This article presents a new model for valuing financial contracts subject to credit risk and collateralization. Examples include the valuation of a credit default swap (CDS) contract that is affected by the trilateral credit risk of the buyer, seller and reference entity. We show that default dependency has a significant impact on asset pricing. In fact, correlated default risk is one of the most pervasive threats in financial markets. We also show that a fully collateralized CDS is not (...) equivalent to a risk-free one. In other words, full collateralization cannot eliminate counterparty risk completely in the CDS market. (shrink)

The one-side defaultable financial derivatives valuation problems have been studied extensively, but the valuation of bilateral derivatives with asymmetric credit qualities is still lacking convincing mechanism. This paper presents an analytical model for valuing derivatives subject to default by both counterparties. The default-free interest rates are modeled by the Market Models, while the default time is modeled by the reduced-form model as the first jump of a time-inhomogeneous Poisson process. All quantities modeled are market-observable. The closed-form (...) solution gives us a better understanding of the impact of the credit asymmetry on swap value, credit value adjustment, swap rate and swap spread. (shrink)

This article presents a generic model for pricing financial derivatives subject to counterparty credit risk. Both unilateral and bilateral types of credit risks are considered. Our study shows that credit risk should be modeled as American style options in most cases, which require a backward induction valuation. To correct a common mistake in the literature, we emphasize that the market value of a defaultable derivative is actually a risky value rather than a risk-free value. Credit value adjustment (CVA) (...) is also elaborated. A practical framework is developed for pricing defaultable derivatives and calculating their CVAs at a portfolio level. (shrink)

This paper presents a new model for pricing OTC derivatives subject to collateralization. It allows for collateral posting adhering to bankruptcy laws. As such, the model can back out the market price of a collateralized contract. This framework is very useful for valuing outstanding derivatives. Using a unique dataset, we find empirical evidence that credit risk alone is not overly important in determining credit-related spreads. Only accounting for both collateral arrangement and credit risk can sufficiently explain unsecured credit (...) costs. This finding suggests that failure to properly account for collateralization may result in significant mispricing of derivatives. We also empirically gauge the impact of collateral agreements on risk measurements. Our findings indicate that there are important interactions between market and credit risk. (shrink)

We analyze the properties of optimum portfolios, the price of which is considered a new quantum variable and derive a quantum analog of the Black-Scholes formula for the price of financial variables in assumption that the market dynamics can by considered as its continuous weak measurement at no-arbitrage condition.

The study aimed to determine the personal financial management practices among selected personnel of the Bureau of the Treasury – Central Office. It used the descriptive method of gathering data. The respondents of the study consisted of 183 personnel from 35 divisions of the Bureau and selected through simple random probability sampling technique. The study shown that most of the respondents aged 26 to 35 years old, female, single, bachelor’s degree holder, rank and file workers, permanent employees, have been (...) in the agency for 5 years and below and with monthly compensation ranging from P15,001 – P30,000. In terms of financial planning, most of the respondents set their short and long-term financial goals. In terms of money management, most of the respondents saved so that they do not need to borrow from others. In terms of income and asset protection, most of the respondents considered uncertainties for their future. And in terms of investments, most of the respondents purchased government securities. The researcher recommended to utilize various social media platforms as an avenue for financial planning, start considering the use of credit management in the acquisition of their needs, understand the need of acquiring non-life insurance and start familiarizing themselves in the concept of the derivatives market. Also, the Bureau of the Treasury should initiate seminars/webinars about how to start writing a financial plan, effective ways in managing finances, the vital role of insurance and estate planning, and possible ways in earning money when investing on securities and derivatives. (shrink)

In the last 10 years, after becoming the official member of WTO in 2007, Vietnam has made commitments to the comply with the US-Vietnam Bilateral Trade Agreement and other international economic agreements. Vietnam has also become a member of the AEC and entered into important free trade agreements, notably the Trans Pacific Partnership. The financial integration of Vietnam in the global economy has been increasing rapidly. However, Vietnam also witnesses the unexpected economic fluctuations domestically and internationally. The global (...) class='Hi'>financial crisis, especially the US financial crisis, exerts a major impact on Vietnam’s economy and its banking system. Accordingly, the real estate market, stock market and banking system in Vietnam have fluctuated remarkably. This article discusses the causes of the US financial crisis and analyses the US government’s solutions. The causes of the US financial crisis are distributed to lax lending standards, failures in regulations of derivates financial instruments, and lack of state control of banking systems. In this respect, recommendations are made for Vietnam’s case. (shrink)

Over the past three decades, Vietnam has transitioned from an agrarian-based, centrally planned economy to a mixed economy with emerging market status. Additionally, projections indicate that Vietnam will be one of the world’s largest economies by 2050 if growth is sustained at present rates. The evolution of the financial sector, which began with the Doi Moi reforms in the mid-1980s, has been central to facilitating this growth. As the economy has expanded, Vietnam has maintained a gradualist approach to developing (...) market-based mechanisms of resource allocation. However, financial markets are still in an embryonic stage and substantial reform is required if the economy is to meet the expected rates of development. Against this backdrop, this dissertation critically evaluates trends and dynamics in Vietnam’s journey of financial development over the past three decades, with a particular emphasis on the experiences of small and medium-sized enterprises (SMEs). Drawing on quantitative analysis, secondary data and interviews conducted with a range of firms and stakeholders, I argue that financial development in Vietnam has had positive effects in terms of increasing access to funding for SMEs. As the financial system has developed, allocative efficiency has improved to the benefit of SMEs. However, some informants criticised the progress made to date, arguing that a funding mismatch still exists. Specifically, weak corporate governance, state-owned enterprises and a lack of derivatives have prevented effective capital market development. Given Vietnam’s high level of political corruption, this paper concludes that policy makers must place more attention on the political-economic structures of Vietnam if achieving middle-income status is to occur. Specifically, a tighter and more controlled effort to dismantle corporate bureaucracy and nepotism would allow better access to funding for Vietnamese SMEs. (shrink)

