COUNTRY RISK ANALYSIS IN G7 & BRICS NATIONS: A MULTI-DIMENSIONAL APPROACH
Anshuli SinghVolume 40, Issue 2 (Jul - Dec)
In times of uncertainty, the risks related with participating in international operations have increased considerably. Additionally, such risks have moved towards becoming progressively hard to analyse and foresee for decision makers in the universal financial network. Country risk fundamentally showcases the risk state of an economy. In global business, the risks emerging from the national variations in monetary structures, arrangements, natural ecologies and social societies may change the outlook for success of a given venture or business. Analysing the country risk of foreign nations becomes crucial to investors for strategically planning their investments. Taking this complexity of country risk analysis, the current paper proposes an index for country risk, consisting of 12 nations under the Group of seven (G7) and BRICS nations. The CRI is compiled on the basis of seven risk dimensions namely: political, economic, social, technical, environmental, legal & financial and within these seven dimensions, 10 indicators are analysed to calculate the CRI for these 12 nations for even years from 2012 to 2018. All data used in this study is secondary and all sources have been acknowledged. Analysis is done in Microsoft Excel 2016. Ultimately, rankings are allotted to these economies, for both groups together and separately, to present a comprehensive analysis of country risk in these nations.
EXPLORING FIRMS' SIZE AND AGE EFFECT THROUGH TRIANGULATION: AN EMPIRICAL EVIDENCE OF INDIAN FIRMS ANNOUNCING DIVIDENDS AND SHARES REPURCHASES
Sadaf Anwar, Shveta Singh and P. K. JainVolume 40, Issue 2 (Jul - Dec)
Cash dividend and shares repurchase announcements are said to have informational content concerning the value of the firm. The paper attempts to present the results of the study on the impact of cash dividends and shares repurchases decisions on returns, liquidity and risk profile of the firms. It examines whether the age and size of the firm affect the cash dividend and shares repurchase decisions of the firms. In operational terms, it aims to assess the management perception of cash dividend and shares repurchase announcements and the underlying motives for issuing them in Indian context. For the purpose, the study has employed the event study methodology and the pre-test and post-test research design to evaluate the changes. The uniqueness of this study emanates from the fact that it is perhaps the first attempt (to the best of the authors’ knowledge) of its kind based on both the primary and the secondary data evidences at providing the views, motivations and impact behind the cash dividend and shares repurchase decisions and their announcements. It is perhaps the first attempt of its kind comprising of a large sample of BSE 500 index companies. With a substantially larger data set, the present study is expected to provide credible results.
CAUSAL ANALYSIS OF THE RELATIONSHIP BETWEEN EXCHANGE RATE AND GOVERNMENT DEFICIT: EVIDENCE FROM INDIA
Swami Prasad Saxena and Veerangna SinghVolume 40, Issue 2 (Jul - Dec)
Causal relationship between the exchange rate and government deficit has a long time debate in economic circle. A number of theories emerged in the past explained their relationship, but still it is inconclusive. This paper attempts to investigate the dynamic relation between exchange rate and government deficit in India during a period from April 2001 to March 2017. The results of VAR Granger causality found unidirectional causality that moves from exchange rate to government deficit. ARDL co-integration test results exhibit no long run relation between the variables. The results of Impulsive Response Function indicate that government deficit responses positively to the one SD shock in exchange rate; exchange rate, in the similar fashion responses positively to the one SD shock in government deficit. The variance decomposition results indicated that a shock to the exchange rate causes 2.069 percent fluctuation in the government deficit in short run and up to 9.04 percent in long run, while a shock to government deficit does not cause any fluctuation in the exchange rate in short run and in long run a shock to government deficit causes 3.65 percent fluctuation in the exchange rate that is very less.
Book Review of The Anthropology of Utopia: Essays on Social Ecology
Annavajhula J.C. BoseVolume 40, Issue 2 (Jul - Dec)
The first and second books are academic and fictional introductions respectively to ‘social ecology’ as the means of achieving ecological, harmonious and peaceful world. The second book is better than the first book in that a fictional treatment affecting feelings could potentially reach a broader audience than that reached by a typical academic book. The first one is better than the second one in that it gives conceptual clarity and factual definitiveness to our understanding. