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21 – 30 of over 18000Santanu Mitra, Mahmud Hossain and Barry R. Marks
The purpose of the paper is to examine the association between the corporate ownership characteristics and the timely remediation of internal control weaknesses over financial…
Abstract
Purpose
The purpose of the paper is to examine the association between the corporate ownership characteristics and the timely remediation of internal control weaknesses over financial reporting under Section 404 of the Sarbanes‐Oxley Act (SOX) of 2002.
Design/methodology/approach
The paper employs both ordered and binary logistic regression models for a sample of 695 US firms who reported internal control weaknesses for the first time, pursuant to SOX Section 404, and evaluates the impact of the stock ownership characteristics on the timeliness in remediation of their control weaknesses.
Findings
The test results show that the corporate ownership characteristics, as a part of governance mechanism, play an incrementally critical role to influence firms' decisions to promptly remediate their internal control problems and improve the reliability of financial information. In addition, it was also found that a corporate board independent of its CEO is effective in monitoring timely remediation of control problems. Sub‐sample analyses for the company‐level and account‐specific internal control weaknesses produce similar results in support of the effect of corporate stock ownership characteristics on the timely remediation of internal control weaknesses.
Originality/value
First, the paper adds to the literature by demonstrating the incremental effect of the stock ownership characteristics on a firm's timeliness in remediation of control weaknesses, even after controlling the effect of audit committee and board characteristics in the analysis. Second, the paper shows that even in the post‐SOX years with enhanced regulatory oversight in corporate affairs, the effect of corporate ownership attributes as a part of governance is incrementally observable in a situation that calls for prompt managerial action to ensure the reliability of financial information. Third, for the first time, the study makes a separate detailed analysis on the association between the stock ownership attributes and the remediation of company‐level and account‐specific control weaknesses. The results provide valuable insights into the ownership governance effect on the remediation of the two types of control weaknesses that have different rigor, auditability (more or less auditable), and effects (pervasive or non‐pervasive) on financial reporting quality. Fourth, the study further enhances one's understanding of several important governance factors that help achieve a sound financial reporting system and restore investors' confidence in the system.
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Keywords
- United States of America
- Financial reporting
- Shareholders
- Corporate governance
- Sarbanes‐Oxley
- Stock ownership characteristics
- Remediation of internal control weaknesses
- Systematic and non‐systematic internal control weaknesses
- Managerial stock ownership
- Diffused and concentrated institutional ownership
- Non‐institutional blockholder ownership
- Board and audit committee characteristics
This chapter examines the relationship between state failure, state-building and regional security through a thick qualitative and historical analysis of a single case: the…
Abstract
This chapter examines the relationship between state failure, state-building and regional security through a thick qualitative and historical analysis of a single case: the Russia–Georgia relationship. Its principal finding is that the two sides’ conceptions of state-building contained incompatible identity projects that significantly increased the potential for conflict. This potential emerged in the context of a highly asymmetrical distribution of power in the region. The balancing strategies that Georgia pursued to compensate for this asymmetry aggravated the relationship further and were significant in provoking the August 2008 war between the two states. In making this argument, the chapter begins with a discussion of the relationship between state-building and security. It then turns to an account of the near failure and recovery of the two states and a discussion of the relationship between their state-building projects. It proceeds to situate this unit-level analysis in the regional systemic context. After a discussion of the war itself, the chapter provides concluding remarks on the implications of the conflict for regional security and for the wider discussion of state-building and security. The major implication is that, although state-building is seen as a domestic endeavour, the way in which the project is defined and develops has significant external and regional implications, which may enhance the potential for inter-state conflict. As such, international engagement should take account of the regional environment in efforts to foster the re-building of states.
