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Market Performance (market + performance)
Kinds of Market Performance Selected AbstractsUnder-reporting of Income and Labor Market PerformanceJOURNAL OF PUBLIC ECONOMIC THEORY, Issue 2 2008ANN-SOFIE KOLM To examine the effects on labor market performance of government tax and enforcement policies, this paper develops an equilibrium model featuring tax evasion, matching frictions, and worker,firm wage bargains. In the wage bargains, workers and firms can agree on the amount of remuneration that should not be reported to the tax authorities. We find that increased taxation actually reduces unemployment, whereas more zealous enforcement has the opposite effect. [source] Venture Capital Availability and Labor Market Performance in Industrial Countries: Evidence Based on Survey DataKYKLOS INTERNATIONAL REVIEW OF SOCIAL SCIENCES, Issue 1 2010Horst Feldmann SUMMARY This paper finds that more readily available venture capital is likely to have lowered unemployment rates and raised employment rates in industrial countries over the period 1982 to 2003. More readily available venture capital is also likely to have lowered the share of long-term unemployed in the total number of unemployed. The magnitude of the effects appears to have been substantial. To measure access to venture capital, we use answers from surveys of senior business executives. We also employ a large number of control variables. Our regression results are robust to variations in specification and sample size. [source] The Effect of the Size of the Military on Stock Market Performance in the United States and the UKKYKLOS INTERNATIONAL REVIEW OF SOCIAL SCIENCES, Issue 1 2008William R. DiPietro SUMMARY This paper uses regression analysis to investigate the relationship between military expenditure and stock market performance for the United States and the United Kingdom. Specifically, the study applies the Bierens-Guo unit root procedures to ascertain the time series properties of the variables in the study. The standard OLS technique is employed to determine the influence of military expenditure on stock markets for the period 1914 through 2001. The results from the unit root tests indicate that the military expenditure, military personnel, stock market, and energy consumption series are level stationary. The results from the OLS equations suggest that military expenditure has significantly positive effect on stock market performance for the United States and the United Kingdom. The implication of this finding is that high-income class and people in power are less likely to oppose increases in military spending even though such expenditures are not in the best interest of the society. [source] Distortionary Taxation and Labour Market PerformanceOXFORD BULLETIN OF ECONOMICS & STATISTICS, Issue 2 2001Riccardo Fiorito Quarterly estimates of consumption, capital and labour tax rates are provided for six major OECD countries. We then use the ,stylized facts' methodology to evaluate the strength, sign and phase of cyclical comovements between tax rates and labour market variables. Labour taxes distort labour market de-cisions and help explain why the unemployment rate is so high in continental Europe. However, labour taxes cannot be the only determinant of diverging unemployment rates since the labour force is also reduced by higher taxes. Finally, we offer some preliminary structural evidence showing employment growth in particular to be negatively related to the taxation of labour. [source] Government Employment and Wages and Labour Market PerformanceOXFORD BULLETIN OF ECONOMICS & STATISTICS, Issue 3 2000Dimitri G. Demekas Government wage, benefit, and employment decisions are not taken on a profit-maximizing basis, and have a substantial impact on aggregate labour market performance and unemployment. In a two-sector labour market model with free mobility of labour, an increase in government wages or benefits reduces private sector employment, and government employment is not an effective counter-cyclical instrument. Empirical tests for Greece confirm that the expansion of the public sector in the 1980s contributed to the deterioration of labour market performance. [source] Risk Aversion, Transparency, and Market PerformanceTHE JOURNAL OF FINANCE, Issue 2 2002M. Ángeles De Frutos Using a model of market making with inventories based on Biais (1993), we find that investors obtain more favorable execution prices, and they hence invest more, when markets are fragmented. In our model, risk-averse dealers use less aggressive price strategies in more transparent markets (centralized) because quote dissemination alleviates uncertainty about the prices quoted by other dealers and, hence, reduces the need to compete aggressively for order flow. Further, we show that the move toward greater transparency (centralization) may have detrimental effects on liquidity and welfare. [source] Labour Market Performance of Tertiary Education Graduates in VietnamASIAN ECONOMIC JOURNAL, Issue 2 2000Chris N. Sakellariou First page of article [source] Public employment and labour market performanceECONOMIC POLICY, Issue 34 2002Yann Algan Summary We explore the