Open Access. Powered by Scholars. Published by Universities.®

Finance and Financial Management Commons™

Open Access. Powered by Scholars. Published by Universities.®

Business Administration, Management, and Operations

Southern University and A&M College

2022

Articles 1 - 12 of 12

Full-Text Articles in Finance and Financial Management

“Fiscal Trap”, The Case Of Greece, Titos Ritsatos Jul 2022

“Fiscal Trap”, The Case Of Greece, Titos Ritsatos

Southern University College of Business E-Journal

Present research aims at the introduction of the term “Fiscal Trap” in economic literature, as a comprehensive definition of the economic situation in which any available combination of fiscal-only policy measures (tax increases and austerity measures), would fail to fulfill fiscal targets during periods of recession. Using recent experience from the case of Greece, an ex-post evaluation of adopted policy effectiveness is pursued. Fiscal austerity and increased taxation enforced in Greece during the years 2009-2012, resulted in decreased tax revenues, lower GDP and increased debt-to-GDP ratio. In order to slip away from the vicious cycle generated by austerity and tax …

Go to article

The Terrorist Laffer Curve:Rationality And Insurgency In Iraq, 2004-2008, Dennis S. Edwards Jul 2022

The Terrorist Laffer Curve:Rationality And Insurgency In Iraq, 2004-2008, Dennis S. Edwards

Southern University College of Business E-Journal

While the original framework by Arthur Laffer focused on tax rates and the resulting revenue from such taxation, the Laffer curve has been applied to other studies in behavior as well. This paper details evidence of a Laffer curve in Iraq with respect to terrorist violence and Iraqi public support of that violence against the U.S.-led coalition forces. As insurgents began killing more Iraqi citizens in their attacks on U.S.-led forces, the increased lethality caused initial support of such violence to erode. As a result, the high-level terrorist hierarchy has suggested that its operatives reduce lethality and indiscriminate bombings.

Go to article

Impairment Recognition And Revaluation– China Publicly Listed Companies, Ying Wang Jun 2022

Impairment Recognition And Revaluation– China Publicly Listed Companies, Ying Wang

Southern University College of Business E-Journal

The advent of SFAS 142 and IAS 36 regarding handling of asset impairment has spawned research into how these standards influence whether an impairment loss is recorded. Deferred tax items in China have three major components: temporary tax and financial reporting differences in depreciation; impairment losses; and previous losses, which can be carried forward for five years for tax purposes. While the temporary differences in depreciation typically defer taxes and create deferred tax liabilities, impairment losses and previous losses create deferred tax assets because they are not deductible in the current period for tax purposes. A deferred tax asset is …

Go to article

Cohesive Top Management: The Role Of Diversity And Human, Drake Mullens Jun 2022

Cohesive Top Management: The Role Of Diversity And Human, Drake Mullens

Southern University College of Business E-Journal

Objective: In the context of family firms, this research endeavors to establish human capital as an antecedent of top management team transactive memory systems and examine the deleterious effects of non-family managers on that team. Additionally, the interaction of non-family managers and human capital on the top management team transactive memory system is considered. Methodology: Primary data were collected from 151 executives at Automobile and Motorcycle dealers. Linear regression analysis was utilized to test the hypothesized relationships. Findings: Human capital is an important antecedent to the development of transactive memory systems in family firms. Non-family managers’ participation in the top …

Go to article

Analysis Of The Comovement Of Unemployment In Midwestern States, Tammy Rapp Parker Jun 2022

Analysis Of The Comovement Of Unemployment In Midwestern States, Tammy Rapp Parker

Southern University College of Business E-Journal

The current paper investigates the interrelatedness of twelve Midwestern states through the comovement of unemployment rates. Due to their geographic location, we would anticipate similarities and comovement among macroeconomic variables. The results show that although most of the bivariate pairings do show a relationship. Five of the sixty-five pairings show no indication of cointegration among their unemployment rates. Each of these five pairings includes North Dakota. The paper investigates geographic and socioeconomic similarities between these states to try to explain these results.

