Home sweet host: A cross‐country perspective on prudential and monetary policy spillovers through global banks

Prudential regulation of banks is multi‐layered: policy changes by home‐country authorities affect banks’ global operations across many jurisdictions; policy changes by host‐country authorities shape banks’ operations in the host jurisdiction regardless of the nationality of the parent bank. Do these policies create (unintended) cross‐border spillovers? Similarly, monetary policy actions by major central banks may also have effects on the behaviour of banks in other countries. This paper examines the effect that changes in home‐ and host‐country prudential measures have on cross‐border dollar credit provision, and how these interact with US monetary policy. We first run panel regressions with both layers of regulation, to examine which has a greater effect on cross‐border lending. We then use a novel approach to decompose growth in cross‐border bank lending into separate home, host and common components, and then match each with the corresponding home or host policies. Our results suggest that prudential policies can have spillover effects, which depend on the instrument used and on whether a bank's home or host country implemented them. Home policies tend to have larger spillovers on cross‐border US dollar lending than host policies. We also find that a tightening of US monetary policy can compound the spillovers of some prudential measures.     

Futurology as Further Ideology: Reflections on Pryor's Millennium Survey of Economists

This comment is in response to Frederic L. Pryor (2000). "The Millennium Survey: How Economists View the U.S. Economy in the 21^st Century." The American Journal of Economics and Sociology. 59 (January), pp. 3-33.     

CEO Incentives and Corporate Social Performance

This paper examines the relationship between CEO incentives and strong and weak corporate social performance. Using the KLD database we find that incentives have no significant relationship with strong social performance. Salary and long-term incentives have a positive association with weak social performance.     

Critically challenging some assumptions in HRD

This paper sets out to critically challenge five interrelated assumptions prominent in the (human resource development) HRD literature. These relate to: the exploitation of labour in enhancing shareholder value; the view that employees are co‐contributors to and co‐recipients of HRD benefits; the distinction between HRD and human resource management; the relationship between HRD and unitarism; and the relationship between HRD and organizational and learning cultures. From a critical modernist perspective, it is argued that these can only be adequately addressed by taking a point of departure from the particular state of the capital–labour relation in time, place and space. HRD, of its nature, exists in a continuous state of dialectical tension between capital and labour – and there is much that critical scholarship has yet to do in informing practitioners about how they might manage and cope with such tension.     

A portfolio analysis of crop diversification and risk in the cotton south

Scholars have long been aware of the influence of risk on the behavior of farmers.¹ Recently, several econometric historians have studied the influence of risk on the behavior of farmers in the postbellum South (Reid, 1973; Higgs, 1973 and Higgs, 1974; Wright and Kunreuther, 1975 and Wright and Kunreuther, 1977; McGuire and Higgs, 1977). The most recent contributions to this literature analyze the choice between cotton acreage and corn acreage ( Wright and Kunreuther, 1975 and Wright and Kunreuther, 1977; McGuire and Higgs, 1977). Several controversies discussed in those articles have not been resolved. Those controversies concern, for example, whether cotton or corn was the riskier crop in the late 1800s, whether postbellum Southern farmers displayed risk-averting or risk-taking behavior, and whether data and methods employed to analyze acreage management decisions are appropriate. Those controversies are the central concerns of this paper.