The Degree of Home Bias in the Holding of Share Portfolio

2017 ◽  
Vol 6 (3) ◽  
pp. 10-25 ◽  
Author(s):  
Mounira Chniguir ◽  
Asma Sghaier ◽  
Mohamed Soufeljil ◽  
Zouhayer Mighri
Keyword(s):  
Home Bias ◽  
Developed Countries ◽  
Capital Asset Pricing ◽  
Intuitive Reasoning ◽  
Important Conclusion ◽  
Developed Markets ◽  
Determining Factors ◽  
The Developed Countries ◽  
High Level

The objective of this paper is to measure the degree of Home Bias within the holdings of portfolio and to identify their determining factors. By following an intuitive reasoning, the authors have chosen a number of susceptible factors that have an impact on Home Bias. In fact, they have developed an international CAPM (Capital Asset Pricing Model). This model is estimated for 20 countries, with the use of cross-section econometrics. The authors' results show that all countries have recorded a high level of Home bias in their holdings of portfolio. In order to study whether the Home Bias of the newly emerging markets and that of the developed markets react differently to the determining factors or not the authors have evaluated the model so much jointly for all markets as separately for the developed and the newly emerging ones. In the case of classification of the sample, the results have permitted us to draw an important conclusion and to have cognizance that the volatility of the exchange rate is statistically significant concerning the newly emerging economies at a threshold of 1%, while it is hardly remarkable for the developed countries. This means that this variable prevents the American investors from investing in the former countries. Samely, for both variables of joint- variance and size.

The Degree of Home Bias in the Holding of Share Portfolio

2020 ◽  
pp. 1278-1294
Author(s):  
Mounira Chniguir ◽  
Asma Sghaier ◽  
Mohamed Soufeljil ◽  
Zouhayer Mighri
Keyword(s):  
Home Bias ◽  
Developed Countries ◽  
Capital Asset Pricing ◽  
Intuitive Reasoning ◽  
Important Conclusion ◽  
Developed Markets ◽  
Determining Factors ◽  
The Developed Countries ◽  
High Level

The objective of this paper is to measure the degree of Home Bias within the holdings of portfolio and to identify their determining factors. By following an intuitive reasoning, the authors have chosen a number of susceptible factors that have an impact on Home Bias. In fact, they have developed an international CAPM (Capital Asset Pricing Model). This model is estimated for 20 countries, with the use of cross-section econometrics. The authors' results show that all countries have recorded a high level of Home bias in their holdings of portfolio. In order to study whether the Home Bias of the newly emerging markets and that of the developed markets react differently to the determining factors or not the authors have evaluated the model so much jointly for all markets as separately for the developed and the newly emerging ones. In the case of classification of the sample, the results have permitted us to draw an important conclusion and to have cognizance that the volatility of the exchange rate is statistically significant concerning the newly emerging economies at a threshold of 1%, while it is hardly remarkable for the developed countries. This means that this variable prevents the American investors from investing in the former countries. Samely, for both variables of joint- variance and size.

Macroeconomic Factors of Competitiveness of Serbian Economy and ICT Sector

2012 ◽  
pp. 714-727 ◽  
Author(s):  
Drago Cvijanovic ◽  
Ivan Milojevic ◽  
Radovan Pejanovic
Keyword(s):  
Developed Countries ◽  
Operating Efficiency ◽  
Macroeconomic Factors ◽  
Global Competitiveness ◽  
Technological Readiness ◽  
Information And Communication ◽  
Global Competitiveness Index ◽  
The Developed Countries ◽  
High Level ◽  
Sustainable Economic Growth

Information and communication technology is an initiating and driving force behind economic development. The contribution of the ICT sector is in production and export increase within the sector itself and of the competitiveness of the economy as a whole. Competitiveness is synonymous with productivity and can be enhanced by rational utilization and investment in resources, application of the latest knowledge, investment, by increase of operating efficiency, and implementation of modern technologies in production. Competitiveness implies development of infrastructure and telecommunications, and intensive Internet usage. According to the Global Competitiveness Index, Serbia is lowly ranked. Serbia has the greatest advantage in the area of elementary and higher education, technological readiness and innovativeness. The analysis of technological readiness and the level of innovativeness within the global competitiveness of Serbian economy in 2009, indicates a high level of competitiveness and potential to be developed. Technology transfer from the developed countries is the basis for long-term sustainable economic growth and development. The paper focuses on the analysis of competitiveness of Serbian economy, international economic environment and the determinants of competitiveness.

