Foreign exchange market pressure and stock market dynamics in emerging Asia

International Economics and Economic Policy - This study investigates connections between currency and stock markets for the Asian emerging economies using a novel approach that considers exchange...     

Analysis of travel and tourism competitiveness index in middle-east countries

The purpose of this research is to analyze tourism competitiveness in middle-east countries by using travel and tourism competitiveness index published in the report of the world economic forum. The used model is performed to analyze Promethee model and comparative analysis on the basis of data in 2015 and 2017. The analysis results showed that although Egypt, Iran, Kuwait, Lebanon and yamen improved their situation in comparison to 2015, they couldn’t improve their own competition power in comparison to other middle-east countries, and they were located in the group of countries with lower tourism competitiveness.     

Creating advocates: understanding the roles of CSR and firm innovativeness

Although previous studies revealed the positive effect of CSR perceptions on customer behaviour, the relationship between CSR and perceived firm innovativeness (PFI) has been underexplored. The purpose of this paper is twofold. First, it attempts to propose and validate a model to comprehend the relationship between CSR and PFI. Second, it aims to investigate the mediating role of corporate image stemming from CSR and PFI in order to foster customer advocacy intentions. Data were collected from 360 customers of the retail banking industry in Pakistan, and the results indicate that customers’ CSR perceptions directly and positively influence PFI. Interestingly, corporate image fully mediates the relationship between PFI and advocacy intentions, whereas it plays a partial mediation role in the CSR-advocacy intentions relationship. The findings of this research expand the corpus regarding the roles of CSR and PFI in creating advocacy intentions among customers through the corporate image.

     

Environmental,social and governance disclosure and default risk

We investigate whether environmental, social and governance (ESG) disclosure is related to default risk. Using a sample of US nonfinancial institutions from 2006 to 2017, we find that ESG disclosure is positively related to Merton's distance to default and is negatively related to the credit default swap spread, which suggests that firms with a higher ESG disclosure have lower default risk. Our analysis further indicates that the inverse effect of ESG disclosure on default risk is through increased profitability and reduced performance variability and cost of debt. We also document that the negative impact of ESG disclosure on default risk is existent only for mature and older firms. These results are important for all stakeholders of firms, including shareholders and bondholders to consider firm's ESG disclosure in conjunction with life cycle stage before making their investment decisions.     

The monetary explanation of inflation: The experience of three major OPEC economies

The purpose of this paper is to analyze and to test empirically the monetary explanation of inflation in the case of the moderate inflationary experience of three major OPEC economies over the last two decades. The estimated model takes into account the underlying money demand relationship and pays careful attention to the model's lag specifications. The empirical results show that the monetary model of inflation adequately explains the inflationary process in each of the countries studied. These empirical results, furthermore, are econometrically valid insofar as they are not plagued with significant simultaneous-equation bias. In addition, the estimated equations are also found to exhibit structural stability over time.     

China''s exchange rate and the balance of trade

This paper examines the responsiveness of the balance of trade of the People's Republic of China to the real exchange rate. We find that, in both the short-run and the long-run, devaluation serves to improve the balance of trade. Using quarterly data for 1980:I to 1989:IV we show that the bulk of the response to devaluation occurs over a one year period, with noJ-curve effect. These results suggest that the two-tier price system and other measures to liberalize the Chinese economy have made the exchange rate an effective indirect tool for regulating trade.     

The impact of fiscal policy under rational expectations: Some tests

The purpose of this paper is to explore empirically for Canada the implication of the Macro Rational Expectations (MRE) hypothesis that only unanticipated fiscal policy matters for real economic activity. The empirical results generated over the quarterly period 19601 to 1982iv do not reject the MRE hypothesis for Canada. These results, therefore, cast doubts on the appropriateness of using systematic fiscal policy to stabilize the real economy in Canada.