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This research empirically establishes that the interpersonal population diversity of executive board members partly explains the differences in financial misconduct across US banks. It advances the hypothesis that heterogeneity in the composition of an interpersonal population and diverse traits of board members, originating from the prehistoric course of the exodus of Homo sapiens from East Africa tens of thousands of years ago, is an important factor explaining the effectiveness of executive board monitoring with respect to a bank engaging in financial misconduct. The underlying intuition is that population-fragmented societies, characterized by mistrust, preference heterogeneity and corruption, find it difficult to sustain collective integrity action.

Employing a panel of US banks from 1998 to 2019 we find that adding directors from countries with different levels of interpersonal population diversity is positively associated with financial misconduct as measured by enforcement and class action litigation against banks by the main regulatory agencies. Furthermore, we document that the more population-diverse bank boards are more likely to commit misconduct, consistent with a mechanism of inter-generational transmission of cultural norms of mistrust and non-cooperation.

We find that adding directors from countries with different levels of interpersonal population diversity is positively associated with financial misconduct as measured by enforcement and class action litigation against banks by the main regulatory agencies. These results are robust to controlling for bank-specific variables, including other board characteristics, and to the use of instrumental variables.

The findings suggest that reducing financial misconduct by banks likely requires reducing the interpersonal population diversity of banks’ executive boards.

We show how bank boards with different interpersonal population diversity impact the likelihood of engaging in misconduct provides evidence of the microeconomic effects of interpersonal population diversity. We show the negative results of diversity that they can have on the management of a firm given that populated diverse boards are more likely to lead to higher levels of misconduct. Our evidence reveals that banks having interpersonal population fragmented boards are more likely to commit misconduct given the cultural norms of mistrust and the lack of societal cohesiveness.

REPORTS that reach us do not bear out the assertion we have heard rather frequently of late that the issues from libraries are declining. There is no evidence that this is so with non‐municipal libraries and the circulation from county public libraries grows, it would seem, almost phenomenally; it is even doubtful if they are as yet anywhere near their full possibilities. The centenary announcements brought correspondence in at least one London Sunday newspaper deploring the lack of library facilities in at least three districts, all of them we understand in a county's area. Where, as here appears to be the case, there are such deficiencies, it might be considered if the Library Association could make direct representations of the need to the authorities concerned and not wait until a new Libraries Act has produced the inspection and direction that seem to be wanted. Our charter gives us definite duties—or such are implied—to promote better service. We do not think they have been followed in the way of “direct approach.” In spite of our propaganda, there are still many places where what is good library service is not known or not understood, where those with power might do something if they did know and understand. A candid picture of their shortcomings in comparison with towns or counties, definitely indicated to them, might induce them to overcome them; for the one thing a council member does not like is to learn that his own services are poor compared with those of similar places.

The purpose of this paper is to investigate an empirical solution to dividend policy relevance.

The paper combines measures of firm maturity in a logit regression to define a comprehensive life-cycle model of the likelihood of dividend payment. The valuation of firms that conform to the model is compared to the valuation of firms that do not fit the model. Valuation is measured by the market to book (M/B) ratio.

The analysis indicates that dividend policy is related to firm value. Dividend-paying firms that fit the life-cycle model have a higher median valuation than dividend-paying firms that do not fit the life-cycle model. Similarly, non-paying firms that fit the life-cycle model have a higher median valuation than non-paying firms that do not fit the life-cycle model. The results also provide evidence that the disappearing dividend phenomenon is related to shifts in valuation.

This paper focuses on the payment of dividends. Stock repurchases are not considered.

The results indicate that dividend policy is related to firm value. Approximately 15 percent of sample observations have a dividend policy counter to the life-cycle model.

This paper shows that the relation between a firm’s M/B ratio and dividend policy changes over the firm’s life-cycle. It also shows that the catering motive for dividends is strongest among firms that are outliers in the life-cycle model and firms of intermediate maturity.

