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The relevance of the problem posed in the article is caused by the fact that under current conditions it is necessary to develop a comprehensive, but a complete image of Russia as a huge Eurasian state on the basis of effective use of scientific and practical approaches proposed by marketing of territories and tools used in the practice of territorial branding. The purpose of the article is to examine the role and socio-cultural value of paper money as an important instrument of state monetary policy and at the same time an integral attribute of everyday life. The leading methods of investigation of the defined problem are the methods of sociological research and modeling, allowing on the base of an analysis of public opinion research results to highlight the main objects-symbols that Russians prefer to see on modern Russian paper banknotes. The article offers an integrated scientific grouping of objects-symbols on the basis of which it is supposed to form visual images of Russian area space and that then will be reflected on paper banknotes. On the basis of conducted comparative analysis of the objects-symbols selected for banknotes in 1997 and 2016, conclusions about the stability of preferences of Russians are made, and also the fact of increasing symbolic value of Russian paper money is emphasized, despite an increase of the growth of non-cash turnover. Article submissions may be useful for the members of scientific and educational community concerned with the problems of study of marketing of territories and countries, as well as political scientists and representatives of the government.

The purpose of this paper is to examine the intersection of social class inequality and education policy through the lens of an analysis of the experiences and effects of state, local, and federal policy meant to engage communities around the use of federal funds to mitigate the impact of the COVID-19 pandemic on students. The author intends to examine the discord between policy financed by the U.S. Federal government and practice. In doing so, a critical lens will be cast toward the application of policies that promote stakeholder engagement in the decision making process for determining how to use federal Elementary and Secondary School Emergency Relief (ESSER) funds, which were funds obligated to schools and communities in order to mitigate the affects of the COVID-19 pandemic. This paper will review policy aimed at assessing whether state and local guidance promoted the implementation of the federal guidance. Given the role of federal education awards are to assist in supplementally financing education at the local level, our review will include reviewing state and local education agencies (also referred to as districts) applications, state and local education guidance; public school board meeting material, memorandums, and other publicly available resources designed to provide guidance to schools and districts on funding schools with the emergence federal ESSER funds. These documents have been chosen as representative of current policy. They are sociocultural artifacts that mediate policy and practice for schools across the country and touch on socio-dynamic issues of society and therefore they need to be viewed critically.

This paper takes the landmark review into the federal funding of schools in Australia, known as the Gonski Review (2011), as an illustrative case to demonstrate the scalar practices involved in policy production and enactment. Its primary argument is that, while its core recommendation was a needs-based funding model for the federal government funding of schools, the Gonski Review also articulates an aspiration for the translation of this funding model into a comprehensively national approach. This is done, I argue, through important practices of scalar imagining and reasoning (Papanastasiou, 2017b). However, these national aspirations sit uneasily with the realities of schooling and school funding in the Australian federation, which includes constitutional arrangements, legislation, and policy principles that distribute responsibility for funding across multiple spaces of governance. Drawing on documentary evidence, I argue that scalar tensions are produced between these national aspirations and the realpolitik of Australian federalism. By challenging "the national" as a coherent and predetermined "scale," these findings reinforce the importance of attending to the mediating forces of subnational governments, as well as global policy influences, when thinking about policy mobilities in federations.

California state-level policies are responsible for allocating nearly 80 percent of the revenue received by its K-12 school districts. In 2013-14, the state implemented the Local Control Funding Formula (LCFF), which changed the allocation formula from one based primarily on equal revenue per pupil to an equity-focused allocation based primarily on a district's share of students in poverty. This paper analyzes the relationship between revenue and poverty before and after the LCFF, focusing separately on state general purpose, state restricted, local, and federal funding. Although some special state revenue programs under the prior system led to an implicit positive relationship between revenue and poverty, the LCFF increased and strengthened that dramatically. Local revenue sources dampen this relationship, whereas federal sources augment it. Regression analyses suggest that prior to LCFF in 2007-08, districts with all students in poverty received $2,622 more per pupil in total than did districts with no students in poverty; after LCFF in 2017-18, high-poverty districts received $3,855 per pupil more in total. This paper also analyzes how high- and low-poverty districts changed their spending patterns over the decade punctuated by LCFF. Although revenue in both types of districts grew, and more so in high-poverty districts, low-poverty districts spent all additional revenue on staff compensation, but high-poverty districts allocated some to non-compensation areas. The more remarkable trend over this decade is the increase in spending on retirement and health benefits, which has the potential to curtail the potential effects of the LCFF.

