Business Commons^™

Do Investors Value Firm's Application Of Cryptocurrency And Blockchain Technology?, Shensi Wang

Open Access Theses & Dissertations

This paper examines how investors view a firm's involvement with cryptocurrency or blockchain technology, measured by 10-K disclosures containing the related keywords. I find that investors negatively react to the information related to cryptocurrency or blockchain in the three-day window, but the negative trend is reversed after day four. Surprisingly, the topic analysis indicates that the market reacts positively to all topics related to cryptocurrency and blockchain, except for the "competition environment," suggesting that factors outside adopting cryptocurrency or blockchain affect the negative correlations observed before.

Buy Now Pay (Pain?) Later, Ed Dehaan, Jungbae Kim, Ben Lourie, Chenqi Zhu

Research Collection School Of Accountancy

“Buy-now-pay-later” (BNPL) is a relatively unregulated FinTech innovation that provides consumers with easy access to credit for retail purchases. BNPL spending is projected to reach $1 trillion by 2025, but we know little about its effects. Using banking data for10.6 million U.S. consumers, we investigate the effects of BNPL on leading indicators of users’ financial health. We find that new BNPL users experience rapid increases in bank overdraft charges and credit card interest and fees compared with nonusers, consistent with BNPL facilitating overborrowing. An instrumental variable exploiting consumers’ pre-BNPL shopping habits bolsters our inferences. Our results inform regulatory investigations into …

Linking Risk Preference, Women’S Empowerment, Farm Investment And Household Well-Being, Samuel Olusesi Olumide

Department of Agricultural Economics: Dissertations, Theses, and Student Research

A nuanced understanding of intra-household dynamics can inform the design of more effective empowerment and agricultural investment policies. By integrating household risk preferences and empowerment dynamics, this work offers valuable insights into the complex mechanisms driving household welfare and provides a framework for future interventions to promote gender equality and economic development in rural settings. This thesis addresses three core hypotheses: first, that the spouses of risk-seeking male heads are more likely to be disempowered compared to those of risk-averse male heads; second, that households with risk-seeking male heads and disempowered spouses are likely to invest more in farming activities; …

Essays On Esg, Trang Pham

Open Access Theses & Dissertations

The dissertation consists of two essays. The first essay examines the effect of local corruption on a firmâ??s environmental, social, and governance (ESG) performance by taking into account the role of liberalism in each state. I propose that since liberals are generally more environmentally and socially concerned than conservatives, ESG performance of firms located in states with liberal views will be less negatively impacted by the local corruption than conservative-leaning states. The results provide some support for my projection. I find that for a particular level of corruption, firms located in states with liberal leaning views exhibit better ESG performance …

How Can Cbdcs Be Designed To Drive Financial Inclusion?, Heng Wang

Research Collection Yong Pung How School Of Law

As a new form of national currency, central bank digital currencies (CBDCs) hold the potential to be a transformative innovation that can enhance financial inclusion. However, the realization of this potential is very much contingent on their design. The realization of the benefit is also influenced by the barriers to financial inclusion that were identified in our first blog such as financial literacy, digital divide, and complexity.

Exponential Qubit Reduction In Optimization For Financial Transaction Settlement, Elias X. Huber, Benjamin Y. L. Tan, Paul Robert Griffin, Dimitris G. Angelakis

Research Collection School Of Computing and Information Systems

We extend the qubit-efficient encoding presented in (Tan et al. in Quantum 5:454, 2021) and apply it to instances of the financial transaction settlement problem constructed from data provided by a regulated financial exchange. Our methods are directly applicable to any QUBO problem with linear inequality constraints. Our extension of previously proposed methods consists of a simplification in varying the number of qubits used to encode correlations as well as a new class of variational circuits which incorporate symmetries thereby reducing sampling overhead, improving numerical stability and recovering the expression of the cost objective as a Hermitian observable. We also …