ROYAL Alderman T. A. Abbott of Manchester, dealt with somewhat severely by Dr. Savage in his A Librarian's Memories, had at least enthusiasm for libraries. He was mightily honoured when he became President at our Manchester Conference in 1921. “We are the Royal Library Association”, he declared and should call ourselves that; haven't we a Royal Charter? Our recognition comes direct from the Sovereign”. No doubt a vain wish, although the Library Association seemed to come near it in 1950 when George VI graciously became its Patron and the Duke of Edinburgh its President. Since that date the engineers have become “royal”, but we have slipped back. When Her Majesty came to the Throne, the patronage her father had bestowed was refused, no doubt on the direct counsel of her advisers who would not want so young a Sovereign to assume too many offices. On that view librarians could not murmur. There is a future, however, and in it there will be a new Library Association House next to, almost conjoined with, a new National Central Library. King George V with Queen Mary opened the second, as is well remembered especially by the King's speech, one of the best, most useful, in library history, in which he described the N.C.L. as “a university that all might join and none need ever leave”—words that we hope may somewhere be displayed in, or on, the new N.C.L. building. Royalty and its interest in libraries has been again manifested in the opening last month (July 13th to be precise) by Queen Elizabeth, the Queen Mother, of the new Central Public Library at Kensington. The Royal Family has close relations with Kensington of course. It is recalled, too, that the Manchester Central and that at Birkenhead were opened also by King George V and Queen Mary; and Queen Elizabeth II quite recently opened the Central Library of the re‐created city of Plymouth, the largest new town library since the Second World War. Kensington has now opened the first major London library since 1939. It is not modern in spirit externally and, as is known, is the work of the architect of the Manchester Reference Library, Mr. Vincent Harris, and there is no doubt about its dignity. Its interior methods are, however, quite modern; a few of them were broadcast to us for a few moments by the B.B.C. announcer, to the effect that there were 100,000 books, that returned books in the lending library were not discharged at the counter but slid down a chute to a room below where that was done, etc., with the remark that books not available in the public apartment could be requisitioned from other libraries but, with the large stocks on show and in the building, that did not seem to be very necessary. We sometimes wish that broadcasters, however well intentioned that may have been, knew something about libraries. Happening at about the same time was the removal of the Holborn Central Library stock to its new home in Theobald's Road, a complex process which Mr. Swift and his staff carried out in July without interrupting the public service. We hope that Mr. Swift will be able soon to tell us how he carried out this scheme. Thus has begun what we hope will be a process of replacing many other London libraries with modern buildings more worthy of the excellent work now being done in them.

OUR various accounts of the Portsmouth Conference, and the official record of it which is now in the hands of readers shows that it may be regarded as a successful one. It was specially notable for the absence of those bickerings and differences which must inevitably come to the surface at times. There may be something in the suggestion of one of our writers that the weather was a main factor. However that may be, there was uniform good temper, and we came away with the belief that a good week's work for librarianship had been done.

This paper explores the contribution of the AAA Symposium on Ethics Research in Accounting to fostering accounting ethics research. For a 17-year period, the contributors, their schools of affiliation, and their research topics were analyzed to determine the extent of and trends in accounting ethics research. The research rankings of the contributing authors were examined in business ethics journals, top-40 accounting journals, and accounting education journals. Institutional rankings identify supportive places to do accounting ethics research. The impact of significant accounting scandals such as Enron and Madoff was examined and a financial scandal “bump” in paper presentations was found. Authors affiliated with Texas schools had papers following the state requirement of an ethics accounting course. A large amount of ethics education-related research was also presented at the Ethics Symposia. Overall the study results indicate that the Symposium with its AAA affiliation is a high-quality venue for paper presentation.

FOR the student who has to choose a field of study in which to learn and exercise his bibliographic skills Sociology affords an interesting and attractive challenge. Indeed, to understand his chosen profession it must necessarily be placed within its social context. Most students at some stage of their development reflect on the social problems that beset the human situation, and some, as the mass media would have us believe, are anxious to remould the “sorry scheme of things” as represented by the existing social structure.

THE beginning of a new volume is necessarily a time for reflection. Our journal is now forty‐four years old and has appeared without intermission, always with the purpose, enunciated by its founder, James Duff Brown—to furnish librarians of all kinds and ages with a thought‐exchange and a medium of expression independent of any other control than the editor's conviction that what was published was sincere in intention and likely to be of use to the profession. This does not mean, as our pages to‐day witness, that matters of controversy or even of severe criticism of those who lead the profession officially are excluded. On the contrary, we believe that the best spur to advance is a critical vigilance. Thus it has occurred occasionally that our writers have been at variance with some current policy of the Library Association, some phases of its examinations or its conference policy. Occasionally, too, there have been criticisms of library authorities which an official journal might hesitate to make because those authorities may be in membership of the Library Association. Such criticism was never more necessary than now. The library movement has to be kept alive under the greatest strain in history; indeed, it should progress.

THIS month will see, we understand, the publication of the results of months of regular work of the Library Association Post War Policy Committee, which we believe has been working with exemplary industry. We hear that the Council has endorsed the scheme and that it will deal with such points as the central control of libraries, the sort of area that can support a library service efficiently, the ideals of an efficient system, the training of librarians and many other matters. These topics could be envisaged as obvious ones for any such report to pronounce upon. We shall deal in some detail with them when the report is released but, even now, we can express our gratification that a programme and a policy have been enunciated well before the end of the war is in sight. This does not mean that the report is in any way sacrosanct; it can have no character of a legal document; it can and will be criticised and, no doubt, amended.