Enrique Martínez-García and Mark A. Wynne
We investigate the Bayesian approach to model comparison within a two-country framework with nominal rigidities using the workhorse New Keynesian open-economy model of Martínez…
Abstract
We investigate the Bayesian approach to model comparison within a two-country framework with nominal rigidities using the workhorse New Keynesian open-economy model of Martínez-García and Wynne (2010). We discuss the trade-offs that monetary policy – characterized by a Taylor-type rule – faces in an interconnected world, with perfectly flexible exchange rates. We then use posterior model probabilities to evaluate the weight of evidence in support of such a model when estimated against more parsimonious specifications that either abstract from monetary frictions or assume autarky by means of controlled experiments that employ simulated data. We argue that Bayesian model comparison with posterior odds is sensitive to sample size and the choice of observable variables for estimation. We show that posterior model probabilities strongly penalize overfitting, which can lead us to favor a less parameterized model against the true data-generating process when the two become arbitrarily close to each other. We also illustrate that the spillovers from monetary policy across countries have an added confounding effect.
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Isabel-Maria García-Sánchez, Jennifer Martínez-Ferrero and Emma García-Meca
The purpose of this paper is to analyze whether gender diversity on board and financial expertise on audit committee affect accounting conservatism in banking sector…
Abstract
Purpose
The purpose of this paper is to analyze whether gender diversity on board and financial expertise on audit committee affect accounting conservatism in banking sector. Additionally, the authors focus on the effects of board characteristics on bank earnings quality and examine their effects on earnings persistence.
Design/methodology/approach
The authors use a large sample of 159 banks from nine different countries from the period 2004-2010. The authors study whether the differences in the timeliness of earnings to bad news and earnings quality across governance structures of banks are driven by differences across investor protection and bank regulation levels in banks.
Findings
The findings confirm the monitoring role of both female and financial experts, noting a positive effect of them on accounting conservatism and earnings quality in banks. According to the institutional characteristics, the results suggest the complementary role of banking regulation and investor protection levels in these effects, noting that in contexts of higher regulatory and greater investor protection environments, gender diversity and financial expertise on boards have more influence on the conservatism and earnings quality of banks.
Originality/value
The authors contribute to both the accounting quality literature and the corporate governance literature by identifying board characteristics that are associated with higher conservatism and quality of earnings in banks around the world. In addition, this study also contributes to the ethics literature by highlighting the benefits of gender diversity and financial expertise in upholding the integrity of financial reporting. Moreover, this paper adds to prior literature about board of directors and accounting quality by identifying additional complementary factors – bank regulation and investor protection – and by focusing on a specific industry, the banking industry.
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Patricia Chen, Stephen M. Garcia, Valentino E. Chai and Richard Gonzalez
Social comparison literature has long established that drawing comparisons facilitates competitive motivation. Yet, the literature has neglected how the actor may simultaneously…
Abstract
Social comparison literature has long established that drawing comparisons facilitates competitive motivation. Yet, the literature has neglected how the actor may simultaneously become the target of comparison, which can likewise increase competitive motivation. Therefore, competitive motivation increases not only because coacting competitors draw social comparisons but also because they are simultaneously the target of other's social comparison. In this chapter, we build a dual process framework to explain how comparing and being compared each facilitate competitive motivation. We also posit that these processes – comparing and being compared, respectively – are bidirectional and reciprocal, as each process can incite the other. Finally, we discuss the circumstances under which comparing and being compared combine additively versus interactively to drive competitive motivation. Our theoretical framework brings together the disparate literatures on social comparison and evaluation apprehension under one unified theory of competitive motivation, and proposes new directions for competition research.
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Rafaela Alfalla-Luque, Darkys E. Luján García and Juan A. Marin-Garcia
The link between supply chain agility (SCA) and performance has been tested in previous research with different samples and results. The present paper quantitatively analyses and…
Abstract
Purpose
The link between supply chain agility (SCA) and performance has been tested in previous research with different samples and results. The present paper quantitatively analyses and summarises the impact of SCA on performance found in previous empirical papers and determines the influence of several identified moderators.
Design/methodology/approach
Using a meta-analysis approach based on a systematic literature review, a total of 63 empirical papers comprising a sample of 14,469 firms were meta-analysed to consider substantive (type of performance and SCA operationalisation) and extrinsic (economic region and industry) moderators.
Findings
Results confirm a significantly large, positive correlation between SCA and performance. None of the analysed moderators has enabled the identification of any significant differences between the SCA and performance correlations by subgroup. However, high heterogeneity in total variance, both in the full sample and the subgroups by moderator, demands further rigorously reported empirical research on this topic with clearly conceptualised variables and frameworks and the use of validated scales.
Research limitations/implications
Several research gaps and best practice recommendations have been indicated to improve future empirical research on this topic.
Practical implications
Practitioners in different economic regions and industries will find consistent evidence of improvements in performance through SCA.
Originality/value
No meta-analysis has been found in previous research to estimate the value of the correlation between SCA and performance and the influence of moderating variables.
