Showing papers by "KIMEP University published in 2013"

Chi-Squared Goodness of Fit Tests with Applications

Abstract: "Chi-Squared Goodness of Fit Tests with Applications" provides a thorough and complete context for the theoretical basis and implementation of Pearson's monumental contribution and its wide applicability for chi-squared goodness of fit tests. The book is ideal for researchers and scientists conducting statistical analysis in processing of experimental data as well as to students and practitioners with a good mathematical background who use statistical methods. The historical context, especially Chapter 7, provides great insight into importance of this subject with an authoritative author team. This reference includes the most recent application developments in using these methods and models. Systematic presentation with interesting historical context and coverage of the fundamentals of the subject. Presents modern model validity methods, graphical techniques, and computer-intensive methods. Recent research and a variety of open problems. Interesting real-life examples for practitioners.

Stakeholder Expectation of Corporate Social Responsibility Practices: A Study on Local and Multinational Corporations in Kazakhstan

Abstract: Assuming differences among the stakeholders, the study investigated stakeholders' expectations of different aspects of corporate social responsibility (CSR) practices in Kazakhstan. As a transition economy, both internal stakeholders and the government still place more emphasis on economic and legal responsibilities for the sustainability of business organizations. On the other hand, civil society members and non-governmental organizations (NGOs) argue that business organizations need to focus more on ethical and discretionary responsibilities in Kazakhstan. The findings of the study will help both local business organizations and multinational corporations (MNCs) to understand stakeholders' expectations and to modify CSR activities in the right direction in the context of emerging economies. The policy implications of the study are also discussed. Copyright © 2012 John Wiley & Sons, Ltd and ERP Environment

Voluntary corporate governance disclosures in the annual reports: an empirical study

Abstract: Corporate governance (CG) disclosure is a fundamental theme of the ‘modern’ corporate-regulatory system, which encompasses providing ‘governance’ information to the public in a variety of ways. This study explores the voluntary CG practices of 50 corporations, over and above the mandatory requirements of clause 49 of the listing agreement. In order to study the voluntary CG disclosure practices, a ‘content analysis’ was done, and finally, a ‘CG disclosure’ index was prepared. We have primarily used ‘secondary’ sources of information, both from the ‘report on CG’ and the ‘annual reports’ for the financial year 2003–2004 and 2004–2005. As a part of voluntary CG disclosure, a total of 40 items have been selected from the CG section of the annual reports and proxy forms. In order to provide a comparison ‘across’ industries, corporations have been selected from four industries, viz., software, textiles, sugar and paper. Appropriate statistical tools and techniques have been applied for the analysis. It has bee...

Corporate Governance and Forensic Accountant: an Exploratory Study

Abstract: An increasing number of researchers are finding that 'poor' corporate governance (CG) is a leading factor in "poor performance, manipulated financial reports, and unhappy stakeholders." The recent accounting scandals (Enron, WorldCom, Madoff, Satyam, etc.) have induced a crisis of confidence in financial reporting practice and effectiveness of CG mechanisms. Corporations and regulatory bodies are, therefore, trying to analyze and correct any existing defects in their reporting system. In the current reporting environment, forensic accountants (FA's) are in great demand for their 'niche' accounting, auditing, legal, and investigative skills. Influenced by business, government, regulatory authorities and the courts, there is evidence that a higher level of expertise is now required to analyze present-day complicated financial transactions and events. As a result, forensic accounting has been thrown in the forefront of the crusade against financial deception and accounting scandals. This paper investigates through a survey study, which was conducted in the National Capital Region of India during 2011-12, "if there are differences in the views of the relevant skills of FA's among accounting practitioners, academics, and users of forensic accounting services." In all, nine questions were asked to 40 practitioners, 80 academics and 80 users of forensic accounting services that pertain to solicit their views of "what skills are deemed inherently important to FA's?" At present, some Universities in India are considering adding forensic accounting course to their curriculum. The results of the present study may provide some guidance to educators for the development of forensic accounting curriculum by identifying the pertinent skills to accompany a program of study.

