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1 – 10 of 70Adriaan Schout and Arnout Mijs
This chapter provides a framework for organisational analysis of the newly created position of ‘independent’ Commissioner, especially whether it is sufficiently backed by…
Abstract
Purpose
This chapter provides a framework for organisational analysis of the newly created position of ‘independent’ Commissioner, especially whether it is sufficiently backed by administrative capacities.
Methodology/approach
In the many variables that determine organisational behaviour (Mintzberg, 1989), this approach follows Olsen (2005) in its analysis through communication structures and strategic directions, and adds procedures (networks) and personnel to this. The chapter is primarily based on interview data in addition to literature and document analysis.
Findings
This chapter acknowledges the ‘stickiness’ of institutions and the difficulties in reorganising (formal) institutions. The conclusion shows that there are multiple problems in the current process of institutionalisation of the independent Commissioner. Generalising the findings to the use of an administrative approach, the frugal framework used here indicates that ‘independence’ cannot simply be proclaimed but also demands attentions for organisation design. Organisational analysis helps to understand the organisation and the organisational weaknesses behind the policy objective.
Research implications
As is often the case with MLG it gives a perspective on governance, but must be complemented with an approach for analysis, in this case organisational design. In the chapter the approach is limited to organisational values, personnel and communication lines. It provides a basic framework to evaluate one of the key elements of European integration – independence. However, additional work is needed to further develop this framework as well as other components of the organisational behaviour of the Commission.
Practical implications
This chapter comes up with suggestions for organisational redesign of the Commission in order to restore trust in its tasks and responsibilities. With the instalment of the new Juncker Commission these findings might provide useful insights for the ongoing process of reorganisation of the Commission.
Social implications
The new economic legislation and the role of the independent Commissioner have a direct impact on member state budgets (cuts), with a far reaching societal impact. Therefore, the level of (public) trust is critical in the acceptance of the process. Trust is established inter alia by the organisational implementation of principles of good administrative behaviour such as transparency, capability, independence, etc.
Originality/value
The chapter uses the MLG perspective in order to get a comprehensive picture of the organisational implications to effectively embed the ‘independent’ Commissioner in the organisation. The added value is based on the extensive amount of interviews over a longer period of time (2011–2014) during the operationalisation of the European semester.
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Ilias Lekkos, Irini Staggel, Konstantinos Kefalas and Paraskevi Vlachou
– The aim of the paper is to discuss developments in non-residential real estate in Greece.
Abstract
Purpose
The aim of the paper is to discuss developments in non-residential real estate in Greece.
Design/methodology/approach
Given the lack of existing literature, the authors start by discussing at length the data sources available, and analyzing the stylized facts of non-residential real estate activity in Greece. Finally, the authors examine the degree of covariation (using the index of concordance methodology) between non-residential real estate and the business cycle.
Findings
The results indicate that the structure of non-residential sector is highly fragmented into various sub-categories and at the initial stages of its developments, it was strongly affected by the preparations for the 2004 Athens Olympic Games. Finally, despite its small share of total GDP, non-residential real estate exhibits a significant degree of covariation with the business cycle.
Practical implications
The extracted information may be a useful resource for those interested in the developments in non-residential real estate in Greece and the covariation of key variables with the business cycle.
Originality/value
The paper constitutes a systematic research approach for the role of non-residential real estate in the Greek economic activity.
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Catherine Doz and Anna Petronevich
Several official institutions (NBER, OECD, CEPR, and others) provide business cycle chronologies with lags ranging from three months to several years. In this paper, we propose a…
Abstract
Several official institutions (NBER, OECD, CEPR, and others) provide business cycle chronologies with lags ranging from three months to several years. In this paper, we propose a Markov-switching dynamic factor model that allows for a more timely estimation of turning points. We apply one-step and two-step estimation approaches to French data and compare their performance. One-step maximum likelihood estimation is confined to relatively small data sets, whereas two-step approach that uses principal components can accommodate much bigger information sets. We find that both methods give qualitatively similar results and agree with the OECD dating of recessions on a sample of monthly data covering the period 1993–2014. The two-step method is more precise in determining the beginnings and ends of recessions as given by the OECD. Both methods indicate additional downturns in the French economy that were too short to enter the OECD chronology.
