The renminbi (RMB) has evolved in four phases since its mid-2005 unpegging from the US dollar. After a year's transition, the RMB's effective exchange rate traded for two…
The renminbi (RMB) has evolved in four phases since its mid-2005 unpegging from the US dollar. After a year's transition, the RMB's effective exchange rate traded for two years within narrow bands around an appreciating trend. That is, the RMB behaved as if it were managed to strengthen gradually against trading partners’ currencies. This experiment was interrupted in mid-2008 and the RMB stabilized against a strong dollar amidst the global financial crisis. If Chinese policy were to return to effective currency stability and other East Asian countries were to pursue similar policies, regional currency stability would be enhanced. That would create more favorable conditions for an evolution towards monetary cooperation.
We investigate fluctuations in the nominal effective exchange rates (NEERs) of East Asian currencies and the Asian monetary unit (AMU), which is computed as a weighted…
We investigate fluctuations in the nominal effective exchange rates (NEERs) of East Asian currencies and the Asian monetary unit (AMU), which is computed as a weighted average of East Asian currencies during the global financial crisis. We find that NEERs were more stable for countries that continued to follow a currency basket system during the global financial crisis.
Furthermore, we investigate the relationships among NEERs, AMU, and AMU deviation indicators, which indicate the extent of the deviation in the exchange rate of each East Asian currency from a benchmark rate given in terms of the AMU. By comparing NEERs with a combination of AMU and AMU deviation indicators, we find that there is a strong relationship between them, both before and after the global financial crisis. These results indicate that a coordinated exchange rate policy aimed at stabilizing the AMU deviation indicators will be effective in stabilizing the NEERs of East Asian currencies. In this respect, the AMU deviation indicators, which indicate intraregional exchange rates among East Asian currencies, play a crucial role.
Because NEER trade weights are widely similar among East Asian currencies, a policy aimed at stabilizing a home currency against its NEER may lead to a coordinated exchange rate policy without a common consensus among East Asian countries. In the future, however, coordinated monetary policies should be considered along with coordinated exchange rate policies.
- Asian monetary unit (AMU)
- AMU deviation indicator
- de facto US dollar peg system
- currency basket system
- nominal effective exchange rate (NEER)
- coordinated exchange rate policy
- the Chiang Mai Initiative
- trade weight
- GDP measured at PPP
- European currency unit (ECU)
- implicit basket weights
- currency regime
- European monetary system (EMS)
This chapter analyses the impact of the global credit crisis on the money market and discusses its potential implications. The turbulence in money markets has spilled over…
This chapter analyses the impact of the global credit crisis on the money market and discusses its potential implications. The turbulence in money markets has spilled over to foreign exchange (FX)-swap markets amid a reappraisal of counterparty risks during the recent financial turmoil. We examine the situations of six currencies: the euro, the British pound, the Australian dollar, the Japanese yen, the Hong Kong dollar, and the Singapore dollar. We find that (i) the risk premiums have indeed gone in tandem with the spreads of money market rates over their corresponding overnight index swaps across the economies, a popular measure of potential banking insolvency; and (ii) the risk premiums bear a negative relationship with the strength of the spot rates of the respective currencies, which is consistent with the increased pressure in the money and swap markets.
The previous literature has often focussed on Asian migrants’ acculturation to western cultures with data collected in the western contexts. The purpose of this paper is…
The previous literature has often focussed on Asian migrants’ acculturation to western cultures with data collected in the western contexts. The purpose of this paper is to explore western consumers’ acculturation to East Asian cultures and their consumption behaviour, which fulfils the research scarcity in this area.
This study was conducted via carrying out in-depth interviews with 18 British sojourners in China, exploring how they acculturated to Chinese culture, with a particular focus on their food and media consumption choices. This study applied inductive qualitative data analysis to build on but explore beyond existing theory.
The findings show that British consumers display a diversified acculturation strategy towards different products. They present an integrative approach to food consumption with a negotiable identity to host culture value whilst they adopt a separated approach relating to traditional media consumption, showing a non-negotiable consumption stance. They apply an assimilated approach for pragmatic reasons in terms of social media adoption.
British sojourners in China hold a different cultural stance in different areas of consumption. The study contributes to existing theory by arguing the complexity of a continuous negotiation process between different value systems in sojourning consumers’ consumption choices, which existing acculturation models have not yet examined. By emphasising the context speciality, the findings give marketers clear marketing implications when targeting sojourning consumers who declare their value stance via consumption practice.
