Search results

News algorithms not only help the authors to efficiently navigate the sea of available information, but also frame information in ways that influence public discourse and citizenship. Indeed, the likelihood that readers will be exposed to and read given news articles is structured into news algorithms. Thus, ensuring that news algorithms uphold journalistic values is crucial. In this regard, the purpose of this paper is to quantify journalistic values to make them readable by algorithms through taking an exploratory approach to a question that has not been previously investigated.

The author matched the textual indices (extracted from natural language processing/automated content analysis) with human conceptions of journalistic values (derived from survey analysis) by implementing partial least squares path modeling.

The results suggest that the numbers of words or quotes news articles contain have a strong association with the survey respondent assessments of their balance, diversity, importance and factuality. Linguistic polarization was an inverse indicator of respondents’ perception of balance, diversity and importance. While linguistic intensity was useful for gauging respondents’ perception of sensationalism, it was an ineffective indicator of importance and factuality. The numbers of adverbs and adjectives were useful for estimating respondents’ perceptions of factuality and sensationalism. In addition, the greater numbers of quotes, pair quotes and exclamation/question marks in news headlines were associated with respondents’ perception of lower journalistic values. The author also found that the assessment of journalistic values influences the perception of news credibility.

This study has implications for computational journalism, credibility research and news algorithm development.

It represents the first attempt to quantify human conceptions of journalistic values with textual indices.

Fake news represents a real risk for brands, particularly for firms selling essential products, such as food items. Despite this anecdotal acknowledgement, the dynamics of the relationship between fake news and brand reputation remain under-explored. The present study addresses this gap by examining the association of consumer values (universalism and openness to change), brand trust, fake news risk and system trust in the context of natural food products.

The study utilised a cross-sectional survey design and the mall-intercept method to collect data from 498 consumers of natural food residing in India. To test the hypotheses, which were grounded in the stimulus-organism-response (SOR) framework, the collected data were analysed using covariance-based structural equation modelling in SPSS AMOS. The conceptual model proposed universalism and openness to change as stimuli, brand trust as an internal state or organism and fake news risk – captured through the tendency of consumers to believe and act on fake news – as a response.

The findings support a positive association of universalism with brand trust and a negative association with fake news risk. In comparison, openness to change has no association with either brand trust or fake news risk. Brand trust, meanwhile, is negatively related to fake news, and this association is moderated by system trust. Furthermore, brand trust partially mediates the relationship between universalism value and fake news risk.

Notably, the present study is one of the first attempts to understand the fake news risk associated with natural food brands by utilising the SOR framework in an emerging market setting. The study provides interesting insights for policymakers, brands and consumers.

This study examined the impact of war/conflict-related news on the Russian and Ukrainian stock markets in the build-up and beginning of the war that sparked in the year 2022.

In order to examine the impact of war-related news on stock returns, data were gathered from the United States (US) and Russian stock indices, oil price and volatile index (VIX) from Yahoo.finance; Ukrainian stock values from pfts.ua website and daily related news retrieved from nexis.com were analysed. The data were gathered from January 1, 2022 to February 24, 2022. Seeming unrealated regressions (SUR) and exponential generalised autoregressive conditional heteroscedastic (EGARCH) models were carried out to determine the formulated correlations. This study controlled the oil price, US stock returns, Chicago Board Options Exchange (CBOE) VIX and difference in stock returns of Russia and Ukraine.

The results are presented two-fold: first, war-related news between the two countries enhanced volatility and caused a significant decline in the stock market indices for both countries. Second, the Russian stock market faced a steeper decline in the build-up and the actual beginning of the war than the Ukrainian stock market. Notably, the Russian markets feared the adverse economic consequences that stemmed from the sanctions the US and the Western world imposed.

As this study was based on early evidence, future studies with a longer window may provide better insights. This present study is restricted to the stock returns of the countries directly involved in the build-up towards war. Studies focusing on the impact of other asset classes, currencies, commodities and global stock markets might offer holistic insights.

The study outcomes suggest that global portfolio investors should stay away from stock markets of the war-raged countries and equity markets in general, but instead look for safe-haven assets.

The paper evaluates stock markets' performance during the pre-war period, considering the context of this historical war between the neighbours. It is important to understand this issue as this war is subject to sanctions by the US and leads to a global supply chain crisis.

Utilising a database that distinctly classifies firm-level ESG (environmental, social and governance) news sentiment as positive or negative, the authors examine the information flow between the two types of ESG news sentiment and stock returns for 20 companies listed on the Johannesburg Stock Exchange between 2015 and 2021.