consequences of public employment for labour market performance. Theory suggests that public employment may not only crowd out private employment, but also increase overall unemployment if, by offering attractive working conditions, it draws additional individuals into the labour force. Empirical evidence from a sample of OECD countries in the 1960,2000 period suggests that, on average, creation of 100 public jobs may have eliminated about 150 private sector jobs, slightly decreased labour market participation, and increased by about 33 the number of unemployed workers. Theoretical considerations and empirical evidence, however, suggest that the crowding out effect of public jobs on private jobs is only significant in countries where public production is highly substitutable to private activities and the public sector offers more attractive wages and/or other benefits than the private labour market. [source] Labour market implications of EU product market integrationECONOMIC POLICY, Issue 30 2000Torben M. Andersen European labour markets are in a state of flux due to the changing market situation induced by international integration. This process affects wage formation through more fierce product market competition and increased mobility of jobs. This development is by some observers taken to enforce labour market flexibility, while for others it signals an erosion of social standards and in turn possibly the welfare society. Since labour is not very mobile in Europe, the effects of international integration on labour markets are mostly indirect via product market integration. We review the channels through which product market integration affects labour markets and perform an empirical analysis of the convergence and interdependencies in wage formation among EU countries. We find that integration is changing labour market structures and inducing wage convergences as well as stronger wage interdependencies, but it is a gradual process. Moreover, the present study does not support the view that international integration will lead to a ,race to the bottom' and rapidly erode domestic labour markets standards, nor that it will relieve politicians of the need to consider labour market reforms to improve labour market performance. [source] The de-collectivisation of pay setting in Britain 1990,98: incidence, determinants and impactINDUSTRIAL RELATIONS JOURNAL, Issue 1 2007Andy Charlwood ABSTRACT What were the causes and consequences of declining collective bargaining coverage in Britain? The demise of collective bargaining did not lead to a greater use of individualised payment mechanisms, ,high-involvement' practices or productivity gains. Wage inequality rose as a result of the decline. However, workplaces that abandoned bargaining created more jobs. Overall, these results raise questions about Britain's labour market performance during the 1990s because they suggest that falling unemployment as a result of weaker trade unions came at the price of slower productivity growth and widening male wage inequality. [source] Devaluation Expectations and the Stock Market: a new measure and an application to Mexico 1994/95INTERNATIONAL JOURNAL OF FINANCE & ECONOMICS, Issue 3 2002Torbjörn Becker Abstract This paper develops a market-based measure of devaluation expectations derived from the relative stock market performance of companies with different exposures of current and future profits to exchange-rate changes. The measure can be viewed as a complement to measures of devaluation expectations based on interest-rate-parity conditions, survey data or macroeconomic models. Some of the benefits of the measure are that data are available on a timely basis and that the stock market has traditionally been free of central bank intervention. As an illustration, we examine the Mexican devaluation of 1994. Contrary to what might have been expected given the alleged peso overvaluation, high-net-exporting firms outperformed the market beginning in late 1993. This pattern is, on the other hand, consistent with forward-looking stock prices that assigned an increasing probability to a devaluation benefiting exporting firms. Copyright © 2002 John Wiley & Sons, Ltd. [source] Distributional Impacts of Pension Policy in Argentina: Winners and Losers within and Across GenerationsINTERNATIONAL SOCIAL SECURITY REVIEW, Issue 3 2006Camila Arza The paper deals with the life-cycle intra- and intergenerational income transfers operated by the pension system in Argentina by estimating the internal rates of return obtained by different generations and types of workers from their participation in the system. The empirical analysis confirms that earlier generations of workers benefited from higher social security returns than later generations, which retired under a matured system with large deficits. The worst-affected cohorts were those born after 1920, particularly suffering from a social security crisis and falling real wages. For future generations retiring fully under the new mixed pension system, returns will more closely depend on financial market performance and the evolution of administration costs. Intragenerational transfers were also observed for all cohorts under