Geographic Links And Predictable Returns, Zuben Jin, Frank Weikai Li

Research Collection Lee Kong Chian School Of Business

Using establishment-level data of U.S. public firms, we construct a novel measure of geographic linkage between firms. We show that the returns of geography-linked firms have strong predictive power for focal firm returns and fundamentals. This effect is distinct from other cross-firm return predictability and is not easily attributable to risk-based explanations. It is more pronounced for focal firms that receive lower investor attention, are more costly to arbitrage, and during high sentiment periods. The cross-firm information spillovers and return predictability are also stronger for geographic peers with economic linkages and with positive information. Our results are broadly consistent with …

The Fourth International Workshop On Smart Data For Blockchain And Distributed Ledger (Sdbd '24), Feida Zhu, Jian Pei, Michael Zeller, Bingxue Zhang

Research Collection School Of Computing and Information Systems

With the advent of Bitcoin, a cryptographically-enabled peer-to-peer digital payment system, blockchain together with a whole package of distributed ledger technologies, which serve as the underlying foundation of all the crypto-currencies, have been gaining attention from both academia and industry in the last fifteen years. The recent years have witnessed tremendous momentum in the development of blockchain and distributed ledger technologies, largely due to the impressive rise in the market capital of these digital tokens. More and more industries, from banking and insurance, to supply chain and e-commerce, are quickly realizing the great potential in blockchain technology in efficiency boost, …

The Law Of General Average, Luca Anderlini, Joshua C. Teitelbaum

Georgetown Law Faculty Publications and Other Works

Part of a ship's cargo is jettisoned in order to save the vessel and the remaining cargo from imminent peril. How should the loss be shared among the cargo owners? The law of general average, an ancient principle of maritime law, prescribes that the owners share the loss proportionally according to the respective values of their cargo. We analyze whether the law of general average is a truthful and efficient mechanism. That is, we investigate whether it induces truthful reporting of cargo values and yields a Pareto efficient allocation in equilibrium. We show that the law of general average is …

Unravelling The Missing Link: Climate Risk, Esg Performance And Debt Capital Cost In China, Yu Yan, Xinman Cheng, Tricia Ong

Research outputs 2022 to 2026

The concept of sustainability has developed significantly from an unrealistic abstract ideology to a framework that can measure companies’ environment, society and corporate governance (ESG) performance. While extensive research has established some relational impacts of ESG performance on debt capital cost (DCC), this paper contends that a comprehensive review of these impacts is incomplete without screening them through the lens of climate risk (CR). Companies are subjected to CR that comprises physical and transition factors resulting from climate change. This paper aims to unravel the missing link between CR and ESG performance, and the consequent impacts on DCC. This paper …

Comparative Performance Analysis Of Green Bond Issuers To Their Conventional Counterparts, Mai Hosam Farag

Theses and Dissertations

This thesis conducts a comparative performance analysis of green bond issuers versus their conventional counterparts. In the context of the 2015 Paris Climate Agreement, which underscores the financial sector's role in promoting environmental sustainability, green bonds have emerged as crucial instruments for financing eco-friendly projects. This research investigates the financial performance of firms issuing green bonds using metrics such as sales growth, return on assets (ROA), and total debts through Ordinary Least Squares (OLS) regression analysis. The analysis covers 54 publicly traded bonds issued in North America between 2018 and 2022. Despite the growing popularity of green bonds, there are …

A Series Of Accounting Case Studies: Macy's Inc. And Other Notable Financial Events, Emelyn Darnell

Honors Theses

This thesis is a compilation of six case studies focusing on financial accounting and analysis of current events in the accounting world. These were completed under the direction and supervision of Dr. Victoria Dickinson through the Honors Accountancy 420 course. Four case studies included in this compilation are analyses of Macy’s Inc. through different accounting lenses. The case studies analyzing Macy’s Inc. were done in groups in the fall semester of 2022. Our group prepared an Operational Risk Assessment, analyzed Macy’s audit risk, and comprised possible solutions to decrease risk. We also discussed Macy’s current ESG and cybersecurity procedures and …

Ideas For Estate And Transition Planning: Gifting Ownership, Jessica J. Groskopf

Cornhusker Economics

For many farm and ranch families, bringing children or grandchildren into the operation is the ultimate goal. Successfully bringing additional family members into the operation may require some creativity as all parties need to maintain a viable standard of living. This article is part of a series that will highlight ideas and tactics for bringing another family member into the operation. If this is the first article you are seeing in this series, I would encourage you to go back to the for background and additional guidance.

