A Welfare Comparison Of Historical Cost And Fair Value Accounting Regimes,
2022
Utah State University
A Welfare Comparison Of Historical Cost And Fair Value Accounting Regimes, Palmer Edholm
All Graduate Plan B and other Reports, Spring 1920 to Spring 2023
With ongoing controversy concerning fair value and historical cost accounting, existing accounting theory is focused on intra-firm decision making and is thus deficient in addressing the issue of maximizing social welfare. I propose models of historical cost and fair value accounting regimes which are embedded in models of monopoly and oligopoly. This allows for social welfare implications. I find that historical cost results in greater expected profits for both monopolists and oligopolists. However, if the market is elastic enough, a fair value regimes is welfare enhancing. Whereas, if the market is inelastic enough, historical cost is welfare enhancing.
An Analysis Of Uk Swap Yields,
2022
Citibank
An Analysis Of Uk Swap Yields, Tanweer Akram, Khawaja Mamun
WCBT Working Papers
John Maynard Keynes argued that the central bank influences the long-term interest rate through the effect of its policy rate on the short-term interest rate. However, Keynes’s claim was confined to the behavior of the long-term government bond yield. This paper investigates whether Keynes’s claim holds for the yields of spread products and over-the-counter financial derivatives by econometrically modeling the dynamics of the pound sterling–denominated longterm interest rate swap yield. It uses the generalized autoregressive conditional heteroskedasticity (GARCH) modeling approach to examine the relationship between the month-over-month changes in the short-term swap yield and the month-over-month change in the long-term …
Size And Determinants Of The Shadow Economy In Nigeria: Evidence From A Monetary Approach,
2022
Central Bank of Nigeria
Size And Determinants Of The Shadow Economy In Nigeria: Evidence From A Monetary Approach, Tari M. Karimo, Mohammed M. Tumala, Ibrahim U, Wambai
CBN Journal of Applied Statistics (JAS)
Thiis study investigates the size and determinants of the shadow economy in Nigeria. It adopts an aggregation approach within the monetary framework and utilises the ARDL estimation technique to analyse quarterly data from 2010 Q1 to 2019 Q4. On average, the results suggest that the quarterly size of the shadow economy is about 55 per cent of the country’s GDP. The findings show that government size reduces the size of the shadow economy in the short run but increases it in the long run. The study also finds that interest rate, which is the opportunity cost of holding cash, and …
Fiscal And Monetary Policy Interactions In A Developing Economy: A Dsge-Based Evidence From Nigeria,
2022
Department of Economics and Development Studies, Covenant University, Nigeria.
Fiscal And Monetary Policy Interactions In A Developing Economy: A Dsge-Based Evidence From Nigeria, Queen E. Oye, Philip O. Alege
CBN Journal of Applied Statistics (JAS)
This study characterizes the nature of fiscal-monetary interaction in Nigeria and gauges its macroeconomic effects by estimating a New Keynesian Dynamic Stochastic General Equilibrium (NK DSGE) model. Two policy simulations were also conducted. The first experiment considers the desirable active-passive policy mix while the second experiment ranks alternative monetary policy rules among the differing objectives of price, output and exchange rate stabilization. The study finds that fiscal and monetary policies interact as complements in an active monetary and passive fiscal policy mix over the sample period. The result from the first policy simulation reveals that the active monetary and passive …
Market Risk Factors And Stock Returns In The Nigerian Bourse,
2022
Banking and Finance Department, Faculty of Management Sciences, University of Benin, Benin City, Nigeria
Market Risk Factors And Stock Returns In The Nigerian Bourse, Omorose A. Ogiemudia, Osagie Osifo, Igbinovia L. Eghosa
CBN Journal of Applied Statistics (JAS)
This study examines the link between market risk and equity return in Nigeria between 1980 to 2019. It employs the vector error correction model (VECM) to determine the short run dynamics and long run effect of market risk factors on stock return. The findings revealed that a dynamic relationship exists between market risk factors and stock returns in Nigeria. Also, exchange rate risk and oil price risks have significant influence on stock return, while inflation and interest rate risk, and political instability risks have a non-significant impact on stock return. Finally, a unidirectional relationship was detected between interest rate, oil …
Savings-Investment Gap In Sub-Saharan Africa: Does The Interaction Of Financial Sector Development And Migrant Remittances Matter?,
2022
Department of Economics, Faculty of Economics and Management Sciences, University of Ibadan, Nigeria.