Macroeconomic Factors of Competitiveness of Serbian Economy and ICT Sector

2012 ◽  
Vol 1 (1) ◽  
pp. 24-38 ◽  
Author(s):  
Drago Cvijanovic ◽  
Ivan Milojevic ◽  
Radovan Pejanovic
Keyword(s):  
Developed Countries ◽  
Operating Efficiency ◽  
Macroeconomic Factors ◽  
Global Competitiveness ◽  
Technological Readiness ◽  
Information And Communication ◽  
Global Competitiveness Index ◽  
The Developed Countries ◽  
High Level ◽  
Sustainable Economic Growth

Information and communication technology is an initiating and driving force behind economic development. The contribution of the ICT sector is in production and export increase within the sector itself and of the competitiveness of the economy as a whole. Competitiveness is synonymous with productivity and can be enhanced by rational utilization and investment in resources, application of the latest knowledge, investment, by increase of operating efficiency, and implementation of modern technologies in production. Competitiveness implies development of infrastructure and telecommunications, and intensive Internet usage. According to the Global Competitiveness Index, Serbia is lowly ranked. Serbia has the greatest advantage in the area of elementary and higher education, technological readiness and innovativeness. The analysis of technological readiness and the level of innovativeness within the global competitiveness of Serbian economy in 2009, indicates a high level of competitiveness and potential to be developed. Technology transfer from the developed countries is the basis for long-term sustainable economic growth and development. The paper focuses on the analysis of competitiveness of Serbian economy, international economic environment and the determinants of competitiveness.

scholarly journals MODEL ANALYSIS OF INDICATORS OF SUSTAINABLE DEVELOPMENT OF WORLD COUNTRIES

2018 ◽  
pp. 71-78
Author(s):  
Olha Kovalchuk ◽  
Nataliia Strelbitska
Keyword(s):  
Sustainable Development ◽  
Social Performance ◽  
Developed Countries ◽  
Graph Classification ◽  
Industrialized Countries ◽  
Social Standards ◽  
Index Of Inequality ◽  
High Level ◽  
Medium Method

The article discusses the possibilities of use of classical instruments of analytical methods and data mining methods for global sustainability modelling. To divide countries into groups according to the indicators that are traditionally allocated for sustainability studying, it is carried out the cluster analysis by k-medium method, which resulted in 2 clusters. The first cluster includes economically developed industrialized countries. A high level of social performance and a low level of inequality of outcomes characterize them. At the same time, these countries have high rank of corruption and low Gini Index. There are low social standards, but significantly lower rank of corruption and footprint than in developed countries in the countries of the second cluster. However, the index of inequality of outcomes is three times higher than in the countries included in the first cluster. The tree graph classification of the countries of the world has been constructed on the basis of indicators of sustainable development. The computer models, which are presented in this paper, aim to solve the main problems of sustainable development. They can also be applicable in many other fields, including international relations, economics, and management systems.

scholarly journals Freedom of the Markets versus Good Governance

Competitio ◽  
2010 ◽  
Vol 9 (2) ◽  
pp. 35-61
Author(s):  
László Muraközy
Keyword(s):  
Good Governance ◽  
Social Systems ◽  
International Comparisons ◽  
Developed Countries ◽  
The State ◽  
International Studies ◽  
Important Conclusion ◽  
The Developed Countries ◽  
Historical Past

