Search results

The purpose of this paper is to summarize different methods of constructing the financial conditions index (FCI) and analyze current studies on constructing FCI for China. Due to shifts of China’s financial mechanisms in the post-crisis era, conventional ways of FCI construction have their limitations.

The paper suggests improvements in two aspects, i.e. using time-varying weights and introducing non-financial variables. In the empirical study, the author first develops an FCI with fixed weights for comparison, constructs a post-crisis FCI based on time-varying parameter vector autoregressive model and finally examines the FCI with time-varying weights concerning its explanatory and predictive power for inflation.

Results suggest that the FCI with time-varying weights performs better than one with fixed weights and the former better reflects China’s financial conditions. Furthermore, introduction of credit availability improves the FCI.

FCI constructed in this paper goes ahead of inflation by about 11 months, and it has strong explanatory and predictive power for inflation. Constructing an appropriate FCI is important for improving the effectiveness and predictive power of the post-crisis monetary policy and foe achieving both economic and financial stability.

According to the market timing theory, firms try to take advantage of windows of opportunity to raise capital by exploiting temporary cost fluctuations of alternative financing sources. In this context, the main objective of this paper is to examine the influence and persistence of market timing in the financing decisions of Brazilian firms that launched IPOs in the period from 2001 to 2011.

We analyze the influence of past market values on the capital structure of these firms, based on the main models proposed by Baker and Wurgler (2002), adapted to reflect the characteristics of Brazilian firms’ financial statements.

We find evidence of market timing, but this behavior is not sufficiently persistent in the period studied to the point of determining these firms’ capital structure. We believe the fact that Brazilian companies rarely carried out follow-on primary equity issues after floating their capital in the period analyzed, due to the presence of more advantageous financing sources (particularly from the national development bank, BNDES), explains the results. Therefore, Brazilian firms appear to be pay heed to different funding sources, in search of windows of opportunity, to guide their financing decisions and determine their capital structures.

The Brazilian capital market has been developing intensely in recent years, making it increasingly relevant to analyze the financing and investment decisions of the country’s listed companies. The Brazilian literature on capital structure is extensive, but few works have addressed the issue of market timing.

This paper aims to develop and implement a new approach of ranking countries according to their level of economic competitiveness.

Competitiveness is conceptualized as the degree of participation in global integration, measured by the levels of exports, capital inflows and immigration. Based on a wide range of development indicators, composite indicators are constructed by means of a principal component analysis. In turn, these composites enter a canonical correlation analysis and estimated canonical weights are used as weights in the calculation of index scores.

Measures of institutional and political quality are shown to be most closely connected to a country’s ability to export and to attract foreign factors of production. Inflows of foreign capital turn out to correlate much less with our weighting composites than export volumes.

Regarding prospects for future research, a broad range of further applications of this approach in the macro area is conceivable, including measures of a country’s quality of schooling, the quality of its health care system or of its governmental institutions.

In comparison to prevailing macroeconomic indices, this method of index construction is superior in at least two respects. First, direct measures of a country’s performance are methodologically separated from mere performance drivers, contributing to higher clarity concerning the concept to be measured. Second, weights of performance drivers are not determined arbitrarily or based on subjective judgment, but emerge from a transparent and well-established statistical procedure.

In order to improve the comprehensive evaluation level of shield tunnel structure health, taking a subway tunnel section as an example, and combined with the onsite measured data, such as regular inspection, health monitoring and disease remediation, this paper introduces the variable weight theory to improve the traditional fixed-weight evaluation method from structural deformation, current durability and disease status.

Considering the influence of the fluctuation of each index value on the index weight, a comprehensive structural health evaluation model of shield tunnel based on an improved variable weight matter-element extension model is proposed.

Compared with the traditional fixed-weight evaluation method, this model can correct the evaluation distortion caused by the fluctuation of index value and has optimal effect.

The sensitive analysis shows that several key indicators of the main threats to tunnel structure are obtained to improve the efficiency of operation, maintenance and management of shield tunnel structure.

We estimate the parental investment response to the child endowment at birth, by analysing the effect of child birth weight on the hours worked by the mother two years after birth. Mother’s working hours soon after child birth are a measure of investments in their children as a decrease (increase) in hours raises (lowers) her time investment in the child. The child birth endowment is endogenously determined in part by unobserved traits of parents, such as investments during pregnancy. We adopt an instrumental variables estimation. Our instrumental variables are measures of the father’s health endowment at birth, which drive child birth weight through genetic transmission but does not affect directly the mother’s postnatal investments, conditional on maternal and paternal human capital and prenatal investments. We find an inverted U-shape relationship between mothers worked hours and birth weight, suggesting that both low and extremely high child birth weight are associated with child health issues for which mothers compensate by reducing their labour supply. The mother’s compensating response to child birth weight seems slightly attenuated for second and later born children. Our study contributes to the literature on the response of parental investments to child’s health at birth by proposing new and more credible instrumental variables for the child health endowment at birth and allowing for a heterogeneous response of the mother’s investment for first born and later born children.

As an economic development strategy, entrepreneurship policies should target innovative activities – those which Schumpeter described as leading to new goods, production methods, markets, input sources, or new industries. However, popular entrepreneurship proxies, such as firm births (<500 employees) and sole proprietorships, capture multiple types of entrepreneurship which may have conflicting qualities. To address the need for more accurate measures of Schumpeterian activity, indices are constructed to specifically measure the relative amount of Schumpeterian activity among US states. The paper aims to discuss these issues.

