Investors’ Behavior in an Emerging,Tax-Free Market

We provide empirical evidence on the stock market participants’ behavior in an emerging market, with a tax-free environment. Our results show that United Arab Emirates’ (UAE) investors exhibit overconfidence and home bias, and tend to sell prior winners and buy prior losers. We find that investors rely on familiarity and on their information channels to make decisions. The results indicate that investors are risk averse, especially after the global financial crisis, which has had contagion effect on UAE markets. Investors attribute this effect to the inability to manage systemic crisis and to problems of information asymmetry, insider trading, and lack of good governance during crisis.     

Understanding visitor's motivation at sites of death and disaster: the case of former transit camp Westerbork,the Netherlands

This study begins to fill the gap in research of people's motivations to visit sites of death and suffering and to contribute to a deeper understanding of dark tourism consumption within dark conflict sites. The article aims to examine the motivations of visitors to former transit camp Westerbork as an iconic dark site in the Netherlands. The research process involved a self-administered survey questionnaire filled by 238, randomly selected Dutch visitors. Data are analysed by means of exploratory factor analysis to decide upon the relevant factors for representing the motivations of visitors to Westerbork. The findings show that people visit Westerbork mainly for ‘self-understanding’, ‘curiosity’, ‘conscience’, a ‘must see’ this place and ‘exclusiveness’. This is the first study to examine visitors’ motivations to Westerbork as a dark site. Most research on visitor motivations is not based on empirical data, but on theoretical research.     

An Extreme Value Approach to Test the Effect of Price Limits on Volatility

Many stock exchanges around the world enforcing daily price limits on the amount asset prices can change to prevent the market from overreacting and to reduce volatility. Price limits are artificial boundaries set by market regulators who restrict price changes of a stock to a pre-specified range during a trading day or a single trading session. The primary aim of price limit rules is to stabilize the markets during panic trading, to moderate vitality by repressing excessive speculation, and to allow stocks to be traded at prices close to their fair value. However, their impact on the market is a somewhat unresolved issue （Harris, 1998）. Using a methodology of comparing volatility based on the extreme value technique, the authors empirically investigate the impact of price limits on the volatility of the Stock Exchange of Thailand. The empirical results support price limits advocates, suggesting that price limits rules moderate stock price volatility.     

In God we hope,in ads we believe: the influence of religion on hope,perceived ad credibility,and purchase behavior

This research proposes and demonstrates that religiosity positively affects consumers’ hope for advertised benefits, leading to greater perceived advertisement credibility and, consequently, a greater likelihood of purchasing the advertised products. A multiple-step mediation analysis revealed that both hope for advertised benefits and perceived ad credibility play pivotal roles in explicating the effect of religiosity, whether measured (study 1) or manipulated (study 2), on purchase intentions of advertised products. The authors also investigated the interactive effect between religiosity and perceived product materialism on the observed effects (study 3). The effect of religiosity on hope for advertised benefits, perceived ad credibility, and purchase intentions was moderated by perceived product materialism, such that the positive effects of religiosity on hope, perceived ad credibility, and purchase intentions were observed only for non-materialistic (vs. materialistic) products. Theoretical and managerial implications are discussed.     

Bribery versus extortion: allowing the lesser of two evils

Both bribery and extortion weaken the power of incentives, but there is a trade‐off in fighting the two because rewards to prevent supervisors from accepting bribes create incentives for extortion. Which is the worse evil? A fear of inducing extortion may make it optimal to tolerate bribery, but extortion is never allowed. Extortion discourages “good behavior” because the agent suffers from it even though he has done the right thing, whereas a bribe acts as a penalty for “bad behavior.” Our analysis provides lessons to fight corruption and explanations why developed countries may have an advantage in dealing with extortion.     

Forecasting passenger load for a fixed planning horizon

This paper presents a forecasting system for predicting the number of boarding passengers on each of the next N departure dates of a particular flight leg using as input the booking levels made for the next N departure dates of that flight leg. A forecasting system that gives good estimates of future boardings of a particular flight leg is an important and essential tool for route management in the airline industry. The proposed forecasting system consists of a Kalman filter, which optimally integrates a large class of reservation measurements from a variety of sources and at arbitrary times, which is the case of the data, considered here. The accuracy of the predictions for a case study proved to be promising.     

Job satisfaction and organizational commitment: validating the Arabic satisfaction and commitment questionnaire (ASCQ), testing the correlations,and investigating the effects of demographic variables in the Lebanese banking sector

The aim of this study was to assess the construct validity and the reliability of two measurement scores of organizational commitment and job satisfaction, to measure the correlation between the two variables, and to explore the effects of different demographic variables on satisfaction and commitment in a Lebanese context. A total of 298 cases from five major banks were analyzed. Rigorous forward and backward translation procedures have been applied to ensure the relevance of this instrumentation in a different cultural context. Results of exploratory factor analysis, confirmatory factor analysis, simple item-internal consistency estimates, and item intercorrelation analysis provided evidence that both instruments have produced reliable measurement scores with construct validity adequate to measure satisfaction and commitment in the Lebanese context. Results also showed that the constructs of satisfaction and commitment were significantly correlated and that satisfaction was a good predictor of commitment. Demographic analysis, discussion of these results, and suggestions for future research were proposed.     

Liquidity and information asymmetry considerations in corporate takeovers

ABSTRACT

We examine how stock market liquidity and information asymmetry considerations influence the wealth effects of Mergers and Acquisitions (M&As). We present a simple model predicting that M&As of listed targets that have relatively illiquid stocks are profitable for acquirers due to (a) the weak bargaining power of the targets’ shareholders, and (b) the limited information asymmetry concerns when evaluating takeover synergies. Our results show that cash-financed M&As of listed targets that have relatively illiquid stocks are associated with an increase in acquirer risk-adjusted returns. These gains are equivalent to those realized from comparable private target M&As. When engaging in stock-financed listed-target M&As, acquirers with liquid stocks enjoy significant gains when the targets have relatively illiquid stocks. This result holds especially when the deal is announced during periods of deterioration in the overall stock market liquidity. Lastly, we find that liquidity considerations affect the acquirer’s choice of the target firm’s listing status, as well as the M&A method of payment.