Philip Hallinger and Kenneth Leithwood
Outlines the rationale for exploring the role of culture in the practice of educational administration. Examines how culture fits into a broad theoretical framework for studying…
Abstract
Outlines the rationale for exploring the role of culture in the practice of educational administration. Examines how culture fits into a broad theoretical framework for studying administrative behaviour in education. In doing so, distinguishes between the use of the societal culture construct as an exogenous and an endogenous variable. Argues that there is much conceptual leverage to be gained from employing culture as a variable in such a theoretical framework. Suggests a revisiting of the framework for studying educational administration developed by Getzels et al. almost 30 years ago. Finally, looks at the transmission of a knowledge base through training. Explores the implications that a cultural perspective has on the interpretation and use of knowledge as well as on its communication through preparation programmes. Contends that the cultural lens illuminates the limitations of the current knowledge base and supports the importance of this line of research in the future.
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Several studies have observed that stocks tend to drop by an amount that is less than the dividend on the ex-dividend day, the so-called ex-dividend day anomaly. However, there…
Abstract
Several studies have observed that stocks tend to drop by an amount that is less than the dividend on the ex-dividend day, the so-called ex-dividend day anomaly. However, there still remains a lack of consensus for a single explanation of this anomaly. Different from other studies, this dissertation attempts to answer the primary research question: how can investors make trading profits from the ex-dividend day anomaly and how much can they earn? With this goal, I examine the economic motivations of equity investors through four main hypotheses identified in the anomaly's literature: the tax differential hypothesis, the short-term trading hypothesis, the tick size hypothesis, and the leverage hypothesis.
While the U.S. ex-dividend anomaly is well studied, I examine a long data window (1975–2010) of Thailand data. The unique structure of the Thai stock market allows me to assess all four main hypotheses proposed in the literature simultaneously. Although I extract the sample data from two data sources, I demonstrate that the combined data are consistently sampled. I further construct three trading strategies – “daily return,” “lag one daily return,” and “weekly return” – to alleviate the potential effect of irregular data observation.
I find that the ex-dividend day anomaly exists in Thailand, is governed by the tax differential, and is driven by short-term trading activities. That is, investors trade heavily around the ex-dividend day to reap the benefits of the tax differential. I find mixed results for the predictions of the tick size hypothesis and results that are inconsistent with the predictions of the leverage hypothesis.
I conclude that, on the Stock Exchange of Thailand, juristic and foreign investors can profitably buy stocks cum-dividend and sell them ex-dividend while local investors should engage in short sale transactions. On average, investors who employ the daily return strategy have earned significant abnormal return up to 0.15% (45.66% annualized rate) and up to 0.17% (50.99% annualized rate) for the lag one daily return strategy. Investors can also make a trading profit by conducting the weekly return strategy and earn up to 0.59% (35.67% annualized rate), on average.
Barry T. Hirsch and Julia Manzella
Economists and sociologists have proposed arguments for why there can exist wage penalties for work involving helping and caring for others, penalties borne disproportionately by…
Abstract
Economists and sociologists have proposed arguments for why there can exist wage penalties for work involving helping and caring for others, penalties borne disproportionately by women. Evidence on wage penalties is neither abundant nor compelling. We examine wage differentials associated with caring jobs using multiple years of Current Population Survey (CPS) earnings files matched to O*NET job descriptors that provide continuous measures of “assisting & caring” and “concern” for others across all occupations. This approach differs from prior studies that assume occupations either do or do not require a high level of caring. Cross-section and longitudinal analyses are used to examine wage differences associated with the level of caring, conditioned on worker, location, and job attributes. Wage level estimates suggest substantive caring penalties, particularly among men. Longitudinal estimates based on wage changes among job switchers indicate smaller wage penalties, our preferred estimate being a 2% wage penalty resulting from a one standard deviation increase in our caring index. We find little difference in caring wage gaps across the earnings distribution. Measuring mean levels of caring across the U.S. labor market over nearly thirty years, we find a steady upward trend, but overall changes are small and there is no evidence of convergence between women and men.
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Julie L. Hotchkiss and Anil Rupasingha
The purpose of this chapter is to assess the importance of individual social capital characteristics in determining wages, both directly through their valuation by employers and…
Abstract
The purpose of this chapter is to assess the importance of individual social capital characteristics in determining wages, both directly through their valuation by employers and indirectly through their impact on individual occupational choice. We find that a person’s level of sociability and care for others works through both channels to explain wage differences between social and nonsocial occupations. Additionally, expected wages in each occupation type are found to be at least as important as a person’s level of social capital in choosing a social occupation. We make use of restricted 2000 Decennial Census and 2000 Social Capital Community Benchmark Survey.
