Beyond Self‐Evident: Recognising the Problematic Political Context of Accrual Accounting Adoption in South Korea

This paper responds to a recent call by researchers that we need to move beyond both advocacy of and technical arguments about the value of accrual accounting to more fully recognise the institutional forces, key change agents and the local political fields. We draw on elements of institutional theory and the practice theory of Pierre Bourdieu to explore the ‘problematic’ aspects of institutional forces, key organisational change agents and the local political field associated with the adoption of accrual accounting in the South Korean public sector. We found that accrual accounting was driven by many factors including a local financial scandal, the advocacy of a civil society group and the ambitions and the ideology of key actors. The contribution of this paper is that it shows how the practices of accounting cannot be separated from their political and personal context.     

Leveraging open innovation to improve society: past achievements and future trajectories

Open innovation (OI) is an approach which describes a purposive attempt to draw together knowledge from different contributors to develop and exploit innovation. It has become clear that OI directly benefits organisations' economic performance and resilience, but researchers, practitioners, and policy makers became also convinced that OI might be the way forward to tackle the world’s most pressing societal challenges, representing unresolved Grand Challenges, which can only be weathered by diverse sets of collaborative partners that join forces. Although anecdotal evidence points at how OI practices can be employed to achieve societal impact not only in private firms but also in public organisations, very little understanding exists ‐beyond anecdotal‐ to link OI to societal impact. This special issue has the ambition to start the discussion and establish a framework as the stepping stone to tackle this complex research gap.     

A parametric nonlinear model of term structure dynamics

Recent nonparametric estimation studies pioneered by Ait-Sahaliadocument that the diffusion of the short rate is similar tothe parametric function, r^1.5, estimated by Chan et al., whereasthe drift is substantially nonlinear in the short rate. Theseempirical properties call into question the efficacy of theexisting affine term structure models and beg for alternativemodels which admit the observed behavior. This article presentssuch a model. Our model delivers closed-form solutions for bondprices and a concave relationship between the interest rateand the yields. We show that in empirical analyses, our modeloutperforms the one-factor affine models in both time-seriesas well as cross-sectional tests.     

Optimal Risk Management Using Options

This article provides an analytical solution to the problem of an institution optimally managing the market risk of a given exposure by minimizing its Value-at-Risk using options. The optimal hedge consists of a position in a single option whose strike price is independent of the level of expense the institution is willing to incur for its hedging program. This optimal strike price depends on the distribution of the asset exposure, the horizon of the hedge, and the level of protection desired by the institution. Moreover, the costs associated with a suboptimal choice of exercise price are economically significant.     

The role of bank monitoring in corporate governance: Evidence from borrowers’ earnings management behavior

In this paper, we examine the corporate governance role of banks by investigating the effect of bank monitoring on the borrowers’ earnings management behavior. Our analyses suggest that a borrowing firm’s earnings management behavior generally decreases as the strength of bank monitoring increases. The strength of bank monitoring is measured as (1) the magnitude of a bank loan, (2) the reputation (rank) of a lead bank, (3) the length of a bank loan, and (4) the number of lenders. These results imply that bank monitoring plays an important role in the corporate governance of bank-dependent firms. We further examine other bank loan characteristics (collateral, refinancing, loan types, and loan purposes) and their effects on borrowers’ earnings management behavior. Our analyses show that collateral and loan types are significantly associated with borrowers’ earnings management behavior while refinancing and loan purposes have no association.     

Rent seeking in groups

Rent-seeking contests between groups involve conflicts of interests at the levels of individuals, groups, and the society as a whole. We conduct a series of economic experiments to study the behavior of groups and individuals competing against each other in rent-seeking contests. We find substantial over-contribution to rent-seeking relative to the equilibrium predictions of standard models regardless whether individuals compete against other individuals, groups compete against other groups, or individuals compete against groups.     

The effect of dynamic integrated resort experience on Croatian customer behavior

This paper aims to gain knowledge on customers’ experience toward integrated resorts in Croatia. Customer perception toward integrated resorts was collected via face‐to‐face survey. The multidimensional experiential values and behaviors of 354 customers were studied. The data were analyzed using structural equation modeling. Croatian customers are engaged with the integrated resort experience. This engagement influences their satisfaction and behavioral intention. Specifically, customers with high playfulness and service expectations tend to engage positive behavioral intention toward the integrated resort brand. This paper offers the first insight into the relationship between experiential value and behavioral intention in the integrated resort setting.     

The employment dynamics of less‐educated men in the United States: The role of self‐employment

Using data from the 1979 National Longitudinal Survey of Youth, I construct a sample of working‐age males and examine the employment dynamics with a particular focus on the role of self‐employment for less‐educated men in the US. I find that men responding they had at some point been self‐employed tend to spend less time in non‐employment than other less‐educated men. The results from the dynamic multinomial logit model reveal positive aspects of self‐employment by indicating that less‐educated men who were self‐employed in the previous year were less likely to be non‐employed in the future as compared to those who were paid workers in the previous year.     

原产国和消费者民族中心主义对组织购买者产品评价的影响

原产国和消费者民族中心主义是全球化营销研究领域的热点问题，但是二者对组织购买者产品评价的影响研究相对较少。本研究以中国组织购买者为被访者，采用结构化问卷对其进行调查。通过多元方差分析和T检验发现，无论是基本生产设备还是辅助生产设备，组织购买者对其评价显著地受到原产国效应影响，尤其是受设计国信息的影响；无论是对本国产品还是文化相似国产品的评价，组织购买者并未受到消费者民族中心主义的影响。另外，本研究还发现，原产国效应不受组织特征的干扰。