Current Strategies in Economics and Management Vol. 3

Research on the Impact of Ethical Climate on Creative Problem - Solving Capacity: An Empirical Study on Human Resource Employees in Saudi Arabia

2021-08-24T08:04:35+00:00

Purpose: The purpose of this paper is to determine the impact of ethical climate on creative problem-solving capacity. The paper also aims to identify how knowledge sharing and affective commitment influence this relationship.

Design/Methodology/Approach: This is quantitative descriptive study applied on human resource employees working in companies belong to four different sectors in Saudi Arabia.115 responses were used to test research model using Partial Least Square approach.

Findings: The results reveal that ethical climate indirectly affect creative problem-solving capacity through knowledge sharing. In addition, affective commitment moderates the relationship between knowledge sharing and creative problem-solving capacity.

Research Limitations/Implications: The study conducted only in Saudi Arabia so results cannot be generalized. The study demonstrates the role of ethical climate, knowledge sharing, and affective commitment on enhancing creative problem-solving capacity.

Originality/Value: The paper broaden knowledge on antecedents of creative problem-solving capacity. In addition, the paper extends the line of research on affective commitment by examining its moderating role on the relationship between knowledge sharing and creative problem-solving capacity.

Construction Sector and Economic Growth in Nigeria: An Overview

2021-08-24T08:08:52+00:00

Over time most developing countries have identified that a major constraint to their developmental efforts is the lack of synchronization between the construction sector, infrastructure and other areas of the economy. This study examines the long-run and short-run relationship between the construction industry and the growth of the Nigerian economy using the autoregressive distributed lag (ARDL) model. The uniqueness of this estimation procedure is such that it produces a robust result of the long-run and short-run relationship even in situations where the time series data are integrated in the order of I(0) and I(1). The study uses the annual time-series data sourced directly from the Central Bank of Nigerian (CBN) Statistical Bulletin and World Bank Development Indicators (WDI) between the periods 1981-2014. The outcome of the study shows that the construction sector plays a significant role in the Nigerian economic growth in the short-run. However, the result revealed the absence of a long-run relationship between the construction industry and economic growth in Nigeria.

Evaluation of Systematic Risk of Viet Nam Construction Material Industry during the Pre-Low Inflation Period 2012-2014

2021-08-24T08:11:30+00:00

Construction material industry is one of the most rapidly growing sectors, with many achievements both in Vietnam and in Asia. In recent years, its rapid growth has produced revenues from business activities. One of the key objectives of this paper is to assess market risk volatility in construction material businesses in the 2012-2014 pre-low inflation period. Our first findings are to be found that beta values in general (< 1) for most of our construction material companies are appropriate when we apply quantitative, statistical and analytical methods to evaluate the asset beta and beta CAPM of 20 listed Viet Nam construction material companies.

However, we analyze the market risk volatility, determined by asset and equity beta var, during the post-low inflation period in this sector and compare results in two circumstances: risk fluctuation in pre-low inflation time 2012-14 is lower than that in post-low inflation period 2015-2017.

Finally, if we observe in 2 periods, Beta CAPM or equity beta mean goes up in case post-low inflation period.

At last, policies in risk management and governance are suggested in the conclusion based on the research results and findings. In the post-low inflation environment, we alert that Beta fluctuations could be little higher.

The Impact of a One Factor Model on Risk Level of Viet Nam Medicine Industry

2021-08-24T08:14:47+00:00

This research paper evaluates the impacts of external financing (one factor model) on market risk for the listed firms in the Viet nam medical industry as it becomes necessary, esp. after the financial crisis 2007-2009.

First, by using quantitative and analytical methods to estimate asset and equity beta of total 10 listed companies in Viet Nam medical industry with a proper traditional model, we found out that the beta values, in general, for many institutions are acceptable.

Second, under 3 different scenarios of changing leverage (in 2011 financial reports, 30% up and 20% down), we recognized that the risk level, measured by equity and asset beta mean, decreases when leverage increases to 30% and it increases in case leverage down to 20%.

