Business Commons^™

Essays On Moral Hazard, Bank Size, Influence, And Risk At The Federal Home Loan Banks, James Cash Acrey

Graduate Theses and Dissertations

Two chapters of research on the Federal Home Loan Bank advances, bank risk, and influence are presented. Federal Home Loan Bank (FHLB) advances are a growing source of debt financing for US banks. FHLB advances are not priced according to bank credit risk, creating potential for moral hazard. FHLB advances are positively related to contemporary bank risk, but the relation between prior advances and subsequent risk varies between large vs. small banks depending upon the risk measure used. The relation between FHLB advances and various measures of bank risk varies between pre-crisis (2005-07), crisis (2008-09), and post-crisis (2010-12) periods differently …

Understanding Perceptions And Attitudes To Risk In The Tourism Industry, Anthony Clayton, Lourdes Cisneros Mustelier, Maximiliano E. Korstanje

International Journal of Religious Tourism and Pilgrimage

An increasingly complex and rapidly-evolving array of risks presents one of the greatest challenges for decision-makers in all sectors, including the transport and tourism industry. The prospects of an international destination can be profoundly damaged in minutes as a result of a major outbreak of infectious disease, a natural disaster or a terrorist incident. It is therefore vital to understand the changing nature of risk and the ways that risks are perceived and understood, especially as people tend to respond to the perception of risks rather than actual risks, which means that their responses are not always rational and can …

Guest Editorial: Americans Post 9/11: From Pride To Terror, Maximiliano E. Korstanje

International Journal of Religious Tourism and Pilgrimage

No abstract provided.

The Financial Crisis: Origins, Causes And Conclusions, Eneida Permeti, Blerta Mjeda

UBT International Conference

The crisis in recent years took start in response to a crisis of the real estate market in the United States in 2007. The year 2009 has seen an economic crisis and between 2010 and 2011 it was known the spreading of the crisis sovereign debt and public finances of many countries. The financial markets failed in their main task: the allocation of risk. The products and services traded in the financial market are characterized by the immateriality and legal complexity. It means a high uncertainty degree and a high risk. Therefore is very important to protect the investors and …

Strategic Management In Agriculture (Recording), Steven Slezak

Steven Slezak

No abstract provided.

Women Directors On Public Company Boards: Does A Critical Mass Affect Leverage?, Cindy K. Harris

Business and Economics Faculty Publications

This study examines the relationship between corporate leverage (the ratio of total debt to total assets) and gender diversity on US public company boards, with particular focus on boards that have at least 25% women directors. Using this critical mass of women eliminates from consideration boards with lesser female representation, whose female directors may be marginalized in their contributions to board functioning and decision-making. I hypothesize that when boards have this minimum threshold of gender diversity, the influence of risk-averse female directors will impact board decisions related to financing, resulting in lower debt ratios when compared to boards with no …

Financial Analysis For Measuring And Comparing Risk In Grantmaking Portfolios, Sheena Ashley, Lewis Faulk

The Foundation Review

· Risk has not been treated in a systematic way that allows for a rich understanding of the extent to which foundations are, or should be, incorporating or evaluating risk in philanthropy.

· In this article, we conceptualize and develop a tool to evaluate the levels of philanthropic risk that foundations maintain through their grant portfolios.

· We create an index of aggregated risk at the portfolio level using several financial indicators based on previous theory and literature. Then, we test the index on a sample of foundations and their grantees in the state of Georgia and compare risk levels …

Interpreting, Stephanie Jo Kent

Doctoral Dissertations

What do community interpreting for the Deaf in western societies, conference interpreting for the European Parliament, and language brokering in international management have in common? Academic research and professional training have historically emphasized the linguistic and cognitive challenges of interpreting, neglecting or ignoring the social aspects that structure communication. All forms of interpreting are inherently social; they involve relationships among at least three people and two languages. The contexts explored here, American Sign Language/English interpreting and spoken language interpreting within the European Parliament, show that simultaneous interpreting involves attitudes, norms and values about intercultural communication that overemphasize information and discount …

Multinational Enterprise Parent-Foreign Subsidiary Governance, Bassam Elias Farah

Electronic Thesis and Dissertation Repository

This dissertation investigates how a multinational enterprise’s (MNE) corporate headquarters governs its foreign subsidiaries. It draws on agency theory, prospect theory, and corporate governance literatures to develop a framework that describes select MNE parent-foreign subsidiary governance mechanisms expected to predict foreign subsidiary performance, measured as foreign subsidiary survival and profitability.

