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.
This study examines the Phillips curve for Bulgaria. The relationship between the unemployment rate and the rate of inflation has been studied. On the basis of the constructed regression model, the non-accelerating inflation rate of unemployment (NAIRU) in Bulgaria is assessed.
More...
Integrated costs management through the value chain represents a comprehensive approach which observes the activities of purchasing, production and distribution as a single, undividable whole. This opens a wide range of possibilities for costs optimization of all processes and activities going on both within and outside of the company limits, and consequently, for improvement of the business results. The main precondition for successful cost management in such complex system is connecting of the program for management of costs incurring during the entire life cycle of the product and the program for management of costs of the suppliers and buyers. The optimal combination of conventional and modern costs management methods depends primarily on characteristics of the company, on one side, and identified needs for lowering the costs incurring on relation buyer-supplier, on the other side. On the sample of companies from Bosnia and Herzegovina, it was researched if the factors of internal environment require changes in the approach to management of internal costs, or if the management of these companies has clear vision that the improvement of relations with the suppliers and buyers creates more space for even better competitive position on the market.
More...
In the inactive capital market value of company is not easy to determine. It is evident that in the case of inactive markets, the process of input determination for assessing the value is more complicated, and the value of the company itself, for reasons of lack of transparency, unavailability of information and other inherent risks is less relevant than it would be in active capital markets. In companies’ appraisal in terms of inactive capital markets, the level of importance attached to transaction prices is inevitably analyzed, compared to other indicators of fair value. The level of transaction significance depends on the facts and circumstances, such as: transaction volume, transaction temporal proximity to the measurement date and transactions comparability with asset or liability whose fair value is measured. In the paper we have started from two hypotheses. The first one is that the capital market in the Republic of Srpska is inactive and underdeveloped. The second hypothesis is that the inactive capital market significantly restricts and determines the ability of using approaches and methods of appraisal, the cost of capital and the concepts of value. Accordingly, in the inactive capital markets precondition of relevant appraisal is previous analysis of transactions prices significance and aspects of market inactivity. The aim of research is to emphasize the importance of the examination of capital markets characteristics in the process of appraisal that thereby will be relevant and useful for purchasers in making the right business and investment decisions.
More...
Purpose – The purpose of the research is to investigate the links between concentration of ownership and control of analysed companies and the value of their financial and market performance, as well as to test whether this performance depends on the presence of owners of large, but non -controlling blocks of votes among shareholders.Research method – The article presents an analysis of data contained in financial statements and Management Board’s reports. Pearson’s correlation coefficient, one -way ANOVA test and Kruskal -Wallis test were also used to investigate the links between concentration of ownership and control of analysed companies and the value of their financial and market performance.Results – The conducted studies showed theconcomitance of concentration of owner-ship and control in hands of shareholders holding over 5% of votes at the general meeting and the financial performance in the analysed entities.The research also showed that the relation between the market value of shares and their book value in companies in which shares of two largest shareholders were the same or comparable was higher than in entities in which a difference between these shares was observed. Moreover, ownership and control structure in such entities allowed them for a better use of resources.Originality / value / implications / recommendations – The article emphasises not only the role of ownership and control concentration as regards the value of financial and market performance of companies, but also presents the desired scope of concentration in the hands of the individual shareholders. It draws attention to the role of large, but non -controlling shareholders in corporate governance, especially in the mitigation of the horizontal agency conflict.
More...
The purpose of this article was a description and justification of the direction of changes which inevitably await the area of the functioning of the internal audit within the territorial self-government units in Poland. The analysis was preceded by a review of the evolution of the functioning and the definition of the internal audit within the territorial self-government units in Poland over the last twenty years. The sources and causes of the planned legislative changes in the act on public finance concerning the internal audit in the sector of public finance in Poland are presented with a special emphasis on the territorial self-government units. The conducted research is based on the study of literature on public finance, internal audit, and managerial control. A detailed analysis and interpretation of legal acts in force in the researched area was conducted, particularly including the draft bill amending the public finance act and certain other acts (no UD327 in the list of legislative and programme works of the Council of Ministers as of 1st March 2022) to justify the direction of the changes.
More...
Economic value added as a method for company performance measurement for time periods of one year is firstly analyzed in the paper. After that we discuss market value added as a difference between company market value and value of invested capital. Then the interdependence between economic value added and market value added is explained. Finally, we point out that there is relationship between net present value as a method for investment rentability evaluation and company market value.
More...
The concept of value at risk (Value at Risk - VaR) is a measure that is increasingly used for assessing the level of exposure of financial markets’ participants. The aim of this concept, which has begun to prevail in the world of risk management since 1994, is estimation of the maximum loss of financial position at a given time for a given probability. Many methods have been developed to quantify risk. There are a number of measures to quantify the risk, and the aim of this paper is to expose these measures, with special emphasis on VaR. Also, when measuring financial risk, characteristics of financial time series should be taken into account, and therefore are particularly prominent in the work. The second part of the paper explains how these risk measures are covered by the regulations in risk control. The task of this paper is to analyze the risk control in Montenegro, and the importance of standards in force in contribution to the improvement of risk control. The idea of this paper is motivated by the desire to approach quantifying and managing risk in Montenegro more seriously. In the future, within the framework of the measures of the Central Bank to strengthen the financial system, the situation in the banking system will be continuously monitored and analyzed, by taking timely corrective measures in risk management in banks, as well as the further implementation of internationally accepted standards and principles in this field.