Go to article

Baumol And Bowen Cost Effects In Research Universities, Robert E. Martin Jun 2022

Baumol And Bowen Cost Effects In Research Universities, Robert E. Martin

Southern University College of Business E-Journal

We estimate cost models for both public and private research universities and use partial differentials from these models to estimate different cost effects. The results suggest both Baumol’s cost disease and Bowen’s revenue theory drive cost higher and that Bowen effects are larger than Baumol effects. Tight revenue since 2008 reversed some declines in productivity and accelerated the trend in economizing on the use of tenure track faculty. This behavior under loose and tight revenue constraints is consistent with Bowen’s revenue theory.

Go to article

Credit Market Innovations And Gross Domestic Income, Ellis Heath Jun 2022

Credit Market Innovations And Gross Domestic Income, Ellis Heath

Southern University College of Business E-Journal

In this paper I compare the effects of different credit variables on real output in the US. However, instead of using real Gross Domestic Product as a proxy for real output, I use real Gross Domestic Income. I use a VAR framework with generalized impulse response functions and generalized variance decompositions. I look at a credit aggregate and different credit spreads. I find that shocks to some credit variables can have significant effects on real output; the reaction, however, is a temporary one. Specifically, measures of the risk premium and the term premium have the most importance in explaining innovations …

Go to article

Tesla Vs. Its Stock Price: “Herd Theory” At Work?, Yun Cheng, Carroll Griffin Jun 2022

Tesla Vs. Its Stock Price: “Herd Theory” At Work?, Yun Cheng, Carroll Griffin

Southern University College of Business E-Journal

Since its inception in 2003, Tesla, Inc. has striven to be more than simply an electric automobile manufacturer. Since its first release in 2008 (the luxury Roadster), the company has introduced several additional high-end models as well as a much anticipated mid-priced model. Its vehicles consistently receive enthusiastic reviews from consumer analysts and industry publications alike. Perhaps as a reflection of its continued innovation and product-line expansion, as well as investor optimism regarding the company’s future prospects, its stock price has risen to extraordinary levels. However, despite all of this apparent success and highly-valued stock, Tesla has generated relatively little …

Go to article

The Role Of Institution Based Trust In Iot Environment: A Theoretical Model, Anupam K. Nath Jun 2022

The Role Of Institution Based Trust In Iot Environment: A Theoretical Model, Anupam K. Nath

Southern University College of Business E-Journal

Internet of Things (IoT) is rapidly gaining popularity at the industrial as well as personal level. This rapid adoption of IoT has created privacy, security, and other relevant concerns. In this paper, we develop a theoretical model based on the Trust-based model that can help us understand a user's adoption of an IoT device.

Go to article

Tax Management, Ownership Structure And Corporate Governance, Ying Wang, Scott Butterfield Jun 2022

Tax Management, Ownership Structure And Corporate Governance, Ying Wang, Scott Butterfield

Southern University College of Business E-Journal

We use 2010-2018 publicly listed Chinese company data to analyze how ownership structure and corporate governance affects tax management. Our results indicate that diverse ownership structure might lower a company’s tax rates, whereas traditional corporate governance measures, such as board size, independent board member percentage and duality of CEO serving as chair do not affect tax.

Go to article

2017 Tax Cuts And Corporate Investment And Financing Decisions: An Empirical Investigation, Rakesh Duggal Jun 2022

2017 Tax Cuts And Corporate Investment And Financing Decisions: An Empirical Investigation, Rakesh Duggal

Southern University College of Business E-Journal

The Tax Cuts and Jobs Act of 1917 (TCJA) amended the Internal Revenue Code of 1986 and significantly lowered the corporate tax rate, in addition to providing other tax incentives to spur corporate investments. The TCJA has the potential to impact corporate cash flows and corporate investment and financing decisions. In response to the TCJA, firms could enhance their capital expenditure budgets, return excess capital to shareholders, and/or hold excess capital for better opportunities in the future. Using S&P 500 firms as a sample, this study finds no statistical difference in the actual corporate taxes paid in the post-and pre-TCJA …

Go to article

Improving The Format Of Financial Tables, Joseph Donelan Jun 2022

Improving The Format Of Financial Tables, Joseph Donelan

Southern University College of Business E-Journal

This paper empirically examines the effects of information format on human judgment accuracy. The theoretical framework is based on the lens model of human judgment (Brunswick, 1952). An experimental design is used to test for differences in human judgment accuracy in a bond rating task. The results indicate that the use of certain table simplification techniques does not improve decision accuracy.

Go to article