Education policies in South Africa are aimed at redressing the legacies of under- and inequitable development, and at making learning opportunities available to all the citizens of this country. The "Amended Norms and Standards for School Funding Policy (2006)," which also outlines the no-fee policy, should be implemented in South African schools to promote the well-being of learners. The purpose of this conceptual paper is to shed light on capabilities needed for the implementation of the policy in South African schools. The paper proposed the implementation of Amartya Sen's "Capability Approach," which is a broad framework that can be used to evaluate various elements of well-being and in terms of the no-fee policy. A capability analysis was applied and key capabilities were identified in the no-fee policy of 2006. The paper suggests that capabilities such as autonomy, accountability and knowledge be implemented by principals of schools to cultivate a conducive school environment for the more effective implementation of the no-fee policy. The findings show that if principals apply the identified capabilities, learners' well-being might be enhanced. The results indicate that an application of a capability approach framework may be deemed desirable for the effective implementation of the no-fee policy.

The South African Schools Act, No. 84 of 1996 (RSA, 1996) heralded a shift in decision-making powers through decentralising school governance from the state to local communities. One of the primary functions of school governing bodies (SGBs) is to manage school finances. It is imperative for SGBs to design and implement irrefutable finance policies that clearly and unambiguously spell out specific structures and processes by applying relevant legislation and regulations enforced by the Ministry of Education. Using a generic qualitative approach within an interpretivist paradigm, this paper accentuates the oversight functions of SGBs to manage budgets effectively and efficiently. This research was grounded in a social constructivist paradigm and data were collected by way of semi-structured interviews and document analysis. Findings revealed that many SGBs place very little importance on the oversight functions of budgets which usually result in the mismanagement of school funds. This is reflected in poor finance policy formulation and implementation, and the absence of operational mechanisms (e.g. budget variance analysis) to curb wasteful and fruitless expenditure. Furthermore, challenges associated with the non-compliance of a finance policy and the failure of SGBs to take timely corrective action exasperate the problems of poor financial management.

This paper elaborates on innovations which have been effected in universities in Nigeria, using a somewhat young university as a paradigm. The innovations discussed include private ownership of universities, innovative funding strategies and innovative quality assurance practices. These include innovative planning (strategic planning); innovative programme contents; innovations in human and material resources development; innovative admission procedures; innovative carrying-capacity regulations; and innovative programme appraisal procedures and standards. The paper concludes by maintaining that innovation augurs well by improving programme standards and quality of products.

This paper's objective is to examine the asymmetric cointegration and asymmetric effects of financial development and monetary policy on monetary transmission mechanisms in the Nigerian context using annual data spanning the period from 1986 to 2023. This study pushes the frontiers of knowledge by providing information on the nonlinear impacts of monetary policy and financial sector innovations on monetary transmission mechanisms in Nigeria to help policymakers tailor their strategies to local conditions, enhancing the effectiveness of monetary interventions in the economy. To achieve this, this paper adopted nonlinear ARDL models to understand how changes in the direction of monetary policy and developments in the financial system induce changes in the transmission of monetary policy. The findings document the existence of asymmetries in both the short and long run, revealing that the impacts of financial development and monetary policy on the different monetary policy channels are not uniform. These asymmetries indicate that the responses of various economic variables to monetary policy actions differ depending on the level of financial development. These findings underscore the complexity of the monetary transmission mechanism and the necessity for a nuanced understanding of how financial development and monetary policy interact in different contexts. Consequently, this finding is symptomatic of some characteristics of those financial markets on their way toward advanced developments. As the financial system matures, monetary policy may have a greater impact on the cost of short-term funding for banks without having any discernible effect on the rates at which businesses and households access funding. Therefore, this paper recommends focusing on the policies that will foster the financial system across the banking sector, capital market, bond market, and overall financial sector to improve the efficiency of the monetary transmission process. [ABSTRACT FROM AUTHOR]

