THE VALUE LINE STOCK RANKINGS AND THE OPTION MODEL IMPLIED STANDARD DEVIATIONS

Here, the relationship between Value Line rankings and option implied standard deviations is investigated. Each Value Line ranking (safety, price stability, timeliness, and earnings predictability) is significantly related to option implied standard deviations for a sample of 62 companies with Value Line timeliness rankings of 1, 2, 4, and 5 and with a total of 1,217 call options traded over a 3-day period. The index for price stability would be most valuable to investors for assessing future risk since only this index has a significant association with residual implied volatility, i.e., those unexplained by historical volatility.     

Internship Satisfaction of Students of Hospitality and Impact of Internship on the Professional Development and Industrial Perception

This study aims to determine the internship satisfaction of tourism students and the impact of their internships on their professional development and industrial perception. In line with this purpose, an implementation was conducted on the students of Akdeniz University Faculty of Tourism. This implementation involved a questionnaire form which was filled by 305 faculty students. The findings included demographic information; then three scaled questionnaire form which intended to determine the internship satisfaction, vocational tourism education, and professional development and industrial perception of the students was analyzed by taking mean scores of the scales of the form; using stepwise regression of the multiple regression analysis, the relations between the scales were shown, and the results were interpreted. The results showed that internship satisfaction of the students had a positive impact and impact by itself on professional development and industrial perspective, and together with vocational tourism education the students receive, this impact increased.     

Tourism education and internships: a metaphor analysis

The objective of the present study was to examine tourism undergraduates’ perceptions of their education and internship experiences through metaphorical analysis whilst striving to raise the awareness of tourism educators towards using metaphors. A qualitative methodology was used to explore this phenomenon. Participants were senior students (n = 94) from the Faculty of Tourism at Akdeniz University in Antalya, Turkey. The data were collected with a semi-structured questionnaire and processed using content analysis. Next, metaphors found in answers were categorised into different groups, and relevant excerpts were identified. The results provide insights useful to both tourism education providers and tourism establishments. Conclusions, limitations and future research directions are also presented.     

Public good,collective action and financial regulation

The economy‐wide liberalization reforms implemented from the 1980s onwards in major capitalist economies had deep impact on financial markets. Public financial regulation has been replaced by self‐regulation, financial innovations proliferated and gave rise to many diversified and complex speculative operations that financialized most economic decisions and actions. Recurrent instabilities and crises became common ground in advanced as well as in emerging market economies and converged on the global systemic crisis in 2007–08, notwithstanding the efficient market doctrine that kept supporting financial liberalization. This crisis raised concerns about the relevance of market‐based financial regulation with regard to the systemic viability of capitalist economies and brought forward the central role of financial regulatory framework in the sustainable working of open societies. This article considers financial stability as a collective action problem through the lens of the literature on the commons and public goods. It seeks to contribute to the development of a relevant paradigm of collective action in the provision of a particular public good, financial stability, through a particular public action, financial regulation. After recalling the broad outlines of the evolution of financial markets and the institutional environment in the last decades, the monetary and financial characteristics of a capitalist economy are presented. The monetary and financial structure turns out to be a public infrastructure. The criticalness of financial transactions for the whole economic society together with the non‐rivalrousness and non‐excludability of financial stability determine the very publicness of the latter. The continuity of financial relations fundamentally needs a viable financial system. However, this is a complex issue as it falls into the classical opposition “private vs public” and calls for a collective action framework consistent with the characteristics of a financialized economy. This article argues that financial stability cannot be ensured through individual‐decision‐based market relations because of the endogenous limits of individual actions and the systemic nature of instabilities they can provoke. A specific treatment of finance as a public utility and of financial stability as a public good is then required. The study on the organization and management of financial markets, namely financial governance issue, ultimately leads to consider financial regulation as a collective action problem that calls for a public supervision framework through an extra‐market macroregulation, apt to allow economy to work in a viable way.     

Risk sharing through capital gains

Abstract We estimate channels of international risk sharing between European Monetary Union (EMU), European Union, and other OECD countries, 1992–2007. We focus on risk sharing through savings, factor income flows, and capital gains. Risk sharing through factor income and capital gains was close to zero before 1999 but has increased since then. Risk sharing from capital gains, at about 6%, is higher than risk sharing from factor income flows for European Union countries and OECD countries. Risk sharing from factor income flows is higher for euro zone countries, at 14%, reflecting increased international asset and liability holdings in the euro area.     

Channels of risk-sharing among Canadian provinces: 1961–2006

This article incorporates recent developments in the literature to quantify the amount of interprovincial risk-sharing in Canada. We find that 29% of shocks to gross provincial product are smoothed by capital markets, 27% are smoothed by the federal tax-transfer systems, and about 24% are smoothed by credit markets. The remaining 20% are not smoothed. Our results bring to light the critical role that Alberta plays in trading-off credit market smoothing for more capital market risk-sharing with the rest of Canada. Our pairwise risk-sharing analysis has brought up some interesting questions and arguments that are often neglected in discussions of regional risk-sharing. For example, one aspect of the pairwise analysis sheds light on the assessment of the economic effects of Quebec separation.     

Risk Sharing and Institutional Quality: Evidence from OECD and Emerging Economies

In this paper, we investigate the impact of institutional quality on risk sharing across Organisation for Economic Co-operation and Development (OECD) and emerging economies (EMEs). It has been found that the quality of institutions and risk sharing are significantly interrelated among OECD members (mostly through credit market channel), but not for the EMEs. Our results are consistent when we control for pre- and post-GFC periods. The reason why the impact of institutional quality on risk sharing is limited among EMEs might be due to the significant monetary injections from advanced economies in the form of remittances and financial aid which might understate other factors that influence risk sharing.     

Stock Market Reaction to Quality,Safety, and Sustainability Awards in Logistics

Although quality, safety, and sustainability are important concerns in logistics, managers are sometimes reluctant to invest in these areas because it is not always clear how such investments will benefit firm performance. Empirical literature provides little guidance in the context of logistics as previous studies report mixed findings across a diverse set of industries, which may not be directly applicable to logistics. To address this gap, we conducted an event study to estimate the stock market reaction to quality, safety, and sustainability award announcements in logistics. Based on 244 award announcements during the period 2004–13, we found that stock market participants react positively to announcements of these awards. The market reaction appears to be stronger for sustainability awards than for quality and safety awards. Our results also suggest that the market reacts more favorably to quality and sustainability award announcements for firms with better past financial performance and for smaller firms.     

Income insurance and the determinants of income insurance via foreign asset revenues and foreign liability payments

We document that the net factor income smoothing channel in OECD countries is primarily driven by net financial asset income, while the other two sub‐components (net compensation of employees and net taxes on imports) turn out to be ineffective. Once factor income inflows are distinguished from outflows, empirical evidence suggests a non-significant effect of inflows in terms of income smoothing as opposed to a positive and significant role of factor income outflows. Factor income outflows also appear to be robust with respect to positive output shocks, while neither factor inflows nor factor outflows provide insurance against negative output shocks. In terms of the determinants of income smoothing, results indicate that an increase in foreign equity and debt liabilities positively affect the extent of smoothing via factor income outflows. Whereas, contrary to the current literature, an increase in foreign asset holding does not have a positive impact on smoothing via factor income inflows. European investors' tendency of allocating a sizeable portion of their assets within the Euro zone is shown to undermine income smoothing.