Third, by changing leverage in 3 scenarios, we recognized the dispersion of risk level, measured by equity beta var, increases if the leverage increases to 30%. Compared to the results of other industries, we see that asset beta var in here increases when leverage up to 30% as well as that in consumer good industry.

Finally, this paper provides some outcomes that could provide companies and government more evidence in establishing their policies in governance.

Determination of Parallel Market Exchange Rate Premium: Advanced Study

2021-08-24T09:09:42+00:00

A model of the determination of parallel market exchange rate premium in liberalized economies was presented. Clear distinction was made between fundamental and nominal determinants with economic justification(s) given for every variable. Likely data problems that might arise during implementation were discussed and suggestions on circumventing made.

Exchange Rate Determination in Developing Economies: Recent Developments

2021-08-24T09:12:10+00:00

This paper identified the determinants of nominal exchange rate movements in less developed countries operating the flexible exchange rate system. Factors peculiar to such countries which were believed to potently drive their nominal exchange rates were incorporated into the resulting model. In particular, the weather, parallel market exchange premium and corrupt practices entered the model. While all three factors should play crucial roles in explaining short run variations in the exchange rate, corrupt practices might still be at work in the long-run. However, those more advanced developing countries that had succeeded in instituting a relatively more effective legal system stemming the tide of corruption, and, also characterized by a near absence of parallel exchange rate market, might follow the standard model of exchange rate in the literature.

A Study on Behavioral Finance to Understand the Psychological Behavior of Individuals in Financial and Non-financial Investment and Decision Making

2021-08-24T09:14:01+00:00

Everyone earns cash intending to fulfil life goals. Cash is employed for mundane also as exotic functions. It will be saved and invested with to finance numerous goals like education, marriage, retirement and then on. The wants will be each immediate and within the distant future. Cash will be attained by operating for pay, by taking risks for profit associated degree by investment and managing it to relinquish the financial gain. Behavioral finance could be a comparatively new paradigm of finance, that seeks to supplement the quality theories of finance by introducing behavioral aspects to the decision making process. Early proponents of behavioral finance are thought about by some to be visionaries. This research paper exhibits with key analysis tools like factor analysis, binomial distribution, chi-square analysis, correlation analysis and regression analysis with Three Hundred as the sample size and the research was conducted within the Chennai city in India. This paper is an attempt to comprehend and distinguish the importance of psychological behaviour of individuals towards investment and decision making.

Exploring Data Patterns Using Loglinear Analysis

2021-08-24T09:15:51+00:00

Consumer needs are diverse and numerous. The FMCG manufacturers are confused due to these diverse consumer needs. This results into brand /product proliferation. The product proliferation happens due to a marketing philosophy of everything for everybody [1] - Choose whatever you need. This especially happens with the lower consume involvement products such as bath soaps [2]. The product proliferation also increases the inventory costs and blocks the precious working capital. This research is an attempt to explore what exactly consumer see while buying a particular bath soap. Loglinear Analysis is used here to explore the hidden patterns in the collected data so as to provide the actionable insights for suitable decision making. A situation of Indian bath soap category is undertaken here with reference to understand soap buyer behaviour from urban & rural areas for taking the actionable insights from management perspective.

Irrelevance of Inflation and Inflation Uncertainty to Stock Returns

2021-08-24T09:22:36+00:00

The purpose of this chapter is to reexamine the empirical evidence on the relation between inflation, and inflation uncertainty, with stock returns, using monthly data for a duration of sixty-three years to seventy years. Two series for inflation are considered: consumer CPI inflation and core inflation (i.e., without volatile food and energy prices). Two proxies for inflation uncertainty are used: Absolute inflation and the square of inflation. Over the long run, prices and stocks are co-integrated with a positive but more than proportionate impact. However, co-integration dissipates when fundamental variables are included to the regressions. Over the short run, inflation and inflation uncertainty do not explain well stock returns, whether separately or jointly. This is also especially true when fundamental variables are included in the regressions. Two fundamental variables are selected from the Gordon constant growth dividend model: The change in the cost of equity and the growth rate of earnings. The first variable is roughly measured by the change in the Moody’s Baa corporate bond yield, while the second one is taken to be the rate of change of industrial production. The latter variable stands additionally for the evolution of the business cycle. Stability of the models is supported by testing for calendar breakpoints.