To address low completion rates, postsecondary leaders are championing a "guided pathways" approach that puts students on a prescribed route towards graduation. Designing solutions to address low completion rates is complex; in addition to academic roadblocks, insufficient financial resources coupled with a complicated financial aid system can intensify barriers to completion, especially for students whose continued enrollment is highly dependent on financial aid. Without a comprehensive approach that specifically addresses financial aid funding shortages, students will continue to struggle to complete their programs of study. Opportunities exist to redesign the financial aid system so that the current guided pathways movement more holistically addresses the barriers to completion. This paper presents an overview of the guided pathways approach, addresses financial aid policy barriers to enrollment and program completion, and highlights recommendations for strengthening the guided pathways approach, such as forging partnerships with employers to provide training to students while in college, offering Federal Pell-eligible students the opportunity to pay a discounted rate of tuition, and investing in student peer debt advisors.

Copyright of Environmental & Social Management Journal / Revista de Gestão Social e Ambiental is the property of Environmental & Social Management Journal and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Previous research has shown that Tax Revolt Provisions (TRPs) aimed at limiting state government revenues and/or expenditures, negatively impact public higher education funding. This analysis explores the influence of these same types of policies on average in-state undergraduate tuition and fees at public four-year colleges and universities. Employing a data set spanning 13 years and using an econometric estimator appropriate for finite samples with time-invariant variables related to unit-effects, the findings indicate that TRPs matter, but not equally. Tax and Expenditure Limitations, regardless of provision type, share no discernible relationship with tuition and fees. Conversely, Supermajority requirements are associated with higher levels of tuition and fees by approximately 5.5% to 6.6%. The findings suggest that as policy-makers and researchers seek out the drivers of rising tuition and fees, it would be prudent to take into consideration both the role played by traditionally considered variables and that played by state fiscal policy as well. [This paper was previously presented at the 2013 National Education Finance Conference, the 2013 annual meeting of the Association for the Study of Higher Education, and the Education Innovation Institute.]

This paper examines people's attitudes toward public spending on education in Japan. It is well known that Japan has the smallest public education expenditure relative to GDP among the OECD countries, and this may yield unequal opportunities in education. The tax burden in Japan is small compared to those in OECD countries, and there may be no room to distribute public spending on education without a tax increase. The following three issues should be considered concurrently: people's attitudes toward public expenditure on education, people's attitudes toward the balance between tax burden and public services, and people's trust in the government. In order to find simple patterns in these attitudinal responses, latent-class analysis was employed using data captured through the Japanese General Social Surveys conducted in 2010. As a result, four latent classes were found. The largest class accounted for over 40% of the sample, and members of this group think that the government should increase public expenditure on education and social security, even if tax increases are required. The same group, however, distrusted the government. Trust in small-government policy seemed to be weak among the Japanese people, because in all the latent classes, the majority of people wanted the government to improve public services, even if this would require tax increases. However, those who preferred no improvement in public services and did not trust the government were more likely to have a lower-level socioeconomic background, even though they would be the beneficiaries of those services. People who did not have children were less likely to agree with increasing public expenditure on education, because among the Japanese people, child-birth and child-rearing might be considered individual rather than social issues.

