Changing the Size of a Futures Contract: Liquidity and Microstructure Effects

We analyze the relation between contract size and liquidity using data from the respecification of Sydney Future Exchange's (SFE) Share Price Index (SPI) and 90-day Bank Accepted Bill (BAB) futures contracts. Respecification of SPI and BAB contracts presents a unique opportunity to investigate the effects of a change in futures contract size. SFE decreased the size of SPI futures by a factor of four while increasing its minimum tick. The BAB contract was doubled in size with the minimum tick size left unchanged. We find, after controlling for market factors, that the respecification of the SPI futures resulted in higher trading volume, while that of BAB futures decreased trading volume. The results regarding spreads are ambiguous. Based on two cases investigated, we conclude that decreasing the futures contract size was effective in terms of enhancing liquidity while increasing the size resulted in a reduction in liquidity.     

How Do Financial Constraints Relate to Financial Reporting Quality? Evidence from Seasoned Equity Offerings

This paper examines how constraints on firms’ financing capacity relate to managers’ discretionary accounting choices. Three hypotheses of earnings management – the opportunism hypothesis, the rational expectations hypothesis, and the signaling hypothesis – predict that constrained firms engage in greater upward earnings management than unconstrained firms when selling equity. Using a sample of seasoned equity offerings (SEOs) announced between 1983 and 2014, I find support for this prediction. The relation between financial constraints and earnings management is robust to including controls such as offer size, growth opportunities, analyst following, and chief executive officer equity holdings, as well as to using the instrumental variable approach. Investors’ reaction around and following the SEO announcement supports the rational expectations hypothesis. I find that aggressive earnings management by constrained issuers is associated with lower SEO announcement returns but is not followed by negative abnormal returns in the long run. The evidence suggests that constrained issuers’ aggressive use of income-increasing accruals is an outcome of managerial myopia caused by capital market pressure, not managerial opportunism intended to mislead investors.     

Small producers,supermarkets, and the role of intermediaries in Turkey's fresh fruit and vegetable market

A wide range of empirical studies show the extent to which the rise of supermarkets in developing countries transforms domestic marketing channels. In many countries, the exclusion of small producers from so‐called dynamic marketing channels (that is, remunerative ones) has become a concern. Based on data collected in Turkey in 2007 at the producer and the wholesale market levels, we show that intermediaries are important to understanding the impact of downstream restructuring (supermarkets) on upstream decisions (producers). Results show first that producers are not aware of the final buyer of their produce, because intermediaries hinder the visibility of the marketing channel, thereby restricting a producer's choice to that of the first intermediary. Econometric results show that producers who are indirectly linked to the supermarkets are more sensitive to their requirements in terms of quality and packaging than to the price premia compensating the effort made to meet standards. Therefore, the results lead us to question the role of the wholesale market agents who act as a buffer in the chain and protect small producers from negative shocks, but who stop positive shocks as well, and thereby reduce incentives.     

The message in the box: how exposure to money affects charitable giving

Does donation box transparency matter in regard to donation behavior? The purpose of this research is to test the effect of donation box transparency on potential donors’ charitable behavior. In a series of experimental studies, including a field experiment, data were collected on willingness to donate and donation amount in three treatments: a wooden donation box (opaque condition), transparent donation box containing very little money, and transparent box almost full of money. Participants in the transparent box treatment were both less willing to donate money and they donated less money compared to subjects in the opaque box treatment. Moreover, data was collected to demonstrate that participants in the transparent box conditions experienced a heightened state of self-sufficiency due to the effect of money exposure. Implications are discussed for theory development and future research avenues and in terms of practical considerations for charity organizations.     

The effectiveness of technology-assisted history teaching based on peace training: The case of history of Cyprus

Changes in history education in Europe are related to the new approaches in the field of education, particularly related to the usage of technology in education. Additionally, the interest in the history of war, which originated as a result of the previous world wars, has been replaced by peace education today. This study is based on the principles of peace education and is based on an eight-week educational process that was implemented in the 2016–2017 spring semester. The study sample was 11 secondary school students who were enrolled at a private school in Nicosia, Northern Cyprus. In order to collect data during the research period, student essays, the Cyprus history attitude scale and researcher observation reports were used. Qualitative data obtained in the research were evaluated using content analysis, whereas quantitative data were evaluated with the Wilcoxon signed-rank test. At the end of the study, it was determined that students expressed interest in receiving education on the history of Cyprus teaching in an environment that incorporates technology, which also reduces the necessity for memorizing details and political history, and where socio-cultural history is more prevalent. Researcher observations show that the awareness of students for peace education increased and their historical empathy and cooperative working skills were developed. However, despite such positive results, it was also discovered that there is no significant difference in quantitative terms in the attitude of students towards the history of Cyprus.     