The concept of non-arbitrage plays an essential role in finance theory. Under certain regularity conditions, the Fundamental Theorem of Asset Pricing states that, in non-arbitrage markets, prices of financial instruments are martingale processes. In this theoretical framework, the analysis of the statistical distributions of financial assets can assist in understanding how participants behave in the markets, and may or may not engender arbitrage conditions. Assuming an underlying Variance Gamma statistical model, this study aims to test, using the FBST (...) - Full Bayesian Significance Test, if there is a relevant price difference between essentially the same financial asset traded at two distinct locations. Specifically, we investigate and compare the behavior of call options on the BOVESPA Index traded at (a) the Equities Segment and (b) the Derivatives Segment of BM&FBovespa. Our results seem to point out significant statistical differences. To what extent this evidence is actually the expression of perennial arbitrage opportunities is still an open question. (shrink)

An increasing number of financial services (FS) companies are adopting solutions driven by artificial intelligence (AI) to gain operational efficiencies, derive strategic insights, and improve customer engagement. However, the rate of adoption has been low, in part due to the apprehension around its complexity and self-learning capability, which makes auditability a challenge in a highly regulated industry. There is limited literature on how FS companies can implement the governance and controls specific to AI-driven solutions. AI auditing cannot be performed (...) in a vacuum; the risks are not confined to the algorithm itself, but rather permeates the entire organization. Using the risk of unfairness as an example, this paper will introduce the overarching governance strategy and control framework to address the practical challenges in mitigating risks AI introduces. With regulatory implications and industry use cases, this framework will enable leaders to innovate with confidence. (shrink)

By using multilevel mediation involving 322,589 posts made by 384 musicians over 104 weeks, we simultaneously analyze the short-term and long-term effects of charity-related signaling on sales, with social media engagement as the mediator. Specifically, we compare the effects of charity-related signals with those of two other types of signals: mission-related (i.e., promoting music and commercial products) and non-mission-related (i.e., other posts that do not relate to the other two categories). In the short term, the indirect effect of using charity (...) signaling on sales (through engagement) is positive, though smaller than the effects of mission-related and non-mission related signals. However, in the long term, the indirect effect of regularly using charity-related signaling on sales (through long-term engagement) is greater than for the effects involving the other types of signals. We derive from these findings three main implications for the business ethics literature. First, in the long term, the mutual economic benefits of charity signaling should encourage both entities (i.e., musicians and charities) to go beyond short-term, transactional philanthropy. Second, because it is profitable for musicians to partner with charities in the long-term, our research argues that charities have extensive bargaining power in such co-branding decisions. Third, our research highlights the importance of studying the longitudinal aspects of co-branding decisions involving non-profit organizations; the financial outlook of such decisions could greatly vary depending on the timeframe (i.e., short vs. long). (shrink)

In the last 10 years, after becoming the official member of WTO in 2007, Vietnam has made commitments to the comply with the US-Vietnam Bilateral Trade Agreement and other international economic agreements. Vietnam has also become a member of the AEC and entered into important free trade agreements, notably the Trans-Pacific Partnership. The financial integration of Vietnam in the global economy has been increasing rapidly. However, Vietnam also witnesses the unexpected economic fluctuations domestically and internationally. The global financial (...) crisis, especially the US financial crisis, exerts a major impact on Vietnam’s economy and its banking system. Accordingly, the real estate market, stock market and banking system in Vietnam have fluctuated remarkably. This article discusses the causes of the US financial crisis and analyses the US government’s solutions. The causes of the US financial crisis are distributed to lax lending standards, failures in regulations of derivates financial instruments, and lack of state control of banking systems. In this respect, recommendations are made for Vietnam’s case. (shrink)

Abstract: Leadership quality is treated as both a specialized role and a social influence process and today’s business environment requires executives who are able to operate on a global scale. Talent development includes mobility between business units domestically and abroad. It is essential that job shifts and production structure be fundamentally aligned because developing large pool of talent could lead to oversupply and the developed team would simply have no place to go. The study was focused to establish effects of (...) talent development practices on leadership quality of financial sector regulatory institutions in Kenya through explanatory and cross-sectional survey design. A total population of 636 employees in the six financial sector regulatory institutions in Kenya were targeted. Stratified random sampling was embraced thus deriving 127 employees as the sample population. Both primary and secondary data was used where Primary data was collected using questionnaires which was analysed used SPSS software and presented as percentages, frequencies, means, charts and standard deviations. The study established that employee assessment, employee sourcing, leadership grooming and employee development programmes affect leadership quality. Human resource department needs to step up and play a critical role on employees’ talent development. There is need for management to have employee assessment on regular basis as this will help in identifying the skills they have and those they require, hence improving leadership quality. Over and above, the management need to have clear policies on employee assessment, sourcing, development and leadership grooming with an aim of improving. (shrink)

An extended analysis compared to observations shows that modern “globalised” world civilisation has passed through the invisible “complexity threshold”, after which usual “spontaneous”, empirically driven kind of development (“invisible hand” etc.) cannot continue any more without major destructive tendencies. A much deeper, non-simplified understanding of real interaction complexity is necessary in order to cope with such globalised world development problems. Here we introduce the universal definition, fundamental origin, and dynamic equations for a major related quantity of (systemic) risk characterising real (...) complex system development tendencies at any level of dynamics. Practically important conclusions are derived, opening further detailed applications in economy, finance and development practice. (shrink)

During the lifetime of a structured product, payment events and cancellation events mainly affect the value of the option. This article presents a model for pricing generic cancellable option. The model is used to build most common kinds of cancellation schedules and compute the cancellation probability.

This paper presents a new model for valuing hybrid defaultable financial instruments, such as, convertible bonds. In contrast to previous studies, the model relies on the probability distribution of a default jump rather than the default jump itself, as the default jump is usually inaccessible. As such, the model can back out the market prices of convertible bonds. A prevailing belief in the market is that convertible arbitrage is mainly due to convertible underpricing. Empirically, however, we do not find (...) evidence supporting the underpricing hypothesis. Instead, we find that convertibles have relatively large positive gammas. As a typical convertible arbitrage strategy employs delta-neutral hedging, a large positive gamma can make the portfolio highly profitable, especially for a large movement in the underlying stock price. (shrink)

An increasing number of regulations propose the notion of ‘AI audits’ as an enforcement mechanism for achieving transparency and accountability for artificial intelligence (AI) systems. Despite some converging norms around various forms of AI auditing, auditing for the purpose of compliance and assurance currently have little to no agreed upon practices, procedures, taxonomies, and standards. We propose the ‘criterion audit’ as an operationalizable compliance and assurance external audit framework. We model elements of this approach after financial auditing practices, and (...) argue that AI audits should similarly provide assurance to their stakeholders about AI organizations’ ability to govern their algorithms in ways that mitigate harms and uphold human values. We discuss the necessary conditions for the criterion audit, and provide a procedural blueprint for performing an audit engagement in practice. We illustrate how this framework can be adapted to current regulations by deriving the criteria on which ‘bias audits’ for hiring algorithms can be performed, as required by the recently effective New York City Local Law 144 of 2021. We conclude by offering critical discussion on the benefits, inherent limitations, and implementation challenges of applying practices of the more mature financial auditing industry to AI auditing where robust guardrails against quality assurance issues are only starting to emerge. Our discussion as informed by experiences in performing these audits in practice highlights the critical role that an audit ecosystem plays in ensuring the effectiveness of such methodology. (shrink)

This article presents a comprehensive framework for valuing financial instruments subject to credit risk. In particular, we focus on the impact of default dependence on asset pricing, as correlated default risk is one of the most pervasive threats in financial markets. We analyze how swap rates are affected by bilateral counterparty credit risk, and how CDS spreads depend on the trilateral credit risk of the buyer, seller, and reference entity in a contract. Moreover, we study the effect of (...) collateralization on valuation, since the majority of OTC derivatives are collateralized. The model shows that a fully collateralized swap is risk-free, whereas a fully collateralized CDS is not equivalent to a risk-free one. (shrink)

Unification of natural science and social science is a centuries-old, unmitigated debate. Natural science has a chronological advantage over social science because the latter took time to include many social phenomena in its fold. History of science witnessed quite a number of efforts by social scientists to fit this discipline in a rational if not mathematical framework. On the other hand a tendency among some physicists has been observed especially since the last century to recast a number of social phenomena (...) in the mould of events taking place in physical world and governed by well-known systems and equations of physics. It necessitated the introduction of social physics as a new inter-disciplinary subject. Obviously this attempt is aimed at explaining hitherto unsolved or highly debated issues of social science. Physicists are showing special interest on problems on economics, ranging from some topics of normative economics to the movement of prices of derivatives. Statistics has been widely used in these attempts and at least two sub-disciplines of the subject, namely, stochastic process and time series analysis deserve special mention. All these research activities gave birth to another inter-disciplinary subject named as econophysics. Interestingly, global financial crisis of 2007–08 has revived the need of determination of prices of derivatives in a more accurate manner. This article adumbrates a sketch of the theoretical synthesis between physics and economics and the role played by statistics in this process. (shrink)

There is a widely acknowledged shortage of and an increasing demand for transplantable human organs and tissues (e.g., kidney, heart, lung, liver, cornea) in developed and developing countries around the world. In response to this need, Lott and Savulescu (2007) propose the creation of a human embryonic stem (hESC) bank to facilitate the equitable and efficient dissemination of human leukocyte anti- gen (HLA) matched tissues and organs to patients in need of replacement. Although not an unreasonable proposal, the authors go (...) on to make a much stronger claim. They argue that hESCs are such important tools for addressing the massive unmet global need for organs that it is ethically justified to require mandatory banking of spare embryos, and they argue for the use of financial (or other) inducements to procure embryos for the derivation of hESCs. (shrink)