Research background: In the digital era, digital transformation has become a strategic imperative for leadership agenda. Many firms have accelerated their pace in digital transformation to improve their performance and competitiveness. Despite increasing attention in the literature on the role of digital transformation in firms' operations, understanding the effect of digital trans formation on corporate finance remains limited. This study focuses on cash holdings, which are essential for firms to survive and thrive. Purpose of the article: The aim of this paper is to examine the critical role of digital transformation on the cash holdings of listed firms in China and provide micro evidence regarding the economic consequences of the digital economy from firm level. This study also aims to deepen our understanding of the influence of digital transformation on firms' operation and financial policy. Additionally, this paper attempts to provide relevant guidance for implementing policies to promote digital transformation and devise corresponding cash holding strategies. Methods: The text analysis method is used to measure the degree of digital transformation of China's A-share listed companies. The sample covers 19,337 observations from 2007-2020. A multiple regression model with firm and year fixed effect is developed to investigate the relationship between digital transformation and corporate cash holdings. In the robustness test, this paper substitutes the independent and dependent variables, and adopts instrumental variable estimation method. In the mechanism test, this paper uses the sub-sample regression method in the mechanism test. Findings & value added: This study reveals that digital transformation can significantly reduce corporate cash holdings by alleviating the precautionary motive, agency motive and transaction motive of cash holdings. Further analysis shows that the negative effect of digital transformation on cash holdings is more profound in high-tech firms and non-state-owned enterprises. The methodology applied in this paper can be used in other economic research of firms. This study provides insights into the effects of digital transformation on corporate financial policy. This provides a solution for reducing firms' cash holdings. This study also deepens the understanding of digital transformation from a corporate perspective. [ABSTRACT FROM AUTHOR]

Copyright of Journal of Xi'an Jiaotong University (Social Sciences) is the property of Journal of Xi'an Jiaotong University (Social Sciences) Editorial Office and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Purpose: Financial stability has become a focal point for central banks since the global financial crisis. However, the optimal mix between monetary and financial stability policies remains unclear. In this study, the "soft" approach to such policy mix was tested – how often monetary policy (in inflation reports) analyses financial stability issues. This paper aims to discuss the aforementioned objective. Design/methodology/approach: A total of 648 inflation reports published by 11 central banks from post-communist countries in 1998-2019 were reviewed using a text-mining method. Findings: Results show that financial stability topics (mainly cyclical aspects of systemic risk) on average account for only 2%of inflation reports' content. Although this share has grown somewhat since the global financial crisis (in CZ, HU and PL), it still remains at a low level. Thus, not enough evidence was found on the use of a "soft" policy mix in post-communist countries. Practical implications: Given the strong interactions between price and financial stability, this paper emphasizes the need to increase the attention of monetary policymakers to financial stability issues. Originality/value: The study combines two research areas, i.e. monetary policy and modern text mining techniques on a sample of post-communist countries, something which to the best of the authors' knowledge has not been sufficiently explored in the literature before. [ABSTRACT FROM AUTHOR]

The impossible trinity suggests that an economy cannot simultaneously achieve a fixed exchange rate, high capital mobility, and independent monetary policy without abandoning one of these. However, This paper looks at Indonesia's experiences from the 2009 QE and the 2013 taper tantrum, considering why Indonesian policy-makers were unable to use policies as per the trilemma, and the policy implications of this. There are three possible reasons why Indonesia found it difficult to implement this trilemma policy choice: differing monetary policy objectives, volatile floating exchange rates, and balance sheet effects. The commodity supercycle also plays an exogenous role, unable to be overcome by monetary or exchange rate policy while at the same time impacting fiscal policy, income redistribution, trade balance, and the exchange rate. Overall, this paper argues that monetary policy on its own is likely to be insufficient to manage the economy adequately. Other levers and factors, such as macroprudential policy, fiscal policy, capital flow management, and institutional quality, are critical to make the policy choices more effective. [ABSTRACT FROM AUTHOR]

This paper establishes the empirical relationship between the fiscal policy, demographic transition and public spending or expenditure on education in India with special reference to higher education. Public higher education spending is shown to be related to fiscal policy, if such expenditure is budgeted by the General Government and financed by general taxation and/or public debt. Demographic transition is analysed by population age structure transition and shown to impact on decline in enrollment in education through transition in Education Dependency Ratio. A forward-looking economic-demography model is used to forecast up to 2050 the interactive effects of demographic transition and public higher education expenditure within the framework of fiscal policy in 2011-12. Overall results indicate that, other things being equal including public expenditure commitment to education, demographic transition results in: (1) additional budgetary resources for higher education without additional taxation, cut in expenditure benefits and new public debt; and (2) decline in public education expenditure generosity by all levels of education in general and higher education in particular. This offers a new macroeconomic evidence for innovative public financing of higher education in India and lessons for other developing countries.

