Who Bleeds When The Wolves Bite? A Flesh-And-Blood Perspective On Hedge Fund Activism And Our Strange Corporate Governance System, 2017 University of Pennsylvania
Who Bleeds When The Wolves Bite? A Flesh-And-Blood Perspective On Hedge Fund Activism And Our Strange Corporate Governance System, Leo E. Strine Jr.
All Faculty Scholarship
This paper examines the effects of hedge fund activism and so-called wolf pack activity on the ordinary human beings—the human investors—who fund our capital markets but who, as indirect of owners of corporate equity, have only limited direct power to ensure that the capital they contribute is deployed to serve their welfare and in turn the broader social good.
Most human investors in fact depend much more on their labor than on their equity for their wealth and therefore care deeply about whether our corporate governance system creates incentives for corporations to create and sustain jobs for them. And because …
Firm Boundaries And Financing With Opportunistic Stakeholder Behaviour, 2017 Singapore Management University
Firm Boundaries And Financing With Opportunistic Stakeholder Behaviour, Madhav S. Aney, Elie Appelbaum, Sanjay Banerji
Research Collection School Of Economics
We explore the impact of strategic behaviour between three major stakeholders, namelyequity holders, debt holders, and a supplier of a critical input, on the choice of a firm’s capitalstructure and its organisational design, determining in-house production versus outsourcing theprocurement of the critical input. We show that an opportunistic coalition of the supplierand debt holders can trigger strategic bankruptcy even when the firm is solvent. Equity holdersrespond to this by either eliminating the supplier by producing the input in-house, or by reducingthe exposure to debt by funding the firm’s capital requirement through equity. Both responsescreate inefficiency since production of the input …
Carbon Pricing In Climate Policy: Seven Reasons, Complementary Instruments, And Political Economy Considerations, 2017 Georgia State University, CESifo, London School of Economics and Political Science, University of St. Gallen
Carbon Pricing In Climate Policy: Seven Reasons, Complementary Instruments, And Political Economy Considerations, Andrea Barranzini, Jeroen C.J.M. Van Den Bergh, Stefano Carattini, Richard B. Howarth, Emilio Padilla, Jordi Roca
CSLF Articles
Carbon pricing is a recurrent theme in debates on climate policy. Discarded at the 2009 COP in Copenhagen, it remained part of deliberations for a climate agreement in subsequent years. As there is still much misunderstanding about the many reasons to implement a global carbon price, ideological resistance against it prospers. Here, we present the main arguments for carbon pricing, to stimulate a fair and well-informed discussion about it. These include considerations that have received little attention so far. We stress that a main reason to use carbon pricing is environmental effectiveness at a relatively low cost, which in turn …
Green Taxes In A Post-Paris World: Are Millions Of Nays Inevitable?, 2017 Georgia State University, CESifo, London School of Economics and Political Science, University of St. Gallen
Green Taxes In A Post-Paris World: Are Millions Of Nays Inevitable?, Stefano Carattini, Andrea Barranzini, Philippe Thalmann, Frederic Varone, Frank Vohringer
CSLF Articles
Turning the Paris Agreement’s greenhouse gas emissions pledges into domestic policies is the next challenge for governments. We address the question of the acceptability of cost-effective climate policy in a real-voting setting. First, we analyze voting behavior in a large ballot on energy taxes, rejected in Switzerland in 2015 by more than 2 million people. Energy taxes were aimed at completely replacing the current value-added tax. We examine the determinants of voting and find that distributional and competitiveness concerns reduced the acceptability of energy taxes, along with the perception of ineffectiveness. Most people would have preferred tax revenues to be …
Master's Tools And The Master's House: A Historical Analysis Exploring The Myth Of Educating For Democracy In The United States, 2017 University of Massachusetts Amherst
Master's Tools And The Master's House: A Historical Analysis Exploring The Myth Of Educating For Democracy In The United States, Timothy Scott
Doctoral Dissertations
Over the past forty-years, neoliberal education reform policies in the U.S. have spurred significant resistance, often galvanized by claims that such policies undermine public education as a vital institution of U.S. democracy. Within this narrative, many activists call to “save our schools” and return them to a time when public schools served the common good. With these narratives in mind, I explore the foundational and persistent power structures that characterize the U.S. as a means to reveal the fundamental purpose of its public education system. The questions that guide my research include: (1) With an understanding that capitalism, white supremacy, …