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Georgia Earnest García and Christina Passos DeNicolo
Purpose – The purpose of this study is to share empirical research with educators and researchers to show how the gradual release of responsibility (GRR) model can support…
Abstract
Purpose – The purpose of this study is to share empirical research with educators and researchers to show how the gradual release of responsibility (GRR) model can support bilingual teachers’ implementation of dialogic reading comprehension instruction in student-led small groups and linguistically responsive literacy instruction with emergent bilingual students (Spanish–English) in grades one through four.
Design/Methodology/Approach – The authors provide brief literature reviews on the literacy instruction that bilingual students in low-resourced schools typically receive, on dialogic reading comprehension instruction, and on linguistically responsive literacy instruction. Then, the authors show how teacher educators utilized the GRR framework and process to support bilingual teachers’ movement from whole-class, teacher-directed instruction to dialogic reading comprehension instruction in student-led small groups. Next, the authors illustrate how a third-grade dual-language teacher employed the GRR to teach her students how to use Spanish–English cognates. Lastly, the authors share three vignettes from a first-grade bilingual teacher’s use of the GRR to facilitate her students’ comprehension of teacher read-alouds of narrative and informational texts and English writing.
Findings – When the teacher educators employed the GRR model in combination with socio-constructivist professional staff development, the teachers revealed their concerns about small-group instruction. The teacher educators adjusted their instruction and support to address the teachers’ concerns, helping them to implement small-group instruction. The third-grade bilingual teacher employed the GRR to teach her students how to use a translanguaging strategy, cognates, when writing, spelling, and reading. The first-grade bilingual teacher’s use of the GRR during teacher read-alouds in Spanish and English provided space for her and her students’ translanguaging, and facilitated the students’ comprehension of narrative and informational texts and completion of an English writing assignment.
Research Limitations/Implications – The findings were brief vignettes of effective instruction in bilingual settings that employed the GRR model. Although the authors discussed the limitations of scripted instruction, they did not test it. Additional research needs to investigate how other teacher educators and teachers use the GRR model to develop and implement instructional innovations that tap into the unique language practices of bilingual students.
Practical Implications – The empirical examples should help other teacher educators and bilingual teachers to implement the GRR model to support the improved literacy instruction of bilingual students in grades one through four. The chapter defines linguistically responsive instruction, and shows how translanguaging can be used by bilingual teachers and students to improve the students’ literacy performance.
Originality/Value of Chapter – This chapter provides significant research-based examples of the use of the GRR model with bilingual teachers and students at the elementary level. It shows how employment of the model can provide bilingual teachers and students with the support needed to implement instructional literacy innovations and linguistically responsive instruction.
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This chapter deals with the development of banking in the Crown of Aragon from the end of the thirteenth century through the establishment of money changers, which followed…
Abstract
This chapter deals with the development of banking in the Crown of Aragon from the end of the thirteenth century through the establishment of money changers, which followed similar patterns as in other Western European territories. It starts with a review of existing literature and follows with an explanation on the different banking services provided by money changers and the specific legal framework that supported such activities. It then examines the geographical distribution of private banks in cities and towns within the domains of the kings of Aragon, as well as their evolution throughout the fourteenth century. After that, it offers an analysis of the most common professional profiles among these bankers and financers. Finally, drawing on a heterogeneous pool of unpublished data, it seeks to shed light on the diversity of investors and clients of these establishments, a crucial proof of their role in integrated financial markets.
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Juan Oliva, Luz María Peña Longobardo, Leticia García-Mochón, José María Abellán-Perpìñan and María del Mar García-Calvente
This paper aims to study the value of informal care (IC) time from the perspective of caregivers using two alternative contingent valuation tools – willingness to pay (WTP) and…
Abstract
Purpose
This paper aims to study the value of informal care (IC) time from the perspective of caregivers using two alternative contingent valuation tools – willingness to pay (WTP) and willingness to accept (WTA) – and to identify the variables that affect the stated values.
Design/methodology/approach
The authors used data from a multi-centre study of 610 adult caregivers conducted in two Spanish regions in 2013. The existence of “protest zeros” and “economic zeros” because of the severe budgetary constraints of the households was also considered. Two-part multivariate models were used to analyse the main factors that explained the declared values of WTA and WTP.
Findings
The average WTP and WTA were €3.12 and €5.98 per hour of care, respectively (€3.2 and €6.3 when estimated values for “protest zeros” and “economic zeros” were considered). Some explanatory variables of WTA and WTP are coincident (place of residence and intensity of care time), whereas other variables only help to explain WTP values (household and negative coping with caregiving) or WTA values (age and burden of care). Some nuances are also identified when comparing the results obtained without protest and economic zeros with the estimated values of these special zeros.
Originality/value
Studies analysing the determinants of WTP and WTA in IC settings are very scarce. This paper seeks to provide information to fill this gap. The results indicate that the variables that explain the value of IC from one perspective may differ from the variables that explain it from an alternative perspective. Given the relevance of contextual factors, studies on the topic should be expanded, and care should be taken with the extrapolation of results across countries and settings.
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Chengyun Liu, Kun Su and Miaomiao Zhang
This study aims to examine whether and how gender diversity on corporate boards is associated with voluntary nonfinancial disclosures, particularly water disclosures.
Abstract
Purpose
This study aims to examine whether and how gender diversity on corporate boards is associated with voluntary nonfinancial disclosures, particularly water disclosures.
Design/methodology/approach
This study uses corporate water information disclosure data from Chinese listed firms between 2010 and 2018 to conduct regression analyses to examine the association between female directors and water information disclosure.
Findings
Empirical results show that female directors have a significantly positive association with corporate water information disclosure. Additionally, internal industry water sensitivity of firms moderates this significant relationship.
Originality/value
This study determined that female directors can promote not only water disclosure but also positive corporate water performance, reflecting the consistency of words and deeds of female directors in voluntary nonfinancial disclosures.
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Teresa García-Valderrama, Jaime Sanchez-Ortiz and Eva Mulero-Mendigorri
The objective of this work is to demonstrate the relationships between the two main processes of research and development (R&D) activities: the knowledge generation phase (KPP…
Abstract
Purpose
The objective of this work is to demonstrate the relationships between the two main processes of research and development (R&D) activities: the knowledge generation phase (KPP) and the knowledge commercialization, or transfer, phase (KCP), in a sector that is intensive in this type of activity, such as the pharmaceutical sector. In addition, within the framework of the general objective of this work, the authors propose two other objectives: (1) make advances in network efficiency measurement models, and (2) determine the factors associated with efficiency in the KPP and in the KCP in companies of the pharmaceutical sector in Spain.
Design/methodology/approach
A Network Data Envelopment Analysis (NDEA) model (Färe and Grosskopf, 2000) with categorical variables (Lee et al., 2020; Yeh and Chang, 2020) has been applied, and a sensitivity analysis of the obtained results has been performed through a DEA model of categorical variables, in accordance with the work of Banker and Morey (1986), to corroborate the results of the proposed model. The sample is made up of 77 companies in the pharmaceutical sector in Spain.
Findings
The results obtained point to a greater efficiency of pharmaceutical companies in the KPP, rather than in the KCP. Furthermore, the study finds that 1) alliances between companies have been the accelerating factors of efficiency in the KCP (but patents have slowed this down the most); 2) the quality of R&D and the number of R&D personnel are the factors that most affect efficiency in the KPP; and 3) the quality of R&D again, the benefits obtained and the position in the market are the factors that most affect efficiency in the KCP.
Originality/value
The authors have not found studies that show whether the efficiency obtained by R&D-intensive companies in the KPP phase is related to better results in terms of efficiency in the KCP phase. No papers have been found that analyse the role of alliances between R&D-intensive companies and patents, as agents that facilitate efficiency in the KCP phase, covering the gap in the research on both problems. Notwithstanding, this work opens up a research path which is related to the improvement of network efficiency models (since it includes categorical variables) and the assessment of the opinions of those who are responsible for R&D departments; it can be applied to decision-making on the aspects to improve efficiency in R&D-intensive companies.
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Giovanni Zampone, Giuseppe Nicolò, Giuseppe Sannino and Serena De Iorio
The study examines the association between board gender diversity and Sustainable Development Goal (SDG) disclosure from an international and longitudinal perspective. It also…
Abstract
Purpose
The study examines the association between board gender diversity and Sustainable Development Goal (SDG) disclosure from an international and longitudinal perspective. It also investigates the role of the Sustainability Committee (SC) as a possible factor that can mediate the relationship between board gender diversity and SDG disclosure.
Design/methodology/approach
The authors focused on the annual Communication on Progress (CoP) prepared annually by a sample of 526 companies from 39 countries and ten industry sectors along the 2017–2020 period to evaluate the SDG disclosure. Baron and Kenny's (1986) three-step model is estimated to test the impact of the presence of an SC on the SDG disclosure level and the mediating effect exerted by the SC on the relationship between board gender diversity and SDG disclosure.
Findings
Findings shed light on the usefulness of the CoP as an alternative reporting tool to communicate progress against SDGs achievement, especially regarding SDGs 13 and 8. This study evidences that board gender diversity positively influences SDG disclosure. The relationship between board gender diversity and SDG disclosure is not only direct but also mediated by the presence of an SC.
Research limitations/implications
Companies need to consider the role of women in enhancing the effectiveness of their governance mechanisms and their ability to meet stakeholder information needs. Establishing a specific SC represents a valid mechanism that ensures greater transparency about corporate actions tackled to contribute toward SDGs and enhances the relationship between board gender diversity and SDG disclosure among International companies.
Practical implications
The study's findings offer stimuli for policy-makers and regulators to reflect on the relevance of the CoP as a possible alternative communication tool to provide SDGs information and overcome the limitations of the Sustainability Reports.
Originality/value
This is the first study that examines companies' SDG disclosure practices focusing on CoPs. Further, to the best of the authors' knowledge, this is the first study that tests the relationship between gender diversity and SDG disclosure, considering the mediating effect of an SC committee.