Explaining the Role of Culture and Traditions in Functioning of Civil Society Organizations in Kazakhstan

Abstract: Recent studies find that Western-style professional nongovernmental organizations (NGOs) in Kazakhstan and other Central Asian countries are weak and unsustainable. Most of these NGOs developed strong dependency on foreign donors for funds, and did not develop local network of support. This study is conducted to understand the lack of effectiveness of NGOs in Kazakhstan and to test popular sentiments toward NGOs. The interview with local and foreign social science experts and public figures confirm that NGOs in Kazakhstan are weak and unsustainable. The explanations of institutional ineffectiveness lay in disconnect with local traditions, low visibility of NGOs, and unsupportive government. Survey of general population suggests that people in Kazakhstan know very little about NGOs and do not appreciate their utility. We explain the inability of civil society organizations to reach out to local people by cultural mismatch. By using the Hofstede national culture model (Culture's consequences: International differences in work-related values. Thousand Oaks: SAGE Publications, 1984), we argue that local culture is in striking dissonance with the culture of donor countries, which created the NGO agenda in Kazakhstan.

Kazakhstan and Eurasian economic integration: quick start, mixed results and uncertain future

Abstract: In this well-researched and detailed book, the editors provide an extensive and critical analysis of post-Soviet regional integration. After almost two decades of unfulfilled integration promises, a new – improved and functioning – regime emerged in the post-Soviet space: the Eurasian Customs Union between Russia, Belarus and Kazakhstan (ECU).

The Effect of Market Power on Bank Credit Risk-Taking and Bank Stability in Kazakhstan

Abstract: The purpose of this research is to analyze the effect of banking market power on both the credit risk-taking attitude of Kazakhstani banks and the overall stability of the banking system. This analysis is particularly important for the Kazakhstani financial system as it has been going through the process of consolidation and intensive regulation which has led to a significant decrease in the number of banks. Greater banking market concentration leads to an increase in the market power of some banks and, as a result, potentially limits competition. The sample contains quarterly data for 19 domestic Kazakhstani banks for the period 2007–2011. We employ an instrumental variable technique with a generalized method of moments estimator to overcome the heteroskedasticity and reverse causality issues. Lerner Index is used as a measure of banking market power, credit risk-taking is estimated by the ratio of overdue loans to total bank loans and overall bank stability is measured by the Z-score index. The results indicate that increased market power is negatively associated with credit risk-taking by Kazakhstani banks. At the same time, this increased market power has a significant positive impact on bank stability. These results empirically support the current policy of the Central Bank of Kazakhstan on promoting greater consolidation of small and medium size banks.

The Hierarchical Civil Servant: An Administrative Role Model to Be Renewed?

Abstract: The battle over administrative reform is a battle between contending perspectives of who should populate and manage public organizations, or put differently, between definitions of the ideal civil servant. This article reflects upon the hierarchical civil servant ideal-type by exploring its model of man, homo hierarchicus. The article describes homo hierarchicus, examines how he understands, explains, and judges the world, then explicates his preferred governance arrangements for society and his preferred organizational and managerial arrangements for public organizations. In so doing, the article identifies the salient attributes of the hierarchical civil servant ideal-type and its place in the public sector, thereby confronting the fundamental question of whether the hierarchical civil servant ideal-type is a role model worthy of renewal.

Goodness-of-fit tests for the power-generalized weibull probability distribution

Abstract: The power-generalized Weibull probability distribution is very often used in survival analysis mainly because different values of its parameters allow for various shapes of hazard rate such as monotone increasing/decreasing, ∩-shaped, ∪-shaped, or constant. Modified chi-squared tests based on maximum likelihood estimators of parameters that are shown to be -consistent are proposed. Power of these tests against exponentiated Weibull, three-parameter Weibull, and generalized Weibull distributions is studied using Monte Carlo simulations. It is proposed to use the left-tailed rejection region because these tests are biased with respect to the above alternatives if one will use the right-tailed rejection region. It is also shown that power of the McCulloch test investigated can be two or three times higher than that of Nikulin–Rao–Robson test with respect to the alternatives considered if expected cell frequencies are about 5.