More...
CAPM (Capital Assets Pricing Model) has been developed by William Shape, John Lintner and Jan Mossion in the early 1960s, on foundations of earlier works of Harry Markowiz and the model itself is in the core of economics’ theory and modern finance. Model was introduced by William Shape, who received Nobel prize in economics in 1990. This model of equity assessment enables investors to forecast precise risk and yield relation in financial instrument and it is being used in three main purposes. First, enables investors to calculate the expected rate of return of financial instrument. Second, CAPM assist in share price determination in initial public offering (IPO). Third use of CAPM is determination of equity price as own source of funding. Although the model is not empirically verified and it is the subject of critiques by some authors, its use is broad because of precise determination of risk and yield relation in financial instruments and his appropriate accuracy.
More...
The case study highlights the importance of post-listing conduct in line with investor expectations through statistical research on the market impact of high compliance. In this way, it explores whether a proactive approach and the quality of organisational culture can be strategic pillars for companies listed on AeRO market administered by Bucharest Stock Exchange in relation to the capital market. The main finding based on the regression methodology shows that there is a positive and statistically significant relationship between the corporate governance quality score and investor relations, i.e. the liquidity score. The regression coefficient obtained supports the hypothesis that 46% of the investment behaviour manifested in the market, expressed by the value traded, can be explained by the quality of corporate governance and investor interaction supported by issuers.
More...
During different time periods, precious metals have been used as a means of payment and trade between economic entities, and some of these metals have also found application in the industrial-production sector. The purpose of the scientific development is to analyze the interrelationship between the factor time and value for the precious metals – platinum and palladium in a time period selected by the author, through regression analyzes
More...
The aim of this paper is to verify whether the COVID-19 outbreak negatively affected the weak-form informational efficiency of the Warsaw Stock Exchange (WSE). Applying a wild bootstrapped automatic variance ratio test and the rolling window methodology, we verify the martingale hypothesis for daily returns of 437 stocks listed on the Main Market of the WSE i n a research period beginning on January 2nd, 2015 and ending on August 31st, 2020. The percentage of cases in which the martingale hypothesis cannot be rejected is our proxy for the weak-form informational efficiency that we come up with. Despite the rapid and significant price movements, as well as the rise of returns volatility (and thus a likely herd behavior of the market participants), the results obtained do not allow for stating unambiguously that the COVID-19 outbreak negatively affected the weak-form informational efficiency of the WSE. The results turned out to be sector-dependent. Future issue-related studies can apply other proxies of efficiency levels as a unique proxy applied in this study is based only on a wild bootstrapped automatic variance ratio test. The issue-related studies should be also continued as the pandemic is still an ongoing issue. This study comes up with a novel approach to approximating the weak-form informational efficiency, provides regulators, as well as other market participants with valuable information on the WSE efficiency changes in the COVID-19 pandemic times and even its long-term trends.
More...
In general, everyone has an individual approach to investing their capital. In the case of the capital market, two extreme approaches can be observed, for some investors the key is the security of investments while for others it is maximization of profits. There are also many investors who follow their own beliefs when making decisions – the emotional factor. Such behavior is explained by a relatively new field, namely behavioral finance. Its inseparable elements are exchange rate fluctuations. The amplitude of occurring fluctuations increases in case of unexpected random events. One such event was COVID-19 and the announcements of lockdowns in individual countries. The following report investigated the impact of COVID-19 on the capital market, and more specifically, it has been tested in terms of generating abnormal rates of return. The hypothesis of the study was that an announcement of a lockdown resulting in an economic closure generates statistically significant abnormal rates of return in relation to national benchmarks. The study was conducted on the basis of daily closing rates for joint stock companies from six European countries: Bulgaria, the Czech Republic, Poland, Slovakia, Ukraine, and Hungary. The data range covered the period from 1st January 2020 to 30th April 2020. The results of the event study proved that a few companies in the analysis showed sensitivity of their rates of return in relation to COVID-19.
More...
In this paper, the authors present the modern theoretical aspects of concentration in the market with a focus on the banking sector and the impact on the process of making strategic decisions. In this context, recent empirical and theoretical researches, which are supported by findings from international scientific and professional literature, were analyzed. In addition to numerous strategic decisions, decisions on the selection of business partners and new organizational forms, as well as decisions related to the management of the new organization as a whole, have an increasingly significant impact on achieving a sustainable competitive advantage. In the paper, the authors additionally indicate the importance of analyzing the level of concentration in the financial market, especially in the banking sector. In this regard, it was stated that strategic decisions are made at the highest managerial levels, which aim to achieve and maintain competitive advantage, maximize profits and sustainable growth and development of the banking sector. Behind the concept of concentration in the banking sector, we find the explanation that it is a form of association of banks, by which they come under joint control, and a certain level of economic unity is created between them, which did not exist until the moment of association, because banks, legally and economically, acted as independent subjects. Partner banks participating in the merger/acquisition process must prove that the concentration will bring market benefits, that is, that there will be no unwanted market consequences in the sector.
