The cost and timing of financial distress

Assessments of the trade-off theory have typically compared the present value of tax benefits to the present value of bankruptcy costs. We verify that this comparison overwhelmingly favors tax benefits, suggesting that firms are under-leveraged. However, when we allow firms to experience even modest (e.g., 1–2% annualized) financial distress costs prior to bankruptcy, the cumulative present value of such costs can easily offset the tax benefits.     

Underpricing of seasoned issues

In this paper we provide a model of the underwritten offerings of new shares of seasoned securities. Our purpose is to explain why the offering price chosen by the underwriter is lower than the market price of the firm's shares. Our model recognizes the interdependence between the markets surrounding the announcement and sale of the new issue and recognizes as well the effect which asymmetric information regarding investor demands has upon the prices in these markets.     

Hypotheses in Marketing Science: Literature Review and Publication Audit

We examined three approaches to research in marketing: exploratory hypotheses, dominant hypothesis, and competing hypotheses. Our review of empirical studies on scientific methodology suggests that the use of a single dominant hypothesis lacks objectivity relative to the use of exploratory and competing hypotheses approaches. We then conducted a publication audit of over 1,700 empirical papers in six leading marketing journals during 1984–1999. Of these, 74% used the dominant hypothesis approach, while 13% used multiple competing hypotheses, and 13% were exploratory. Competing hypotheses were more commonly used for studying methods (25%) than models (17%) and phenomena (7%). Changes in the approach to hypotheses since 1984 have been modest; there was a slight decrease in the percentage of competing hypotheses to 11%, which is explained primarily by an increasing proportion of papers on phenomena. Of the studies based on hypothesis testing, only 11% described the conditions under which the hypotheses would apply, and dominant hypotheses were below competing hypotheses in this regard. Marketing scientists differed substantially in their opinions about what types of studies should be published and what was published. On average, they did not think dominant hypotheses should be used as often as they were, and they underestimated their use.     

Argumentation-Based Dialogues for Agent Co-Ordination

Many techniques for coordinating agents require that the agents communicate, and many of the requisite communications need more than the exchange of a few terse illocutions. In other words they require some form of dialogue. This paper discusses one way to create such dialogues, the use of argumentation, and illustrates the use of this approach in the definition of dialogues about joint plans.     

STRATEGIC HEDGING

This article presents a new approach to financial risk management whose primary objective is to ensure that companies have sufficient internal funds and access to outside capital to carry out their strategic investments. The foundation of this approach is a comprehensive measure of corporate exposure that views the firm as a collection of current cashgenerating assets and future investment opportunities and that attempts to show how changes in fundamental economic variables can threaten the firm's ability to realize its strategic objectives. As such, the measure of exposure reflects the effect of expected changes in economic variables not only on the firm's operating cash flows but also on its future investment requirements.
Because its focuses only on the exposures that need protection when regular sources of funds are exhausted, this strategic hedging approach will generally lead to a more conservative hedging policy. In so doing, it should enable companies to avoid the excessive and costly micro hedging of individual transactions—an approach that can easily degenerate into speculation.     

Health status,function, productivity,and costs among individuals with idiopathic painful peripheral neuropathy with small fiber involvement in the United States: results from a retrospective chart review and cross-sectional survey

Objective:

To characterize the burden of idiopathic painful peripheral neuropathy with small fiber involvement (idiopathic SFN) by pain severity in the US.

Methods:

One hundred previously diagnosed idiopathic SFN subjects were enrolled during routine office visits. Subjects completed a one-time questionnaire, and investigators reported clinical characteristics and healthcare resource use, based on 6 month retrospective chart review. Annualized direct and indirect costs were estimated. Results were stratified across pain severity groups.

Results:

Mean age was 63.5 years; 53.0% were female; 76.0% had moderate or severe pain. Most common comorbidities were sleep disturbance/insomnia (37.0%), anxiety (34.0%), and depressive symptoms (33.0%). Overall mean health status (0.59; ?0.11–1.00 scale), physical and mental health (31.7 and 45.6, respectively, 0–100 scale), sleep index (45.1; 0–100 scale), and pain interference with function (5.0; 0–10 scale) differed by pain severity, with worse outcomes among those with greater pain (all p?Conclusions:

Idiopathic SFN subjects with pain experience moderate or severe pain, which negatively impacts health status, function, and productivity, and leads to substantial direct and indirect costs.