South–South Trade and Skill Premia

Contrary to the predictions of the 2 × 2 × 2 Heckscher–Ohlin model, empirical evidence shows that the skill premium increased in some developing countries and decreased in others after trade liberalisation. This paper attempts to reconcile the empirical evidence with the theoretical predictions by introducing a model where South–South trade can produce the observed patterns of skill premia in the South. In this context, South–South trade expands the import range of the country that reduces the tariff. This increases the demand for and the cost of skilled workers in the other country. This also leads the country that reduces the tariff to expand its export range and reduce its import range. Therefore, the country that reduces the tariff experiences an increase in its export range, which leads to an increase in the skill premium. As the impact on the import range is ambiguous, it is possible that the other country experiences a decline in the skill premium. Thus, trade liberalisation between Southern countries can cause an increase in the skill premium in one and a decrease in the skill premium in another.     

The influence of website quality dimensions on e-purchasing behaviour and e-loyalty: a comparative study of Egyptian travel agents and hotels

Websites have become a channel for tourism enterprises to market and sell their services online. These enterprises are committed to improving their online services to retain customers and improving their competitiveness. This study aims to measure the effect of website quality dimensions on customer purchasing behaviour, and how this behaviour affects customer electronic (e)-loyalty. It compares the perceptions of 275 customers of travel agencies and 355 hotels using structural equation modelling. Findings revealed that website quality dimensions significantly affect the customer purchasing behaviour. The study highlighted the dimensions with a negative effect to help managers improve their website quality.     

Consumption asset pricing and the term structure

We investigate the relationship between consumption and the term structure using U.K. interest rate data. We demonstrate that the term structure contains information about future economic activity as implied by the benchmark time separable power utility consumption based capital asset pricing model (C-CAPM) since the yield spread has forecasting power for future consumption growth. Further, we analyze the ability of this benchmark and two alternative models which adopt utility functions characterized by non-separability, namely, the extension to the habit formation model of Campbell and Cochrane (1999) proposed by Wachter (2006) and the housing C-CAPM proposed by Piazzesi, Schneider and Tuzel (2007). Our findings are supportive of the habit formation specification of Wachter (2006), other models fail to yield economically plausible parameter values.     

Managerial efficiency under risk for broiler producers in Saudi Arabia

Managerial efficiency for broiler producers m Saudi Arabia is generally difficult lo achieve. High investment costs coupled with relatively high average production costs and the consequent incompetent market prices, have resulted in projects either working at less than full capacity or being shut down completely. The aim here is to determine the most efficient production alternatives (actions) available to managers under business risk considerations. The ordinary stochastic dominance approach was used to solicit the most efficient production alternatives for broilet producing projects of all sizes in the Central Region of Saudi Arabia. For small-and medium-sized projects, the efficient production alternatives concentrated on marketing risk. For large projects, the efficient actions concentrated on both marketing and production risks. For the three sizes of projects, the two production alternatives that proved to be the most efficient, were the one that contains creating morc marketing strategies and the one that adopts good veterinary care systems. On the other hand, the production alternative that deals with selecting good breeds of chicks appeared to be most efficient for small and large projects only.     

The Effects of Process and Content Facilitation Restrictiveness on GSS-Mediated Collaborative Learning

Group Support Systems (GSS) technology, extensively applied in decision-making contexts, is now seeing increased application in the educational sector. Previous work has suggested that GSS applications can have significant positive effects on both the process and the outcome of collaborative learning. This study extends this work to examine the effects of process (high/low) and content (high/low) facilitation restrictiveness on GSS-supported collaborative learning. Our results indicate that content facilitation restrictiveness has no significant bearing on student learning. Process facilitation restrictiveness, on the other hand, is more influential, with knowledge acquisition by students requiring a low restrictive environment.     

Exports and economic growth:some empirical evidence from the Arab Gulf countries

This paper investigates the relationship between exports and economic growth in four of the Arab Gulf countries, namely, Saudi Arabia, Kuwait, UAE, and Oman for the period 1973–93. The estimates presented indicate a positive and significant relation between the two variables. Also, the statistical adequacy of the models used is supported by the following diagnostic tests. The Bruesch-Godfrey statistic suggests the absence of serial correlation. The Farely-Hinich test fails to reject the null hypothesis that the models are structurally stable. And both the White and Hausman specification tests show that the models are correctly specified.     

The Intertemporal Causal Dynamics Between Fixed Capital Formation and Economic Growth in The Group-Of-Seven Countries *

The debate between De Long and Summers (1991, 1992) and Blomstrom, Lipsey and Zejan (1996) who reported conflicting results on the relationship between fixed capital formation and economic growth raised doubts on whether changes in a country's capital formation shares in GDP have an influence on its future growth rates. This paper addresses the issue again by examining the causal patterns between the share of fixed investment in GDP and the growth rate of per capital real GDP on an individual country basis, using time series on each of the group-of-seven countries. The empirical results suggest that the causal relationship between these variables may vary significantly across the major industrialized countries that presumably belong to the same growth group. Most importantly, no consistent evidence is found that causality is running in only one direction. Rather, causality between fixed investment and growth seems to have a country-specific nature and may run in either directions.     

From Returns to Tweets and Back: An Investigation of the Stocks in the Dow Jones Industrial Average

A sizeable percentage of investors are using social media to obtain information about companies (Cogent Research [2008]). As a consequence, social media content about firms may have an impact on stock prices (Hachman [2011]). Various studies utilize social media content to forecast stock market-related factors such as returns, volatility, or trading volume. The objective of this article is to investigate whether a bidirectional intraday relationship between stock returns and volatility and tweets exists. The study analyzed 150,180 minute-by-minute stock price and tweet data for the 30 stocks in the Dow Jones Industrial Average over a random 13-day interval from June 2 to June 18, 2014 using a BEKK-MVGARCH methodology. Findings indicate that 87% of stock returns are influenced by lagged innovations of the tweets data, but there is little evidence to support that the direction is reciprocal, with only 7% of tweets being influenced by lagged innovations of the stock returns. Results further show that the lagged innovations from 40 percent of stock returns affect the current conditional volatility of the tweets, while 73 percent of tweets affect the current conditional volatility of stock returns. Moreover, there is strong evidence to suggest that the volatility originating from the returns to the tweets persists for 33 percent of stocks; the volatility originating from the tweets to the returns persists for 73 percent of stocks. Last, 53 percent of stocks exhibit both immediate and persistent impacts from returns to tweets, while 90 percent of stocks exhibit both immediate and persistent impacts from tweets to returns. These results may help traders achieve superior returns by buying and selling individual stocks or options. Also, asset and mutual fund managers may benefit by developing a social media strategy.