The Assessment Of The Impacts Of Differently-Designed Tax And Expenditure Limitations (Tels) On Municipal Government Revenues: A Game Theoretic Approach, 2017 University of Nebraska at Omaha
The Assessment Of The Impacts Of Differently-Designed Tax And Expenditure Limitations (Tels) On Municipal Government Revenues: A Game Theoretic Approach, Sungho Park
UNO Student Research and Creative Activity Fair
Nearly every state in the US imposes some form of limitation on local fiscal decisions – typically property taxes. The effects of tax and expenditure limitations (TELs) on fiscal outcomes have received significant attention by scholars, particularly since passage of California’s Proposition 13. The impact of TELs, however, remains an open empirical question, particularly at the municipal level. Do municipal governments with varying types of TELs, changing TEL structures, or no TELs experience different fiscal outcomes? Scholars and practitioners have attempted to answer these questions; however, the existing literature has at least two limitations. First, the extant literature fails to …
Determination Of Optimal Foreign Exchange Reserves For Nigeria, 2017 Central Bank of Nigeria
Determination Of Optimal Foreign Exchange Reserves For Nigeria, M. Tule, E. Egbuna,, S. Abdusalam, A. Oduyemi
Economic and Financial Review
The study examined the optimal level of international reserves for Nigeria that is capable of absorbing a shock similar to that experienced during the 2007/2009 Global economic crisis. Using, generalised autoregressive conditional heteroscedasticity (GARCH), vector autoregressive (VAR) estimation techniques and normalised Johansen cointegrated equation, and setting the maximum and minimum output losses for the entire period, the study found a positive relationship between the odds of default on sovereign debt and fiscal deficit to GDP ratio, short-term debt to reserves ratio and volatility in portfolio investments. In minimising the Bank's cost of holding reserves, the study found that the Nigerian …
Interest Rate Dynamics And Real Output Behaviour In Nigeria: A Simulation Analysis, 2017 Central Bank of Nigeria
Interest Rate Dynamics And Real Output Behaviour In Nigeria: A Simulation Analysis, S. Rapu, G. Sanni, D. Penzin, N. Nkang, P. Golit, H. Okafor, E. Ibi
Economic and Financial Review
The declining output growth observed from the second quarter of 2014, which led to calls for a more expansionary monetary policy despite rising inflationary pressure, necessitated a reassessment of the impact of interest rate on real output growth in Nigeria. Using a Bayesian Vector Autoregressive (BVAR) model and quarterly data from 2000:Q4 to 2015:Q3, the effect of monetary policy transmission (interest rate dynamics) on real output performance was estimated. Although results of the simulation analysis were somewhat mixed, those of the impulse response functions indicated that positive shocks to monetary policy rate (MPR) produced a negative and small impact on …
Transitioning College Media From Print Focused Business Models To Digitally Focused Business Models, 2017 California Polytechnic State University, San Luis Obispo
Transitioning College Media From Print Focused Business Models To Digitally Focused Business Models, Celina Oseguera
Journalism
The noticeable downturn in print advertising indicates a need for change in the news industry business model. College media is not immune to this decline and need for change. A change in business model calls for transitioning to an alternative system that does not primarily rely on print products and advertising — a digitally focused business model. Many college media organizations around the United States have started to pursue this type of model, changing the way they produce and present news in the process. Taking into account the state of print focused business models in the general and collegiate news …
Cost Of Governance And Fiscal Deficit In Nigeria: Evidence From State Government Data, 2017 Central Bank of Nigeria
Cost Of Governance And Fiscal Deficit In Nigeria: Evidence From State Government Data, P. Ekeocha, A. Ikenna-Ononugbo
Economic and Financial Review
Fiscal deficit has remained a predominant occurrence at both the Federal and state government levels, and this has become a source of concern for economic managers. At the individual state level, a quarter of the state governments consistently ran deficit for more than six consecutive years, from the period 2007 to 2014. More importantly, the combined overall fiscal balance of the state governments has resulted frequently in deficit in the past two decades. Fiscal deficit is not bad in itself, but most of the state governments are running fiscal deficit to sustain recurrent expenses, rather than infrastructure development. Available studies …