The purpose of this paper is to systematically review the literature on entrepreneurship education (EE) in the Asia Pacific spanning a ten-year publishing period. The…
The purpose of this paper is to systematically review the literature on entrepreneurship education (EE) in the Asia Pacific spanning a ten-year publishing period. The results of previous EE research are summarily analyzed and the key themes are critically addressed.
This paper presents a systematic literature review of EE articles published from 2007 to 2016 in peer-reviewed, English-speaking journals that are available on the Scopus database. Frequency, bibliometrical data, and research content of the literature review are analyzed.
Research in this area is experiencing a steady growth, and a small percentage of scholars or countries in the Asia Pacific are found to make significant contributions to a body of knowledge on EE. The findings also show that the majority of studies lack theoretical legitimacy on the definition of EE and its underpinning theories; however, some articles consider an institutional or contextual perspective on EE, present individual-centered pedagogy in a traditional educational context, or indicate the intertwined connections between EE initiatives and economic growth. Thus, the findings manifest EE research in the Asia Pacific as relatively limited across research agenda, viewpoints, and levels.
Based on the discussion on key themes, a multi-faceted and multi-tier perspective and a longitudinal study are suggested to provide broader and deeper understanding of the complexities in EE provision and its role in the relationship with national entrepreneurship. Thus, the gap between Western/Asian research contexts and enabling a common evolving body of knowledge can be bridged.
This study provides valuable insights that can aid educators and policymakers to establish and improve EE design and operations. This study would benefit EE systems in countries of the Asia Pacific region and should improve their practical outcomes. The relevance of integrating functional, personality, and behavioral views into EE development seems difficult but is suitable for EE advancements, thereby boosting the acceptance of entrepreneurship in society and subsequently impacting the economic development of a country.
This study is the first literature review on EE research in the Asia Pacific; it provides a summary analysis of the current state of EE and future directions in theory and practice.
The purpose of this paper is to ascertain whether weather variables can explain the stock return reaction on the Dow Jones Sustainability Europe Index by employing a…
The purpose of this paper is to ascertain whether weather variables can explain the stock return reaction on the Dow Jones Sustainability Europe Index by employing a number of macroeconomic indicators as control variables.
The authors incorporate the generalized autogressive conditional heteroskeasticity model in methodology for the period August 26, 2009 to May 30, 2014 using daily data.
The empirical results indicate that not only do changes in humidity and wind levels seem to affect positively the European stock market but changes in returns oil and gold prices as well. However, the results show that the volatility of the US dollar/Yen exchange rate and ten-year bond value exerts significant negative impact on companies’ stock returns.
This study adds to the international literature by documenting the impact of weather variables on socially responsible companies.
Present some empirical evidence on long‐run Purchasing Power Parity(PPP) using a sample of annual data covering the period 1900‐1987.Three exchange rates are used in the…
Present some empirical evidence on long‐run Purchasing Power Parity (PPP) using a sample of annual data covering the period 1900‐1987. Three exchange rates are used in the analysis: the dollar, yen and French franc against the pound. It is shown that PPP does hold in the long run and that is some evidence for the proportionality and symmetry restrictions. Evidence for exclusiveness is mixed and the results are influenced by model specification. Estimates of error‐correction models show that there are substantial short‐run deviation from PPP that take two to three years to correct.
The concept and practice of e-services has become essential in business transactions. Yet there are still many organizations that have not developed e-services optimally…
The concept and practice of e-services has become essential in business transactions. Yet there are still many organizations that have not developed e-services optimally. This is especially relevant in the context of Indonesian Airline companies. Therefore, many airline customers in Indonesia are still in doubt about it, or even do not use it. To fill this gap, this study attempts to develop a model for e-services adoption and empirically examines the factors influencing the airlines customers in Indonesia in using e-services offered by the Indonesian airline companies. Taking six Indonesian airline companies as a case example, the study investigated the antecedents of e-services usage of Indonesian airlines. This study further examined the impacts of motivation on customers in using e-services in the Indonesian context. Another important aim of this study was to investigate how ages, experiences and geographical areas moderate effects of e-services usage.
The study adopts a positivist research paradigm with a two-phase sequential mixed method design involving qualitative and quantitative approaches. An initial research model was first developed based on an extensive literature review, by combining acceptance and use of information technology theories, expectancy theory and the inter-organizational system motivation models. A qualitative field study via semi-structured interviews was then conducted to explore the present state among 15 respondents. The results of the interviews were analysed using content analysis yielding the final model of e-services usage. Eighteen antecedent factors hypotheses and three moderating factors hypotheses and 52-item questionnaire were developed. A focus group discussion of five respondents and a pilot study of 59 respondents resulted in final version of the questionnaire.