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The purpose of this paper is to examine the effect of investor sentiment on share returns, exploring whether this effect is different for public family and non-family firms.
Abstract
Purpose
The purpose of this paper is to examine the effect of investor sentiment on share returns, exploring whether this effect is different for public family and non-family firms.
Design/methodology/approach
The author uses the European Economic Sentiment Indicator data, from Directorate General for Economic and Financial Affairs as a proxy for investor sentiment and focused on the share returns of family and non-family firms, using panel data methodology.
Findings
Using data from listed family and non-family firms for the period between 1999 and 2011, in accordance with behavioural finance theory, the results indicate that there is a negative relationship between sentiment and share returns. In addition, the author found no difference between family and non-family firms in what concerns the effect of sentiment on share returns. The evidence also suggests that young, large and medium growth firms are most affected by sentiment. Finally, the results suggest that the evidence concerning the relationship between sentiment and returns is sensitive to the proxy used to measure the sentiment.
Research limitations/implications
A limitation of this study is the small size of the sample, which is due to the small size of the Portuguese stock market, the Euronext Lisbon.
Originality/value
This paper offers some insights into the effect of investor sentiment on the share returns in the context of public family firms, a strand of finance that is scarcely developed. It also contributes to the analysis of a small European country, with a high concentration of equity ownership.
Propósito
El propósito de este trabajo es examinar el efecto de la confianza de los inversores en las acciones devoluciones, explorando si este efecto es diferente para las empresas familiares públicas y no familiares.
Diseño/metodología/enfoque
Utilizamos los datos de los indicadores de sentimiento económico de Europa, de la Dirección General de Asuntos Económicos y Financieros (DG ECFIN) como sustituto de la confianza de los inversores y se centran en la cuota de los retornos de las empresas familiares y no familiares, utilizando datos de panel metodología.
Conclusiones
El uso de los datos de las empresas que figuran familiares y no familiares para el período entre 1999 y 2011, los resultados indican que no existe una relación entre el sentimiento y la cuota de retorno, que está de acuerdo con la teoría financiera estándar, que predice que los precios de las acciones reflejan el descuento valor de los flujos de caja esperados y que la irracionalidad de los inversores se eliminan por árbitros. Además, no encontramos ninguna diferencia entre las empresas familiares y no familiares en lo que se refiere al efecto de la confianza en las acciones devoluciones. Por último, la evidencia sugiere que las grandes empresas y las empresas que pagan dividendos son los más afectados por el sentimiento.
Limitaciones investigación/implicaciones
Una limitación de este estudio es el pequeño tamaño de la muestra, que se deriva del pequeño tamaño del mercado de valores portugués, la Euronext Lisbon.
Originalidad/valor
Este artículo ofrece algunas ideas sobre el efecto de la confianza de los inversores en la cuota de rentabilidad en el contexto de las empresas familiares públicos, un mechón de financiación que apenas se desarrolla, y contribuye al análisis de un pequeño país europeo, con alta concentración de participación en el capital.
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The purpose of this paper is to examine the effect of investor sentiment (ISENT) on the market reaction to dividend change announcements.
Abstract
Purpose
The purpose of this paper is to examine the effect of investor sentiment (ISENT) on the market reaction to dividend change announcements.
Design/methodology/approach
The author used the European Economic Sentiment Indicator data, from Directorate General for Economic and Financial Affairs, as a proxy for ISENT and focus on the market reaction to dividend change announcements, using panel data methodology.
Findings
Using data from three European markets, the results indicate that ISENT has some influence on the market reaction to dividend change announcements, for two of the three analysed markets. Globally, no evidence was found of ISENT influencing the market reaction to dividend change announcements for the Portuguese market. However, evidence was found that the positive share price reaction to dividend increases enlarges with sentiment, in the case of the UK markets, whereas the negative share price reaction to dividend decreases reduces with sentiment, in the French market.
Research limitations/implications
The author had no access to dividend forecasts, so, the findings are based on naïve dividend changes and not unexpected change dividends.
Originality/value
This paper offers some insights on the effect of ISENT on the market reaction to firms' news, a strand of finance that is scarcely developed and contributes to the analysis of European markets that are in need of research. To the best of the author's knowledge, this is the first study to analyse the effect of ISENT on the market reaction to dividend news, in the context of European markets.
