Showing papers in "The Quarterly Review of Economics and Finance in 2009"

TL;DR: In this paper, the authors examined the impact of governance and ownership variables on agency costs for a panel of large UK quoted companies and found that having a nomination committee increases agency costs, which indicates that there are costs associated with certain governance mechanisms.

TL;DR: In this article, the authors apply a Multiple Indicators and Multiple Causes (MIMIC) model to a pooled sample for the period 1988-2003 and find more convincing results than those obtained by Titman and Wessels.

TL;DR: In this paper, the authors examined the dynamic volatility and volatility transmission in a multivariate setting using the VAR(1)-GARCH(1,1) model for three major sectors, namely, Service, Banking and Industrial/or Insurance, in four Gulf Cooperation Council (GCC)s economies (Kuwait, Qatar, Saudi Arabia and UAE).

TL;DR: In this paper, the authors investigated the impact of multiple directorships on board meeting attendance and found that individuals with multiple board seats exhibit a higher tendency to be absent from board meetings and that monetary inducements such as board meeting fees and annual director retainers do not appear to enhance attendance.

TL;DR: In this article, the degree of market power in Middle East and North Africa (MENA) banking systems is investigated and the results show that the prevailing market structure in MENA banking is mostly monopolistically competitive.

TL;DR: In this paper, the effect of individual and institutional investor sentiment on the market price of risk derived from DJIA and S&P500 index returns was examined and a significant positive response of rational sentiment suggesting greater incentive for rational investors to engage in arbitrage when the compensation for taking risk is greater.

TL;DR: In this article, the relationship between commercial property price movements and the behavior and performance of individual banks in a range of industrialized economies was assessed, and it was shown that commercial property prices tend to be positively associated with bank lending and profitability, and negatively associated with banks' net interest margin and bad loan ratios.

TL;DR: In this paper, the authors empirically investigated the dynamic interdependencies between stock returns and economic activity in mature and emerging markets and confirmed the existence of an empirical relationship, with forecasting ability, between stock return and future economic activity.

TL;DR: This article examined whether the higher profitability and valuation of family firms is related to differences in production technologies and production efficiency and found that family firms are more productive than comparable non-family firms.

TL;DR: In this paper, the authors employed single and multiple variance ratio tests to reexamine the weak-form efficient market hypothesis (EMH) of A- and B-shares on the Shanghai and Shenzhen exchanges in Chinese stock market.

TL;DR: In this paper, the authors examine regulation and corporate governance mechanisms at a sample of non-publicly traded state member banks in 2006 and find that insider representation on the board has a positive influence on both director and executive compensation in commercial banks.

TL;DR: In this paper, the stock performance of America's 100 best corporate citizens following the annual survey by Business Ethics was examined. And the authors found that shareholders of the companies in the Top 100 yield negative abnormal returns of around 3%.

TL;DR: In this paper, the authors re-examine evidence of volatility persistence and long memory in the light of potential time-variation in the unconditional mean of the volatility series and find that long memory is apparent when analysed on the assumption that unconditional variance is constant.

TL;DR: In this article, a modification of the WACC which is conceptually superior to WACC as commonly calculated is presented, where the necessary cash flow (normal profit) implied by WACC is inadequate to provide the cash flows to the individual sources of financing when they are considered separately.

TL;DR: In this article, the authors of academic papers published in prestigious finance journals during 1988-2005 were compared to other authors and they found that papers with more authors are cited more often and that coauthoring with prolific authors leads to higher quality papers.

TL;DR: In this paper, the authors empirically investigated the potential benefits of international diversification for the U.S. investor with various investment constraints from both long-term and time-rolling perspectives.

TL;DR: This paper examined the extent to which fiscal policy actions affect the stock market's behavior for the US during 1968-2005 and found that past budget deficits negatively affect current stock returns thus suggesting that the market is inefficient with respect to information about future fiscal policy action.

TL;DR: In this paper, the authors examined market concentration and competition in the Korean commercial banking market for the period of 1992-2004 and found that increased market concentration has not lessened competition.

TL;DR: In this paper, the authors analyzed the regional unemployment rate behavior in Brazil and found that hysteresis is the best choice in five metropolitan areas, but Rio de Janeiro was the best in five, but not in all.

TL;DR: In this paper, the authors examine the impact of venture capitalists involvement, quality and exit on corporate governance structures at the time of and subsequent to an initial public offering (IPO).

TL;DR: The authors examined performance persistence in high-quality corporate-bond mutual funds over short horizons and found supporting evidence of performance persistence over shorter horizons, suggesting that the performance persistence may be at least partly due to managerial skills.

TL;DR: This paper examined Japanese candlestick methods of technical analysis for 349 stocks and found little value in the use of candlesticks and provided more support for the weak form of the Efficient Markets Hypothesis.

TL;DR: In this article, the authors find that total compensation of successor CEOs increases by 69% over their predecessor, but the structure of successor compensation is heavily influenced by the predecessors' contracts, when the board's bargaining power is large, successors have a greater proportion of pay-at-risk and smaller proportion of salary.

TL;DR: Kearney et al. as discussed by the authors found that gold and platinum prices are positively correlated over 1985-2006 and that over shorter sample periods the correlation changes from positive to negative (1996-2001) and back.

TL;DR: In this article, the authors examined the reaction of private market participants to the enhancement of the "too-Big-To-Fail" (TBTF) doctrine in the Japanese banking sector.

TL;DR: In this article, the authors evaluate the economics of the choice of form of payout initiation mechanism adopted by IPO firms and find that firms demonstrate a preference for repurchases over dividends as the specific form of payout initiation mechanism.

TL;DR: In this article, the authors investigated the performance of stocks with memorable ticker symbols during the years 1984-2005 and found that, on average, their daily returns are higher than for the overall market.

TL;DR: In this article, the authors show that the post-offering performance of private equity issuers is related to growth opportunities, and they find significant long-run underperformance in stock returns following private placements only for firms with high Tobin's q.

TL;DR: In this paper, the authors argue that the Fed model is flawed from a theoretical standpoint and report evidence from 20 countries that seriously questions its empirical merits, concluding that it is a failure both as a normative and as a positive model of equity pricing.

TL;DR: In this article, inbound and outbound foreign direct investment between the U.S. and seven developed countries over the period from 1994 to 2004 was analyzed, and it was shown that an increase in U. S. inbound FDI is related to a strengthening of an undervalued and overvalued U S. dollar.