Economic value added and shareholders’ wealth creation: the portrait of a developing Asian country

Abstract: Managing and creating shareholder values have become a widely accepted corporate objective since the last decade. Of late, companies in India have started focusing on shareholders wealth creation by adopting value-based models for measuring shareholder value that helps to align managerial decision making with firm preferences. In recent years, the EVA framework is gradually replacing the 'traditional' measures of financial performance on account of its robustness and its immunity from 'creative' accounting. This study examines the value-creation strategies of selected Indian companies by analysing whether EVA better represents the market-value of these companies in comparison to conventional performance measures. In this regard, EVA and the conventional measures of corporate performance, such as, RONW, ROCE and EPS are analysed. Moreover, ANOVA, trend analysis and regression analysis are used for analysing the data. The study indicates that "there is no strong evidence to support Stern Stewart's claim that EVA is superior to the traditional performance measures in its association with MVA". During 2010-11, just 17 Indian companies, from a sample of 500, were providing EVA disclosures in their annual reports.

Developing Sustainable NGOs in Kazakhstan

Abstract: In Kazakhstan the NGO sector has experienced significant changes since its early stages of development. The NGOs in the country function in different areas including education, human rights, health care, environment, assistance to the disabled, and many others. This article aims to explore and evaluate opportunities for sustainable development of NGOs in Kazakhstan. The paper gives an overview of the NGOs in Kazakhstan, concentrates on issues of sustainable development of NGOs. For promoting sustainable development NGOs need to develop funding opportunities, collaborate with states, business organizations, develop human resource management. Since there is relatively little information about NGOs’ activities in Kazakhstan, the paper helps to understand this area of scientific inquiry.

International briefing 29: training and development in Kazakhstan

Abstract: The Republic of Kazakhstan is located in Central Asia, to the south of Russia and to the north-west of China. The continental location of Kazakhstan is in the centre of the Eurasian lands mass, between 45 and 87 degrees east longitude, 40 and 55 degrees north latitude. Kazakhstan occupies an area equal to 2724.9 thousand sq. km. and stretches east from the Caspian Sea and Volga plains to the Altai Mountains, from the foothills of Tien Shan in the south and southeast to the Western Siberian lowland in the north. The extent of its territory from the west to the east exceeds 3000 km, from the south to the north 1700 km. In the east, north and northwest Kazakhstan borders with Russia (extent of the boundary of 6467 km), in the south – with the states of central Asia – Kyrgyzstan (980 km), Uzbekistan (2300 km) and Turkmenistan (380 km), and in the southeast – with China (1460 km). The total length of the borders of Kazakhstan composes almost 12.2 thousand km, including 600 km in the Caspian Sea in the west. Kazakhstan is the second largest state in terms of territory to emerge from the former Union of Soviet Socialist Republics (USSR). In December 1991, when Kazakhstan declared its independence from the USSR, the government and the economy were still closely tied to the Soviet’s centralized economic and managerial system. Kazakhstan is politically moderate, its multi-national population divided roughly in half between indigenous ethnic Kazakhs and other ethnic groups – Russians, Germans, Ukrainians, Uygurs, Chinese, Koreans – as well as dozens of other small ethnic groups. In December 2010, the total population was 16.4 million of whom approximately 53.4 per cent were Kazakhs, 30.0 per cent Russians, 3.7 per cent Ukrainians, 2.5 per cent Uzbeks, 2.4 per cent Germans, 1.7 per cent Tatars, 1.45 per cent Uighurs, and 4.9 per cent others (Asian Development Bank, 2010). In terms of religious identification, roughly 47 per cent of the population professed Islam, whereas 46 per cent was Russian Orthodox or Protestant. Soon after declaring its national independence, the Kazakh language was adopted as the official state language of Kazakhstan. Roughly 40 per cent of the population of the country lists Kazakh as their principal language, whereas about 40 per cent of the population lists Russian as their principal language. In practice, most