Technology innovation in prefabricated buildings (PBs) is an important way to realize transformation upgrading and green development for the construction industry. The existing literature focuses on the influence of different types of policies on PB development while ignoring the importance of technology innovation. In addition, there are still inconsistent conclusions in the evaluation of the influence of policies on technology innovation. Using the difference-in-differences method and panel data from 2011 to 2020 covering 25 provinces of China, this study investigates the mechanism and impact of five different technological and economic policies on PB technology innovation. The results show that technological support policy, land supply policy, fiscal subsidy policy, and preferential tax policy have a significantly positive impact on PB technology innovation. However, financial policy has no significant effect on PB technology innovation. This paper not only makes theoretical contributions to PB policy research, but also provides the government with a more precise and effective policy toolbox to promote technology innovation in the PB industry or other industries. [ABSTRACT FROM AUTHOR]

Conventional knowledge of market volatility represents that two proximate financial markets operated in the same country would display a similar pattern in their time-varying volatility. In this paper, we propose that the heterogeneity in financial policy orientation of stock markets creates significant inter-market differences in terms of the volatility of stock returns, even if they are culturally and geographically linked to each other. For the empirical investigation of our proposition, the volatility data from two major stock exchanges in the Middle East, the Abu Dhabi Securities Exchange (ADX) and the Dubai Financial Market (DFM) are used. Both the ADX and DFM stock exchanges operate in the same country, the United Arab Emirates (UAE). The ADX is based in Abu Dhabi, the administrative capital, while the DFM is based in Dubai, the commercial and business hub of the UAE. They were both established in the year 2000, and their operational headquarters are located about 150 km from each other. This paper uses a multivariate GARCH model, in particular a diagonal VECH GARCH (1, 1) model to estimate volatility measures for stock returns between ADX-listed and DFM-listed stocks. The paper finds that the stock returns are significantly less volatile in the ADX compared to those in the DFM suggesting that the volatility transmission is incomplete between these two neighboring financial markets. This difference in volatility can potentially be attributed to the relatively conservative financial policies adopted by the oil-rich emirate of Abu Dhabi compared to the more market-oriented economic policies of Dubai, the country's financial and commercial hub. Our findings have considerable implications for portfolio managers in ascertaining risk premiums when allocating investments across the two stock exchanges. For instance, this disparity in volatility should be taken into account by investors and policymakers when designing risk management strategies because it suggests that investors in the DFM may be exposed to higher levels of risk and uncertainty compared to their counterparts in the ADX. Investors operating in the DFM may require more robust risk management strategies, such as asset diversification and hedging, compared to their ASX counterparts. [ABSTRACT FROM AUTHOR]

International experiences have underscored the dual implications of financial openness. Given China's unique circumstances and its escalating level of financial openness, it is crucial to assess potential impacts on the country's bank systemic risk. This paper uses the quarterly data of 37 listed banks in China from 2010 to 2022 to explore the relationship between financial openness and systemic risk of the banking system, the mechanism of action, and the moderating effect of macroprudential policy on the two. The findings indicate an inverted "U"-shaped correlation between financial openness and bank systemic risk. On one side of this shape, financial openness primarily exacerbates funding mismatch, thereby increasing the systemic risk of banks. Conversely, on the other side, it primarily alleviates systemic risk by optimizing capital management. Moreover, with the help of macroprudential supervision, the inverted "U"-shaped relationship between financial openness and bank systemic risk leads to a lower level of systemic risk and, at the same time, promotes the early arrival of the inverted "U"-shaped inflection point between financial openness and bank systemic risk. Notably, the impact of financial openness on the systemic risk of joint-stock commercial banks, urban commercial banks, and rural commercial banks is more significant. The above research results provide a regulatory reference for effectively preventing and resolving systemic risk while achieving high-quality openness to the outside world. In deepening financial openness, the banking industry needs to pay attention to the funding mismatch and the efficiency of capital management and implement differential risk supervision and prevention mechanisms for banks with different ownership, which is conducive to the reduction of bank systematic risk. [ABSTRACT FROM AUTHOR]

