We kindly inform you that, as long as the subject affiliation of our 300.000+ articles is in progress, you might get unsufficient or no results on your third level or second level search. In this case, please broaden your search criteria.
Conjoint measurement and analysis have a common underlying psychometric and statistical assumption concerning axioms of additivity and two-way frame of reference in preference measurement. However, whereas the former concept is widely used in the fundamental measurement of subject × object dominance structures as in IRT and Rasch measurement models, the latter is utilized in a broad family of object × object dominance structures in both compositional (i.e. Thurstone case III and V) as well as decompositional (classical conjoint experiments and BTL/alpha simulation) preference measurement models. These two traditions are rarely combined in one measurement model and research design that integrates subject × object × object measurement [Neubauer 2003]. The aim of the paper is to adopt and compare three types of preference measurement models in the area of banking products in Poland: 1. paired-comparisons and rating scale conjoint experiment, 2. IRT-based conjoint (Rasch and Birnbaum politomous models), 3. compositional Thurstone III/V models [Bockenholt 2006]. Part-worth utilities are used for product optimization and comparison across the estimated models.
More...
In this study, decisions about natural disaster insurance is examined through the behavioral literature and public interventions are suggested. Natural disasters are low probability but high consequence events. In natural disaster insurance, the risk and uncertainty are higher than in other markets, leading to more frequent decision-making problems. Intuitive thinking, systematic bias, learning mistakes, social norms and social comparisons, public aids and political interests cause non-rational decisions to be made. Non-rational behavior of insurance consumers, suppliers and public sector, which operates as a regulatory institution causes inadequate insurance coverage. Inadequate insurance coverage leads to loss of individual and social welfare and increases the government's implicit fiscal liabilities. Asymmetric paternalist political instruments, such as mandatory insurance, framing, multi-year insurance contracts can reduce decision-making problems. Regulations on insurance contracts and public-private partnerships can resolve market failures.
More...
The article is devoted to analyze legal models of IT taxation in the advanced countries of the world. It is determined that the main way of selling the results of IT-activities is electronic commerce. The article analyzes the basic definition of electronic commerce. The author uses the anthroposociocultural approach in tax law as the basis of the methodology of the study of the problems posed. This approach allows us to see the taxation problems, in particular electronic commerce, including the local level from a new point of view. Author analyzes the model of minimal intervention and the model of hard regulation as two main models of IT taxation. The author pays special attention to the analysis of the legal regulation of electronic commerce taxation in Switzerland as a country-standard of local taxation. The article defines the main levels of taxation in Switzerland and outlines the benefits of using such a system of legal regulation of taxation. The author observes American and European models of legal regulation of electronic commerce. The link of the necessity of taxation of electronic commerce and the observance of the human right to taxes is revealed in the article. The article includes the analysis of the advantages and disadvantages of legal models of electronic commerce taxation used in the advanced countries. The conclusion is drawn about the main advantages of using the experience of the legal model of hard regulation of IT taxation in Ukraine.
More...
Gold reserves in each country serve as a hedge against the state of necessity. It is about the ability to protect the value of its own currency or a specific goods that you can pay on the international market when the circulating currency are not accepted in the settlements. Nowadays, the level of these reserves primarily depends on: the wealth of the country, having their own gold deposits, being a part of a single monetary zone, the strength of the currency against convertible currencies, the current economic condition of the country and the size of the budget deficit. The risk of threats is also relevant here. On the international level – by analyzing the period of 1990-2015 years – a phenomenon of large fluctuations in gold reserves is observed for selected countries. For example, an increase in gold reserves occurred in China and India. Several countries stay in this area on the same level (The USA, Japan and Egypt). It is interesting that some of the EU countries at the moment of accession to the euro zone reduced their gold reserves (Austria, Belgium, Spain, The Netherlands), but there are several others that increased (Italy, Germany). Poland in 2000 reached the level of the reserves in the amount of 3.31 million ounces of gold – 102.9 tons of gold. These reserves from 2000 are still kept, giving Poland 36 place in the ranking of gold reserves. Comparing these figures with other countries in the region is a fairly low level. Therefore, it seems that is an urgent need for a change in order to improve the financial security of the Country.
More...