Small and medium enterprises (SMEs) in Albania, similar to other markets, operate in complex, fast-paced and unpredictable environments due to their size and nature. In our contemporary knowledge-based economy, business is constantly changing, and SMEs are thus continually faced with the challenge to find new and innovative ways to improve and adapt to the rapid transformations. As a result, there is a growing interest and necessity for SMEs to explore and adapt new and innovative mechanisms for better decision making, which (...) will then lead to improved performance and competitiveness. Digitalization of SMEs with the use of Business Intelligence (BI) and Knowledge Management (KM) systems is one such innovative instrument open to SMEs for a better performance and increased competitiveness. The research for this doctoral thesis is then set precisely in this configuration whereby: on one hand the current level of adoption and use of advanced ICTs and technological innovation within SMEs, or business digitalization as will be coined later, is relatively limited due to a variety of factors; and on the other hand ICTs themselves as technological systems or tools as well as part of business landscape, i.e. ICT as a sector, are a major driver of innovation, modernization and growth for the Albanian economy. This doctoral thesis addresses the gap in the current state of research regarding the development, adoption and use of advanced ICTs systems, i.e. business digitalization, within SMEs. In addition, the research for the doctoral thesis expands the challenge to the impact of business digitalization on performance of SMEs in Albania. Clearly, SMEs have been selected as the central ground of research not only to contribute towards filling a research gap in management and ICTs studies in Albania, but also because of the central role that SMEs play in Albanian economy and their future potential in the digital world. The results show that business digitalization impacts positively the overall performance of SMEs in Albania. Size, age and location of the SME dominate performance and are related to the business digitalisation more than strategy. Also, the entrepreneurial characteristics of the owner – manager also impact the digitalization. Having a clear business plan was also found to be important when it comes to using BI. SMEs in Albania are a vital part of the national economy and the research shows that there is growing interest in ICTs, digitalisation, BI and KM, but innovation is still at relatively low levels due to financial and human resources, which are limited. However, the research highlights that SMEs are very flexible and easy to adopt to change and when this is combined with a visionary owner- manager they tend to move towards business digitalisation. Another finding of this study is that digitalisation have lead SMEs to reconsider and re-conceptualise their business models attempting to move towards innovations that impact performance. Also, the concept of business model innovations is also gaining ground in SMEs in Albania. Findings show that the use of BI and other digitalisation processes is mainly driven by strategic and innovation related motives that are internal to the company and the owner-manager. The use of BI as a result of external technological factors also plays a role. Analysis of the findings show that the use of BI and digitalisation have a positive impact on business performance. The findings of this research paper have practical implications for the SMEs sector in Albania not only in providing an assessment of the current use of BI, but also in exploring the benefits and potential usage of BI as a necessary activity for deriving improved performance. Findings of this research can be used by owners-managers to better understand how firms can engage with digitalisation and BI and how their adoption and implementation affect business performance. Another implication for business sector is that digitally mature companies have better performance and thus derive more revenue and become more competitive. Finally, the research shows that digitization has a variety of dimensions and can be understood differently by different SMEs, owner-managers and staff, but it is a major contributor to business performance. Future research is needed to explore further the role of digitalisation processes in SMEs in Albania particularly related to enabling and hindering factors. In addition, further research is needed regarding the business model innovations, particularly in terms of human and organizational factors. This study is one of the first research contributions in the case of Albania to analyse the impact of digitalization, specifically the impact of BI on SMEs in Albania. (shrink)

Many ethicists maintain that medical research on human subjects that presents no prospect of direct medical benefit must have a prospect of social benefit to be ethical. Payment is not the sort of benefit that justifies exposing subjects to risk. Alan Wertheimer has raised a serious challenge to this view, pointing out that in industry, social value is not considered necessary to make dangerous jobs ethical. This article argues that Wertheimer was correct to think that the ethics of hazard pay (...) should be the same in medical research and in business. Nevertheless, a qualified social benefit requirement should apply in both fields. For a study or a job with significant net physical risk to be ethical, it must have social value beyond the satisfaction of ordinary preferences, including the preference for money. The requirement derives from a non-absolutist version of the doctrine of double effect. If a risky study or a dangerous job has no distinctive social value, and hazard pay is subjects' or workers’ only reason to undergo risks, the very fact that they undergo risk is intended as a means to a financial end. Inviting people to enrol in such a study or to take such a job wrongfully treats people as mere means. By contrast, if a study or a job has social value, people can participate with a primary end other than money, even if they accept compensation. Researchers or employers do not intend but merely foresee risks to subjects or workers. (shrink)

This is a sequel to my paper "Il denaro è un’opera d’arte", focusing on the metaphysics of those peculiar social objects that play an increasingly central role in the financial world—derivatives. On the analysis I offer, they appear to run afoul of Searle’s theory of social objects (or of the theory outlined in my earlier paper), and I put forward some suggestions on where to look for the necessary adjustments.

