Starting from the argument that profits are not paramount for Japanese banks, their managerial objectives are investigated by testing the expense preference hypothesis (EPH). The validity is questioned for previous studies which tested EPH as a joint hypothesis with the market structure...

This paper explores whether export intensity and net foreign position of the Japanese firms are carefully watched by investors and are properly reflected in the stock prices. By estimating a multifactor model including the TOPIX, the call rate, the exchange rate, and other variables representing...

This paper explores the international linkage of stock prices, using daily stock price indices of the four major economies (USA, UK, Germany, and Japan) from June 1974 to December 1997. It is argued that previous studies have not estimated the structural equation system reflecting the sequential...