International Trade Finance and Exports: Evidence from Korean Bank-Intermediated Trade Finance Instruments

This paper investigates the effects of trade finance shocks on real exports by using novel data on two bank-intermediated instruments of trade finance in Korea: foreign trade loans extended by commercial banks and documentary bills purchased by them. Using a vector autoregression (VAR) model, the results show that a negative shock to both instruments adversely affects exports, particularly the exports of small and medium-sized enterprises (SMEs). The trade financing condition explains as much as 10–14 % of the variation in exports, which is comparable to the estimates in previous studies. Noteworthy is that the effects of trade finance on SME exports vary upon whether it is pre- or post-shipment financing.     

The problems of development of a region under the conditions of the global crisis (Using the Vologda Region as an example)

The paper analyzes the effect of the crisis on the economy and social sphere of a region and substantiates the essence of measures whose implementation will enable the escape from the crisis state to be accelerated.     

Hyperbolic Discounting,Borrowing Aversion and Debt Holding

Analysis of an original Internet‐based survey reveals that debt holding is related to time discounting through: (i) present bias, measured by the degree of declining impatience in the generalized hyperbolic discount function; (ii) borrowing aversion, captured by a sign effect in that future losses are discounted at lower rates than future gains; and (iii) impatience, measured by the overall discount rate. Hyperbolic respondents are classified naïve if their answers reveal them to be time‐inconsistent procrastinators, and otherwise sophisticated. Naïve respondents with more steeply declining impatience are more likely to be debtors. The sign effect relates negatively to borrowing. Survey responses indicative of high or declining impatience are associated with credit card borrowing and other overborrowing indicators.     

Applying an extended theory of planned behavior to examine state-branded food product purchase behavior: The moderating effect of gender

ABSTRACT

The purpose of this study was to use an extended model of the theory of planned behavior to investigate the antecedents which lead to consumers’ purchase of state-branded food products. Relationships among attitude, subjective norm, perceived behavioral control, health-consciousness, intention to purchase, and actual purchase were examined. In addition, the moderating role of gender on consumer purchasing was assessed. The hypothetical model was empirically tested using data collected via Amazon Mechanical Turk (Mturk). Results implicated that consumers’ attitude, subjective norm, and perceived behavioral control of purchasing state-branded products significantly predicted their intention to purchase, and consumers’ intention to purchase significantly predicted their actual purchase of state-branded products. The relationship between health-consciousness and intention to purchase, however, was not found. Gender differences were found only between consumers’ perceived behavioral control of state-branded purchasing and their intention to purchase. Implications for marketers, farmers, and restaurant owners are provided.     

Rent seeking and the allowed rate of return: A recursive model

In this paper, we estimate a three-equation recursive model of the rate-of-return phase of the regulatory hearing process. Separate equations are estimated for the firm's requested rate of return, the staff's recommended rate of return, and the commission's approved rate of return. The sample used in this estimation contains 122 observations of actual rate cases that were decided between 1980 and 1984. There are 73 electric companies and 37 states represented in this sample. The model differs from prior work in this area by (1) incorporating a separate equation to explain the commission staff's recommended rate of return, and (2) including the regulated companies' actual expenditures on the hearing process as a variable in all three equations.     

Effects of cultural institutes on bilateral trade and FDI flows: Cultural diplomacy or economic altruism?

The number of cultural institutes from major developed and developing countries increased significantly in the last twenty years. In this paper, using cross-sectional and panel data analysis on bilateral trade in goods and services, and FDI inflows and outflows, we examine the economic effects of 1,266 cultural institutes from China, France, Germany, Japan, Portugal, Spain, Turkey and UK for the period of 1990–2015. The empirical results suggest that cultural institutes have significantly positive trade and FDI enhancing effects, which are persistent over time. However, these effects are most robust only with goods exports and FDI outflows. Furthermore, the economic effects of cultural institutes are not homogenous across destinations and are the strongest for developed rather than developing host countries. There is also significant heterogeneity among cultural institutes with significant differences in their economic effects on different types of bilateral trade and FDI flows.     

The Impact of Foreign Direct Investments (FDIs) from Market Economies to Centrally Planned Countries

Despite the recent economic slump and subsequent reductions and fluctuations of investment ­activities undertaken by multinational enterprises (MNEs) in host markets, the overall volume of foreign direct investment (FDI) has significantly grown over the past three decades. The major proportion of the FDI flows from market economies to centrally planned countries, with the latter currently receiving huge amounts of inward FDI from the West. A representative example of this flow is China. China is often referred to as the factory of the world and/or the black hole of inward FDI. © 2016 Wiley Periodicals, Inc.     

Conceptualizing Destination Brand Equity Dimensions from a Consumer-Based Brand Equity Perspective

This study develops a conceptual framework for destination brand equity that goes beyond image by adapting and expanding a multidimensional consumer-based brand equity scale for application within a tourism context. The empirical results, based on a consumer survey in Malaysia (n?=?326) measuring the brand dimensions of Korea, identify the relational linkages between four principle brand equity dimensions (brand awareness, brand image, brand associations, and brand loyalty), and overall customer-based brand equity. The importance of brand image, associations, and awareness is confirmed, and the mediating role of brand loyalty in building destination brand equity is highlighted.     

Acquisition of managerial knowledge from foreign parents: evidence from Korean joint ventures

This paper contributes to the literature on intra- and inter-firm knowledge transfer by examining knowledge acquisition by Korean international joint ventures from their foreign parents. A conceptual model is presented which identifies the factors that have been found to influence knowledge transfer, organised into variables related to the local recipient firm, the foreign sender firm and the relationship between the two. The model is examined by means of a series of multiple regressions using a sample of 128 Korean international joint ventures. We find that: (1) the international joint ventures intent to learn and international experience; (2) the level of trust between parents and their business relatedness; and (3) the active managerial engagement of the foreign parent are the most important factors explaining the level of knowledge acquisition within the international joint ventures.