Accounting for good governance: the fair value challenge

Abstract: Purpose – The purpose of this paper is to describe and analyze the accounting standards reforms that have moved the accounting profession away from rules‐based towards principles‐based accounting practice and financial reporting, and to explore the implications for boards of directors of fair value estimates of the unknowable contaminating financial statements with financial misstatementsDesign/methodology/approach – The paper critically reviews the internationally accepted accounting, auditing and financial reporting standards with respect to fair value accounting and relates them to directors' fiduciary duties – the duties of care, of oversight, and of obedienceFindings – The search for relevance in financial accounting raises daunting challenges for boards of directors tasked with fairly presenting the financial condition of a reporting business entityResearch limitations/implications – The accounting profession has long been epistemologically conservative, judging reliability to be more important t

Africa’s Development: Institutions, Economic Reforms and Growth

Abstract: The paper examines the importance of relative prices, institutional quality and other factors which are regressed on the estimated total factor productivity (TFP). With panel data of 26 African countries for the period 1980-2011, the results show that relative prices have significant effects on TFP. Also the quality of institutions is an important determinant of non-input component of output growth. The macroeconomic measures to get “prices right” in sub Saharan Africa may also be constrained by the linkages of institutions to the macroeconomic variables. Thus, policies of getting prices right with establishing strong institutions are worth continuously pursuing with vigor. Keywords: Prices; Growth; Total-factor-productivity; Africa; Institutions JEL Classifications: P22: O43; O55; O47

Survey of appropriate skills required by forensic accountants: empirical evidence from a developing economy

Abstract: Accounting frauds and scams are perennial. They occurred in all eras and in all countries, and affected many organizations, regardless of their size, location, or industry. From Enron and WorldCom in 2001 to Madoff and Satyam in 2009, accounting frauds and scams have been dominating news items in the past decade. Corporations and regulatory bodies are trying their best to analyze and correct existing defects in their reporting system. After having an overview of the fraud scenario in India, it is apparent that criminals have become technology-savvy, and invented newer schemes to perpetuate crimes. In the current reporting environment of “digital-age,” forensic accountants (FA’s) are in great demand for their ‘niche’ accounting, auditing, legal and investigative skills. Hence, ‘forensic’ accounting has been thrown in the “forefront of the crusade” against financial deception and accounting scandals. The present study investigates through a questionnaire, which was conducted in three leading States of the national capital region (NCR) of India during 2011-12, “if there are differences in the views of the relevant skills of FA’s among accounting practitioners, academics, and users of forensic accounting services.” From the statistical test of the hypotheses propounded for this study, we discovered that “core skills are not enough requirements for FA’s, there are significant differences in the relevant skills of FA’s, as given by previous researchers with the current research, and the necessary skills of FA’s, as identified by both academics and professionals, will hopefully meet employers’ expectations too.” Therefore, FA’s, being professional experts having ‘sixth’ sense and possessing ‘special’ skills are urgently required to counter all the ingenuity of these criminals. At present, some Universities in India are considering adding forensic accounting course to their curriculum. The results of this study may provide some guidance to educators for the development of forensic accounting curriculum by identifying the pertinent skills to accompany such a program of study.

Evolution of the Idea of a United Europe: Some Legal Conclusions

Abstract: This article examines the legal aspects of the evolution of the idea of a united Europe from ancient times to the present. It provides the periodisation of the history of the European idea and argues that throughout all historical epochs this idea developed under conditions of constant struggle between opposing visions on how to fulfill it: initially, between secular and theological concepts of universal monarchy; then, between universal monarchy and the concept of union of States; subsequently, between the concepts of union of monarchs and union of republics; and currently between confederation and federation. It is also argued that the European idea is closely related to the maintenance of international peace and security, the prosperity of all humankind and the effective protection of human rights and the vision that all States must (or at least should) comprise a common, law-governed and peaceful community.

