Purpose – The purpose of this article is to investigate the return associated with a Canadian dollar (C$) investment in the USA under passive, random walk, value at risk, and Sharpe ratio strategies. Design/methodology/approach – To comply with the purpose, this paper used a GARCH model, and...

Purpose – The purpose of this paper is to analyze the effect of utility and production externalities on the equilibrium efficiency, and to devise tax policies capable of correcting the distortions caused by the external effects. Design/methodology/approach – The paper analyzes a...

Productivity bias hypothesis claims that deviation of the PPP based exchange rate from the equilibrium rate is mainly due to productivity differentials among countries. Early studies that employed cross‐sectional data in testing the hypothesis provided mixed results. A few time‐series...

This paper considers the distributional dynamics of a well‐known corruption index. Specifically, we are interested in evaluating whether corruption is best characterized as multimodal (i.e. pointing to clusters of countries with persistently different levels of corruption) and whether there...

Purpose – Seek to compare the consequences of single‐source versus multiple‐source lending for a borrower who has loans that can be prematurely terminated. Design/methodology/approach – The considered model framework is an option‐theoretic firm value model similar to Merton (1974) but...

Purpose – Over the last two decades global cross‐border investment has increased. State‐owned and managed, sovereign‐wealth funds (SWFs), largely from the emerging‐market economies, have started playing a decisive role in underpinning, sustaining and expanding financial globalization....

Purpose – The purpose of this paper is to analyze the effects of investment growth in energy sectors of western areas of China on the local economy and emission of carbon dioxide (CO 2 ). Design/methodology/approach – The paper is based on a two‐region, ten‐sector recursive dynamic...

Purpose – The purpose of this study is to determine the characteristics of the equilibrium between demand and supply for a reciprocal insurance firm. Design/methodology/approach – The model developed assumes a fixed number of individuals with identical characteristics and of constant...

This paper shows that the consistent way of modeling sentiment‐driven moral behaviors in a setting of social interaction is to derive the equilibrium moral code that is mutually consistent with the optimal moral behavior of each player. To do this, it is necessary that moral sentiments be...