Pricing and Hedging of Discrete Dynamic Guaranteed Funds

We derive a risk‐neutral pricing model for discrete dynamic guaranteed funds with geometric Gaussian underlying security price process. We propose a dynamic hedging strategy by adding a gamma factor to the conventional delta. Simulation results demonstrate that, when hedging discretely, the risk‐neutral gamma‐adjusted‐delta strategy outperforms the dynamic delta hedging strategy by reducing the expected hedging error, lowering the hedging error variability, and improving the self‐financing possibility. The discrete dynamic delta‐only hedging not only causes potential overcharge to clients but also could be costly to the issuers. We show that a naive application of continuous‐time hedging formula to a discrete‐time hedging setting tends to worsen these possibilities.     

The China–US Trade War: Deep‐Rooted Causes,Shifting Focus and Uncertain Prospects

The USA has waged a trade war against China, whose rapid rise has come to be seen as a threat to US hegemony. Besides imposing additional tariffs on imported Chinese products, the USA is also tightening restrictions on the transfer of technology to China and the business activities of some Chinese high‐tech companies, notably Huawei. The escalation of the trade war into a tech war could lead to a decoupling between the US and Chinese economies, if not a world economy divided into two economic blocs that centered on them.     

Yen-synchronization of floating East Asian currencies: A regime-switching regression model and micro-structural analysis

Using a regime-switching regression model, we find evidence of synchronization between the Swiss-franc exchange rates of floating East Asian currencies and the Swiss-franc–Japanese-yen exchange rate over the period 1999–2006. The volatility of Swiss-franc–East-Asian currencies’ exchange rates is higher during the synchronization period than during the de-synchronization period. Contrary to traditional arguments concerning the yen-bloc, we find that the Export-Similarity Index and Foreign Portfolio Investment between Japan and East Asian countries are the two main determinants of yen-synchronization in the region. Finally, micro-structural analysis shows that the weeks of synchronization is greater when the yen is strong for Korea and Taiwan, but there are no asymmetric responses for Thailand, Indonesia, or the Philippines.     

The impact of product knowledge on consumer product memory and evaluation in the competitive ad context: The item‐specific‐relational perspective

Research evidence to date suggests that the combined presence of item‐specific and relational processing is necessary to induce higher memory performance of the target ad and proper evaluation of the target brand. This elaborative processing, however, requires cognitive capacity. In this paper, an item‐specific‐relational processing framework was employed to explain the roles of consumer product knowledge in the competitive and non‐competitive ad contexts. Findings from an experimental study suggest that high‐ and low‐knowledge consumers differed in product memory and evaluation in competitive and non‐competitive ad contexts. Such differences could be explained by consumers' engaging in item‐specific and/or relational processing depending on whether target brand information was presented with or without information on competing brands. It appears that competitive ad context would benefit low‐knowledge consumers by serving as a reference. In contrast, high‐knowledge consumers did not seem to be affected by ad context. Both theoretical and managerial implications are discussed. © 2011 Wiley Periodicals, Inc.     

Feminism Facing Industrial Relations in Britain

This is an opportune time to renegotiate the boundaries between industrial relations theory and feminist analysis in Britain. Such a bargain would involve going beyond an agreement to add 'women's issues' to the research agenda, to a recognition of the gendered character of employment relations and of work itself. The formal institutions involved, namely, management, trade unions and the state, cannot be treated as gender‐neutral. Further, the very way industrial relations scholars define what is 'inside' the industrial relations system and what is 'outside' reflects masculine priorities and privilege.     

Work‐to‐Family Spillover Effects of Workplace Ostracism: The Role of Work‐Home Segmentation Preferences

This study considers workplace ostracism as a source of stress and examines its spillover effects on the family. By integrating the work‐family interface model with boundary theory, we investigate the impact of workplace ostracism as perceived by employees on their family satisfaction by examining the mediating role of work‐to‐family conflict and the moderating role of work‐home segmentation preferences. The results from a three‐wave field survey of 233 employees in China indicate that workplace ostracism is negatively related to family satisfaction; this relationship is also mediated by work‐to‐family conflict. In addition, work‐home segmentation preferences attenuate the mediating effect of work‐to‐family conflict on the relationship between workplace ostracism and family satisfaction. The theoretical and managerial implications of these findings are discussed.     

Critical accounting and communicative action: On the limits of consensual deliberation

Richard Laughlin's work provides a framework for scholarly engagement that includes process (middle range thinking), a societal model of administration, and a means for reflexive and collective decision-making. The framework draws on Habermas’ theory of communicative action, which is underpinned by a deliberative, consensus-oriented conceptualization of democracy. Based on recent developments in political theory and related applied fields, we argue that deliberative democracy is only one of several democratic bases useful in understanding and/or improving accounting and accountability systems to better meet the needs of diverse contemporary societies. In particular, we contend that, in relying on Habermasian-style deliberative democracy, Laughlin's conceptualizations do not fully account for the dimensions of disagreement and difference in democratic interactions. Drawing on the work of agonistic political theorists and studies from the applied fields of communicative planning and critical policy analysis, we argue that deliberative democracy approaches based on ideal speech criteria and universalistic consensus need to be balanced with theorizations that recognize the reality and value of more open-ended and unfinalizable struggles among actors with different histories, cultures, and/or ideological orientations. While cognizant of the challenges involved in bridging deliberative-agonistic conceptualizations of democracy, such endeavors provide opportunities for (re)theorizations that offer promise for enriching critical accounting by, as we argue, reinforcing the critical/political in critical accounting. To this end, we consider possibilities of forging links between Laughlin's work and our own proposals for dialogic/polylogic accountings based on agonistic democracy in an effort to foster more enabling accounting praxis.     

Integrating Quantitative and Qualitative Analysis Using Latent and Manifest Variables

The relative virtues of quantitative and qualitative research have been vigorously debated. Several researchers recommend combining methodologies but there is little evidence in the literature to suggest how different research methods might be integrated (Bryman, 1988). The current study addresses this deficiency in the research by examining the use of latent variables in quantitative and qualitative research as a means of blending the two approaches. A study of entrepreneurial Locus of Control where quantitative and qualitative data were available illustrates the methodological issues. Analysis of quantitative data was conducted using LISREL (7.20) and qualitative data were categorised using NUD.IST (Non-numerical Unstructured Data Indexing Searching and Theorising computer software). Detailed comparisons are made between the methods described in this paper and other approaches to content analysis.