The authors use Shannonian transfer entropy to examine whether information significantly flows from ESG news sentiment to stock returns and a modified event study analysis to establish how stock prices react to changes in the two types of ESG sentiment.

Using Shannonian transfer entropy, the authors find that for the majority of the companies studied, information flows from the positive ESG news sentiment to stock returns while only a minority of the companies exhibit significant information flow from negative ESG news sentiment to returns. Furthermore, the study’s findings show significantly positive (negative) abnormal returns on the event date and beyond for both upgrades and downgrades in positive ESG news sentiment.

This study is among the first in an African context to investigate the impact of ESG news sentiment on stock market returns at high frequencies.

The current natural language processing algorithms are still lacking in judgment criteria, and these approaches often require deep knowledge of political or social contexts. Seeing the damage done by the spreading of fake news in various sectors have attracted the attention of several low-level regional communities. However, such methods are widely developed for English language and low-resource languages remain unfocused. This study aims to provide analysis of Hindi fake news and develop a referral system with advanced techniques to identify fake news in Hindi.

The technique deployed in this model uses bidirectional long short-term memory (B-LSTM) as compared with other models like naïve bayes, logistic regression, random forest, support vector machine, decision tree classifier, kth nearest neighbor, gated recurrent unit and long short-term models.

The deep learning model such as B-LSTM yields an accuracy of 95.01%.

This study anticipates that this model will be a beneficial resource for building technologies to prevent the spreading of fake news and contribute to research with low resource languages.

Investor access to timely, financial resource consent information is problematic, consequently the purpose of this paper is to investigate the economic importance of New Zealand resource consent announcements to the stock exchange.

The authors apply event study methodology and cross‐sectional rank regression using a sample of resource consent announcements from 1993 to 2007.

Evidence of excess return volatility is found both on and before resource consent announcement dates. The results show that stock market reactions to resource consent announcements are positive for news of successes and negative for news of setbacks. Uncertainty associated with resource consent announcements appears to contribute to a delayed negative market response. In contrast, price reactions to announcements of resource consent success are immediate and significantly positive only when the news is concurrently disseminated via the media.

The findings imply that resource consent announcements are newsworthy and provide valuable information to the stock market regarding future regulatory compliance costs. Media dissemination is suggested to play an important role in the price‐adjustment process for news of resource consent successes. Given the increasing prominence of environmental compliance issues, the authors suggest that more informative disclosures regarding the types of consent(s) sought, the dollar value of expected compliance costs, expected time to gain consent, project investment costs and consent conditions imposed, would better assist investors to assess the economic impact of firm capital expenditures.

This study adds evidence to the literature on the role of environmental disclosures in disseminating information and reducing information asymmetry and offers suggestions to enhance the informativeness of environmental disseminations.

Recent research on local bias provides evidence that investors' portfolios include a non‐negligible allocation to stocks in firms that are geographically proximate to the investors. The reasons postulated for local bias include familiarity with firms, “word‐of‐mouth” communication effects, and ability to exploit local news. The purpose of this paper is to investigate the value‐relevance of local news, specifically earnings announcement surprises, in the context of the well‐documented local bias in investors' portfolios.

Using a hand‐collected panel dataset spanning 15 years of quarterly earnings announcements of publicly traded firms, abnormal stock returns engendered by earnings surprises based on local newspaper announcements are compared to those from earnings surprises based on financial analysts' forecasts (I/B/E/S).

In contrast to the case, when both sources of earnings surprises are negative, the authors find a statistically significant differential stock price effect in a sample where local firms' earnings announcements in the local newspaper signal positive earnings surprises, but the earnings surprise based on financial analysts' forecasts is negative. This result remains after controlling for time‐ and firm‐fixed effects. In additional tests, the authors establish that the result is predicated on a local firm's earnings announcement being reported in the local newspaper.

The paper's findings suggest that the results of empirical research on the information content of earnings surprises based solely on analysts' forecasts should be interpreted with caution. It was found that the stock price impact of earnings surprises is also significantly influenced by local newspaper reports of the announced quarterly earnings of local firms.

News research scholars define immediacy as constant news updating, whereas scholars in other fields conceptualize it more broadly as meaning closeness. The present study explicates the concept of immediacy and proposes a multidimensional notion of news immediacy that reflects physical and psychological closeness to the news.

A scale for measuring multifaceted immediacy was developed and tested in a between-subjects design experiment. Four dimensions were extracted from the analysis: transportation, involvement, vividness and timeliness.