Currently experiencing financial crisis seems to have several causes, but quite often the opinion is manifested that the beginning of the negative economic phenomena took place when the trouble with the high risk mortgage market in the US appeared. Banks leading expansive credit policy even gave bank credits to people with low credit worthiness, often for sums far exceeding the value of the property being the collateral. We see the beginnings of the crisis in the United States, but we know that the current world economy is a kind of network of “communicating vessels” and the effects of the financial difficulties in one country have a tendency of impacting economic systems of other countries, which of course includes those in Europe. The economic crisis that we have been observing since 2007, also caused negative consequences on the capital markets, including, of course, also Polish capital market. In light of the foregoing, the purpose of this article is to assess the impact of the global financial crisis on the Polish stock market. In the calculations, to visualize the impact of economic and financial trends on the stock market, annual data were used.
More...
The study explores the holiday effect on large daily stock price changes and on subsequent stock returns. The motivation for the study is based on the Mood Maintenance Hypothesis and on the literature documenting lower stock trading activity before holidays. I hypothesize that if a company-specific shock takes place before a holiday, then investors striving to maintain their positive pre-holiday mood, may be less willing to make influential trading decisions, and therefore, may react relatively more weakly to the shock. This kind of behavior may create an underreaction to the shock and result in subsequent price drift. I analyze all major daily stock price moves, defined according to a number of alternative proxies, for all the constituents of S&P 500 Index over the period from 1993 to 2017. I document that both positive and negative stock price moves occurring immediately before public holidays are followed by significant price drifts on the next two (post-holiday) trading days and over five- and twenty-day intervals following the initial price move. The magnitude of these post-event drifts increases over longer time windows. On the other hand, I find that large stock price changes taking place on regular days are followed by either non-significant or marginally significant price reversals. The effect is more pronounced for small and more volatile stocks.
More...
Non-bank loan institutions in Poland often face a bad reputation or a lack of trust, are compared to "parabanks" and frequently recognised as companies operating at the borders of the law. Despite their membership in the financial sector, until recently, public supervision had little control over loan companies and had little knowledge about the scale of their operations. The greater restrictiveness of the new regulations caused a slowdown in the development of loan companies. Changes such as the introduction of bank levy and the amendment to the Consumer Credit Act of 2016 had a significant impact on the financial results and the structure of products offered by loan companies. Along with the new regulations, however, there is doubt regarding whether these changes, which are intended to organise the market for non-bank loans, will actually lead to an exodus of loan institutions from the market and to significant limitation and financial exclusion on the part of Polish consumers.
More...
This paper shows the opportunities of copula for estimating Value at Risk (VaR). The author presents results of empirical research carried out for portfolios of stocks from Warsaw Stock Exchange. Efficiency of classical covariance method was compared with other well known in the literature and also new methods proposed by author using Clayton and Gumbel-Hougaard copulas.
More...
Theoretical background: The increase in the issuance of Eurobonds by the issuers from Central and Eastern Europe has become a reason for considering the impact of the issuer’s creditworthiness assessment on the interest rate of the coupon of the issued debt instruments.Purpose of the article: The aim of the study was to assess whether having a creditworthiness assessment from more than one agency affects the interest rate on the Eurobond coupon. This objective was achieved through the process of analysis of the ratings assigned by the rating agencies. Based on the analysis of the literature and the available data, the research hypothesis was developed and verified in an empirical study. The results were analyzed in the discussion section.Research methods: The credit ratings for the Eurobonds corporate and government issuers, announced on the issue date, have been analyzed. The analysis covered the fixed interest rate debt instruments issued in EUR in the years 2005–2020 (the first half of the year). The empirical research was carried out using the observation method, the analysis of source documents, and the method of deduction.Main findings: The results of the conducted research indicate that the coupon rate is not affected by the number of ratings given to the issuer. Due to the fact that the lowest average coupon interest in 2005–2020 was held by Eurobonds of the issuers with one credit rating, there is no need for an additional creditworthiness assessment by other agencies, and for any additional costs to be incurred by the issuer. It is one of the few studies on the Central and Eastern Europe market of which the author is aware.
More...