Building on the system of reason provided for by the Greek philosopher and specifically Aristotle, St. Thomas Aquinas built a comprehensive system and theory of natural law which has lasted through the ages. The theory was further developed in the Middle Ages and in the Enlightenment Ages by many a prominent philosopher and economist and has been recognized in the Modern Age. The natural law-theory and system has been repeatedly applied to the spheres of economic thought and has produced many (...) lasting contributions such as private property rights and individual rights. In recent times with the collapses of the financial system and rapid globalization, there has been a renewed interest in the application of natural law theory to economics to counter a certain anthropology and distortion of values created by a modern economic system of selfpreservation deriving its insights from the philosophies of Thomas Hobbes and Niccolo Machiavelli. (shrink)

This study was intended to determine the level of factors affecting the decision of 4th year BS Accountancy students from College of Maasin to work after graduation or to take the 2022 CPALE. In order to determine the factors affecting the decision of the graduating Accountancy students, the researchers adopted the descriptive survey design. Descriptive survey is a sort of descriptive study that uses surveys to collect data on a variety of issues. The goal of this information is to see (...) how different circumstances can be obtained among the respondents. The following results were derived in the course of the conduct of this study; There is bigger percentage of female than of male where 26 out of 27 belongs to the age group of 20 to 22. Majority of the student’s parent’s occupation status is working. Conversely, most of them only earns P2,000 to P5,000 per month even though the household member earning for a living is 1 to 4 members, the first 3 factors namely financial status, peer pressure and parent’s influence were found to slightly affect the decision of the student with regards to taking the CPALE or to work after graduation. The last factor, school’s teaching influence turned out that it somewhat affects the decision of the students, there is a significant difference between the teaching influence factor and the demographic profile of gender while on the age and parent’s occupation status, it has a significance difference with financial status factor. As BSA students taking a course where a licensure examination awaits after graduation, it is necessary to take some factors into consideration before coming up into a decision regarding taking the CPALE or to work after graduation. Based on the results of the study, the level of factors to affect the decision of the students was determined. It has been shown in the results that the three factors namely financial status, peer pressure and parent’s influence can slightly affect the student’s decision. However, among three, peer pressure has the highest weighted mean rating of 2.86. On the other hand, the school’s teaching influence has the lowest weighted mean rating of 2.29 which means it can somewhat affect the decision of the student. (shrink)

Abstract: We face objections against punishing financial firms and managers for producing risks for the financial system – that it’s either paternalistic or inefficient. Against the first: financial crises are so damaging that governments and deposit insurance funds have to intervene – an implicit guarantee to creditors. This is controversial from the perspective of political morality: it implies using resources from the public for the benefit of better-off people who willingly incur risks. So, we begin by studying (...) a possible justification for this arrangement from the ‘incentives argument’ derived from the Rawls difference principle, in the light of G. Cohen’s criticisms. Against the second: we cannot completely dispense with coercive instruments - mainly for the moral hazard entailed by the implicit guarantee. Therefore, we conclude the threat of liability must have a punitive and a preventive character, extending to non-compliance with norms on risk even before generating major economic effects. Keywords: Incentives, Responsibility, Moral Hazard, Justice, Finances JEL Classification: D63, G28, K42 -/- Resumo: Enfrentamos duas objeções à punição de instituições financeiras e gestores pela produção de riscos ao sistema financeiro – que seria paternalista e ineficiente. Contra a primeira: crises financeiras prejudicam tanto a economia que governos e fundos garantidores são obrigados a intervir – uma garantia implícita aos credores. Isso é polêmico da perspectiva da moralidade política: implica utilizar recursos do público em benefício de pessoas em melhor situação que voluntariamente incorrem em riscos. Na primeira seção, estudamos justificar esse arranjo a partir do “argumento do incentivo”, decorrente do princípio da diferença de Rawls, à luz das críticas de G. Cohen. Contra (b), arguimos que não podemos prescindir completamente de instrumentos coercitivos – mormente pelo risco moral decorrente da garantia implícita. Logo, é preciso que a ameaça de responsabilização tenha um caráter punitivo e preventivo, se estendendo ao descumprimento de normas sobre risco mesmo sem gerar efeitos econômicos maiores. Palavras-chave: Incentivos, Responsabilidade, Risco Moral, Justiça, Finanças JEL Classification: D63, G28, K42 -/- (This is a translation of the working paper "Equality and Responsibility"). (shrink)

This chapter constructs the argument that corporate and political policies known to accelerate anthropogenic global warming, and subsequent climate change, constitute crimes against humanity—predicated on failures to avoid reasonably foreseeable threats to sustained human existence. Given the moral gravity of crimes against humanity it follows that financial divestment is ethically obligatory for institutions wishing to avoid moral association. The moral case for fossil fuel divestment, in the wake of such crimes, derives from (a) the ethical implications of negative responsibility, (...) or what constitutes culpability by omission; (b) institutional collaboration based upon immediate financial interests tied to climate inaction; and (c) institutional complicity derived from financial support of corporate behaviors that hasten global warming. Possible objections are examined and refuted. (shrink)

Markets sit in places and knowledge produced in these places also constitute the very foundation of markets’ viability and market actors’ performative competitive edge. However, not all markets are created equal primarily in the context of their importance in the global economy. Thus conceived, we imagine a world economy or markets populated by people in front of wide computer screens making sense of financial algorithms and derivatives. In a way, here, we see a market that is run by (...) codified knowledge, or scientific knowledge that transcends boundaries. But what about a conception of market that recognizes the production of knowledge in the periphery, and this instance, fish markets, where place-based knowledge marks the contours of engagement of fishmongers to their wider world and yet, concomitantly, also underscores their attachment to place? In this article, in an ethnographic study of four fish markets in a small coastal town in southern Philippine, fishmongers engage with market processes via their production and deployment of vernacular knowledge which is performed in the form of public specialized knowledge, tacit knowledge and network knowledge. In these forms of vernacular knowledge, we become cognizant of the complexities of market processes even in places that are relegated to the margins, where knowledge plays a crucial role in sensing the world and making it lived and real. (shrink)