The results reveal greater immediacy in online than print news contexts. Involvement is key to the experience of immediacy in both contexts; yet the feeling of being transported to the places of the news events was stronger among online than print news users. The latter relied more on vividness of the news presentation to attain closeness to the news.

Implications of the study were discussed.

The literature suggests that management discretion to adjust resources in response to changes in sales can create asymmetric cost behavior and management incentives to move stock prices can influence its decision to release management earnings forecasts (MEF). The purpose of this paper is to investigate the association between a firm’s degree of cost stickiness and its propensity to release MEF. The authors propose that both MEF and cost stickiness are influenced by management strategic choices and provide two possible explanations along with supportive evidence. First, when management is optimistic about future performance, it tends to increase both cost stickiness and is willing to disclose the optimistic expectations through MEF. Second, cost stickiness increases information asymmetry between management and investors, thus management tends to issue earnings forecast to mitigate the perceived information asymmetry.

The authors collect firm-level fundamental data from the COMPUSTAT database, and market data from the CRSP database during 2005 and 2016. The data used to measure variables related to institutional ownership and financial analysts are, respectively, obtained from the Thomson Reuters and the I/B/E/S databases. The quarterly MEF data are from two databases. The authors obtain the data before 2012 the from Thomson First Call’s Company Issued Guidance database and manually collect the data between 2012 and 2016 from the Bloomberg database for the largest 3,000 publicly traded US companies. The measurement of cost stickiness is based on the industry-level measurement developed by Anderson et al. (2003) and the firm-level measurements developed by Weiss (2010). The authors construct two measurements, management’s propensity to issue MEF and the frequency of MEF, to capture management’s voluntary disclosure strategy.

The analyses of a sample between year 2005 and 2016, indicate that the firm-level cost stickiness is positively associated with the firm’s propensity to issue MEF and the frequency of MEF. Moreover, the authors find that the level of cost stickiness is associated with more favorable earnings news forecasted by management. Additional tests suggest that both information asymmetry and managerial optimism may explain the relationship between cost stickiness and MEF. Finally, the authors find that the association between cost stickiness and MEF behaviors is more pronounced when the resource adjustment cost is high and when the firm efficiency is high. The results are robust after using alternative measurements of cost stickiness and MEF.

First, this paper attempts to build a bridge between managerial accounting and financial accounting by providing evidence of managerial incentives and discretions that affect both cost structure and earnings. The authors contribute to, and complement, prior studies that primarily disentangle the complicated accounting information system by focusing on either the internal information system or the external information system. Second, the paper complements prior studies that examine cost stickiness and its determinants of asymmetric cost behavior by providing additional evidence for the value-relevance of cost stickiness strategy and its link to MEF releases in mitigating information asymmetry. Third, the findings are also relevant to current debates among policymakers, academia and practitioners regarding modernization of mandatory and voluntary disclosures through discussing the managerial incentive behind the managerial disclosure strategies as reflected in MEF releases (SEC, 2013). Fourth, the authors provide evidence regarding management’s role in influencing cost asymmetry and MEF releases, which support the theoretical argument that management discretions affect the firms’ cost structure and MEF disclosures.

The purpose of this study is to provide insights into value creation within a newspaper consumption community, adding to current information research by demonstrating how an atypical consumption community can co-create value in ways different from those identified in extant research. The upheaval of the newspaper industry’s business model and value chain in the face of digitalisation has led to significant decreases in newspaper revenue. To stay successful in the modern digital climate, it is essential for newspapers to utilise the interactive features of Web 2.0 to find new value sources. To do so, it is necessary to focus not just on tangible financial value but also symbolic value. The study supports the notion that consumers collectively co-create value through consumption community practices.

Through the conduction of a netnographic exploration of active consumers on the Guardian website and interviews with passive consumers, the study’s aims of understanding co-creation in digitally facilitated newspaper consumption environment were achieved.

The findings have opened up new ways in which newspapers can harness value through consumption communities as well as suggesting the future scope of research. This study indicates that newspapers foster an atypical environment for the creation of a cohesive consumption community – something that has failed to be appreciated in extant information research – because their diverse content influences the formation of multiple community pools with members who do not always share the same beliefs. In addition, the study reveals that the Guardian’s online consumption community co-creates value without strict adherence to the prescribed contingencies set out in current literature. The findings uncover new patterns in community behaviour proving value to be created not just through their co-consumption but also through individual consumption.

This study contributes to discussions on how communities co-create value and how this differs with different article subjects (lifestyle and political and types of participants, both active and passive).