Determination of teachers’ perspectives and level of readiness towards MOOCs for tolerance education

New opportunities are now provided in individual’s lives due to the development of technology. This has led to changes in educational environments as well as technology, which has removed barriers to participation due to the novelty that it presents for teacher and the learners at the same time. The Massive Open Online Course (MOOC) environment is the best example of this phenomenon where advanced technology is at the forefront and it is an extension of distance learning. By eliminating barriers such as place, time, background and infrastructure, the Massive Online Open Courses act as a guide for lifelong learning and enables learners to achieve rapid development on the, paving the way for learners to obtain certificates and diplomas at their own convenience, provided they have an Internet connection. The aim of this study is to improve a scale that is related to the determination of the teachers’ perspectives and the level of readiness towards traditional Massive Open Online Courses. Also, it will guide people who study in the MOOC field and provide them with future direction.

     

Evaluating spatial and temporal variation in agricultural output elasticities in Turkey

This study evaluates spatial variation in the relationship between agricultural output and input use across Turkey. The potential impact of the national agricultural policy reform introduced in 2001 on the spatial variation in agricultural output elasticities across the country was explored. By applying a spatial production function to the province‐level data in 2000 and 2007, spatial heterogeneity in the variance of provincial total factor productivity and the input factor‐output elasticities was identified across the country. Results show that the disparities in agricultural activities and geographic conditions affected return from input factors. Empirical findings from a spatial spillover model also suggest that changes in the input factor‐output elasticities varied significantly across Turkey between 2000 and 2007, after the policy reform. Results suggest that future policy reform that recognizes regional comparative advantage through understanding the geographic heterogeneity of the agricultural sector is important for enhancing Turkey's agricultural output.     

The Effect of Demographics on Job Satisfaction: A Study of Hotel Managers in Turkey

This study examined the relationship between selected demographic characteristics of middle-level hotel managers in Turkey and five selected job satisfaction dimensions (degree of satisfaction with the work, coworkers, supervision, financial compensation, and promotion opportunities). In addition, the relationship between job satisfaction dimensions and the middle-level hotel managers' overall job satisfaction level was analyzed. The study sample consists of 103 middle-level hotel managers (all Turkish nationals) in 17 rated four- and five-star hotels in Kusadasi, Turkey. Study findings indicate significant differences between managers in various demographic categories and their levels of job satisfaction. Overall, the data revealed that financial compensation, promotion opportunities, and supervision most significantly impacted middle-level hotel managers' overall job satisfaction levels.     

Optionality and Daily Dynamics of Convenience Yield Behavior: An Empirical Analysis

In this article I empirically examine the daily convenience yield behavior for six commodity markets (crude oil, heating oil, gasoline, wheat, corn, and copper). The results illustrate that convenience yield behavior can be statistically explained within an option pricing framework. However, because one of the assumptions of the standard call option formula is not fully satisfied by the observed convenience yield series, an alternative option—exchange option—may be more appropriate for modeling the daily convenience yield behavior. Furthermore, I empirically test two hypotheses on convenience yield behavior. The results confirm the assertion that the convenience yield is increasing in marginal production costs. In addition, the findings offer limited support for the hypothesis that the convenience yield is decreasing in the serial autocorrelation of spot prices. The observed switch in the sign of regression coefficients as the order of autocorrelation increases is attributed to the probable presence of mean reversion in these markets.     

Social and political components of economic performance for the 1960s: A note on Adelman and Morris' ‘society,politics and economic development’

The influence of a given sociopolitical setting on the subsequent economic performance of the LDCs is examined. For this purpose, non-economic indicators developed by Adelman and Morris and two indices of economic activity, per capita gross national product and per capita energy consumption, are used. Component and regression analysis show that in the short run, a given sociopolitical setting significantly affects subsequent economic activity. The results enable a broadening of some of Adelman and Morris' findings.