To test this framework, I first conducted a pilot Canadian study. It was followed by the main multi-country study. The Canadian study used mixed methods. It analyzed quantitative data, compiled from different sources, and qualitative data, collected through personal interviews with subsidiary managers. The main multi-country study used survival analysis …

Project Finance: Transactional Evidence From Australia, Michael Regan

Michael Regan

The international project finance market is experiencing a period of significant change. The new Basel III capital adequacy rules will make it harder for banks to provide long-term project finance, and alternative sources of finance such as the shadow banking sector, fund managers, sovereign wealth funds, and institutional investors will take time to bridge the financing gap. In the meantime, it is difficult to source project finance for tenors beyond seven years, risk premiums are higher, and finance is difficult to source. Recent innovations in the form of the European Investment Bank’s Project Bond Initiative, and the ASEAN Infrastructure Fund …

Bank Risk And National Governance In Asia, Barry Williams

Barry Williams

Does national governance quality impact on bank risk?

Role Of Accounting In Managing Risk, Shyam Sunder

Shyam Sunder

No abstract provided.

Real Estate Investment By Bank Holding Companies And Their Risk And Return: Nonparametric And Garch Procedures, Scott Deacle, Elyas Elyasiani

Business and Economics Faculty Publications

We investigate the association between real estate investment by US Bank Holding Companies (BHCs) and their return, risk and risk-adjusted returns. Three portfolios are formed of BHCs according to whether they do or do not invest in real estate, strictness of the regulation on real estate investment and the ratio of real estate investment to assets. Wilcoxon tests of differences in portfolio returns, risk, risk-adjusted returns and value at risk between each pair of portfolios are conducted to determine how engagement in real estate, stricter regulation and increased real estate investment affect BHC performance. These effects are also investigated within …

Incentivizing Credit Rating Agencies Under The Issuer Pay Model Through A Mandatory Compensation Competition, Robert J. Rhee

Robert Rhee

Credit rating agencies are important institutions of the global capital markets. If they had performed properly, the financial crisis of 2008-2009 would not have occurred. This article offers the simplest fix proposed thus far, and it is contrarian. This Article accepts the central role of rating agencies in the regulation of bond investments, the realities of a duopoly, and the issuer-pay model of compensation. The status quo is the baseline. The role of regulation should be to create the conditions necessary to induce competition. This article proposes that a small, recurring portion of revenue earned by the largest rating agencies …

Risk Propensity And The Aviator Shortage, Timothy S. Seales

Honors Theses

This is an exploratory research study of the possible similarities in risk propensity between aviators and potential aviators and to determine the feasibility of using focused marketing strategies to increase the number of annually issued pilot certificates. This exploratory research was chosen for its significance in that there is a steady decline in the number of pilot certificates being issued annually (Blair, 2012), and there is also a dramatic increase in the number of airline pilots reaching the mandatory retirement age of 65 (Cary, 2012). The result of these two combined circumstances may cause an acute aviator shortage in the …

Incentivizing Credit Rating Agencies Under The Issuer Pay Model Through A Mandatory Compensation Competition, Robert J. Rhee

Faculty Scholarship

Credit rating agencies are important institutions of the global capital markets. If they had performed properly, the financial crisis of 2008-2009 would not have occurred. This article offers the simplest fix proposed thus far, and it is contrarian. This Article accepts the central role of rating agencies in the regulation of bond investments, the realities of a duopoly, and the issuer-pay model of compensation. The status quo is the baseline. The role of regulation should be to create the conditions necessary to induce competition. This article proposes that a small, recurring portion of revenue earned by the largest rating agencies …

Creative Problem Solving With The Ryg Awareness Indicator, Shawn Kassirer

Creativity and Change Leadership Graduate Student Master's Projects

The purpose of this project is to show how Creative Problem Solving can be introduced into everyday processes and challenges through the use of business and project management monitoring tools. The project will review CPS facilitation experiences which explain how to integrate the CPS process alongside monitoring, controlling, and risk assessment methods in order to optimize existing processes. As a part of this integration process the idea of why Creative Problem Solving facilitation could use tools and tactics which will provide awareness and motivation to keep the process on track until the goal is attained and success is met. The …

Pricing Of Innate And Discretionary Accruals In Australian Debt, Husam Aldamen, Keith Duncan

Keith Duncan

This paper addresses the conflicting evidence on the role of accruals in debt pricing. We show that the two subcomponents of accruals quality, innate and discretionary accruals, both impact the debt pricing. Higher innate accruals increases cost of debt, consistent with the prior evidence (Francis et al., 2005; Gray et al., 2009). However, we also find that higher discretionary accruals reduce the cost of debt. This contrasts with the prior evidence of a positive association between discretionary accruals and cost and debt (Francis et al., 2005), and no association (Gray et al., 2009). We show that noisy measurement of cost …

The Association Between Strategic Cost Management And Enterprise Risk Management: A Critical Literature Review, Mohamed Elsayed, Ananda Wickramasinghe, Marwa Razik