study, as a result of the original system design as well as adjustments adopted during the implementation process. The real distributional impact of progressive benefit formulas could, however, be offset by state transfers to cover pension deficits and forward tax shifting in a context of unequal pension coverage. [source] GLOBAL EVIDENCE ON THE EQUITY RISK PREMIUMJOURNAL OF APPLIED CORPORATE FINANCE, Issue 4 2003Elroy Dimson The size of the equity risk premium,the incremental return that shareholders require to hold risky equities rather than risk-free securities,is a key issue in corporate finance. Financial economists generally measure the equity premium over long periods of time in order to obtain reliable estimates. These estimates are widely used by investors, finance professionals, corporate executives, regulators, lawyers, and consultants. But because the 20th century proved to be a period of such remarkable growth in the U.S. economy, estimates of the risk premium that rely on past market performance may be too high to serve as a reliable guide to the future. The authors analyze a 103-year history of risk premiums in 16 countries and conclude that the U.S. risk premium relative to Treasury bills was 5.3% for that period,lower than previous studies suggest,as compared to 4.2% for the U.K. and 4.5% for a world index. But the article goes on to observe that the historical record may still overstate expectations of the future risk premium, partly because market volatility in the future may be lower than in the past, and partly because of a general decline in risk resulting from new technological advances and increased diversification opportunities for investors. After adjusting for the expected impact of these factors, the authors calculate forward-looking equity risk premiums of 4.3% for the U.S., 3.9% for the U.K., and 3.5% for the world index. At the same time, however, they caution that the risk premium can fluctuate over time and that managers should make appropriate adjustments when there are compelling economic reasons to think that expected premiums are unusually high or low. [source] Bank Relationship and Firm Performance: Evidence From Thailand Before the Asian Financial CrisisJOURNAL OF BUSINESS FINANCE & ACCOUNTING, Issue 9-10 2004Piman Limpaphayom Abstract: This study examines the relation between bank relations and market performance in Thailand, an economy in which commercial banks play a crucial role through lending relationship and, for a number of companies, equity ownership. Overall, bank relationships, both equity-based and debt-based, positively affect capital investment. However, there is a negative relation between lending relationships, both short-term and long-term, and market performance indicating that bank lending may not always be consistent with value maximization. There is also evidence of a positive marginal effect of bank monitoring through equity ownership on market performance. Further, the relation between bank equity ownership and market performance appears to be non-linear with a concave function. Ownership by corporate insiders is also negatively related to bank equity ownership. Overall, the findings highlight the detrimental effects of excessive short-term debt usage, one of the factors believed to contribute to the financial crisis in Thailand, and the marginal benefit of the equity-based relationship on firm value. [source] Under-reporting of Income and Labor Market PerformanceJOURNAL OF PUBLIC ECONOMIC THEORY, Issue 2 2008ANN-SOFIE KOLM To examine the effects on labor market performance of government tax and enforcement policies, this paper develops an equilibrium model featuring tax evasion, matching frictions, and worker,firm wage bargains. In the wage bargains, workers and firms can agree on the amount of remuneration that should not be reported to the tax authorities. We find that increased taxation actually reduces unemployment, whereas more zealous enforcement has the opposite effect. [source] The Influence of CEO Gender on Market Orientation and Performance in Service Small and Medium-Sized Service BusinessesJOURNAL OF SMALL BUSINESS MANAGEMENT, Issue 4 2010Peter S. Davis This study examines the effects of CEO gender on market orientation and performance (growth and profitability) among a sample of small and medium-sized service businesses. Gender was found to have significant indirect effects (via market orientation) on both market performance (growth) and financial performance (profitability). That is, female-led service SMEs perform significantly better due to their stronger market orientation relative those led by males. The findings further suggest that female-led firms were slightly better than their male-led counterparts in transmitting market performance into financial performance, although the differences were not statistically significant. [source] The Effect of the Size of the Military on Stock Market Performance in the United States and the UKKYKLOS INTERNATIONAL REVIEW OF SOCIAL SCIENCES, Issue 1 2008William R. DiPietro SUMMARY This paper uses regression analysis to investigate the relationship between military expenditure and stock market performance for the United States and