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This paper aims to investigate the political cost hypothesis and the effects of political sensitivity-induced governance in the US bond market by using yield spreads from bonds issued by a diverse sample of US government contractors.

Fixed effects regression analysis is used to test the relation between the political sensitivity of government contractor firms and their cost of debt.

Results illustrated that government contractors with greater political sensitivity are associated with larger yield spreads, indicating that bondholders require a premium when firms endure the costs of increased political oversight and the threat of outside intervention, reducing the certainty of future income. However, despite the overall positive impact of political sensitivity on bond yield spreads on average, the authors found that the additional government oversight is associated with lower spreads when the firm is facing greater repayment risk.

Despite the benefits of winning a government contract, this paper identifies a direct financial cost of increased political sensitivity because of additional firm oversight and potential intervention. Importantly, it also finds that this governance is valued by bondholders when faced with increased risk. Firms must balance their desire for government receipts with the costs and benefits of dependence on those expenditures.

This paper contributes to the literature in its exploration of political sensitivity as an important determinant of the cost of debt for corporate government contractors. Specifically, the authors document a significant risk premium in bond pricing because of the joint effects of the visibility and importance of government contracts to the firm.

The purpose of this paper is to investigate the impact of January sentiment on investors’ asset allocation decisions in the US corporate bond market during the rest of the year. Specifically, the study evaluates if the shift in January sentiment is a predictor of corporate bond spreads from February to December.

Using corporate bond trades reported in TRACE between 2005 and 2014, the authors examine the ability of the Index of Consumer Sentiment and the Index of Investor Sentiment to predict bond spreads over the 11 months following January. The study evaluates both the sign of the change in sentiment and the magnitude of the change in sentiment using two generalized linear models, controlling for industry, bond and firm fixed effects. Portfolios are analyzed based on yield, firm size and firm leverage. Additional analysis is performed to ensure results are robust to the impacts of the subprime financial crisis.

This paper finds that the changes in the sentiment measures in January predict bond spreads associated with bond trades in the subsequent 11 months, and this phenomenon, which the authors label as the “January sentiment effect,” has opposing impacts on risky and less risky bond portfolios.

This paper adds to the literature on the relationship between sentiment and investor’s allocation decisions. The evidence documented in this study is the first known to find that investors’ allocation decisions in a year are driven by their sentiment in January.

The following is an annotated list of materials dealing with information literacy including instruction in the use of information resources, research, and computer skills related to retrieving, using, and evaluating information. This review, the twentieth to be published in Reference Services Review, includes items in English published in 1993. A few are not annotated because the compiler could not obtain copies of them for this review.

On April 2, 1987, IBM unveiled a series of long‐awaited new hardware and software products. The new computer line, dubbed the Personal Systems 30, 50, 60, and 80, seems destined to replace the XT and AT models that are the mainstay of the firm's current personal computer offerings. The numerous changes in hardware and software, while representing improvements on previous IBM technology, will require users purchasing additional computers to make difficult choices as to which of the two IBM architectures to adopt.

The following is an annotated list of materials dealing with orientation to library facilities and services, instruction in the use of information resources, and research and computer skills related to retrieving, using, and evaluating information. This review, the sixteenth to be published in Reference Services Review, includes items in English published in 1989. A few are not annotated because the compiler could not obtain copies of them for this review.

The following is an annotated list of materials dealing with information literacy including instruction in the use of information resources, research, and computer skills related to retrieving, using, and evaluating information. This review, the twenty‐second to be published in Reference Services Review, includes items in English published in 1995. After 21 years, the title of this review of the literature has been changed from “Library Orientation and Instruction” to “Library Instruction and Information Literacy,” to indicate the growing trend of moving to information skills instruction.

Identifies key activities that network users can perform in order to use the network effectively. Offers recommended reading, from beginner to expert user status. Explains some commonly used terms (e.g. Turbo Gopher with Veronica!). Lists useful Internet resources.

Communications regarding this column should be addressed to Mrs. Cheney, Peabody Library School, Nashville, Tenn. 37203. Mrs. Cheney does not sell the books listed here. They are available through normal trade sources. Mrs. Cheney, being a member of the editorial board of Pierian Press, will not review Pierian Press reference books in this column. Descriptions of Pierian Press reference books will be included elsewhere in this publication.