Showing papers in "Emerging Markets Review in 2015"

TL;DR: This paper examined the impact of corruption on banks' risk-taking behavior, using bank-level data from more than 1200 banks in 35 emerging economies during the period 2000-2012 and found consistent evidence that higher levels of corruption increase the risk taking behavior of banks, in favor of the "sand the wheel" view in the corruption-development nexus.

TL;DR: In this article, the authors examined whether the Sharia-compliant stocks measured by Dow Jones Islamic World Emerging Market index (DJIWEM), gold and U.S. Treasury bills (T-bills) can serve as a hedge and/or a safe-haven asset in the six GCC stock markets, by using a vine copula approach.

TL;DR: In this paper, the authors investigated whether earnings management reduces the level of value relevance and whether good corporate governance restrains earnings management and found that the negative impact of relevance for the companies engaged in earnings management is greater than the companies that have not engaged in EA engagement.

TL;DR: Li et al. as mentioned in this paper investigated the impact of government controlling ownership on the cost of debt of Chinese listed corporations, and found that corporations under government control have a lower debt compared to corporations under private control.

TL;DR: In this article, the authors investigated whether boards of directors and risk management-related corporate governance mechanisms are associated with a better bank performance during the financial crisis of 2007/2008 for a sample of Chinese and Indian listed banks.

TL;DR: In this paper, the authors examined the dynamics of emerging market (EM) local currency government bond yields for the last decade and a half as well as for three different phases (January 2000-December 2007, January 2008-April 2013, and since May 2013).

TL;DR: In this article, the authors survey 400 executives in ten countries in Central and Eastern Europe (CEE) and report the results of their companies' capital budgeting practices, and find that the CEE countries are influenced mostly by firm size, multinational culture, firms' goals, and the presence of code of ethics, and to a lesser extent, by executive ownership, number of projects analyzed, and target leverage.

TL;DR: In this paper, the authors examined the information and indication embedded in implied volatilities extracted from the KOSPI 200 options and proposed a modified value-at-risk (VaR) framework utilizing the implied VOLATilities.

TL;DR: The authors argue that returns denominated in countries' local currencies accurately reflect price fluctuations in national stock markets, as returns converted into a common currency also reflect fluctuations in the exchange rate, which is shown to bias the outcomes of a contagion test.

TL;DR: In this article, the authors investigated the effects of the financial system on a firm's investment decisions using data from 404 Brazilian firms over the 1998-2006 period, and found that financial development has a significant impact on investment decisions.

TL;DR: This paper proposed a simple panel data test for stock return predictability that is flexible enough to accommodate three key salient features of the data, namely, predictor persistency and endogeneity, and cross-sectional dependence.

TL;DR: This paper investigated the impact of CEO career concerns on a firm's investment efficiency for publicly listed Chinese companies from 2002 to 2009 and found that younger CEOs and newly appointed CEOs are prone to invest less and more efficiently.

TL;DR: In this article, the authors examined financial sector characteristics in resource-dependent economies and found that the banking sector tends to be smaller in resource dependent economies than the non-resource dependent ones.

TL;DR: In this article, the authors employ the Panzar and Rosse (1987) methodology to assess the extent of competition in the banking system in emerging market economies and find that the level of competition has undergone a significant decline after the recent financial crisis.

TL;DR: This article examined the international diversification benefits of blocwide equity sectors in the oil-rich Gulf Cooperation Council (GCC) countries by comparing alternative spillover models that encompass local, regional and global factors.

TL;DR: In this article, the authors analyzed the stock price effects of bulk trade in India over the period 2004-2012 using an event study model and found significant impact of bulk trades on the share prices with cumulative returns being very high around the trades for both BSE and NSE.

TL;DR: This article presented a stochastic frontier model with random inefficiency parameters which is able to capture the influence of risk-taking on bank efficiency and distingues those effects among banks with different characteristics.

TL;DR: In this paper, the relationship between the unit of account and means of exchange functions of an international currency and its store of value in official use was analyzed, and it was shown that both trade invoicing and currency movements drive changing official reserve composition.

TL;DR: In this article, the authors studied the political determinants of executive compensation for all listed Chinese firms in the context of an exogenous shock that removed market frictions in share-tradability.

TL;DR: In this paper, the authors investigated the asymmetric and time-varying causalities between inflation and inflation uncertainty in South Africa within a conditional Gaussian Markov switching vector autoregressive (MS-VAR) model framework.

TL;DR: This article used regressions to benchmark African greenfield micro finance institutions relative to other African micro finance providers and found that greenfields grew faster, improved profitability to levels comparable to the top MFIs, and substantially increased their lending to women.

TL;DR: Using the Open Budget Index of 45 advanced and emerging countries and their sovereign credit default swap (CDS) spreads, the authors found evidence that the sovereign credit market differentiates countries with higher fiscal opacity than others, by way of an opacity premium.

TL;DR: This article examined the valuation effect of the source of cash for acquisition financing and a set of determinants of bidder gains in the context of the cross-border acquisitions (CBAs) by emerging-market acquirers (EMAs) during 2000-2010.

TL;DR: In this paper, the authors show that most active managers are not able to provide performance beyond what could be achieved by passive indexing, and they also observe herding behavior among managers' asset allocation decisions which can potentially explain their lack of overperformance.

TL;DR: In this paper, the authors investigated the role of off-balance sheet operations in bank scale-up and down-down economies and found that banks can realize more scale economies by increasing OBS operations and that scale economies can be reaped particularly for non-state-owned banks.

TL;DR: In this paper, the authors investigate the relationship between stock market liquidity and economic growth in the Eurozone and find that during periods of high exchange-rate volatility between currencies (which tend to be times of high uncertainty and economic convergence), growth becomes highly affected by stock market liquidities.

TL;DR: In this paper, the authors investigate the price and trading volume effects of CSI 300 index reconstitutions and find that trading volume increases significantly for both CSI 300 Index additions and deletions in the short run.

TL;DR: In this article, the authors examined the reasons behind the low patronage of stock markets by domestic firms in Sub-Saharan Africa using Ghana as a case study and found that knowledge about stock market dynamics and financial institutions' support encourages listing on the stock market.

TL;DR: In this article, the authors analyze the strategies employed by Colombia's central bank for intervention in foreign exchange markets with a special focus on the volatility option strategy, arguing that the abandonment of the currency options program for intervention was premature and that its success was not fully appreciated.

TL;DR: In this article, the authors examined the micro-level impacts of domestic and overseas remittances on household behavior such as consumption-investment expenditure patterns and propensity of households being engaged in business activities in the case of Viet Nam.