Weather Effects on Stock Returns and Volatility in South Asian Markets

We study the effect of mood-proxy variables on index returns and volatility in six South Asian markets. Our mood-proxy variables include six weather (temperature, humidity, cloud cover, air pressure, visibility, and wind speed), three weather indicator variables (fog, thunder storm and rain or drizzle) and two biorhythmic variables (SAD and lunar phases). We adopt a robust approach and attempt to select the best parsimonious econometric model for each market. Our findings suggest that mood-proxy variables have some convincing influences in South Asian capital markets. In some instances, these variables are influencing returns while in other instances they are influencing volatility.     

Does a Held-to-Maturity Strategy Impede Effective Portfolio Diversification for Islamic Bond (Sukuk) Portfolios? A Multi-Scale Continuous Wavelet Correlation Analysis

There is a critical gap in the literature in studying the portfolio diversification opportunities available to sukuk investors and evaluating these in light of held-to-maturity strategies usually adopted by these investors. This article has made an initial attempt to study the portfolio diversification strategies for sukuk portfolios across heterogeneous investment horizons. Our findings critically indicate that returns between local currency sukuk in different markets generally have low levels of correlations across different investor holding periods, thus enabling both short and long-run portfolio diversification benefits. However, in contrast, international currency sukuk issued in different markets exhibits high levels of correlations in the longer-term investor holding periods. Also, in the domestic market context, returns on different classes of domestic sukuk are found to exhibit strong correlations in the longer-holding periods. Our findings critically highlight the feasibility of held-to-maturity sukuk investment strategies from a portfolio diversification perspective.     

Injury care in low- and middle-income countries: identifying potential for change

The epidemiologic, demographic, and socio-political transitions underway in many low- and middle-income countries (LMIC) are associated with a substantial burden of disease due to injuries. LMIC have devoted relatively little attention to the injury problem. This paper argues that whereas prevention remains paramount, improving health care services for injuries will also contribute to reducing the burden. It examines the reasons for the relative inaction in LMIC to date, and contrasts this to high-income countries (HIC) which have seen substantial falls in mortality from improved trauma care systems. Mortality data, although readily available, are the tip of the clinical iceberg and there is a need for better-quality hospital data that can be used to monitor any future improvements. Models of trauma care from HIC are reviewed. It is suggested that the greatest potential for improvement can be achieved if entire trauma systems are improved, including pre-hospital, hospital and rehabilitation care. LMIC may not be able to afford the whole system and improving the most sensitive components of the system may be a better option. Models of trauma care developed in HIC need careful consideration to determine their effectiveness, appropriateness, affordability and equity implications for LMIC. Imports of blueprints from elsewhere are likely to fail; context sensitive and appropriate policies need to be developed locally through a consultative process. Effective working needs to be across disciplines, involving consultation with stakeholders, and requires investment in education, training and equipment. The evidence base for trauma services in LMIC is almost non-existent, highlighting the urgent need for research in these settings.     

Price volatility and the political economy of resource-rich nations

This paper attempts to understand how price volatility affects the political transition of a resource-rich nation. Two states reflect price volatility: ‘high prices’ and ‘low prices’. We argue that whether or not political transition (i.e., a switch from one regime to another) will take place in a particular state depends critically on the kind of goods a country produces. If the main economic activity in a country is the extraction of “point-source” resources such as oil that demands capital-intensive production, the opportunity cost of switching the existing regime does not alter if the price of the resource changes but the benefit becomes more lucrative. Therefore, the incumbent group is most vulnerable during ‘high prices’. If the main economic activity of the nations is the production of “diffused resources” such as coffee that requires labor, prices do affect the opportunity cost. Nations concentrating in these commodities face acute political crisis during downturns.     

Exchange-rate variability and industry trade flows between Malaysia and Japan

This research investigates the exchange-rate risk sensitivity of Malaysian bilateral trade flows with its important trading partner, Japan. To this end, bounds testing approach to co-integration is applied using industry level data over the monthly period 2000–2013. Findings suggest that above the one-third of the total co-integrated export (43.86%) and import (34.54%), industries experiences the ringgit/yen variability effect in the short run. However, this effect sustains in relatively less number of export (14.03%) and import (32.73%) industries in the long run. It is interesting to note that exchange-rate risk boosts trade flows in the majority of these affected industries.     