In the second phase, the main survey was conducted nationally to collect the research data among Indonesian airline customers who had already used Indonesian airline e-services. A total of 819 valid questionnaires were obtained. The data was then analysed using a partial least square (PLS) based structural equation modelling (SEM) technique to produce the contributions of links in the e-services model (22% of all the variances in e-services usage, 37.8% in intention to use, 46.6% in motivation, 39.2% in outcome expectancy, and 37.7% in effort expectancy). Meanwhile, path coefficients and t-values demonstrated various different influences of antecedent factors towards e-services usage. Additionally, a multi-group analysis based on PLS is employed with mixed results. In the final findings, 14 hypotheses were supported and 7 hypotheses were not supported.
The major findings of this study have confirmed that motivation has the strongest contribution in e-services usage. In addition, motivation affects e-services usage both directly and indirectly through intention-to-use. This study provides contributions to the existing knowledge of e-services models, and practical applications of IT usage. Most importantly, an understanding of antecedents of e-services adoption will provide guidelines for stakeholders in developing better e-services and strategies in order to promote and encourage more customers to use e-services. Finally, the accomplishment of this study can be expanded through possible adaptations in other industries and other geographical contexts.
The purpose of this paper is to look inside the “black box” in corporate governance (CG) measurement, and shed some light on how to construct a transparent, reliable and…
The purpose of this paper is to look inside the “black box” in corporate governance (CG) measurement, and shed some light on how to construct a transparent, reliable and valid index, considering equally both the academics and practitioners’ perspectives.
A synthesized literature review is presented and a CG index is developed combining the strengths of three different methodologies: the Delphi method, the classical test theory (CTT) and the analytic hierarchy process (AHP). This approach helps authors to break the process into separate steps and to select the appropriate techniques to support their decision regarding the norms, the criteria, the variables and the weights that someone should use to construct a CG index.
The authors’ analysis indicates that a well-designed CG index requires a combination of research methods to identify the best options to solve several methodological issues in index construction. For the application of this multi-methodology in Greece, the authors used two equal and independent samples to explore the different perspectives regarding the importance of the index criteria and sub-criteria. This process provides evidence that the opinion of academics and practitioners in Greece tend to converge. Moreover, it is found that this multi-methodology produces the highest variation in CG scores and ranking orders, as opposed to a traditional approach, in measuring CG disclosure, an important issue with econometric implications.
The limitations of this study are associated with the methods used.
This paper provides practical implications for investors and commercial vendors. For the former, it highlights the need to be more cautious and/or suspicious when they use CG ratings, meaning that they should comprehend the base of the ratings models, and for the latter, it demonstrates the importance of enhancing the transparency in CG indices construction.
The value of the paper lies in improved understanding of the methodological issues in constructing CG indices. This is quite interesting because this approach could serve as a roadmap for other researchers.
Drawing on institutional complexity, this study aims to explore the interaction effect of formal and informal institutional forces on the adoption of green supplier…
Drawing on institutional complexity, this study aims to explore the interaction effect of formal and informal institutional forces on the adoption of green supplier collaboration (GSC) practices by Chinese manufacturing firms.
The paper hypothesises that the effect of the formal institutional forces on GSC in China is influenced by an informal institutional variable, guanxi, which is the interpersonal relationship between employees of the supplier and the manufacturer. To test the conceptual framework, hierarchical moderated regression analyses are conducted using multi-respondent data from 408 randomly sampled manufacturing companies in China.
Guanxi has a double-edged sword effect on the adoption of GSC practices. Specifically, guanxi reduces the negative impact of the perceived costs and the complexity of regulations on the adoption of GSC practices, but it also weakens the positive effect of suppliers’ advice and community pressures on the adoption of GSC practices.
Results contribute to supply chain management literature by offering novel theoretical and empirical insights on the Chinese institutional environment governed by both formal and informal institutional variables.
Considering guanxi’s double-edged sword effect on the adoption of GSC, manufacturing companies are advised to carefully leverage their guanxi to maintain an institutional and contingent view of the environmental consequences in China.
This study empirically examines the effect of formal and informal institutional environments on the adoption of GSC practices in emerging economies.