Before the Doi Moi reforms in 1986, Viet Nam’s economy was devastated by 30 years of warfare with two major military powers, France and the US, ending in 1975. In the subsequent 10 years, Viet Nam suffered from failing economic experiments, including agricultural cooperatization, “industry-commerce rehabilitation,” price-wage-currency reform, among others, under the centrally planned mechanism (Wood 1989), as well as the international isolation and a US trade embargo when its troops entered Cambodia to overthrow the Khmer Rouge (Riedel and Turley (...) 1999). Its per-capita gross domestic product (GDP) declined to USD 97 in 1989 whereas the ratio of external debt to GDP reached 330%. 1 The economy languished and became one of the poorest in the world (VGP 2016). (shrink)

It is crucial to actively detect the risks of transactions in a financial company to improve customer experience and minimize financial loss. In this study, we compare different machine learning algorithms to effectively and efficiently predict the legitimacy of financial transactions. The algorithms used in this study were: MLP Repressor, Random Forest Classifier, Complement NB, MLP Classifier, Gaussian NB, Bernoulli NB, LGBM Classifier, Ada Boost Classifier, K Neighbors Classifier, Logistic Regression, Bagging Classifier, Decision Tree Classifier and Deep (...) Learning. The dataset was collected from Kaggle depository. It consists of 6362620 rows and 10 columns. The best classifier with unbalanced dataset was the Random Forest Classifier. The Accuracy 99.97%, precession 99.96%, Recall 99.97% and the F1-score 99.96%. However, the best classifier with balanced dataset was the Bagging Classifier. The Accuracy 99.96%, precession 99.95%, Recall 99.98% and the F1-score 99.96%. (shrink)

To what extent are questions of sovereign debt a matter for political rather than scientific or moral adjudication? We answer that question by defending three claims. We argue that (i) moral and technocratic takes on sovereign debt tend to be ideological in a pejorative sense of the term, and that therefore (ii) sovereign debt should be politicised all the way down. We then show that this sort of politicisation need not boil down to the crude Realpolitik of debtor-creditor power relations—a (...) conclusion that would leave no room for normative theory, among other problems. Rather, we argue that (iii) in a democratic context, a realist approach to politics centred on what Bernard Williams calls ‘The Basic Legitimation Demand’ affords a deliberative approach to the normative evaluation of public debt policy options. (shrink)

The credit crises experienced in the US in year 2008 is labeled as perhaps the most significant crises since the great depression. The roots of the crises were found in the default of the sub-prime mortgages and the failure occurred in both the US and the UK. Due to the integrated nature of international financial systems the spillover impacted many countries as the economies in Asia and Europe were purchasers of the sub-prime mortgages that originated in both UK and (...) US. The impact of the credit crises in Canada is of unique importance due to the close proximity to US, and both the US and Canada being of great strategic importance to each other as well as one of the largest trading partners.Even though the international financial credit crises adversely impacted many countries, the evidence that has come across recent years point towards the conclusion that Canada was able to weather the crises much better than many other countries. (shrink)

Although Minsky’s interpretation of Keynes’s macroeconomics and essential message clashes with authoritative alternative interpretations, it has become increasingly influential during the years following the Global Financial Crisis, even in mainstream circles. This paper offers a critical evaluation of Minsky’s Financial Instability Hypothesis from the perspective of the alternative Austro-Wicksellian paradigm. Although some of the similarities and/or analogies between Minsky’s approach and that of the Austrian School suggest a more than merely superficial affinity between the two theoretical frameworks and (...) although some scope for cross-fertilization between both approaches can be found, both theoretically and empirically, at a fundamental conceptual level both theories remain incompatible and difficult if not impossible to reconcile, in particular in terms of fundamental causality and in terms of policy conclusions and prescriptions. Despite the fact that Minsky’s policy conclusions are multifaceted and somewhat eclectic, they manifest a lack of familiarity with the conclusions of the Austrian analysis of the problems of central planning by Big Players such as Big Bank and Big Government. Both approaches also offer contrasting interpretations of the historical experience of the Global Financial Crisis. (shrink)

Most business in the Philippines is mostly in the microenterprise. Hence, this research was accomplished in order to assess the effectiveness of financial management practices of microenterprises in Quezon City. The city was selected as the locale of the research since there were various microenterprises built in this location. The respondents were classified according to the number of years in operation of their business, the number of employees, capitalization, and their source of funds. Additionally, the individual profile was also (...) classified into their age, highest educational attainment, and the number of seminars or trainings related to their business that they had attended. The assessment was specified into aspects of financial planning, financial control, and cash management. The result shows that most businesses were newly established and only operating for zero (0) to two (2) years. The result also showed that most of the respondents only had a capitalization of PHP 100,000.00 and they were utilizing their personal savings as a source of funds. Most of them are aged from twenty-one (21) to thirty (30) years with no bachelor’s degrees. They only attended seminars and training less than three (3) times. The result of this study was beneficial to business owners, local government units, government, government agencies, banks, and other financial institutions, academe, and future researchers. (shrink)