A strategy that is gaining popularity is the gifting of shares or a …

Lessons Learned: Guillermo Ortiz Martínez, Mercedes Cardona

Journal of Financial Crises

Guillermo Ortiz Martínez served as undersecretary of finance and public credit in Mexico’s federal government from 1988 to 1994. He became secretary in December 1994 in the administration of Ernesto Zedillo and served until December 1997. As undersecretary, he was president of the bank privatization committee and the chief negotiator for Mexico during the North American Free Trade Agreement (NAFTA) negotiations in 1991 to 1993. He was governor of the Bank of Mexico from January 1998 to December 2009 and is currently partner and member of the board of BTG Pactual, a Brazilian investment bank. This Lesson Learned summary is …

Lessons Learned: Paul Boothe, Mary Anne Chute Lynch

Journal of Financial Crises

Paul Boothe served as Canada’s senior associate deputy minister of industry during the Global Financial Crisis (GFC) of 2007–2009. Boothe led the Canadian federal government’s negotiation team during the restructuring talks with Chrysler and General Motors (GM). He also negotiated with the Canadian Auto Workers (CAW), a union that included Tier 1 auto parts suppliers for all the major auto manufacturers worldwide. Canada aligned with the United States government to rescue the auto manufacturers and provided 20% of the funding to rescue the corporations and suppliers. From 2004 to 2005, Boothe served as the associate deputy minister of finance and …

Lessons Learned: Daniela Klingebiel, Yasemin Sim Esmen

Journal of Financial Crises

Daniela Klingebiel was principal portfolio manager with the World Bank’s Pension and Endowment Department, Hedge Funds, during the Global Financial Crisis. Throughout her career, she has written many papers on financial crises, comparing various governments’ attempts to manage them and dissecting what has worked and why. This Lessons Learned summary is based on an interview with Klingebiel held on February 4 and March 3, 2021.

Lessons Learned: Bo Lundgren, Maryann Haggerty

Journal of Financial Crises

Bo Lundgren was Sweden’s cabinet minister for fiscal and financial affairs from 1991 to 1994, making him a key leader in managing the nation’s severe financial crisis during those years. Lundgren had a decades-long political career as a member of the Swedish Parliament from 1975 to 2004, was leader of the Moderate Party (1999–2003), and vice president of the European People’s Party in the European Union. He also served from 2004 to 2013 as director general of the Swedish National Debt Office, the country’s central financial agency. Drawing on his experiences in the Swedish crisis, Lundgren has shared his views …

Lessons For The Discount Window From The March 2023 Bank Failures, Susan Mclaughlin

Journal of Financial Crises

The speed of the bank runs that occurred in the United States in March 2023 took most by surprise. The ensuing policy debate about reform has focused very little on the role of the Federal Reserve’s discount window and how it could be made more fit for purpose in mitigating risks to financial stability emanating from the banking system. Making the discount window a more effective financial stability tool will require actions both to reduce the stigma associated with borrowing and improve the operational agility and readiness of the Fed as lender and banks as borrowers. A number of frictions …

India: Yes Bank Restructuring, 2020, Salil Gupta

Journal of Financial Crises

Yes Bank was suffering from liquidity outflows in the second half of 2019 owing to a combination of deposit withdrawals, invocation of pledged shares, losses from extraordinary credit provisions, and overexposure to stressed sectors like power and infrastructure. In December 2019, Yes Bank reported a Common Equity Tier 1 capital ratio at 0.6%, far below the Reserve Bank of India (RBI) mandated levels, and a quarterly loss of 185 billion Indian rupees (INR; USD 2.5 billion). In early March 2020, the RBI and the Ministry of Finance announced a restructuring plan for India’s fourth-largest private bank, Yes Bank, to prevent …

Fhlb Dividends: Low-Hanging Fruit For Reconfiguring Fhlb Lending, Steven Kelly, Susan Mclaughlin, Andrew Metrick

Journal of Financial Crises

In the United States, the lender-of-last-resort tool is the Federal Reserve’s discount window. Despite countervailing policy efforts, substantial market stigma remains associated with borrowing from the discount window. It is in this context that market participants have come to view the Federal Home Loan Banks (FHLBs) as an alternative to the Fed’s discount window for backstop liquidity needs—despite the FHLBs’ relatively constrained abilities to play this role. Notably, however, the FHLBs don’t just benefit from discount window stigma; the FHLBs reinforce discount window stigma with their subsidized pricing. The FHLBs are government-sponsored enterprises—and as such can fund themselves at government …

Converting Npv And Irr Cash Flows Into A Financial Calculator Using An Excel Template, Tom Arnold, Summer Liu, Cassandra D. Marshall

Finance Faculty Publications

An Excel template is developed that converts a series of cash flows on a timeline into the associated keystrokes for the TI BAII-Plus financial calculator in order to calculate NPV and IRR. Unlike videos and other presentations, the student is able to see, all at once, the keystrokes required for the financial calculator within the template after the student enters the correct inputs for how the cash flows occur through time. Many times, this crucial link of translating the cash flows through time into the financial calculator is lost. Further exercises are provided to reinforce proficiency.

Monetary Policy Impact On Stock Returns For Selected South Asian Countries, Neluka Devpura, Paresh Kumar Narayan, Navin Perera

Bulletin of Monetary Economics and Banking

In this paper, we examine the monetary policy impact on the stock market returns and volatility for four major South Asian countries (Bangladesh, India, Pakistan, and Sri Lanka). We test our hypothesis that monetary policy influences both the first and second order of stock returns by using monthly data. The short-term interest rate and the Treasury bill rate are employed as proxies for monetary policy. Controlling for industrial production, inflation, exchange rates (vis-à-vis the US dollar), US interest rate, and money supply, our findings indicate that there exists a statistically significant impact of short-term interest rates on stock returns only …

Assessing And Mitigating The Impact Of Geopolitical Risk Uncertainty On The Indian Financial Sector: A Policy Perspective, Satish Kumar, Amar Rao

Bulletin of Monetary Economics and Banking

The study explores the impact of geopolitical risk uncertainty on the Indian financial sector, focusing on bonds, banking, currency, and the equity markets. It uses a quantile vector autoregression (QVAR) approach to examine shock transmission under different market conditions. Results show that geopolitical risks significantly influence the Indian financial sector, with varying levels of shock transmission across different market conditions. The currency and banking sectors show heightened sensitivity during periods of increased uncertainty. The findings suggest the need for effective monitoring systems and comprehensive risk management strategies to mitigate the adverse effects of geopolitical risks.

Essays On Multivariate Risk, Lin Zhou

Lingnan Theses (MPhil & PhD)

The essays focus on the analysis of multivariate risk, and they present insights in three papers. The first paper extends stochastic dominance to bivariate analysis by incorporating a reference function. Our approach offers flexibility in the selection of a reference function, improving upon previous studies by addressing their limitations more cohesively. The second paper explores a general choice-theoretic characterization of the duality that exists between a mean-utility-preserving increase in correlation and an increase correlation aversion. This sheds light on monotone comparative statics and characterizes cross-partial derivatives of the utility function. The last paper investigates optimal prevention in the presence of …

Consumers’ Financial Literacy In Poland - The Research And The Resulting Conclusions, Andrzej Bień, Łukasz Gębski

Journal of Banking and Financial Economics

Background & Purpose of the article: The research paper raises important issues in the field of consumer financial literacy in Poland. The authors note that efforts made in financial education are not fully effective and the number of wrong decisions made by consumers is high. The study led to two interesting observations: high self-assessment of knowledge is not confirmed in practice. The mistakes made do not result solely from the lack of knowledge of consumers. They are very often a result of their personality and a way of perceiving reality.