The paper deals with the current budget crisis in Germany, which was triggered by an attempt to increase public debt beyond the limits of the German constitution. The rejection of the Supplementary Budget 2021 of the federal government by the Constitutional Court in November 2023 requires a substantial revision of budget plans. The paper first asks why fiscal policy has moved outside the rules of the constitution. The paper then addresses the question of whether the necessary turnaround in financial policy has now been initiated. To this end, the paper explores the recent supplementary budget 2023 and the proposals for the budget 2024. [ABSTRACT FROM AUTHOR]

This paper aims to effectively reduce CO2 emissions by examining the impact of three distinct incentive and constraint policies on the quality of rating and certification information in China's green bond issuance market. To accomplish this, the government has implemented incentives, while regulators have introduced constraints to curb the spread of inflated rating and certification information. We build on the integrated rating and certification regulation mechanism by presenting a two-stage Stackelberg game model that involves four key participants: the China Securities Regulatory Commission, local governments, green evaluation and certification agencies, and credit rating agencies. We incorporate environmental effects indicators into the expected utility of rating and certification agencies to investigate the equilibrium conditions under three policy scenarios: a single financial incentive policy, a single regulatory constraint policy, and a combined incentive and constraint policy. The paper employs Stackelberg game theory to analyze how different policies mitigate the occurrence of "inflated" ratings and "greenwashing" in certifications. Numerical analysis is conducted to validate the theoretical findings. Moreover, we assess the impact of these policies on the quality of rating and evaluation information, using data from China's green bond issuance market between 2016 and 2021. Our research offers valuable management insights and regulatory recommendations for both regulators and local governments. [ABSTRACT FROM AUTHOR]

The China Securities Regulatory Commission (CSRC) proposed the green channel policy for poverty alleviation Initial Public Offerings (IPOs), aiming to help poverty-stricken areas reduce poverty and increase income, but it has an impact on the business performance of the companies involved. This paper uses data from public annual reports of listed companies to construct a policy intervention group and a control group and comparatively analyzes the degree of annual performance downturn of newly listed companies in A-share from 2016 to 2017 through a counterfactual method, and the results show that the "IPO green channel" policy for poverty alleviation has an obvious negative effect on listed enterprises in poverty-stricken counties. The results show that enterprises listed via the green channel have more significant performance downturn than those listed normally during the same period. This paper suggests that the distortion of the market issuance system causes the declining of the quality of IPO firms. Finally, this paper suggests that regulators should cooperate with local governments actively to ensure the smooth implementation of the government's poverty alleviation efforts while balancing market equity and efficiency. The SFC should take more consideration of institutional compatibility for policy output in financial poverty alleviation to avoid institutional alienation and distortion of corporate behavior. [ABSTRACT FROM AUTHOR]

This paper discusses the scope for international macroprudential policy coordination in a financially integrated world economy. It begins with a review of the transmission channels associated with, and the empirical evidence on, financial spillovers and spillbacks. Limitations of the existing literature are also identified. The potential gains associated with cross-border macroprudential coordination, dwelling on both recent analytical contributions and quantitative studies based on multi-country models with financial frictions, are then evaluated. The issue of whether coordination of macroprudential policies simultaneously requires some degree of monetary policy coordination is also discussed. The analysis focuses on the potential for policy coordination between major advanced economies and a group identified as systemically-important middle-income countries (SMICs). Next, practical ways to promote international macroprudential policy coordination are considered. Following a discussion of Basel III's Principle of reciprocity and ways to improve it, the paper advocates a further strengthening of the current statistical, empirical and analytical work conducted by international financial institutions to evaluate, and raise awareness of, the gains from international coordination of macroprudential policies. [ABSTRACT FROM AUTHOR]