More...
Objective: The article seeks to determine whether the occurrence of the interval effect of beta coefficients (β) occurred among chosen shares in Warsaw Stock Exchange Index (WIG) during the COVID-19 pandemic. Research Design & Methods: The article seeks to determine whether in 2020 and 2021 (when the COVID-19 pandemic was spreading globally) it was possible to observe other levels of the β for chosen companies traded on the WIG. It examines a different approach to estimating returns of the companies’ shares (daily, weekly, biweekly and monthly). β coefficients are calculated with the ordinary least squares method (OLS) on the research sample of issuers traded on the three main Warsaw Stock Exchange (WSE) indices: WIG20, mWIG40 and sWIG80. Findings: The values of the β coefficients, calculated for different time horizons of returns (daily, weekly, biweekly and monthly) showed significant differences. These differences were statistically significant for pairs of β calculated for daily and weekly/biweekly/monthly returns, as well as for weekly and biweekly ones. Moreover, it was noted that the interval effect is invariably stronger for companies with lower capitalisation. The β increased for companies with the highest level of capitalisation as the time interval of returns was extended, which the literature has to this point reported only for Asian markets in crisis years. Implications / Recommendations: The results indicate that the COVID-19 pandemic did not influence the occurrence of the interval effect observed on the Polish capital market earlier, and only slightly changed some of its detailed characteristics. However, the differentiation of the β (depending on the time horizon of returns used to calculate it) does not make it an effective measure of the risk of investing in securities. Contribution: Conducting research on the occurrence of the interval effect on the WSE during the COVID-19 pandemic will contribute to the knowledge base of capital market participants, particularly on the use of β to measure systematic risk in times of instability on capital markets. Understanding this issue in the context of investing funds on the WSE will be useful for those seeking to adjust investment portfolios to the changing realities of the Polish capital market.
More...
The essence of the article is based on the collected and processed data from the survey to analyze, assess and evaluate the impact of the factor, which is the number of employees, on the market and financial risks, identified by managers of the SMEs in the Zilina region of Slovakia. The analysis of market and financial risks is carried out through the analysis of the selected statistical characteristics, using the point and interval estimates and methods of mathematical statistics. Interval estimation enables to determine not only the best estimate, but the entire interval with a certain probability of possible estimates of the mean value of the market and financial risks of a basic file, since the managers of an enterprise are more interested in intervals than in a point value. Results of the survey showed that the number of employees has an impact on the mean value of the market and financial risks of the SMEs in the Zilina region and therefore it is not possible to underestimate it
More...
The aim of this paper is to provide information on the general characterization of multimodal transport, intermodal and combined transport. There is also mentioned the distribution of basic transport processes and types of transhipment. Finally, this paper describes the practical examples of multimodal transport
More...
The subject matter of the article consists in the issue of unemployment, which is the problem in many countries. The article describes approaches to the solution of the unemployment from the point of view of several economic specializations in theory. Active labour-market policies have developed significantly over the past two decades across Organization for Economic Cooperation and Development (OECD). This article describes the approaches to the solution of unemployment problem of the Czech Republic, Slovak Republic and Finland. Objective of this article is to account variant of active labour market policy
More...
This paper analyses both individual components of the price of electricity and the electricity rates as related to individual modes of heating. The price development has been monitored and assessed since July 1, 2001, i.e. the date on which the ‘Price Decree of the Energy Regulation Office, No. 5/2001’ entered into force concerning introduction of new rates and prices of electricity for households and businesses. Primarily, the rate, D 02d, was chosen for assessment. This rate is used by the majority of households as they use gas or solid fuels for heating. Further, the rate, D45 d, for direct electric heating, and rates, D55 d and D 56 d, for heating by thermal pumps were also subject of assessment. Both the development trends and the comparison of the investigated rates of electricity make it obvious that prices of electricity will continue to be rising in the long-term perspective.
More...
Value added tax represents one of the main tax forms, because it generates the most revenue and greatly contributes to the budgets of many countries. The purpose of this paper is to determine the VAT efficiency level in Visegrad Group countries (Czechia, Hungary, Poland and Slovakia) for the period between 1995 and 2020. The average VAT efficiency in the Visegrad region was 0.51, and this indicator improved after these economies joined the European Union. The results of this empirical research show that gross domestic product per capita, final consumption and value added tax revenue have a positive impact on VAT efficiency, as measured by the C-efficiency indicator. On the other hand, the results demonstrate that an increase in VAT rate lead to a lower level of VAT efficiency in the examined countries. Finally, the EU accession of the Visegrad region had positive implications for the productivity and efficiency of their VAT systems. The results of this study suggest that the governments of the Visegrad Group countries should focus on increasing the GDP per capita growth rate and final consumption to stimulate VAT revenue. Additionally, the policymakers of these countries can increase VAT revenue by expanding the tax base in order to avoid the negative effect that increasing the standard VAT rate has on VAT efficiency.
More...