Establishing the Link between Money Laundering and Tax Evasion: Critical Study

2021-08-24T09:24:55+00:00

No clear link has yet been made between tax evasion and money laundering although many (or all) of the professionals in this field may have already assumed the relation. The aim of the research that was conducted for the purposes of this article was to explore whether there is a clear link between tax evasion and money laundering. This was done by studying the relevant literature available on both subjects. The findings, that there is a clear link between these two offences, were confirmed not only by analyzing definitions but also and most importantly, by an overview of court cases and the judgments made in these court cases. In theory, the results have proven that one cannot look at money laundering without considering tax evasion as well but tax evasion does not necessarily constitute the act of money laundering. This is of value to the individuals and organizations working in the field of taxation and organized crime, because when prosecuting a perpetrator on a count of money laundering, by adding the charge of tax evasion to his or her charge sheet, it can strengthen the case against the accused.

Contribution of Integrated Farming System for Livelihood Security of Tribal’s in Pachamalai Hill of Tiruchirappalli District, TN: Detailed Overview

2021-08-24T09:28:08+00:00

Agriculture plays a significant role in Indian economy. Agriculture is an important sector of Indian economy as it contributes about 14% to the total GDP and provides employment to over 60% of the population. In India about 70 per cent of the rural households depend on agriculture. India population is equivalent to 17.7% of the total world population. India ranks number 2 in the list of countries (and dependencies) by population. Due to ever increasing population and decline in per capita availability of land in the country, practically there is no scope for horizontal expansion of land for agriculture. For this reason, vertical integration of farm enterprises will make farming more cost-effective and reliable. Therefore, Integrated Farming systems can be proved as viable approach represents an appropriate combination of farm enterprises, viz. crop production, horticulture, livestock, fishery, forestry, piggery, poultry and goatry etc. in specific farming situation to address the problems of sustainable economic growth of Indian farming communities. Out of 115 million operational holdings in India, about 80 per cent of Indian farmers are marginal and small farmers. To achieve sustainable development in income and employment to fulfill the basic needs of the farmers in plains and also in hilly areas, an integrated faming system plays a vital role in India. The present study was undertaken to recognize the contribution of integrated farming system on livelihood security and sustainable development of Tribal people. Primary data was collected from the Tribal people of Pachamalai hill situated in Tiruchirappalli district of Tamil Nadu. Most of the respondents were involved in the adoption of integrated farming system, but the components are based on size of land holding, economic conditions, knowledge, experience and interest of the respondent etc. Eight different components of Integrated farming system were considered in the study. Among them agriculture with backyard poultry, livestock and piggery which are adopted by most of the respondents. Farmers’ responded that integrated farming system has increased the economic yield per unit area by providing income to the farmers round the year, providing food, nutritional security and increasing input usage by the result of expected output. Hence, it is essential to create awareness to improve knowledge, skill and attitude regarding the adoption of more components of integrated farming system. Therefore it was concluded from the study that integrated farming system is a powerful multidimensional whole farm approach, which is very effective in solving many problems of achieving farmers’ livelihood security. Lack of awareness and technical knowledge, minimum credit facility, less reliable market, non availability of critical inputs and follow up etc. have been identified as the major constraints to promote integrated farming system in this area.