the United Kingdom. Specifically, the study applies the Bierens-Guo unit root procedures to ascertain the time series properties of the variables in the study. The standard OLS technique is employed to determine the influence of military expenditure on stock markets for the period 1914 through 2001. The results from the unit root tests indicate that the military expenditure, military personnel, stock market, and energy consumption series are level stationary. The results from the OLS equations suggest that military expenditure has significantly positive effect on stock market performance for the United States and the United Kingdom. The implication of this finding is that high-income class and people in power are less likely to oppose increases in military spending even though such expenditures are not in the best interest of the society. [source] Evidence on competitive advantage and superior stock market performanceMANAGERIAL AND DECISION ECONOMICS, Issue 4 2010Øystein Gjerde This article analyzes the value-relevance of industry-based and resource-based competitive advantage in a large sample of firms listed on the Oslo Stock Exchange. We measure competitive advantage by a single variable and perform a new decomposition into its underlying sources. In 1986,2005, the industry-based and the resource-based competitive advantage explain more than 20% of abnormal stock market returns, accumulated over 5 years. The resource-based advantage is almost 4 times more important than the industry-based advantage. Differences in both the return and the risk capability of firms' net assets relative to their industry peers are significant parts of the resource-based advantage, estimated at 60 and 40%, respectively. Copyright © 2009 John Wiley & Sons, Ltd. [source] Top executive turnovers: Separating decision and control rightsMANAGERIAL AND DECISION ECONOMICS, Issue 1 2005Robert Neumann This paper examines the relationship between performance and top executive turnovers using a sample of 81 turnovers and matching companies listed on the Copenhagen Stock Exchange. We find that poor market performance increases the probability of management replacements and that forced layoffs are value-increasing events while voluntary resignations are value-decreasing events. Large shareholders as active monitors, or part of corporate control, are not exhibited in the results. If large shareholders have any influence on CEO turnovers it is not revealed in our data. Indeed, separating control rights from decision rights does not appear to affect managerial turnovers. Copyright © 2004 John Wiley & Sons, Ltd. [source] Government Employment and Wages and Labour Market PerformanceOXFORD BULLETIN OF ECONOMICS & STATISTICS, Issue 3 2000Dimitri G. Demekas Government wage, benefit, and employment decisions are not taken on a profit-maximizing basis, and have a substantial impact on aggregate labour market performance and unemployment. In a two-sector labour market model with free mobility of labour, an increase in government wages or benefits reduces private sector employment, and government employment is not an effective counter-cyclical instrument. Empirical tests for Greece confirm that the expansion of the public sector in the 1980s contributed to the deterioration of labour market performance. [source] Why Do Firms Become Widely Held?THE JOURNAL OF FINANCE, Issue 3 2007An Analysis of the Dynamics of Corporate Ownership ABSTRACT We examine the evolution of insider ownership of IPO firms from 1970 to 2001 to understand how U.S. firms become widely held. A majority of these firms has insider ownership below 20% after 10 years. Stock market performance and liquidity play an extremely important role in ownership dynamics. Firms with stocks that are highly valued, are liquid, and have performed well experience large decreases in insider ownership and become widely held. Ownership also falls for low cash flow and high capital expenditures firms. Surprisingly, variables proxying for agency costs have limited success in explaining the evolution of insider ownership. [source] Structural and contextual correlates of charged behavior in product development teamsTHE JOURNAL OF PRODUCT INNOVATION MANAGEMENT, Issue 3 2001Rajesh Sethi Firms increasingly use cross-functional teams to develop new products, yet we know little about the processes that make teams excel. Although studies have focused on within-team processes like cooperation between and integration of individuals from various functional areas, some emerging literature suggests that the processes that make teams excel are richer and more complex than cooperation and integration. In order to capture the processes that lead to excellent market performance of new products, we introduce the concept of charged team behavior, the extent to which cross-functional product development teams are enthusiastically and jointly driven to develop superior new products. Charged team behavior captures not only the drive, commitment, and joy of team members, but also their collaborative behaviors to achieve an exceptional outcome. We propose and test a series of hypotheses concerning how charged behavior affects new product market performance and