Methods: The authors compared Polish and foreign research results in …

Can Financialisation Counteract Banking Exclusion? A Study On The Example Of The European Union Member States, Tomasz Florczak, Marika Ziemba

Journal of Banking and Financial Economics

The purpose of the article is to assess the relationship between financialization and banking exclusion. The research hypothesis that financialization contributes to the reduction of financial exclusion was also verified. The research was based on an analysis of the variables describing financialization and banking exclusion of 27 European Union countries in the 2014–2021 period. The zero-unitarization method and Pearson’s correlation coefficient were used. The results of the study indicate that a high degree of financialization is found in Croatia, Greece, Cyprus and Portugal. In contrast, the level of banking exclusion is the highest in Finland, Sweden, the Netherlands and Latvia. …

Board Gender Diversity And Its Impact On Financial Performance And Risk-Taking: A Study Of Listed North American Companies, Ambrose Houphouet

Doctoral Dissertations (DBA)

In today's globalized world, gender diversity is increasingly recognized as vital for companies, yet women remain underrepresented in leadership positions. The lack of representation of women in leadership roles and their possible impact on business performance have led to a greater awareness of gender diversity on corporate boards in recent years. However, men dominate in some fields and the representation of women in decision-making levels is very low and it is unclear whether gender diversity brings any benefits to the company in terms of financial performance and risktaking. Therefore, the study examines the impact of gender diversity on financial performance …

Study On The Structural Influence Mechanism Of Robot Construction On Real Estate Project Costs: Moderating Effect Of Management Change, Xiujuan Wei

Dissertations and Theses Collection (Open Access)

Cost control in construction is crucial for the survival of real estate enterprises. Especially in the context of cyclical downturns in the real estate industry, it is essential to achieve cost reduction and efficiency improvement in real estate projects. Currently, the widespread application of robotics technology may hold the key to achieving this goal. Robotics technology is widely recognized for its ability to automate tasks and reduce labor costs. However, it also brings about transformative impacts on management, organization, production, and processes, which can paradoxically increase project costs. Unfortunately, there is a lack of research focusing on the impact of …

Mega-Influencers And Brand Dynamics: Shaping Attitudes Toward Leading And Challenger Brandsthrough Electronic Word Of Mouth, Riccardo Rialto, Lamberto Zollo, Kacy Kim, Sukki Yoon

Mathematics and Economics Faculty Journal Articles

The aim of this paper is to explore how mega‐influencers' electronic word of mouth (eWOM) messages on social media influence consumers' brand attitudes in duopolistic markets. Through three experimental studies, we observe that when mega‐ influencers send positive (vs. negative) eWOM messages about a leading brand, followers form positive (vs. negative) brand attitudes, but these effects fail to occur when influencers back challenger brands. The findings are consistent across three duopolistic market rivals (Apple vs. Samsung; UPS vs. FedEx; Nike vs. Adidas), three social media platforms (Facebook, Instagram, and X), and four mega‐influencers (Marques Brownlee, Gary Vaynerchuk, Kanye West, and …

Exploring Mean Reversion Dynamics In Financial Markets: Insights From Hurst Exponent Analysis, Shifa Hasan, Renu Ghosh

The Indonesian Capital Market Review

The current study investigates mean reversion and the speed of mean reversion within financial mar- kets at BSE 200 and NSE Nifty 200 for a data set of 20 years (2004–2024). It employs a variety of techniques, including traditional tests like the Augmented Dickey-Fuller (ADF) and Philips-Perron (PP) tests, as well as long-term dependency analysis using the Hurst exponent. The Ornstein-Uhlen- beck process facilitated the speed of mean reversion. Empirical data demonstrates that mean rever- sion processes exhibit Hurst exponent values less than 0.5, suggesting mean reverting behaviour. This signifies the importance of adopting long-term perspectives in decision-making and trading …