Auditing Moral Hazards for the Post-Global Financial Crisis (GFC) Leadership

Abstract: There is no surprise that the list of economic issues that have moral implications is very long, encompassing many aspects, and some are hotly debated in the media. Financial crisis and executive remuneration is under intense scrutiny. That economic decisions involve morality and that the two cannot be easily separated was clear to Adam Smith (1776 [1980], 1759 [2002]), who held that value is inextricably intertwined in socioeconomic life. Value is also intertwined within science and, hence, all non-trivial judgments of fact always presuppose some a priori judgment of value (Davis, 1994), whether explicitly acknowledged or not. No empirical investigation and scientific methodology are able to adequately address questions of value governing human action; they are only able to produce probable findings, not ultimate truths (Davis, 1994). Issues of value can best be addressed to some extent using philosophical tools and political processes within a specific context. It is philosophical inquiry into the moral value of human conduct, the rules that govern such conduct, and an awareness of issues within society that have critical moral importance.

Reading Consumer Reviews to Confirm My Expectations: The Accelerated Impact of Confirmation under Extreme Review Tones

Abstract: This study examines how the initially perceived product value affects a consumer’s purchase intention after he/she reads various tones of online reviews. It proposes that the associations among the initially perceived product value, the level of confirmation made by reading reviews and final purchase intention would differ across review tones that; 1) when the tone is extreme, the impact of confirmation will be stronger than when the tone is moderate and 2) when the tone is favorable, the impact of initially perceived product value will be stronger than when the tone is critical. The survey was conducted to 276 online shopping mall users in Korea and most of hypotheses were supported. This study emphasizes that the impact of online review should be discussed together with the level of expectation that a customer had before reading online reviews, because the customers have to go through searching and screening processes before reading online reviews.

A geographical perspective on the Aral Sea crisis: three interpretations of an image

Abstract: The Aral Sea crisis has gained global notoriety as a human-induced environmental disaster. This paper contextualizes this crisis within a broad geographical framework. Three interpretations of a single photographic image emblematic of the desiccation of the Aral Sea are related to general foci within the academic discipline of geography. These interpretations serve to guide a framing of the Aral Sea crisis within a geographical context. This is presented as a geographical problem, incorporating elements and processes salient to physical geography, human geography, and human-environment interaction. With ecological and societal sustainability in the immediate Aral Sea region still a pressing concern, geographers are well positioned to contribute relevant, research-driven insights.

Do Political Reporters Need to Be Political Scientists

Abstract: As the criticism of our current state of journalism and the current state of journalism education mounts, we ask a simple question: Could political science graduates do a better job of providing political reporting than graduates with journalism degrees? Although we do not test this question empirically, a review of the extant literature suggests that political science departments and curricula have the potential to foster graduates that have a high level of political knowledge, political judgment, and critical thinking skills. These skills are essential for political reporters if they are to wade through political spin, manipulation, and misdirection. Secondly, if political science graduates are indeed more qualified to provide political reporting to US citizens and to reenergize American democracy, would media executives be willing to hire such graduates absent a degree in journalism? This question we do examine empirically. With a survey of current media executives utilizing a battery of questions asse...

The (In-)Compatibility between Regional Integration Processes in the Post-Soviet Area and within the European Neighborhood Policy

Abstract: This article examines the issue of whether regional integration schemes in the Post-Soviet area are harmonious with or contradictory to the EU’s European Neighborhood Policy (ENP) as applied to a number of post-Soviet countries. In so doing, firstly, the article explains the major developments with respect to the regional integration processes in the Post-Soviet Area, then it illustrates the main characteristics of the ENP and subsequently it provides an assessment of compatibility of integration processes in Eurasia and within the ENP. Finally, the article contains conclusive remarks attempting to demonstrate perspectives of integration processes in Europe and Eurasia.