The purpose of the article is to examine the impact of leverage on the market valuation of companies. The article verifies two hypotheses: 1. the degree of leverage is an important factor that impacts the market valuation of companies; 2. for companies with a high level of leverage, the impact of this leverage on their valuation is negative, and for companies with a low level of leverage, the impact is positive. The methodology of the study includes a critical literature review and empirical research based on correlation and regression analysis, including univariate and multivariate regression. The analysis covered quarterly data of ten energy companies listed on the Warsaw Stock Exchange. An important component of the research was classifying those companies into several groups, depending on their level of debt ratio in relation to the industry median debt ratio. The results of the research: The literature review did not provide an unequivocal conclusion to the problem. The empirical analysis did not give grounds to reject the first hypothesis; however, the second one was rejected. The research showed positive correlation and regression coefficients between the debt ratio and the price to book value ratio for highly leveraged companies and negative ones for companies with a low level of debt. The results are surprisingly contrary to the expectations based on theoretical premises.
More...
This study was undertaken to explore the determinants of liquidity in Zimbabwean commercial banks. The research paper was motivated by the persistent high liquidity crunch currently be delving operations of commercial banks. An explanatory research design was adopted to find out variables that determine banks liquidity. An Ordinary Least Squares (OLS) model was developed after testing the variables for stationary to avoid spurious regression using the Augmented Dicker-Fuller (ADF) unit root test. Pearson’s correlation analysis was used to examine the existence of correlation between the repressors and the regressed. The study identified that non-performing loans are highly negatively related with banks liquidity signifying that this variable influence bank liquidity to a larger extent. A positive relationship between bank size and capital adequacy ratio and liquidity was established. Contrary to expectations a positive relationship was obtained between loan growth and banks liquidity. The following recommendations were made. Banks should devise robust credit risk management tools to reduce credit risk, tap into the offshore markets to obtain more credit to extent to their clients and the central banks should speed up the operation of ZAMCO which is meant to take over banks bad debts.
More...
Purpose: The main objective of this research was to determine the impact of capital structure on the profitability of Croatian companies. The second objective was to analyze the consistency of the way in which capital structure is managed with respect to the existing theories of capital structure. Methodology: A survey was conducted on the sample of Croatian companies for the period from 2009 to 2019 using panel model GMM estimation. In order to be included in the sample, all shares listed on the Zagreb Stock Exchange were considered which meet the liquidity criterion and are part of the non-financial sector. Accordingly, the sample consists of 30 shares. Results: The research established a significant relationship between capital structure and profitability, with a negative sign. With these results, Croatian companies are placed alongside other companies from countries that belong to the group of developing countries, and diametrically opposed to the results obtained for the markets of developed countries. Indirectly, the validity of theories of capital structure formation on the Croatian market was tested, and it was proved that the behavior of Croatian companies can best be described by settings of the trade-off theory of capital structure. Conclusion: For Croatian companies, this means that any further use of debt will lead to a decline in profitability. Consequently, this means that domestic companies cannot make significant use of the current situation of low interest rates on loans, and therefore they lag behind in terms of the level of investments made.
More...
Purpose: New products are vital to the success of firms and represent opportunities for business growth and development. The transition from the idea to the launch of a new product represents a process as complex as it is interesting for a firm. This is especially true for banking products. The purpose of this paper is to analyze how much a bank strategy influences the development of new banking products and whether customer preferences have an impact on the launch of new products by commercial banks. Methodology: Regression model, correlation, KMO and Bartlett‘s test will be used to analyze the impact of independent variables on the launch of new products on the market. Results: The results of this research show that the strategy of Kosovo commercial banks influences the creation and development of new products. Conclusion: Therefore, it can be said that commercial banks do not lack strategies which have the launch and creation of new products as their element. Banks also take into account customer and society requirements regarding the development of new products.
More...
IPO anomalies in the corporate debt markets are to great extent unexplored field in the academic literature. The aim of this paper is to investigate the underpricing phenomenon of newly issued corporate bonds on the Catalyst market and its determinants. I use event study methodology to test for underpricing and perform regressions to find its determinants. The sample includes 142 corporate bonds issued between March 2010 and August 2013 and listed on the Catalyst market. The computations confirm the uderpricing effect in the CEE market, however do not allow to indicate its determinants.