Savings-Investment Gap In Sub-Saharan Africa: Does The Interaction Of Financial Sector Development And Migrant Remittances Matter?, Wasiu Adekunle, Oluwatosin Adeniyi, Joshua Afolabi, Musibau Babatunde, Edward Omiwale
CBN Journal of Applied Statistics (JAS)
This study analyses the interactive effects of migrant remittances and financial development on savings-investment gap for a panel of 18 Sub-Saharan Africa (SSA) countries from 1990-2017. Results from a panel ARDL model show that migrant remittances reduce savings-investment gap in the long run. The gap is further reduced when the individual effect of financial development, and the interactive effects of migrant remittances and financial development are taken into consideration. Further analysis reveals evidence of widening effects of rising real GDP growth and bank deposits over a long-term horizon, while higher private sector credit widened the savings-investment gap only in the …
Impact Of Exchange Rate On Trade Flow In Nigeria,
2022
Benue State University, Makurdi
Impact Of Exchange Rate On Trade Flow In Nigeria, Victor U. Ijirshar, Isa J. Okpe, Jerome T. Andohol
CBN Journal of Applied Statistics (JAS)
This study examines the impact of exchange rate on trade flow in Nigeria from 1986 to 2021. The study utilises linear and nonlinear autoregressive distributed lag (ARDL and NARDL) models to test the J-Curve hypothesis and the Marshall-Lerner condition in Nigeria. The study found symmetric effects of exchange rate on trade balance, exports, and imports. The findings also show that real exchange rate depreciation has a strong negative influence on trade balance and exports in the short run but positive in the long run, exhibiting the shape typology of the J-curve. Furthermore, the study reveals evidence of the Marshall-Lerner condition …
Effects Of Central Bank Independence And Financial Stability On Inflation In Selected African Countries,
2022
Department of Business Management, Federal University Dutsin-Ma, P.M.B 5001, Dutsin-Ma, Katsina State.
Effects Of Central Bank Independence And Financial Stability On Inflation In Selected African Countries, Adamu Yahaya, Mohammed T. Saidu, Abdulaziz Sadi
CBN Journal of Applied Statistics (JAS)
This study examines the relationship between central bank independence (CBI), financial stability, and inflation in 14 African countries within the period 1985-2019. Initial test revealed the presence of cross-sectional dependence (CD) among the countries. Thus, the Mean Group (MG), Common Correlated Effect Mean Group (CCEMG) and Augmented Mean Group (AMG) were employed for the analysis. The CCEMG and AMG results showed a significant and negative correlation between central bank independence and inflation. On the other hand, financial stability is only significant in the MG Model. Additional results obtained using the Garriga CBI index is consistent with our main results. The …
Better-Than-Chance Prediction Of Cooperative Behaviour From First And Second Impressions,
2022
Chapman University
Better-Than-Chance Prediction Of Cooperative Behaviour From First And Second Impressions, Eric Schniter, Timothy W. Shields
ESI Working Papers
Could cooperation among strangers be facilitated by adaptations that use sparse information to accurately predict cooperative behaviour? We hypothesize that predictions are influenced by beliefs, descriptions, appearance, and behavioural history available for first and second impressions. We also hypothesize that predictions improve when more information is available. We conducted a two-part study. First, we recorded thin-slice videos of university students just before their choices in a repeated Prisoner’s Dilemma with matched partners. Second, a worldwide sample of raters evaluated each player using either videos, photos, only gender labels, or neither images nor labels. Raters guessed players’ first-round Prisoner’s Dilemma choices …
Contingent Payments In Procurement Interactions - Experimental Evidence,
2022
Newcastle University
Contingent Payments In Procurement Interactions - Experimental Evidence, Matthew J. Walker, Jason Shachat, Lijia Wei
ESI Working Papers
A primary objective of creating competition among suppliers is the procurement of higher quality goods and services at lower prices. When procuring non-standard goods, it is often difficult to write a complete specification of desired quality in the contract. Thus, payments to suppliers cannot be perfectly conditioned on the quality provided. We propose a correlated contingent payment contract to mitigate the supplier moral hazard problem while retaining competitive supplier selection based on price. We treat the probability of implementing contingent payments as probabilistic. The selected supplier’s payment is, according to a fixed probability, either the amount of their bid or …
The Penn Effect And Marx's International Law Of Value: A Review Of Value And Unequal Exchange By Andrea Ricci,
2022
Sapienza University of Rome
The Penn Effect And Marx's International Law Of Value: A Review Of Value And Unequal Exchange By Andrea Ricci, Giuseppe Quattromini
Markets, Globalization & Development Review
Placing itself in the revival of interest in unequal exchange, Ricci's book claims the need to give the theory a new conceptual foundation to justify recent proposals to estimate unequal exchange on the basis of the so-called Penn effect. In order to do that, Ricci identifies Marx's international law of value as a fitting theoretical framework and hence develops a radically innovative theory of global capitalist exploitation through international trade. Finally, he assesses the magnitude of unequal exchange over the past three decades by producing estimates based on the proposed approach.