Central Asia: Contemporary Security Challenges and Sources of State Resilience

Abstract: Taking a deliberately narrow conception of security, defined as the organizational effectiveness of regimes, this paper considers recent incidents of violence in Central Asia (the second revolution in Kyrgyzstan; events in Osh, Zhanaozen and Pamir; and various “terrorist” incidents) to ask which factors have shown their potential to cause conflict and destabilization. In light of this, the paper discusses the sources of legitimacy and state capacity in Central Asian states, concluding that they are “Machiavellian principalities”.

Generalized o-minimality for partial orders

Abstract: We consider partially ordered models. We introduce the notions of a weakly (quasi-)p.o.-minimal model and a weakly (quasi-)p.o.-minimal theory. We prove that weakly quasi-p.o.-minimal theories of finite width lack the independence property, weakly p.o.-minimal directed groups are Abelian and divisible, weakly quasi-p.o.-minimal directed groups with unique roots are Abelian, and the direct product of a finite family of weakly p.o.-minimal models is a weakly p.o.-minimal model. We obtain results on existence of small extensions of models of weakly quasi-p.o.-minimal atomic theories. In particular, for such a theory of finite length, we find an upper estimate of the Hanf number for omitting a family of pure types. We also find an upper bound for the cardinalities of weakly quasi-p.o.-minimal absolutely homogeneous models of moderate width.

Informal Self-Employment in Kazakhstan

Abstract: We use data from the Kazakhstan Labor Force Survey (KLFS) for the period 2006-2011 to examine causal factors that determine informal self-employment. In addition, the paper expands the analysis to consider gender differences in informality and examines the response of informality propensities to the recent global crisis. Our decomposition analysis shows that education, work hours and tenure in self-employment are particularly important determinants of business formalisation.

Speaking Anxiety in a Kazakhstani Foreign Language Classroom

Abstract: The present study aimed to contribute to our understanding of foreign language anxiety, in general, and in particular speaking anxiety in Kazakhstani environment It was the first attempt to fill this gap and reveal more about the speaking anxiety in the Elementary level of Kazakh students group, having considered how anxiety might have affected speaking and overall classroom performance This study addressed the issue of identifying foreign language speaking anxiety and the major consequences of language speaking anxiety reported by students learning English in the evaluation of the foreign language classroom Anxiety levels in Kazakh students of English were studied through self-evaluation using a scale adapted from the FLCAS (Foreign Language Classroom Anxiety Scale) developed by E K Horwitz, M B Horwitz, and Cope (1986) As revealed by the results of this study, English language speaking anxiety does exist among the Kazakh second-year university students who participated in this study And too, the study revealed that these students have had a number of negative experiences with speaking activities in a foreign language class

Wage Arrears and Protest Behavior: What Do We Learn from Russia's Financial Crisis?

Abstract: This paper examines political protest during the 1998 financial crisis in Russia. Major factors behind individuals’ propensity towards protest action were identified through the use of a theoretical model. We test the model with data from the Institute of Sociology (IS) survey. In the empirical estimations, economic and welfare factors emerge as significantly related to the likelihood of political protest. The estimates also imply that the predictors of future participation will not necessarily be predictors of actual participation.

Theory versus Application: A Study to Determine the Right Choice in Deploying an Enterprise Resource Planning ERP System

Abstract: This paper discusses the critical use and lessons learned from the single case model while implementing an Enterprise Resource Planning ERP system at a leading university. The researcher examined one university's business ERP in the deployment of a new enterprise system, a complex phenomenon which took place over several stages and involved different players at each stage. The paper discusses the case system inclusive of the grounded case theory, diffusion of innovation theory, innovation-process theory and their application during the ERP system implementation.