how charged behavior is, in turn, influenced by both team structural characteristics (physical proximity, team longevity, and outcome interdependence) and contextual factors (senior management encouragement to take risk, quality orientation, exposure to customer input, extent of competition, and interdepartmental connectedness). It is particularly important to examine the antecedents of charged behavior because there are concerns that some of the team-related factors generally considered to be useful for teams may not necessarily lead to charged teams. Data from new consumer product development teams is analyzed though structural equation modeling for hypothesis testing. We find evidence that highly charged teams are more likely to develop successful new products. Results also indicate that outcome interdependence, exposure to customer input, extent of competition, and interdepartmental connectedness are positively related to charged behavior. Physical proximity, team longevity, encouragement to take risk, and quality orientation do not improve teams' charged behavior. Data suggests that charged team behavior: 1) fully mediates the effects of outcome interdependence and interdepartmental connectedness on performance, 2) partially mediates the influence of exposure to customer input and the extent of competition on performance, and 3) does not mediate the effects of quality orientation and physical proximity on performance. Our study highlights the importance of creating highly charged product development teams in order to achieve exceptional performance. Further, our results indicate that some of the factors suggested by traditional social psychology research for enhancing team effectiveness (e.g., physical proximity and team longevity) may not necessarily create charged teams. Instead, charged teams need a special arrangement, in which members are accountable to the team and where their evaluations and rewards are also linked to the performance of the team. In addition, although a strong emphasis on quality is considered to be beneficial for new products, as our results indicate, such emphasis cannot create a charged atmosphere. Moreover, our research suggests that if the organization structure does not permit frequent contact between individuals across functional boundaries, the creation of a strongly charged team and development of a successful new product will be hindered. [source] Questions About the Initiative of the European Commission Concerning the Awarding and Compulsory Competitive Tendering of Public Service ConcessionsANNALS OF PUBLIC AND COOPERATIVE ECONOMICS, Issue 1 2003H. Cox The ruling of the European Commission is that the award of contracts by regional or local authorities for the provision of services of general economic interest must be done by way of competitive tendering. Such contracts must not be awarded to the authority's own public enterprises or to any other enterprise, including by means of unilateral State act, without a call for tenders, a practice that had previously been common in many Member States. Public service concessions are also subject to the competition rules of the EC Treaty. Should the European Commission enact a directive concerning compulsory competitive tendering, this would result, for several Member States, in a serious change of paradigm as regards the awarding of public service concessions. Against this background, this article will attempt to find answers to the following questions: ,How is the present relationship of the regional or local authority with its own public enterprise to be considered? ,Are there any limits to applying the rules on competition of the EC Treaty to public service concessions? ,What kind of positive and negative effects concerning economic efficiency and supply of specific public services result from the awarding of public service concessions and from compulsory competitive tendering? ,What kind of, and what amount of, transaction costs result from compulsory competitive tendering and from the awarding of concessions? ,Does competitive tendering work properly, and are public tenderers given equal opportunities? ,Are there any alternatives to compulsory competitive tendering that would achieve an efficient market performance and provide sufficient supply? [source] Changes in the Relative Economic Performance of Immigrants to Great Britain and the United States, 1980,2000BRITISH JOURNAL OF INDUSTRIAL RELATIONS, Issue 4 2007John Schmitt We compare the relative labour market performance of immigrants in the USA and in Britain over the period 1980,2000, when the stocks of immigrants were rising in both countries alongside differential shifts in demand and changes to labour market institutions. We find that the average relative employment prospects of immigrants are generally better in the USA than in Britain, particularly for non-white immigrants, while the average relative wage prospects for immigrants are generally better in Britain, particularly for men. Over time, relative wage and employment prospects for immigrants to the USA appear to have deteriorated, particularly among women, in a way that is not as apparent in Britain. [source] | ||||||||||||||||||||||||||||