The aim of this article is to study the notion of derivability and its semantic counterpart in the context of non-transitive and non-reflexive substructural logics. For this purpose we focus on the study cases of the logics _S__T_ and _T__S_. In this respect, we show that this notion doesn’t coincide, in general, with a nowadays broadly used semantic approach towards metainferential validity: the notion of local validity. Following this, and building on some previous work by Humberstone, we prove that in (...) these systems derivability can be characterized in terms of a notion we call absolute global validity. However, arriving at these results doesn’t lead us to disregard local validity. First, because we discuss the conditions under which local, and also global validity, can be expected to coincide with derivability. Secondly, because we show how taking into account certain families of valuations can be useful to describe derivability for different calculi used to present _S__T_ and _T__S_. (shrink)

In the beginning of the 1970s, Michel Foucault dismisses the terminology of ‘exclusion’ for his projected analytics of modern power. This rejection has had major repercussions on the theory of neoliberal subject-formation. Many researchers disproportionately stress how neoliberal dispositifs produce entrepreneurial subjects, albeit in different ways, while minimizing how these dispositifs sometimes emphatically refuse to produce neoliberal subjects. Relying on Saskia Sassen’s work on financialization, I argue that neoliberal dispositifs not only apply entrepreneurial norms, but also suspend their application for (...) groups that threaten to harm the population’s profitability. Neoliberal dispositifs not only produce entrepreneurial subjects, but also surplus populations that are expelled from the overall population to maintain its productivity. Here, the concept of ‘exclusion’ is appropriate if understood in Agamben’s sense of an inclusive exclusion. The surplus population is part of neoliberal dispositifs, but only as the element to be abandoned. (shrink)

Many philosophers of physics think that physical rates of change, like velocity or acceleration in classical physics, are extrinsic. Many philosophers of mind think that phenomenal properties, which characterize what it’s like to be an agent at a time, are intrinsic. I will argue that these two views can’t both be true. Given that these two views are in tension, we face an explanatory challenge. Why should there be any interesting connection between these physical quantities and consciousness in the first (...) place? In a speculative spirit, I close by developing a panpsychist view which promises to explain this connection in a particularly satisfying way. (shrink)

Financial gerontology can be defined as investigating relations between finances and aging. Authors such as Neal E. Cutler, Kouhei Komamura, Davis W. Gregg, Shinya Kajitani, Kei Sakata, and Colin McKenzie affirm that financial literacy is an effect of aging with concern about the issue of finances, as well as stating that it is the effect of longevity and aging on economies or the financial resilience of older people.

Financial gerontology can be defined as investigating relations between finances and aging. Authors such as Neal E. Cutler, Kouhei Komamura, Davis W. Gregg, Shinya Kajitani, Kei Sakata, and Colin McKenzie affirm that financial literacy is an effect of aging with concern about the issue of finances, as well as stating that it is the effect of longevity and aging on economies or the financial resilience of older people.

In a rather old paper, Mario Liu described a hydrodynamic Maxwell equations. While he also discussed potential implications of these new approaches to superconductors, such a discussion of electrodynamics of superconductors is made only after Tajmar’s paper. Therefore, in this paper we present for the first time a derivation of fluidic Maxwell-Proca equations. The name of fluidic Maxwell-Proca is proposed because the equations were based on modifying Maxwell-Proca and Hirsch’s theory of electrodynamics of superconductor. It is hoped that this paper (...) may stimulate further investigations and experiments in superconductor. It may be expected to have some impact to cosmology modeling too, for instance we consider a hypothetical argument that photon mass can be origin of gravitation. Then, after combining with the so-called chiral modification of Maxwell equations (after Spröessig), then we consider chiral Maxwell-Proca equations as possible alternative of gravitation theory. Such a hypothesis has never considered in literature to the best of our knowledge. (shrink)

In this chapter, my main aim is to explore some of the central moral critiques of international financial institutions as well as proposals to overcome the moral problems that they face.

This chapter derives and refines a novel normative moral theory and descriptive theory of moral psychology--Rightness as Fairness--from the theory of prudence defended in Chapter 2. It briefly summarizes Chapter 2’s finding that prudent agents typically internalize ‘moral risk-aversion’. It then outlines how this prudential psychology leads prudent agents to want to know how to act in ways they will not regret in morally salient cases, as well as to regard moral actions as the only types of actions that satisfy (...) this prudential interest. It then uses these findings to defend a new derivation of my (2016) theory of morality, Rightness as Fairness, showing how the derivation successfully defends Rightness as Fairness against a variety of objections. The chapter also details how this book’s theory helps to substantiate the claim that Rightness as Fairness unifies a variety of competing moral frameworks: deontology, consequentialism, contractualism, and virtue ethics. Finally, the chapter shows how Chapter 2’s theory of prudence entails some revisions to Rightness as Fairness, including the adoption of a series of Rawlsian original positions to settle moral and social-political issues under ideal and nonideal circumstances—thus entailing a unified normative and descriptive psychological framework for prudence, morality, and justice. (shrink)

The purpose of the article is to analyze the prerequisites, advantages, problems and prospects for the development of the processes of financial decentralization in Ukraine. Initially, the article reveals the features of the federal and unitary arrangements of states. As research has shown, the principles of fiscal federalism have been increasingly used by unitary states. The legislative and normative legal acts regulating the implementation of the decentralization policy in Ukraine are justified and given. Characteristics of the formation of new (...) structures, such as: united territorial societies and their sources of financing are characterized. Changes in incomes in local budgets as a result of decentralization are analyzed, and their significant growth is observed. The mechanism of horizontal leveling of the tax ability of territories has been developed, which helps to remove imbalances and unevenness, most of the budgets of Ukraine are recipients of budgetary funds, since they receive a basic subsidy. The influence of the development of information technologies on entrepreneurial activity in small towns and villages is determined. Information technology is a tool of points of growth of territories. Decentralization will not gradually increase due to urbanization processes, but will be accompanied by new development mechanisms, where the labor force and the means of production will unite and help create a qualitatively new environment. (shrink)

Indeterminacy is metaphysical (or worldly) if it has its source in the way the world is (rather than how it is represented or known). There are two questions we could ask about indeterminacy. First: does it exist? Second: is indeterminacy derivative? I focus on the second question. Specifically, I argue that (at least some) metaphysical indeterminacy can be derivative, where this roughly means that facts about indeterminacy are metaphysically grounded in facts about what is determinate.