The market and the state, operation and characteristics of two institutions of key importance in the modern mixed economies, are investigated for the former socialist countries in this study. After two decades it can be seen more clearly what system has been established in the region, how it operates, and what its characteristics are. In the first part of the with the help of international comparisons we examine how free the market is, how good the rules are, and how much they help, or hinder, the fulfilment of its function. From an other aspect we compare the scope of the good governance and the size, the freedom and efficiency of the state. According to the evidence of the international studies examined, the former socialist countries established the forms of the market institutional system relatively quickly, but the operation and quality of these lagged significantly behind those of the developed countries. Also important conclusion of the study is that by the first decade of the millennium the characteristics of the former socialist countries are increasingly diverging from one another. Both the characteristics of the earlier socialism, and the more distant historical past which can be caught in the act within it, had and have an effect on the economic and social systems now established in Eastern and Central Europe. Journal of Economic Literature (JEL) codes: H1, P17, P27, P35

EDUCATION AS AN AGENT OF RESOCIALIZATION OF ELDERLY PEOPLE

2018 ◽  
Vol 5 ◽  
pp. 100-112
Author(s):  
Nataliia Kalashnyk ◽  
Yana Levchenko ◽  
Olha Doronina ◽  
Olha Kucherova ◽  
Olga Luchenko
Keyword(s):  
Elderly People ◽  
Modern Society ◽  
The Elderly ◽  
Developed Countries ◽  
Professional Activity ◽  
Social Maladjustment ◽  
Social And Emotional ◽  
Aged People ◽  
The Developed Countries ◽  
High Level

Due to the aging of population there is a need for reevaluation of the importance and the necessity of elderly people’s participation in the life of society and as a result reevaluation of the methods of their adjustment. Modern “third aged people” want to continue living in the habitual rhythm of life, being the full participants of the society even after their retirement. The social portrait of a modern elderly differs significantly from the one 15-20 years ago. The level of medicine in the developed countries provides them with good state of health and therefore they can retain high level of social and emotional activity. Using several countries (Japan, Australia, Canada,) as an example the article aims to present different ways of inclusion of elderly people in socially useful activities in order to solve the problems of the modern society, in other words, to suggest how third aged people may be helpful. The article sums up that giving the opportunity of social and professional activity to the elderly people helps them to prevent social maladjustment and arising feeling of needlessness after the termination of active employment.

scholarly journals Reaching the Objectives of Sustainable Development on the Basis of the Creative Industries – A South and Eastern European Analysis

2016 ◽  
Vol 63 (1) ◽  
pp. 109-116 ◽  
Author(s):  
Costică Mihai ◽  
Mioara Borza ◽  
Mihai Talmaciu
Keyword(s):  
Sustainable Development ◽  
Developed Countries ◽  
Individual Characteristics ◽  
Creative Industries ◽  
Eastern European ◽  
East European ◽  
Healthy Development ◽  
Eastern European Countries ◽  
The Developed Countries ◽  
High Level

The reduction of the development gap of South and East European economy compared with the rest of the developed countries represent an important condition to achieve the goal of „healthy development“ of European Union. High level of competitiveness in West European industries as well as new policy of sustainable development causes a rethinking of strategy of individual countries. Creative industries may contribute to the efficient utilization of local resources and individual characteristics. Using the culture like an “engine” of regional development, in South and Eastern Europe, countries can generate many positive and lasting effects on these economies. This article presents the role and evolution of creative goods and industries in South and Eastern European countries, and aims to prefigure their impact on sustainable development of these regions. The involvement of these goods in international trade may improve or rehabilitate the position of different economies at European level.

scholarly journals International practices of using the cluster approach for the development of integration processes

2017 ◽  
pp. 69-82
Author(s):  
Eduard Karapetian
Keyword(s):  
Small Businesses ◽  
Developed Countries ◽  
Industrial Clusters ◽  
The State ◽  
Cluster Approach ◽  
Research Issues ◽  
Economic Relations ◽  
Depth Study ◽  
The Developed Countries ◽  
High Level