This paper focuses on firms in which insiders pledge their shares as collateral for loans. By investigating a natural experiment—China's enactment of provisions on share reductions that restrict pledge creditors' cashing-out behavior—we find that pledging firms exhibited more conservative financial reporting after the implementation than non-pledging firms. This effect was pronounced in firms with a higher ratio of pledged shares, a longer maturation period of the pledged shares, and more concentrated pledge creditors. Additionally, we show that pledging firms increased their accounting conservatism after the shock, leading to a lower risk of margin calls and stock price crashes. The effect on accounting conservatism was stronger in firms with controlling pledgers or when the pledge creditors were banks. Our results remained consistent after we performed several robustness tests. These behaviors are economically logical because the provisions heighten creditors' liquidity risk and the potential losses of loan default. Pledging shareholders embrace more accounting conservatism to mitigate creditors' concerns about agency costs and avoid triggering margin calls. Our findings provide direct support that creditors have a real demand for accounting conservatism and highlight the impact of shareholder-creditor conflicts on the financial reporting policies of pledging firms. [ABSTRACT FROM AUTHOR]

Copyright of Interventions Économiques is the property of Association d'Economie Politique and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Journal of Comparative Politics is the property of Journal of Comparative Politics and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Major banks around the world lost nearly $210 billion during the period of 2011–2016 due to operational risk events. To mitigate the severe consequences that can arise from such events, the Basel Regulatory Committee has mandated that financial institutions worldwide conduct inspections on operational risk. In light of the importance of operational risk and its current regulation in the industry, this paper proposes a continuous-time principal-agent model that explores the optimal inspection policy of a financial firm (principal) and the effort of its employees (agent) to reduce the occurrence of risk events. First, we characterize the optimal inspection strategy under two commonly used policies in practice, namely random and periodic policies. This characterization reveals the conditions for two different modes of inspection (effort inducement and error correction), as well as the nuanced interactions among the inspection frequency, the penalty charged for errors, and the wage paid to employees. Next, by comparing random and periodic policies, we find that the random policy outperforms the periodic policy if and only if the inspection cost is high. Furthermore, we propose a hybrid policy that strictly dominates the random policy and weakly dominates the periodic policy, suggesting that a proper reduction of the random element in the inspection policy, in the manner of our proposed hybrid policy, can always improve its performance. Finally, we examine the complete information benchmark (without moral hazard), supplemental mitigation strategies, and numerical studies to provide further insights and show the robustness of our main findings. This paper was accepted by Vishal Gaur, operations management. Supplemental Material: The e-companion is available at https://doi.org/10.1287/mnsc.2021.00322. [ABSTRACT FROM AUTHOR]

Research Question: This paper analyses whether a relationship exists between the financial policy of the companies, embodied in the structure of assets and liabilities, and their financial health during the COVID-19 pandemic. Motivation: The paper aims to consider the impact of changes in the value of individual items of the balance sheet of selected companies on the movement of profitability, liquidity, and market value of companies, as measures of the companies’ financial health. Idea: The core idea of this paper was to empirically evaluate the financial health of domestic companies, where the financial policy that the selected companies implemented was taken as a factor of financial health. The financial policy was viewed through the structure of assets and financing of the chosen companies, while financial resilience observation was based on indicators of profitability, liquidity, and market value of the companies. Data: Secondary data from the reference database (Index of the Belgrade Stock Exchange) during the period 2016-2020, which includes 30 companies from the real sector, serve as the relevant basis for the realization of the research within the adequately set area of the research. Tools will be used to study the relationship, i.e. connectivity of selected research variables based on regression analysis in the frame of parametric quantitative procedures. The financial policy was viewed through the structure of assets and financing of the chosen companies, based on their balance sheets, while financial resilience observation was based on indicators of profitability, liquidity, and market value of the companies, which were used as dependent variables in the research. Findings: The point that changes in a relatively small number of the balance sheet items of selected companies influenced the movement of the mentioned financial health indicators during the COVID-19 pandemic. Contribution: Presented research results are significant and representative for future corporate practice. The key contribution of this research is the identification of assets’ elements with a critical impact on companies’ financial health. [ABSTRACT FROM AUTHOR]

