Has bank holding companies' diversification affected their risk of failure?

The effect of nonbank activities on the riskiness of banking organizations is an important issue in capital regulation and deciding whether banking firms should be allowed to perform additional activities. This paper explores the potential effect of deregulation by examining the effect of existing nonbank subsidiaries on the riskiness of bank holding companies. The results provide no evidence to suggest that deregulation would increase banking organizations' risk and weak evidence that deregulation might decrease risk.     

A comparative analysis of international tourists’ satisfaction in Mongolia

The purpose of this study was to examine international tourism development in Mongolia in the last decade and analyze international tourists’ satisfaction of their travel experience with tourist attractions, facilities, services and prices. This study identified the demographic characteristics of international tourists from four regions: Europe, the US, Japan and other Asia/Pacific countries by surveying a sample of 530 visitors by air travel. Satisfaction level of international tourists from these four different regions were analyzed and compared to find regional similarities and differences. Recommendations were made for the Mongolian tourism authority to target efficiently its international tourism markets and improve tourism services in Mongolia.     

Effects of flow on the fish communities of a regulated California river: implications for managing native fishes

We assessed the importance of flow regime to the success of native and non‐native fish species by analysing winter/spring seining data collected from 1987 to 1997 on the resident fish communities of the lower Tuolumne River, California. The data were analysed using regression models to predict the percentage of non‐native fish at a site. The regression models included various combinations of the variables longitudinal location of the site, mean April/May stream discharge in the year of sampling, and mean April/May stream discharge in the previous year. Comparison of the models indicated that the best model included longitudinal location and stream discharge in the previous year. This model is consistent with the hypothesis that flow in the previous year differentially affects reproductive success of native and non‐native species and thus the resulting community sampled in the following winter/spring. A detrended correspondence analysis of percentage abundance species data identified a co‐occurring group of native species and a co‐occurring group of non‐native species with the non‐native red shiner (Cyprinella lutrensis) grouping separately. The differing reproductive strategies of the species were consistent with the hypothesis concerning spawning success. Our results indicate that flow regime is an important determinant of the reproductive success of native and non‐native fish species in regulated rivers. Manipulations of flow regime are a potentially powerful tool for managing native fish species, but should be considered in combination with other restoration efforts and in the context of ecosystem restoration. Copyright © 2002 John Wiley & Sons, Ltd.     

Financing bank stock ownership: A question of conflict of interest

The bank stock loan conflict of interest question arises when compensating balances are intermingled with a bank's correspondent balances for the benefit of those bank stockholders seeking a bank stock loan. This study attempts to determine if this practice exists usign two-stage least square regression analysis and cross-sectional data obtained from one-bank holding company applications in the Tenth Federal Reserve District. Our results suggest that bankers with established correspondent banking relationships capitalize on their correspondent balances to obtain favorable interest rates on bank stock loans.     

American political values and agency theory: A perspective

This paper explores the historical American political values which have shaped modern financial theory and agency theory. Financial agency theory's intellectual roots are shown to be located in the liberal tradition which espouses the instrumental nature of property and property rights. The paper also argues that financial theorists should recognize that, historically, economic efficiency was not a value or end in itself but merely a means by which more fundamental social goals might be achieved. Fred R. Kaen is a Professor of Finance at the University of New Hampshire. He has written many articles about financial markets and international financial management. His work has appeared in The American Economic Review, The Journal of Finance and The Journal of Money Credit and Banking. He will be spending next year at the Norwegian School of Economics and Business as a Visiting Professor of Finance. Allen Kaufman is an Assistant Professor of Business Administration at the University of New Hampshire. He has written a number of books including Capitalism, Slavery and Republican Values and his work has been published in the California Management Review, the Journal of Political and Military Sociology, and Business Horizons.Larry Zacharias is an Associate Professor of Management at the University of Massachusetts. He holds a law degree and has written many articles about corporate law and anti trust.     

Primal/Dual Positive Math Programming: Illustrated through an Evaluation of the Impacts of Market Resistance to Genetically Modified Grains

The goal of Howitt's positive mathematical programming procedure is to calibrate a mathematical programming model so that it will reproduce a set of base data for the primal variables. This article develops an analogous procedure allowing one to specify the levels of both primal and dual variables. This article also sheds light on a potential ambiguity of Howitt's procedure (with attendant policy evaluation impacts). The procedure is illustrated through application to an equilibrium displacement model focused on evaluating the consequences of the reluctance of U.S. trading partners to accept genetically modified crop products for U.S. production patterns and net farm income.