More...
Corporate accounting scandal is not a new phenomenon and it is the outcome of corporate accruals i.e., accruals by management choice. This study investigated the use of corporate accruals in the financial statements of the listed companies in Dhaka Stock Exchange (DSE) through segregating total accruals into corporate (discretionary) and accounting (non-discretionary) accruals. The average rate of corporate accruals was 35 percent and in many cases, cash flow from operation exceeded the net income, the growth in accounts receivable was faster than sales growth, and inventory growth was not consistent with sales growth. In this context, this study may create awareness of the risk factors of corporate accruals among external users’ of accounting information especially analysts, regulator, policy makers, existing and potential shareholders, lenders, trade creditors, external auditors, researchers, financial advisors, and stock brokers. Consequently, it may reduce the use of management discretion in preparing the financial statements.
More...
The aim of this paper is to examine the return and volatility spillovers and stock market co-movements among Western, Central and Southeast European stock markets. To examine the volatility spillover effects we employ a multivariate GARCH-BEKK (1, 1) model on a daily data from 2005 to 2014. There is a high and stable conditional correlation between Central and Western European markets during most of the analyzed period and the conditional correlation rises sharply during the periods of financial turmoil, suggesting some evidence on contagion. Conditional correlation between Croatian and Romanian markets and their Western counterparts is modest but it increases during the periods of financial crisis. Conditional correlation coefficients indicate that Macedonian and Serbian stock markets are relatively isolated from the advanced European markets. The return spillovers are investigated with the forecast-error variance decomposition based on the generalized VAR model. Following Diebold and Yilmaz (2012), we develop “spillover indices” based on the variance decomposition results on the generalized VAR model. The results indicate that total spillover index rose sharply during the periods of major financial disruptions. DAX and FTSE100 are the major net transmitters of spillovers to Central and Southeast European markets. There are bi-directional spillovers between DAX and FTSE100, between PX and WIG-20 and between MBI10 and BELEX15.
More...
The peculiarities of microfinance and prospects of its implementation in the institutional structure of a social and economic system in general and transitional economies systems in particular are considered. Special attention is paid to the problems of investing in microfinance activity under globalization and different institutional configurations.
More...
To protect against risks arising from fluctuations in spot prices and better manage risk, investors might evaluate futures markets. The role of price discovery in the futures markets and the possibility of reducing certain risks increase the importance of researching the relationship between spot and futures prices. This study aims to determine whether there is a relationship between the Bitcoin spot prices and the Bitcoin futures prices. To this end, the relationship between the two markets is analyzed using Johansen Cointegration analysis and Vector Error Correction Model (VECM) using the daily data of the period 02.23.2017 – 08.31.2021. Unit root tests show that each series are not stationary at the level values and that the first differences of the series are stationary. The results of the cointegration analysis show that there is a long-term equilibrium relationship between the bitcoin spot market and the bitcoin futures market, and it is a single cointegration vector. The Granger causality test based on the vector error correction model was used to determine the causality relationship between the series. It has been determined that there is a unidirectional causality relationship from the Bitcoin spot market to the Bitcoin futures market. Bitcoin is a new financial tool that attracts the attention of investors. Investors make transactions on Bitcoin for speculative purposes. Therefore, unlike other investment instruments, spot prices in the bitcoin market affect futures prices.
More...
In all matters regarding climate change, the modern world presents complex challenges which highlight how investments in infrastructure have as of yet been inconclusive. The emission percentages calculated by relevant studies demonstrate the need for long-term investments in infrastructures, to ultimately reduce the impact on the environment and our health. To this end, in alignment with the principles expressed in the Paris Agreement - reducing global warming and incentivising a zero-emission transportation system - and the Sustainable Development Goals (SDGs), these new infrastructures will require a structural change that can be guaranteed by multilateral development banks (MDBs), given their nature, especially within developing countries. MDBs play an important role in supporting local governments, on the one hand creating a prosperous environment for sustainable infrastructures and, on the other, providing innovative financial instruments that could increase the financial sector’s participation. In this paper, after a brief excursus on the Paris Agreement’s role in the global climatic crisis, there will be an evaluation of the relations between MDBs and climate finance, with a focus on green bonds.
More...