Four composite indices of Schumpeterian activity are constructed using different methods to combine variables related to innovative activity into single indicator, since there is uncertainty about the weighting of dimensions: principal component analysis (PCA), factor analysis (FA), data envelopment analysis and equal weights. Robustness checks were used to compare state rankings across indices. These indices were also compared to common entrepreneurship proxies and real GDP to demonstrate and justify their measurement of Schumpeterian activity.

The results show that the Schumpeterian Activity Indices (SAIs) similarly rank states and measure phenomena different from the common proxies of entrepreneurship. Furthermore, these indices better predict GDP than the common proxies. Lastly, state rankings based upon the SAIs support previous research suggesting that innovation and agglomeration economies are interrelated.

The paper demonstrates a methodology for constructing a measure of innovative activity, which is necessary to develop and evaluate entrepreneurship policy for economic development.

To maintain the bottom line of food import risk in China, this paper proposes a novel risk state evaluation model based on bottom-line thinking after analyzing the decision-making ideas embedded in the bottom-line thinking method.

First, the order relation analysis method (G1 method) and Laplacian score (LS) are applied to calculate the constant weights of indexes. Then, the worst-case scenario of food import risk can be estimated to strive for the best result, so the penalty state variable weight function is introduced to obtain variable weights of indexes. Finally, the study measures the risk state of China's food import from the overall situation using the set pair analysis (SPA) method and identifies the key factors affecting food import risk.

The risk states of food supply in eight countries are in the state of average potential and partial back potential as a whole. The results indicate that China's food import risks are at medium and upper-medium risk levels in most years, fluctuating slightly from 2010 to 2020. In addition, some factors are diagnosed as the primary control objects for holding the bottom line of food import risk in China, including food output level, food export capacity, bilateral relationship and political risk.

This paper proposes a novel risk state evaluation model following bottom-line thinking for food import risk in China. Besides, SPA is first applied to the risk evaluation of food import, expanding the application field of the SPA method.

Current literature presents limited measurement methods of quantifying manufacturers' performance with environmental concerns. The purpose of this paper is to construct a company performance index for benchmarking motor vehicle manufacturers (MVMs) with environmental concerns.

Methods of constructing the index include regression analysis, a modified linear method for normalizing variables and a geometric mean for aggregating variables into a single index I_MVM (index for MVMs). A case study is conducted in 12 MVMs from 2008 to 2017. A sensitivity analysis with the simple additive weighting method is performed to analyze how different aggregation methods affect the final value. The index I_MVM is assessed through a benchmark with three existing indices.

Three realistic considerations are identified from MVMs, based on which proper and transparent methods are chosen to construct the I_MVM. The construction of the index I_MVM has been assessed through a benchmark against the methodologies of three other indices. The results indicate that the new measurement is feasible and effective for MVMs to measure their company performance from an environmental perspective.

The construction of the index I_MVM can support policymakers with accurate statistics for decision-making. As a response to current imperative climate policies, this paper raises awareness of CO₂ emissions in vehicles' production. For statistical organizations and stakeholders in the investment world, this paper provides available and reliable statistics for trend analysis of different MVMs.

A new method is designed for constructing a company performance index for MVMs. Three environmental variables are identified based on literature, their environmental impact as well as their data availability from public documents. A ranking by manufacturer with environmental concerns is generated. This index can contribute with available statistics and useful insights toward decision-making.

Obesity and obesity-related health problems are a growing concern for many immigrants in the USA. The literature that examines the linkages between acculturation, resilience, obesity health risks, and obesity outcomes among Black African immigrants is sparse. The purpose of this paper is to ascertain whether the predictor variable of acculturation showed a significant association with two criterion variables, obesity health risk symptoms, and obesity; and whether resilience acted as a moderator between acculturation, obesity health risk symptoms, and obesity among Black African immigrants living in the USA.

The study consisted of a quantitative correlational survey research design. Participants of the study were 55 Black African immigrants residing in three metropolitan areas of the USA.

Higher levels of acculturation were associated with fewer obesity health risks. Higher levels of resilience were associated with the fewest obesity health risks when the participant also had high-acculturation levels. Resilience moderated between acculturation and obesity health risk symptoms. Neither acculturation nor resilience significantly predicted obesity. Furthermore, resilience did not moderate between acculturation and obesity.

A primary limitation was the very small sample size of the study. Future research would be needed to examine the overall determinants of obesity among immigrant populations. Furthermore, one limitation is that some of the questions on the Weight-Related Symptom Measure (Patrick et al., 2004) were sensitive in nature, and participants might have felt uncomfortable providing information about their weight. As a result, while self-reporting, they could have underestimated their body mass index status. For example, individuals who were already overweight or obese might have reported their body weights with lower accuracy than those who were of normal weight, thereby creating error in the dependent variable.

Results from this study will help to promote health initiatives in Black African immigrant communities to link individuals to needed healthcare services.

The literature that examines the linkages between acculturation, resilience, obesity health risks, and obesity outcomes among Black African immigrants is sparse. This study is the first to use the Reserve Capacity Model for a sample of Black African immigrants.