The Effects Of Commodity Disturbances On Open Economics, 2017 Florida International University
The Effects Of Commodity Disturbances On Open Economics, Richard Whitaker
FIU Electronic Theses and Dissertations
This dissertation investigates the effects of commodity disturbances on underlying economies. The analysis conducted in this dissertation comprises of two main themes. The first is investigating which commodity disturbances affect a country's GDP. I examine twenty three OECD countries and nineteen primary commodities in the energy, metal, food and timber sectors using a New Keynesian model that was estimated using the DSGE method. It was found the oil disturbances and to a lesser extend natural gas were the only commodity disturbances that affect a country's GDP. Also, it was found that a country's openness plays an important role in shaping …
The Role Of Islamic Finance In Economic Development, 2017 Lingnan University
The Role Of Islamic Finance In Economic Development, Nora Khan
Lingnan Journal of Banking, Finance and Economics
Islamic financial institutions have been growing rapidly in the past few years. Islamic finance refers to investments that are permissible in accordance with Sharia, the Islamic law. Sharia law views money as a measuring tool for value and not an “asset” itself. “It does not permit receipt and payment of riba(interest), gharar(excessive uncertainty), maysir(gambling), short sales or financing activities that it considers harmful to society” (IMF website). Interest, a form of income from money, is therefore prohibited. For example, the income obtained from banks must come from the gain or loss of the enterprises they underwrite and not from interest …
Fdi And Manufacturing Industry In Asia, 2017 Lingnan University
Fdi And Manufacturing Industry In Asia, Luyi Jin
Lingnan Journal of Banking, Finance and Economics
The study finds that China’s manufacturing still maintained a growth level from 2003 to 2013. However, the growth has been declining. The rapid development of ASEAN economies led to the rise of the emerging manufacturing countries which have slowly adjusted and found their own advantages in challenging China.
The main conclusions of this paper are twofold. First, China will soon lose her low labor cost competitive advantage and needs to look for new strategy or industrial upgrades. Second, the current pattern of international division of labor will last for a fairly long period that developing countries will continue to serve …
Portfolio Recallocation And Exchange Rate Dynamics, 2017 Lingnan University
Portfolio Recallocation And Exchange Rate Dynamics, King Chun Wong
Lingnan Journal of Banking, Finance and Economics
This empirical paper aims to review a previous literature entitles “Portfolio Reallocation and Exchange Rate Dynamics”. The literature stated that including financial market structure can provide a micro-foundation to complement other macro-based models for exchange rate dynamics which typically are meaningful for the medium and long terms but not satisfactory for the short run. The model in the literature offers another way to look at exchange rate dynamics that is significant in the short run and more practical in nature. Undoubtedly, many investors in the financial market, such as traders, dealers, fund managers, and speculators who adjust their portfolio components …
How Do Cdos And Cdss Influence The Crisis Of 2008, 2017 Lingnan University
How Do Cdos And Cdss Influence The Crisis Of 2008, Martin Buffet
Lingnan Journal of Banking, Finance and Economics
Everybody has heard about the “subprime” crisis but do we really know how it occurred and why this phenomenon had such an impact on our economies. One aspect of the answer to this question lies in the trade of credit default swaps (CDSs). These financial products led to less transparency in the markets and to a very collectively vulnerable financial system. This created a vicious circle that had not been anticipated by our financial regulators. In this paper, we will discuss how it occurred and what could have been done to avoid, or at lease reduce, the impact of these …
The Study Of Enhanced Performance Measurement Of Mutual Funds In Asia Pacific Market, 2017 Lingnan University
The Study Of Enhanced Performance Measurement Of Mutual Funds In Asia Pacific Market, Juzhen Li
Lingnan Journal of Banking, Finance and Economics
This empirical paper will compare the result by running Costa and Jakob's models (2010) using mutual funds in Asia Pacific market excluding Japan. Costa and Jakob's paper, Enhanced Performance Measurement of Mutual Funds: Running the Benchmark Index through the Hurdles, is highly related to this empirical paper and is generally based on Carhart's four-factor model (Carhart, 1997) with US securities market data. Apart from the comparison between Asia Pacific market excluding Japan and US market, further research on auxiliary and heteroscedasticity will also be conducted.