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Changwu Liu, Haowen Wang and Chen Jiang
The paper aims at developing a novel algorithm to estimate high-order derivatives of rotorcraft angular rates to break the contradiction between bandwidth and filtering…
Abstract
Purpose
The paper aims at developing a novel algorithm to estimate high-order derivatives of rotorcraft angular rates to break the contradiction between bandwidth and filtering performance because high-order derivatives of angular rates are crucial to rotorcraft control. Traditional causal estimation algorithms such as digital differential filtering or various tracking differentiators cannot balance phase-lead angle loss and high-frequency attenuation performance of the estimated differentials under the circumstance of strong vibration from the rotor system and the rather low update rate of angular rates.
Design/methodology/approach
The algorithm, capable of estimating angular rate derivatives to maximal second order, fuses multiple attitude signal sources through a first-proposed randomized angular motion maneuvering model independent of platform dynamics with observations generated by cascaded tracking differentiators.
Findings
The maneuvering flight test on 5-kg-level helicopter and the ferry flight test on 230-kg-level helicopter prove such algorithm is feasible to generate higher signal to noise ratio derivative estimation of angular rates than traditional differentiators in regular flight states with enough bandwidth for flight control.
Research limitations/implications
The decrease of update rate of input attitude signals will weaken the bandwidth performance of the algorithm and higher sampling rate setting is recommended.
Practical implications
Rotorcraft flight control researchers and engineers would benefit from the estimation method when implementing flight control laws requiring angular rate derivatives.
Originality/value
A purely kinematic randomized angular motion model for flight vehicle is first established, combining rigid-body Euler kinematics. Such fusion algorithm with observations generated by cascaded tracking differentiators to estimate angular rate derivatives is first proposed, realized and flight tested.
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Wenyan Zhuo, Honglin Yang and Xu Chen
The purpose of this paper is to build a phase-type risk model with stochastic return on investment and random observation periods to characterize the ruin quantities under which…
Abstract
Purpose
The purpose of this paper is to build a phase-type risk model with stochastic return on investment and random observation periods to characterize the ruin quantities under which the insurance company may take effective investment strategies to avoid bankruptcy.
Design/methodology/approach
By the Markov property and Ito’s formula, this paper derives the integro-differential equations in which the interclaim times follow a phase-type distribution. Using the sinc method, this paper obtains the approximate solutions of the expected discounted penalty function. The numerical examples are given to verify the robustness of the proposed sinc method.
Findings
This paper discloses the relationship between the investment strategy and initial surplus level. The insurance company with a high initial surplus level prefers high risk portfolios to earn more profit. Contrarily, the insurance company would invest low risk portfolios to avoid bankruptcy. In addition, this paper shows that a short observation period would bring higher ruin probability.
Originality/value
The risk model is distinct in that a phase-type risk model is constructed with stochastic return on investment and random observation periods. These considerations in the risk model are in sharp contrast to the setting in which the stochastic return on investment is observed continuously. In practice, the insurance company only can periodically observe the surplus level to check the balance of the book. This setting, therefore, is difficult to adopt. This paper develops a sinc method to solve the approximate solutions of the expected discounted penalty function.
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A striking feature of Jaques' work is his “no nonsense” attitude to the “manager‐subordinate” relationship. His blunt account of the origins of this relationship seems at first…
Abstract
A striking feature of Jaques' work is his “no nonsense” attitude to the “manager‐subordinate” relationship. His blunt account of the origins of this relationship seems at first sight to place him in the legalistic “principles of management” camp rather than in the ranks of the subtler “people centred” schools. We shall see before long how misleading such first impressions can be, for Jaques is not making simplistic assumptions about the human psyche. But he certainly sees no point in agonising over the mechanism of association which brings organisations and work‐groups into being when the facts of life are perfectly straightforward and there is no need to be squeamish about them.