Prolegomena To A Buddhist(Ic) Critique Of Capitalism,
2022
Bucknell University
Prolegomena To A Buddhist(Ic) Critique Of Capitalism, James Mark Shields
Faculty Contributions to Books
Not even three decades removed from Francis Fukuyama’s post-Cold War proclamation of the “End of History,” the Western world is now undergoing a crisis of conscience – at the very least – with respect to both capitalism as an economic system and neoliberalism as its less-recognized but ever-present ideological foundation. The financial crisis of 2008, the subsequent Great Recession, the Occupy movement(s) of 2011, the 2016 challenge of self-styled Democratic Socialist Senator Bernie Sanders for the Democratic nomination, and growing anxiety about the fate of the planet, particularly among the young, have opened up new avenues of critique, and brought …
Maskin Meets Abreu And Matsushima,
2022
Singapore Management University
Maskin Meets Abreu And Matsushima, Yi-Chun Chen, Takashi Kunimoto, Yifei Sun, Siyang Xiong
Research Collection School Of Economics
The theory of full implementation has been criticized for using integer/modulo games, which admit no equilibrium (Jackson (1992)). To address the critique, we revisit the classical Nash implementation problem due to Maskin (1977, 1999) but allow for the use of lotteries and monetary transfers as in Abreu and Matsushima (1992, 1994). We unify the two well-established but somewhat orthogonal approaches in full implementation theory. We show that Maskin monotonicity is a necessary and sufficient condition for (exact) mixed-strategy Nash implementation by a finite mechanism. In contrast to previous papers, our approach possesses the following features: finite mechanisms (with no integer …
On The Market For "Lemons": When Low Quality Does Not Drive High Quality Out Of The Market,
2022
University of Nebraska-Lincoln
On The Market For "Lemons": When Low Quality Does Not Drive High Quality Out Of The Market, Konstantinos Giannakas, Murray E. Fulton
Cornhusker Economics
In a research article published in Nature's Humanities and Social Sciences Communications (available at https://www.nature.com/articles/s4l 599-020-00658-w) we identify the conditions under which the introduction of a low -quality product does not drive its high-quality counterpart out of the market but, instead, ends-up coexisting with it. Using a theoretical framework of heterogeneous consumers and producers in the context of a market for quality- ( or vertically-) differentiated products supplied by producers differing in their production efficiency, we show that the equilibrium quality configuration in a market depends on both the unobservability of product quality by consumers and the relative costs …
Unfair Commercial Practices In A Pit Market: Evidence From An Artefactual Field Experiment,
2022
Università degli Studi di Bergamo
Unfair Commercial Practices In A Pit Market: Evidence From An Artefactual Field Experiment, Francesco Bogliacino, Rafael Charris, Cristiano Codagnone, Frans Folkvord, Felipe Montealegre, Francisco Lupiáñez-Villanueva
ESI Publications
Commercial practices such as drip pricing, reference pricing and best-price guarantee can be used to set higher prices and mislead consumers, but protective measures can restore efficiency. In a placebo-controlled market experiment, we examined a treatment allowing for the use and misuse of commercial practices. Three additional treatments tested the effects of formal sanctions, informal sanctions and a regret nudge. We found that commercial practices led to higher prices, cheating was systematic and regret nudging was ineffective. Furthermore, formal and informal sanctions reduced both the likelihood of using commercial practices and the likelihood of cheating, leading to welfare increases.
