and the salesperson. Uniquely contributing to the omni‐channel and marketing literature, samples from an emerging economy (India) and developed (United States) economy represent the contexts. Specifically, the research examines the salesperson's role in selling to a mobile‐dependent consumer who uses mobile technology to search for information during the sales meeting. Findings show that adaptive selling can affect purchase intention and customer predisposition to comply with salesperson input. Results also reveal how perceived control, mobile dependence, and customer predisposition to comply with mobile device input affect purchase intention. Managerial and research implications specifically appropriate for the omni‐consumer retail setting are offered.     

Examination of the roles of foundations on Turkish education system of Cyprus

The foundation, to be recognized as a commodity which is used for the sake of humanity, is to remove from being a special commodity and to carry on and develop as a resource that could be benefited by society eternally for people’s service. After Cyprus was received by Ottoman Empire, some foundations were installed in order that people could meet their religious and social needs. British-Ottoman defense treaty in June 4, 1878 did not mortgage in any way any either Turkish people or assets in Cyprus. Foundation commodities and Land Registry Office were under the sovereignty and supervision of Ottoman Empire. No change was foreseen on immovable properties and especially status of immovable commodities belonging to the Foundations which are under the property of Ottoman Empire through this treaty. The British Colonial Administration changed the provisions of this treaty unilaterally, and developed a series of transactions towards invading the island. It firstly intervened in Foundations, and it settled an English administrator in pious foundation management. In 1914, it changed the island to be Royalty colony, namely; it acquired the island. Thanks to the royal charter enacted in November 30, 1915, the foundations started to manage with commissioners assigned to the management and benefit from the institution in order to control the commodities of the foundation. The foundations were transformed into Government Offices in 1928, and all of the foundation immovables were left to face the threat of intervention. The Turkish Cypriot foundation commodities and foundations management were exposed to continuous interventions, thus administrative and financial power of foundation institution were weakened. As a result of the changes in law that were made by British Colonial Administration, many lands belonging to the foundations and Varosha (Mara?) Region which is the most important tourism center of Famagusta passed into the ownership of Greeks.     

The Impact of US Uncertainty Shocks on Small Open Economies

In this paper, we investigate the impact of US uncertainty shocks on GDP growth in nine small open economies: Australia, Canada, Denmark, Finland, Iceland, New Zealand, Norway, Sweden and the United Kingdom. We compare the impact of two types of shocks: i) stock market volatility shocks and ii) policy uncertainty shocks. Using quarterly data from 1986Q1 to 2016Q1, this issue is analysed using Bayesian VAR models. Our results suggest that policy uncertainty seems to matter more than stock market volatility. Stock market volatility shocks appear to robustly have significant effects on Danish GDP growth. Policy uncertainty shocks, on the other hand, reliably lowers GDP growth in all five Nordic countries in a statistically significant manner. Statistically significant effects of policy uncertainty shocks on the Anglo-Saxon countries in our sample are harder to establish and are, in our preferred specification, only found for the United Kingdom.     

An exploratory study of resident perceptions toward the tourism industry in Cappadocia: a Social Exchange Theory approach

This paper evaluates the perceptions of Cappadocia residents on the impacts of tourism development and resident attitudes toward tourism. Social Exchange Theory underpinned this study of the perceptions of Cappadocia’s residents and their attitudes toward tourism. Primary data were collected from tourism industry professionals, officials of non-profit organizations and handicraftsmen. Twenty-three in-depth interviews were conducted with Cappadocia residents, and the data were analyzed with content analysis. Results highlight that “Economic,” “Socio-Cultural” and “Environmental” aspects can be inferred to encompass resident perceptions toward the impacts of tourism development in Cappadocia. Residents tend to recognize the economic benefits as well as socio-cultural and environmental costs. Results indicate that Social Exchange Theory can be used in explaining the perceptions of Cappadocia residents and reactions to tourism phenomena. This study is expected to provide practical ways for concerned authorities to make future policies and strategies to eradicate problems that create unpleasant feelings amongst residents.     

Currency crises and foreign credit in emerging markets: Credit crunch or demand effect?

Currency crises of the past decade highlighted the importance of balance-sheet effects of large devaluations. Currency crisis literature identified a decline in credit as one of the channels through which such crises affect real economic activity. We find empirical evidence of the existence of this channel and quantify its extent and persistence: controlling for a host of fundamentals, we find a decline in foreign credit to emerging market private firms of about 25 percent in the first year following large depreciations. This decline is especially large in the first five months, is less pronounced in the second year, and disappears entirely by the third year. We show that only about a quarter of the initial decline in credit could be attributed to the “credit crunch,” while the rest of the decline is due to contracting demand. After six months, however, most of the credit decline could be attributed to supply effects.     

Convergent Validity of Attribute-Based,Choice Questions in Stated-Preference Studies

The application of attribute-based choice questions is well established in the marketing literature, but there are unique aspects of the design that warrant investigation to assess their validity for economic welfare estimation. Three design issues are investigated in this paper: (1) the placement of the monetary stimulus (policy cost to respondents) in the sequence of attributes, (2) the number of policy alternatives respondents are asked to consider in choice questions (two versus three), and (3) the inclusion, versus exclusion, of a status-quo alternative in choice questions. The data used to implement these investigations are from a survey designed to estimate the value Maine residents place on a farmland conservation easement program. Tests of convergent validity indicate that the placement of the monetary stimulus, first versus last in the list of attributes, did not affect estimates of preference parameters, significant differences between questions with three versus two alternatives did occur, and the inclusion/exclusion of a status-quo alternative did not affect preference parameters.