Green credit is an important manifestation of commercial banks' environmental responsibility, but few studies have examined the impact of green credit policies on the financial performance of commercial banks. Based on the panel data of 62 commercial banks in China from 2013 to 2020, this paper investigates the changes in financial performance due to the implementation of green credit policies in 2016 using the difference-in-differences (DID) method and explores the mediating mechanism of green credit affecting commercial banks' profit. The sample was divided into a treatment and a control group. The treatment group disclosed total green credit data during the sample period, while the control group did not. The findings of this paper are as follows: (1) the implementation of the green credit policy increases the profits of commercial banks. (2) The green credit policy improves the profits of commercial banks by increasing their noninterest income and reducing their nonperforming loan ratios. (3) The green credit policy does not improve commercial banks' profit by reducing their cost-to-income ratios. (4) The implementation of the green credit policy significantly improves the profits of banks with low (vs. high) nonperforming loan ratios. (5) Compared to large national banks, regional urban and agricultural commercial banks' profits improve more significantly after executing the green credit policy. The research contribution of this paper provides a quantitative basis for Chinese commercial banks to improve their financial performance through the implementation of green credit in recent years and for the government to further improve green credit policies to motivate banks to implement green credit and achieve sustainable development. Then, we further discuss the implications for the prominent theoretical and managerial policies, study's limitations, and future research directions. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of flood management policies on airport investment and the resulting financial constraints. Specifically, it examines the effects of flood insurance, building codes, and public adaptation investment on the investment decisions of 100 United States airports located in flood-prone areas. The paper estimated the financial loss from extreme precipitations and flooding using novel data from the United States Federal Emergency Management Agency, and a differences-in-differences framework leveraging the introduction of the 2012 Biggert–Waters reform of the National Flood Insurance Program. The findings reveal that while flood insurance costs negatively influence overall airport investment, they do not significantly affect investment–cash sensitivity. On the other hand, the introduction of stricter building codes and public adaptation investment leads to increased cash usage for investment purposes, particularly among airports exposed to extreme precipitation and flood risks. Furthermore, the analysis suggests that the observed increase in financial constraints resulting from stricter building codes and public adaptation investment is likely driven by the asymmetry of information rather than the materiality of flood risk. In other words, public investment in flood risk reduction appears to signal to investors that the airport is exposed to flood risk, potentially leading to increased financial constraints. This finding highlights the importance of considering information asymmetry when assessing the impact of flood management policies on financial constraints. Understanding the underlying drivers of these effects is crucial for supporting resilient infrastructure development and informing effective decision-making in flood-prone areas. [ABSTRACT FROM AUTHOR]

The cultural industry with innovation, low pollution and low energy consumption may become the next strategic pillar industry in China. The tax reform of 'Replacing business tax with value-added tax (VAT)' not only lays a solid foundation for the establishment of green tax system, but also contributes to the enterprise development and performance improvement. This paper aims to study the impact of VAT reform policy on the financial performance of listed companies in the cultural industry. To this end, the PSM-DID method was applied, and natural experiments were made by taking A shares listed companies from 2009 to 2014 as the reform pilot. The research finds that: (1) the VAT reform policy 'replacing business tax with VAT' is conducive to improving the financial performance of cultural industry enterprises; (2) the policy has more positive impact on the financial performance of manufacturing cultural enterprises than on non-manufacturing ones; (3) compared with state-owned enterprises, the policy contributes more to the financial performance of private enterprises. This study provides empirical evidence for evaluating the impact of VAT reform policy on the operation of cultural industry enterprises. It has practical significance for improving the VAT system and the financial operation of cultural enterprises. [ABSTRACT FROM AUTHOR]