In Favor Of Bringing Game Theory Into Urban Studies And Planning Curriculum: Reintroducing An Underused Method For The Next Generation Of Urban Scholars,
2022
Portland State University
In Favor Of Bringing Game Theory Into Urban Studies And Planning Curriculum: Reintroducing An Underused Method For The Next Generation Of Urban Scholars, Brian Mcdonald Gardner
Dissertations and Theses
By looking at some historical examples of Urban Studies literature and theory (and a detailed dive into Neil Smith's "Toward a theory of gentrification…") this thesis makes the case that Game Theory has valid insights to add to the foundation of Urban Studies and Planning and should be included in Masters and Doctorate level curriculums. As a discipline Game Theory has revolutionized multiple other fields, and can be used both mathematically and/or non-mathematically. It is postulated below that the inclusion of Game Theory would help scholars and practitioners arrive at better outcomes. This case is made by reviewing various areas …
Market Feminism In Morocco,
2022
SIT Study Abroad
Market Feminism In Morocco, Claire Madsen
Independent Study Project (ISP) Collection
Despite widespread views of “Moroccan Exceptionalism,” Morocco continues to rank poorly on international evaluations of gender equality. This project seeks to understand the extent of the influence neoliberal economic forces in Morocco have had on the feminist landscape. Analysis of Moroccan political history, Foucauldian theories of power relations, and relevant literature on state feminism set the groundwork for the evaluation of the extent state feminism in Morocco can be understood as market-based, in accordance with the definition from From State Feminism to Market Feminsim (2012) by Kantola and Squires. Through interviews of three experts, three meetings with women’s empowerment NGOs, …
Litigation With Negative Expected Value Suits: An Experimental Analysis,
2022
Chapman University
Litigation With Negative Expected Value Suits: An Experimental Analysis, Cary Deck, Paul Pecorino, Michael Solomon
ESI Working Papers
The existence of lawsuits providing plaintiffs a negative expected value (NEV) at trial has important theoretical implications for signaling models of litigation. The signaling equilibrium possible absent NEV suits breaks down with NEV suits because plaintiffs do not have a credible threat to proceed to trial undermining the ability to signal type. Using a laboratory experiment, we analyze behavior with and without the possibility of NEV suits. Absent NEV suits, behavior largely follows predicted patterns. However, the possibility of NEV suits does not cause the signaling equilibrium to unravel and does not cause the dispute rate to increase. Plaintiffs only …
Inequality As A Barrier To Economic Integration? An Experiment,
2022
Chapman University
Inequality As A Barrier To Economic Integration? An Experiment, Gabriele Camera, Lukas Hohl, Rolf Weder
ESI Working Papers
International economic theory suggests that people should embrace economic integration because it promises large gains. But policy reversals such as Brexit indicate a desire for economic disintegration. Here we report results of an experiment of how size and cross-country distribution of gains from integration influence individuals’ inclination to cooperate to reap its intended benefits and to embrace or reject integration. The design considers an indefinitely repeated helping game with multiple equilibria and strategic uncertainty. The data reveal that inequality of potential gains neither affected behavior nor reduced support for economic integration. However, integration may lead to disappointing, unequally distributed welfare …
The Personality And Cognitive Traits Associated With Adolescents’ Sensitivity To Social Norms,
2022
Queen’s University Belfast
The Personality And Cognitive Traits Associated With Adolescents’ Sensitivity To Social Norms, Christopher Tate, Rajnish Kumar, Jennifer M. Murray, Sharon Sanchez-Franco, Olga L. Sarmiento, Shannon C. Montgomery, Huiyu Zhou, Abhijit Ramalingam, Erin Krupka, Erik Kimbrough, Frank Kee, Ruth F. Hunter
Economics Faculty Articles and Research
Little is known about the personality and cognitive traits that shape adolescents’ sensitivity to social norms. Further, few studies have harnessed novel empirical tools to elicit sensitivity to social norms among adolescent populations. This paper examines the association between sensitivity to norms and various personality and cognitive traits using an incentivised rule-following task grounded in Game Theory. Cross-sectional data were obtained from 1274 adolescents. Self-administered questionnaires were used to measure personality traits as well as other psychosocial characteristics. Incentivised rule-following experiments gauged sensitivity to social norms. A series of multilevel mixed effects ordered logistic regression models were employed to assess …