Ananda Wickramasinghe

Reviewing literature and application of strategic cost management (SCM) and enterprise risk management (ERM) are critical and significant for corporate management to facilitate top management to employ appropriate SCM and ERM processes and systems especially in occurrence of constant and regular business turn around, crises and turbulence in recent time in world of business. This paper revisits and reviews the association between strategic cost management and enterprise risk management. Based on this review, the following propositions were developed; firm, which adopted SCM, is more likely to adopt ERM approach, there is a positive relationship between audit type and the association …

The Influence Of Descriptive Norms On Investment Risk, William J. Montford, Ronald E. Goldsmith

Association of Marketing Theory and Practice Proceedings 2014

This study examines the effect of descriptive norm messages (i.e., highlighting what others are doing) on intentions to increase investment risk. Evidence shows that alarming numbers of people nearing retirement insufficiently save for this next life stage. In addition, research finds that differences exist in investment risk tolerance between men and women, with many women investing too conservatively. This finding is of particular concern as women typically experience longer lifespans, thus relying on accumulated savings for longer periods of time. The present study extends work in financial marketing by examining the influences of social norms and peer influence, constructs shown …

Social Risk And Female Entrepreneurs In Kerala, India: A Preliminary Assessment, Roshni Narendran

Roshni Narendran

The aim of this paper is to highlight the concept of social risk in the literature of female entrepreneurship. In most studies, entrepreneurial risk is considered to be related to monetary concerns, but sociological risks are overlooked. The risks associated with social challenges will be discussed in this paper. First, a conceptual model is developed with the help of the literature review. This conceptual model is further explained with the help of a qualitative analysis that was carried out in the state of Kerala. This South Indian state is renowned for the high social status enjoyed by women; therefore, it …

Social Risk In Female Entrepreneurship, Roshni Narendran

Faculty of Business - Papers (Archive)

The aim of this chapter is to introduce an alternate means of conceptualising risk, as well as, intercede the concept to the situation of Indian female entrepreneurs. In most contexts, risk tends to be associated with finance (Buttner & Rosen 1988; Jianonkoplos & Bernasek 1998; Verheul & Thurik 2001); however, other intricacies hindering the growth of female entrepreneurship need to be considered. This aspect is trivial when studies are conducted in a culturally rich country like India. When analysing the situation of women in India, researchers refer to the Manusmriti to highlight the social stigma against women in India. Manusmiriti …

Using Inoculation Messages To Protect “Stay In The Market” Beliefs During Financial Crises, Lindsay Lyles Dillingham

Theses and Dissertations--Communication

This paper focuses on the problem of collapsed “stay in the market” (SIM) beliefs during financial crises. The primary purpose of this investigation was to ascertain whether or not inoculation messages represent a viable communication strategy to preemptively protect SIM beliefs during forthcoming financial crises. Ancillary purposes of this study were to further investigate the role of print and video crises, explicit instructions regarding post-inoculation talk (PIT), and gain and loss frame inoculation messages on the inoculation process. This study used a between subjects factorial design (3 x 2 plus four additional conditions) to explore ten hypotheses. Data collected from …

Financial Institutions And The Taxi-Cab Industry: An Exploratory Study In Canada, John D. Obradovich, Amarjit Gill, Nahum Biger, Leo-Paul Dana, Canadian Western Bank

Faculty Publications and Presentations

A current challenge taxicab owner/operators face in Canada is the lack of financing for taxicabs. This article examines business opportunities and lending risk; it also provides risk management strategies for financial institutions to manage the risk of lending to the taxi-cab industry. Members of the boards of directors and shareholders from the Canadian taxicab industry, and lenders from financial institutions that do not provide financing to taxicab owner/operators, were interviewed. Board members and shareholders were asked about their perceptions regarding business opportunity, risk, and their willingness to provide collateral for taxicab loans. Lenders of financial institutions were asked about their …

Essays On Failure Management Of Nonprofit Organizations, Junesoo Lee

Legacy Theses & Dissertations (2009 - 2024)

No matter how well an organization is managed, we face some inevitable failures such as deficient volunteers, excess demands for service, unstable grants, etc. Paradoxically however, successful organizations have been using their failures creatively. Beyond such successful use of failure, can benefits of failure be systematically described? What would be the generic ways to benefit from failure? In order to answer that question, three essays were written with the following details.

Behaviorism In Finance And Securities Law, David A. Skeel Jr.

All Faculty Scholarship

In this Essay, I take stock (as something of an outsider) of the behavioral economics movement, focusing in particular on its interaction with traditional cost-benefit analysis and its implications for agency structure. The usual strategy for such a project—a strategy that has been used by others with behavioral economics—is to marshal the existing evidence and critically assess its significance. My approach in this Essay is somewhat different. Although I describe behavioral economics and summarize the strongest criticisms of its use, the heart of the Essay is inductive, and focuses on a particular context: financial and securities regulation, as recently revamped …