The Effects of Election Advertising Spending and Incumbency on the General Election Results in Great Britain: Critical Study

2021-08-24T09:31:07+00:00

This paper attempts to estimate the effect of campaign advertising expenditures on vote outcomes in Great Britain’s general election over 1992-2001. It uses an empirical method to estimate the impact of electoral campaign expenditures on votes, but also attempts to develop a signaling model in the election by estimating the relationship between campaign spending and quality signaling through incumbency status.

Specifically, this paper examines an empirical analysis of the impact of campaign expenditures on votes cast in the general elections in Great Britain. It extends Lee [1] to incorporate the incumbency and interactive effect. First, it includes candidate and party incumbency status into the benchmark model so as to estimate incumbency effects. Second, it includes an interaction term between candidate incumbency and candidate spending to estimate interactive effects. The main features of the estimation model are to assess the impact of campaign expenditures on votes by estimating incumbency and interactive effects on votes.

The Details of Organizational Level Performance of Agricultural Technology Management Agency (ATMA) under New Extension Reforms in the State of Assam

2021-08-24T09:33:37+00:00

The Agricultural Technology Management Agency (ATMA), defined as a semi-autonomous decentralized participatory and market-driven extension model represents a shift away from transferring technologies for major crops to diversifying output. As the ATMA programme is under operation in Assam for the last ten years, the researchable questions may arise about to what extent the functions of ATMA through cafeteria of activities at district level are achieved such as farmer oriented activities, farm information dissemination, agricultural technology refinement, validation and adoption (R-E-F-Linkage), administrative and capital expenses, innovative activities and other innovative activities etc. Keeping in view the broad aims of the ATMA and to find out relevant answers on the above stated questions, a study was carried out in three CSS-ATMA districts of Assam namely Kokrajhar, Bongaigaon and Goalpara in the year 2015-16 with a view to find out the organizational level performance of ATMA under new extension reforms. A purposive sampling method was followed to select the districts for the study. The result of the findings highlighted that the trend of achievement of cafeteria of activities as per ATMA guideline were below 50.00 per cent in the three consecutive years viz., 2013-14, 2014-15 and 2015-16 except in few activities where the achievement of activities under the heads “Agril. Technology Refinement, Validation and Adoption (R-E-F-Linkage)”, “Administrative/Capital Expenses” and “Innovative Activities”, were 62.50 per cent, 59.39 per cent and 50.03 per cent respectively in the year 2013-14. On the other hand, in the year 2014-15, the achievement of activities under the head “Other Innovative Activities” were 100.00 per cent.

Recent Perspectives of Integration, Inclusion, Development in the Financial Sector and Economic Growth Nexus in SADC: Empirical Review

2021-08-24T09:38:18+00:00

Aims: The study examines the relationship between financial development, integration, inclusion and economic growth.

Study Design: Empirical literature review.

Place and Duration of Study: Southern African Development Community (SADC), January 1980 to December 2011.

Conclusion: Empirical evidence suggests mixed effect of financial integration and inclusion on economic growth. While some studies argue that financial integration has positive impact on economic growth, others state that financial integration has a negative impact on economic growth. On the other hand, some studies consider sound financial development to be a pre-requisite for financial integration to have a positive impact on economic growth. Financial inclusion is believed to have a positive or negative impact on economic growth. Some studies ascertain that the positive growth impact from the financial inclusion does not hold in economies characterised by low financial development. Literature reveals that the direction of causality between financial development and economic growth is uncertain. The SADC region present a unique sample of countries where a lot of initiatives have been taken to embrace financial integration, inclusion and development through, for example, strategic plans, policy frameworks, protocols declarations, charters, as well as memoranda of understanding. In the SADC region, Botswana, Mauritius, Namibia and South Africa are the most banked countries. The types of financial intermediaries across SADC member states include central banks, commercial banks, money lenders, unit trust companies, pension funds, non-bank deposit-taking institutions, foreign exchange dealers, mutual banks, stock broking firms and primary dealers. Countries with no stock exchanges are Angola, Democratic Republic of Congo, Lesotho as well as Madagascar. South Africa exerts some influence on the financial sector performance in the region.