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Jinjing Li, Cathal O’Donoghue, Jason Loughrey and Ann Harding
Yusaf Akbar is Associate Professor of International Business at the Southern New Hampshire University, United States. His teaching and research interests are in foreign direct…
Abstract
Yusaf Akbar is Associate Professor of International Business at the Southern New Hampshire University, United States. His teaching and research interests are in foreign direct investment, public policy and strategy, and his geographical area interests are in East and Central Europe. He has published widely in peer-reviewed journals including Journal of World Business, Thunderbird International Business Review and World Competition. Yusaf has been Visiting Professor at various schools around the world, including the American University in Bulgaria, ESSCA, the KMBS, the MIB School of Management-Trieste, and Thunderbird.
Dorra Messaoud and Anis Ben Amar
Based on the theoretical framework, this paper analyzes the sentiment-herding relationship in emerging stock markets (ESMs). First, it aims to examine the effect of investor…
Abstract
Purpose
Based on the theoretical framework, this paper analyzes the sentiment-herding relationship in emerging stock markets (ESMs). First, it aims to examine the effect of investor sentiment on herding. Second, it seeks the direction of causality between sentiment and herding time series.
Design/methodology/approach
The present study applies the Exponential Generalized Auto_Regressive Conditional Heteroskedasticity (EGARCH) model to capture the volatility clustering of herding on the financial market and to investigate the role of the investor sentiment on herding behaviour. Then the vector autoregression (VAR) estimation uses the Granger causality test to determine the direction of causality between the investor sentiment and herding. This study uses a sample consisting of stocks listed on the Shanghai Composite index (SSE) (348 stocks), the Jakarta composite index (JKSE) (118 stocks), the Mexico IPC index (14 stocks), the Russian Trading System index (RTS) (12 stocks), the Warsaw stock exchange General index (WGI) (106 stocks) and the FTSE/JSE Africa all-share index (76 stocks). The sample includes 5,020 daily observations from February 1, 2002, to March 31, 2021.
Findings
The research findings show that the sentiment has a significant negative impact on the herding behaviour pointing out that the higher the investor sentiment, the lower the herding. However, the results of the present study indicate that a higher investor sentiment conducts a higher herding behaviour during market downturns. Then the outcomes suggest that during the crisis period, the direction is one-way, from the investor sentiment to the herding behaviour.
Practical implications
The findings may have implications for universal policies of financial regulators in EMs. We have found evidence that the Emerging investor sentiment contributes to the investor herding behaviour. Therefore, the irrational investor herding behaviour can increase the stock market volatility, and in extreme cases, it may lead to bubbles and crashes. Market regulators could implement mechanisms that can supervise the investor sentiment and predict the investor herding behaviour, so they make policies helping stabilise stock markets.
Originality/value
The originality of this paper lies in investigate the sentiment-herding relationship during the Surprime crisis and the Covid-19 epidemic in the EMs.
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This chapter frames the digital age transformation journey for sustainability from the lenses of transformation skills and competencies required for future work. It provides a…
Abstract
This chapter frames the digital age transformation journey for sustainability from the lenses of transformation skills and competencies required for future work. It provides a synopsis of the digital transformation considering digital technologies, connecting digital transformation to future work and reflections on the new digital age to sustainability issues. In detail, this chapter comprehensively reviews digital technologies transformation skills, including digital skills and integrated skills for the digital economy linked to integrated skills. This chapter takes into consideration the possible effects from a competency point of view from the domains on issues like: global independence, trust, a shift in skills and ways of work, commitment to justice, improving the know-how, financial inclusion, data and data privacy that are critical imperatives for sustainability. Developing a digital economy requires integrated sustainable development competencies; this chapter considers combined skills for digital transformation in triple connecting points of human skills, business skills and digital building blocks skills to argue for sustainability. Because attaining Sustainable Development Goals (SDGs) requires input from different quotas globally, sustainable competencies are needed to ensure individuals work cohesively through new-age digital technologies. This chapter further highlights emerging competencies such as critical thinking, appreciative equity, open communication and acting on collective well-being as imperatives transforming digital disruptions. The final section of this chapter puts into perspective the implication of required digital technologies for the future of work and its significance on the need to reskill and retool. It concludes by reflecting on opportunities and challenges for crucial consideration towards creating a sustainable digital age.
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