Tackling one-sidedness in equality and diversity research: Characteristics of the current dominant approach to managing diverse workgroups in Iran

The primary aim of this paper is to investigate whether equal opportunity and diversity pronouncements, both internally through organizations’ own administrative policies or externally through imposed governmental legislations, benefit those who are the main subject of such initiatives (i.e., employees). While a majority of current research on equality and diversity has been dominated by writings on developed and specifically Western nations, this paper tackles such one-sidedness in previous research and takes the current understanding further by providing employee perspectives on equality and diversity in employment to encompass less developed nations with a particular focus on Iran. Using a qualitative research approach data were collected from employees across two construction and manufacturing industries. Based on the analysis of the data, we found, first, shared religious beliefs and language to be envisaged as playing a crucial part in establishing the ethnic minority workers’ affiliation to a workgroup; second, the prospects for implementing declared equality and diversity polices to fade away as the employee began to work; and third, the adoption of diversity and equality policies to be primarily driven by (1) the dire state of the economy, and (2) the need for a mechanism to fit only the management priorities.     

Transmission channels matter: Identifying spillovers from FDI

The empirical literature on the spillovers of foreign direct investment (FDI) has so far not analysed the well-established theoretical transmission channels through which FDI impacts on domestic firms. This paper shows how channels of transmission matter for productivity spillovers from FDI by providing more fuller and nuanced picture of the effects. We analyse a panel of eight sub-Saharan Africa countries spanning the period 2006–2014 and demonstrate the empirical relevance of distinguishing three channels – demonstration, labour mobility, and competition. We provide measures of these effects and also show that the size, significance, and sign of spillover effects depend on the local absorptive capacity, technology levels, geographical proximity, and foreign ownership structure. Overall, results suggest that demonstration spillovers are large and economically significant, whereas the patterns of labour mobility and competition spillovers are not stable across the various specifications and measures. Finally, the analysis involves several measures of further investigations and robustness checks. Results are robust to the construction of spillover and outcome variables, the introduction of additional explanatory variables and an alternative estimation method.     

Social Media and Purchasing Behavior: A Study of the Mediating Effect of Customer Relationships

Overwhelmed by the use of social media in augmenting human interactions, researchers have developed special interest in understanding the use of social media in developing strong and customized relationships with customers. In line with this, the current study aims to explore the impact of social media on purchasing behavior with mediating effect of customer relationship. The findings indicate that majority of the respondents use social media for purchasing purpose and there is a positive relation between social media and customer relationship, as well as social media and purchasing behavior, with customer relationships fully mediating and enhancing the relationship between social media and purchasing behavior. It has been also found that the majority of the respondents use social media for purchasing purposes. This study offers new insights into the conceptual development and understanding of social media in enhancing customer relationships and affecting purchasing behavior. The study acts as a strong support and aid towards developing and managing global customer relationships through the use of social media.     

Peginterferon beta-1a versus other self-injectable disease-modifying therapies in the treatment of relapsing-remitting multiple sclerosis in Scotland: a cost-effectiveness analysis

Aims: Peginterferon beta-1a 125?mcg administered subcutaneously every 2 weeks, a new disease-modifying therapy (DMT) for relapsing-remitting multiple sclerosis (RRMS), was approved in January 2015 by the Scottish Medicines Consortium. This study assesses long-term clinical and economic outcomes of peginterferon beta-1a compared with other self-injectable DMTs (interferon beta-1a [22?mcg, 30?mcg, and 44?mcg], interferon beta-1b, and glatiramer acetate 20?mg) in the treatment of RRMS, from the National Health Service and Personal Social Services perspective in Scotland.

Methods: A previously published, validated Markov cohort model was adapted for this analysis. The model estimates changes in patient disability, occurrence of relapses, and other adverse events, and translates them into quality-adjusted life years and costs. Natural history data came from the ADVANCE trial of peginterferon beta-1a, the London Ontario (Canada) database, and a large population-based MS survey in the UK. The comparative efficacy of each DMT vs placebo was obtained from a network meta-analysis. Costs (2015 British Pounds) were obtained from public databases and literature. Clinical and economic outcomes were projected over 30 years and discounted at 3.5% per year.

Results: Over 30 years, peginterferon beta-1a was dominant compared with interferon beta-1a (22, 30, and 44?mcg), and interferon beta-1b, and cost-effective compared with glatiramer acetate 20?mg. Results were most sensitive to variations in each DMT’s efficacy and acquisition costs. Deterministic and probabilistic sensitivity analyses confirmed the robustness of the results.

Limitations: The impact of improved adherence with peginterferon beta-1a on clinical and economic outcomes and the impact of subsequent DMTs after treatment discontinuation were not considered. Oral and infused DMTs were not included as comparators.

Conclusion Long-term treatment with peginterferon beta-1a improves clinical outcomes, while its cost profile makes it either dominant or cost-effective compared with other self-injectable DMTs for the treatment of RRMS in Scotland.