Value Added As The Tax Base For Enterprise Income, 2017 Groupe INSEEC, London, UK
Value Added As The Tax Base For Enterprise Income, Nicos Zafiris
The Journal of Entrepreneurial Finance
The paper addresses the long standing asymmetry in the tax treatment of debt and equity costs through a direct comparison of two hypothetical regimes based exclusively on income taxation, broadly defined, and value added taxation. The model presented widens existing debate to encompass the choice between entrepreneurial and contractual use of inputs generally and including labour, as well as capital. Using representative functional forms and numerical illustrations the analysis explores the effect of the tax regimes on firm decisions concerning input selection, output level and vertical integration. The greater neutrality of value added taxation is shown to produce gains in …
Dream Hoarders: The Dangerous Separation Of The American Upper Middle Class, 2017 Brookings Institution
Dream Hoarders: The Dangerous Separation Of The American Upper Middle Class, Richard Reeves
Brookings Scholar Lecture Series
This lecture blends economics, philosophy and policy analysis to examine the growing gap between the upper middle class (broadly the top 20 percent) and the majority of Americans. In terms of dollars, but also education and skills, social capital, health, lifestyle and leisure attitude and zip code - not just by standard of living, but a way of life. The inheritance of upper middle class status in the next generation results from a growing gap in human capital formation, or ‘market merit’, and from a degree of ‘opportunity hoarding’. What changes are required to ensure that the American Dream is …
The Influence Of Height On Academic Outcomes, 2017 Utah State University
The Influence Of Height On Academic Outcomes, Devon Haskell Gorry
Economics and Finance Faculty Publications
This paper examines whether the height premium for academic outcomes is driven by unequal opportunities for tall individuals. Using data from the National Longitudinal Survey of Adolescent Health, this paper shows that taller individuals typically earn higher grades and attain more schooling, but the associations are not uniform across school size. Height is only associated with better outcomes for students attending large schools and these improvements are concentrated among males. Data suggest that height contributes more to sports participation and school satisfaction in large schools where resources are more scarce. Thus, differential opportunities or treatment across height in large schools …
Essays On The Law Of One Price In Financial Markets And The Recent Financial Crisis, 2017 The Graduate Center, City University of New York
Essays On The Law Of One Price In Financial Markets And The Recent Financial Crisis, Igor Sorkin
Dissertations, Theses, and Capstone Projects
Essay 1: The theory of the Law of One Price (LOOP) is one of the most important theories in International Economics. I use financial markets to revisit the validity of the LOOP in the short run, and then extend the analysis into the long-run to examine whether events such as the Financial Crisis of 2007-2009 can lead to the failure of the LOOP or worsen deviations from it. Using the data on Canadian companies cross-listed on the New York Stock Exchange, I find strong support that the LOOP holds in a cross-sectional framework despite the fact that the sample includes …