Financial Ratio Adjustment: Industry-Wide Effects or Strategic Management

This paper proposes an alternative model for analyzing financial ratio behavior. The model postulates that (1) firms' financial ratios reflect unexpected changes in industry conditions; and (2) managers attempt to move their financial ratio toward the long-run desirable target. This model is employed to assess the relative weights of financial ratio movement that are associated with these two forces. The results show that changes in financial ratios can be due to both external shocks and strategic adjustment by management. The amount of financial ratio smoothing due to strategic adjustment appears to be substantial. Furthermore, the speed of convergence toward the optimal targets varies across industries and firms of different size.     

Alternative evolutionary theories: A historical survey

Our overview has the objective of making our study relevant to bioeconomists. The need for the ‘alternatives’ to the Synthetic Theory of Evolution in social-economic studies was substantiated, for example, by Colombatto (Journal of Bioeconomics, 5, 1–25, 2003), who maintains that the natural-selection theory is ‘ill suited’ to describing evolutionary processes in economics. He proposed an alternative ‘non-Darwinian’ approach by equating the ‘non-Darwinian’ approach with a definite version of neo-Lamarckism. Yet, as we will show, there is a palette of alternative approaches within and beyond the neo-Lamarckism. We hope to give bioeconomists more choice in their theoretical modeling and constructing of analogies between biology and economics. It will also be shown that in the light of suggested definitions the concept of ‘universal Darwinism’ recently discussed in bioeconomics makes little sense as a generalizing category. In addition, in the concluding part of the paper we demonstrate that the majority of alternative approaches are far from being pigeonholed as archaic and once and for all wiped off the theoretical landscape. On the contrary, in recent years one can observe some revival of interest in the theoretical ‘heresies’.      

Survey as a Source of Statistics and Factors Affecting the Quality of Survey Statistics

Survey-taking, which normally involves sampling, has become a major data collection vehicle along with other means of obtaining raw data such as administrative systems and systems of special returns. This paper discusses the major aspects that should be addressed in conducting sample surveys. The proper treatment of these aspects is essential in ensuring production of quality statistics.     

Endogenous uncertainty in a general equilibrium model with price contingent contracts

Summary This paper views uncertainty and economic fluctuations as being primarily endogenous and internally propagated phenomena. The most important Endogenous Uncertainty examined in this paper is price uncertainty which arises when agents do not have structural knowledge and are complelled to make decisions on the basis of their beliefs. We assume that agents adopt Rational Beliefs as in Kurz [1994a]. The trading of endogenous uncertainty is accomplished by using Price Contingent Contracts (PCC) rather than the Arrow-Debreu state contingent contracts. The paper provides a full construction of the price state space which requires the expansion of the exogenous state space to include the state of beliefs. This construction is central to the analysis of equilibrium with endogenous uncertainty and the paper provides an existence theorem for a Rational Belief Equilibrium with PCC. It shows how the PCC completes the markets for trading endogenous uncertainty and lead to an allocation which is Pareto optimal. This paper also demonstrates that endogenous uncertainty is generically present in this new equilibrium.This research was supported in part by the Fondazione Eni Enrico Mattei of Milan, Italy, and by the National Science Council of Taiwan. The authors thank Carsten K. Nielsen for valuable suggestions.     

A bibliometric review on development economics research in Vietnam from 2008 to 2020

Quality & Quantity - This study adopts the bibliometric approach to identify the key characteristics in the relationship of demographic factors (age, gender, affiliations, and locations),...     

RV Traveler’s Pull Factors to Campgrounds in Leisure Tourism

The purpose of this study was to identify the underlying structures of RV traveler’s pull factors to campgrounds and confirm the results by using exploratory factor analysis and confirmatory factor analysis with multiple data sets. The results identified the following five dimensions of the campground traveler’s key attributes: Activity, Amenity, Essentials, Price, and Store. The “Essentials” factor had a grand mean of 4.47, which was the highest among the five factors. Therefore, campground owners and managers should pay extra attention to maintaining a high quality on those essential attributes first, before considering adding or promoting any other items.     

Time to equilibrium in exchange rates: G-10 and Eastern European economies

This paper reports different times-to-equilibrium for G-10 developed economies and the Eastern European emerging economies. By applying a novel method of value-weighted index to highly-trade-linked economies, we test the purchasing power parity to the full length of time-to-equilibrium. The times-to-equilibrium obtained are: 6 years for developed and 2 years for emerging economies. These results are consistent with the sticky price hypothesis: economies trading in highly aggregated capital goods take longer time to reach price equilibrium in the face of overshooting exchange rates: the opposite is true for primary exporters. This finding is new for these two groups, and could be compared usefully with the earlier reports of long half-life for developed countries. Also, our method of measurement establishes the actual time of the theory prediction on price-to-currency relationship. It is possible to apply this methodology to study more groups of countries.