The research paper considers the existing approaches to defining the essence of clusterization and clusters in foreign economies, and presents the analysis of conditions leading to the emergence and development of industrial clusters. Some practices of forming cluster structures in the developed countries are described. The role of industrial clusters in providing real economic growth and increasing efficiency of production is clarified. It is proved that using the cluster approach in Ukraine is a necessary foundation for a revival of regional manufacturing and thereby ensuring a high level of the national economy’s competitiveness. The aim of the article is to undertake an in-depth study of international concepts and axiomatic doctrines of integration processes on the basis of using the cluster approaches, which may become the foundation of applied research devoted to efficient functioning of industrial associations as a priority of structural modernization and acceleration of innovation and investment growth of the national manufacturing. The cluster approach has emerged from implementing a policy of foreign countries focused on the development of regions. Implementation of clustering in international activities clearly demonstrates its advancement and efficiency. An important factor of improving efficiency is the organizational factor associated with the regional association of manufacturers. The regions in whose territories clusters are formed become leaders in national economies and foreign economic relations. The study of the basic concepts of competition and global practices of business activities allows us to conclude that the theory of cluster mechanisms serves as a basis for establishing more successful firms and economic systems. Cluster systems combine the most effective and interconnected types of economic activity by grouping successfully competing firms that form the leading component of the whole economic system of the state and create competitive positions in the sectoral, national and global markets. The cluster approach, which was originally used to research issues of competitiveness of individual groups of enterprises, subsequently have become applicable in solving a wider range of tasks: the analysis of the competitiveness of the state, region, sector; as a basis of national manufacturing policy; as a basis for the interaction of big and small businesses.

scholarly journals WTO and Pakistan: Opportunities and Policy Challenges

1998 ◽  
Vol 37 (4II) ◽  
pp. 687-701
Author(s):  
Zafar Mahmood
Keyword(s):  
International Trade ◽  
World Trade ◽  
Uruguay Round ◽  
Developed Countries ◽  
World Trade Organisation ◽  
Trade Restrictions ◽  
Effective Protection ◽  
Developed Markets ◽  
The World ◽  
The Developed Countries

From its inception the GATT had guided international trade most successfully until the early 1970s. However, afterwards the developed countries (DCs) increasingly recurred to new forms of trade restrictions not covered by the GATT rules. Ironically, these “grey measures” were mostly against the less developed countries (LDCs). These measures constrained international trade exactly at the time when the LDCs started penetrating developed markets. One of the main objectives of the Uruguay Round (UR) accord was to restrict the surge of protectionism. The accord was the most ambitious and detailed trade accord of all the GATT rounds. It established the World Trade Organisation (WTO). Before the UR accord the discrimination in textiles, clothing and agriculture was severe because tariffs and non-tariff barriers (NTBs) were employed in such a way that the overall effect of protection accumulated. The Round had agreed upon the harmonisation and reduction of tariffs, and elimination of NTBs (in stages) and thus it is expected that the effective protection will diminish in the DCs. The new accord has ensured multilateral rules for these sectors. All members expected that protection would be eventually lower with full implementation of the accord. In order to protect the interest of different groups the WTO has now lay down nondiscriminatory trading rules for services and trade-related aspects of intellectual property rights (TRIPs), thus covering all major fields of international trade policy.

Explaining cross-industry variations in trade protection: textiles, clothing and footwear in Canada

1994 ◽  
Vol 20 (1) ◽  
pp. 75-96
Author(s):  
M. Ramesh
Keyword(s):  
Political Economy ◽  
Crucial Role ◽  
Developed Countries ◽  
Trade Protection ◽  
The Developed Countries ◽  
High Level ◽  
Insight Into

The high level of protection for the textile, clothing and footwear industries in the developed countries is well recognized in the literature. What is not so well recognized is the significant variations in the level and form of protection accorded them and the crucial role that international forces have played in shaping the variations. The studies that do focus on international factors deal with the largest state and therefore provide little insight into trade protection in smaller states. These shortcomings persist despite the fact that trade protection is perhaps the most intensively studied phenomenon in political economy. This paper attempts to plug these gaps in the literature through the study of textile, clothing and footwear industries in Canada.

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