Showing papers in "Journal of Economics and Business in 1999"

TL;DR: This paper examined the causes of bankruptcy for a sample of 949 UK listed companies between 1987 and 1994 and found that the most important determinants of bankruptcy are profitability, leverage, cashflow, company size, industry sector and the economic cycle.

TL;DR: In this article, the role of bank failures in the Great Depression was examined and it was shown that chronic bank failures coupled with subsequent threshold failure effects can have deep and pervasive influences on the economy, which justify government intervention at such times.

TL;DR: In this paper, data envelopment analysis (DEA) was used to estimate the overall efficiency and productivity growth of credit cooperatives in Japan during 1992-1996 and the empirical findings suggest that foreign-owned cooperatives are more efficient and experienced greater productivity growth during the period.

TL;DR: In this paper, the authors analyzed the consumer's payment option to use debit, general purpose credit cards, gasoline credit cards or cash and found that consumers are more likely to use cash when they have less education, lower incomes, are middle-aged, and own fewer credit cards.

TL;DR: In this article, the authors investigated whether, how, and why the matrix of correlations across international equity markets changes over time and proposed a theoretical model to specify potential economic determinants of this correlation structure.

TL;DR: In this paper, the authors examined the betting market on NFL games and found that bettors generally recognized the magnitude of the home field advantage, and the point spread market was efficient in that the strategy of betting on home teams produced a win rate of.499.

TL;DR: In this paper, the authors examine the effects of government spending on infrastructure within an endogenous growth model populated by consumers with finite horizons, and compare the effect of government expenditure on macroeconomic performance and individual utility with those obtained in the infinite horizon representative model.

TL;DR: In this paper, the authors used cointegration testing and common-feature testing to investigate market efficiency among daily spot and forward exchange rates of the G-7 countries and found that market efficiency within countries is supported by the finding of co-movement between the forward rate and the corresponding spot rate.

TL;DR: In this paper, the authors investigated whether the Australian stock market is segmented from or integrated into the world equity market and found evidence that the stock market was segmented in the pre-deregulation period but integrated following financial deregulation.

TL;DR: In this paper, the authors used a no-arbitrage, cost-of-carry pricing model to examine whether equity spot and futures markets are cointegrated and found that the appropriate cointegrating relationship is trivariate.

TL;DR: In this paper, the authors survey the state-of-the-art in credit risk modeling at large U.S. banks and discuss possible uses of internal risk models for setting regulatory capital requirements against selected credit instruments and/or improving examination guidance dealing with the capital adequacy of large, complex banks.

TL;DR: In this paper, a model of competition among hospitals, each of which competes in the provision of product quality, is presented, and conditions determining the welfare impact of a merger are derived.

TL;DR: This article examined the behavior of U.S. thrifts in the 1990s and compared the less known, but theoretically appropriate, Morishima elasticity of substitution to the more common Allen-Uzawa elasticity.

TL;DR: In this paper, the authors employ a threshold vector autoregressive (TVAR) model where the data is subdivided into low and high inflation regimes, and two different measures of monetary policy, viz. NBR and M1, are investigated.

TL;DR: In this paper, the authors extend previous work on the behavior of the competitive firm under a single source of uncertainty to dual sources of uncertainty, and derive symmetry restrictions for a general form of the direct utility function.

TL;DR: In this paper, shareholders' wealth gains around announcements of equity private placements primarily came from firms which subsequently went out of business, consistent with a semi-strong form of efficient markets hypothesis violation.

TL;DR: In this article, the authors analyzed the decision made by firms to issue one-time coupons as a means of attracting new deal-prone customers and showed that the optimal share of discount out of the profit margin per customer should never exceed the customer share of the dealprone segment.

TL;DR: In this paper, the authors derived closed-form expressions for duration and convexity of zero-coupon convertibles, incorporating the impact of default risk, conversion option, and subordination.

TL;DR: In this article, a shopping-time model in an open economy framework is proposed to predict real M1 demand in Canada, and an error-correction representation of the model performs significantly better than several unrestricted and traditional open-and closed-economy models in the out-of-sample prediction.

TL;DR: In this paper, an extended version of the superior goods model was applied to the UK car market, which involves the estimation of separate equations for the demand for new cars and the rental price of used cars.

TL;DR: In this article, the authors examined the impact of price discrimination by a dominant firm on entry and showed that price discrimination may have a positive or negative effect on entry, consumer welfare, prices, and scale of entry.

TL;DR: In this paper, the authors analyze how debt affects a firm's decision to allocate limited resources between real and intangible assets and find that investment in intangibles acts to indirectly increase the value of the real assets to bondholders and so reduce the promised debt repayment.

TL;DR: In this paper, a stylized analysis of monetary and fiscal policy interaction in the European Union is presented, showing how macroeconomic outcomes are affected by common monetary and monetary policies, and how outcomes depend on the commitment ability of the ECB when implementing its monetary policy.

TL;DR: In this paper, the authors examined the wealth effects of two widely-advocated monetary rules, namely, inflation and money growth, and showed that the real value of the stock market is higher under the inflation rule if and only if the market's intertemporal elasticity of substitution is sufficiently low.

TL;DR: In this paper, the authors examined the relationship between firms' equity values and the announcement of price control regulations and found strong evidence that equity values are negatively affected by price controls and positively affected when existing price controls are removed or relaxed.

TL;DR: In this article, the impulse responses of the federal funds rate to innovations in the non-borrowed reserves are re-examined and the rolling responses reveal that, by correcting for the nonstationarity of the data and including the error correcting terms in the VARs, the liquidity effect found by Christiano and Eichenbaum 1991, Christiano et al. 1992, and 1994 ) is shortened from six to two months.

TL;DR: In this article, the authors investigated the long-run equilibrium relationship between yields on taxable and tax-exempt securities of comparable maturity and provided evidence consistent with this hypothesis using selective tax rate series.

TL;DR: This article employed OLS, weighted least squares (WLS), and seemingly unrelated regression (SUR) models to analyze the market share of the leading personal auto liability insurers from 1980 to 1994, finding that while automation and advertising are significant sources of competitive advantage, price-cutting, reductions in commission rates and concentration in the private passenger line of insurance are not always associated with increases in market share.

TL;DR: This paper found evidence that unanticipated stimulative, unanticipated contractionary, anticipated stimulative and anticipated contractionary monetary policy each have statistically significant effects on real output, making the finding of non-neutrality more likely.