This study thoroughly investigates the financial behaviors of financially independent, young, single professionals aged 24 to 35 in Balayan, Batangas, amidst a period of global inflation. Focusing on five industries—education, finance, government, healthcare, and retail—the research employs a mixed-methods approach. Quantitative analysis, involving 75 respondents through a 4-point Likert scale survey, is complemented by qualitative insights from in-depth interviews with 5 participants from each industry. The findings from numerical values revealed that demographics did not impact working professionals' saving habits (...) and buying behaviors during the global inflation surge. This suggests that despite differences in age, gender, industry, employment status, and monthly income or salary, all professionals prioritized robust, strong savings and reduced spending to ensure financial stability. The research underscores the significance for professionals in various industries to prioritize specific aspects of personal financial management during the prevailing global inflation surge. The study suggests that, irrespective of industry, working professionals should prioritize specific aspects of personal financial management during the global inflation surge. (shrink)

The traditional view of evidence in mathematics is that evidence is just proof and proof is just derivation. There are good reasons for thinking that this view should be rejected: it misrepresents both historical and current mathematical practice. Nonetheless, evidence, proof, and derivation are closely intertwined. This paper seeks to tease these concepts apart. It emphasizes the role of argumentation as a context shared by evidence, proofs, and derivations. The utility of argumentation theory, in general, and argumentation schemes, in particular, (...) as a methodology for the study of mathematical practice is thereby demonstrated. Argumentation schemes represent an almost untapped resource for mathematics education. Notably, they provide a consistent treatment of rigorous and non-rigorous argumentation, thereby working to exhibit the continuity of reasoning in mathematics with reasoning in other areas. Moreover, since argumentation schemes are a comparatively mature methodology, there is a substantial body of existing work to draw upon, including some increasingly sophisticated software tools. Such tools have significant potential for the analysis and evaluation of mathematical argumentation. The first four sections of the paper address the relationships of evidence to proof, proof to derivation, argument to proof, and argument to evidence, respectively. The final section directly addresses some of the educational implications of an argumentation scheme account of mathematical reasoning. (shrink)

The paper reviewed financial resources which is a critical factor and component of Business Process Re-engineering in achieving academic performance of higher education institutions in the Democratic Republic of Congo. The objective of the study is to examine whether financial resources can contribute to improving and achieving academic performance of higher education institutions in general and students in particular. The study used a systematic literature review and content analysis was to establish the relationship between financial resources and (...) academic performance. The key findings are grouped in three dimensions: 1) financial resources; 2) budget and funding/financial model; 3) tuitions fees, scholarship and loans provision. The study found consistent evidence to show that there is a significant and positive relationship between financial resources and performance of higher education institutions. The study concluded that higher education sector in the Democratic Republic of Congo needs a radical change and fundamental rethinking in improving educational budget processes to meet the needs of the institutions, provision of scholarship and loans processes to students mainly those from poor background and designing innovative financial/funding model to sustain educational institutions. The study is based on academic capitalism theory. The recommendations were made based on the findings of the study. -/- . (shrink)

According to the objection from positive duties, Kant's Formula of Universal Law is flawed because it cannot be used to derive any affirmative moral requirements. This paper offers a response to that objection and proposes a novel way to derive positive duties from Kant's formula. The Formula of Universal Law yields positive duties to adopt our own perfection and others’ happiness as ends because we could not rationally fail to will those ends as universal ends.

The article discloses the problem of distributing state financial support based on an integrated approach. The study has proved the urgency and necessity of state support for the lowest priority territorial units (regions). It answers the research question of what components need to be included in the methodology for determining state financial support. A comprehensive method for estimating the share of public funds is proposed, taking into account the investment attractiveness of a region (oblast) and the risk of (...) the corresponding region (oblast). To achieve this goal, the following general scientific and special methods and research techniques were used in the work, such as comparative analysis of scientific literature and information sources based on methods of comparison, systematization, and generalization; generalization of the analysis results, as well as logical generation of conclusions and integral assessment. -/- Since the problem of financing the construction and reconstruction of bridges is relevant for a number of countries, this technique was tested using an example of bridge construction. -/- According to the obtained results, territorial units (regions) that are not leaders in priority for the investor and have a high level of riskiness of investing financial resources become eligible for state financial support. The problem of financing such regions can be solved only through state support. The results of calculations show that the distribution of financial resources with the available volume of public finances K=1 allocated for support is carried out proportionally. An integrated approach made it possible to identify 10 territorial units (oblasts) for funding, with the oblasts with the worst priority factors receiving the largest share of state financial support. -/- This study is of practical interest to government agencies in the distribution of public funds, and it is of theoretical importance to researchers dealing with issues of financial security and public administration. (shrink)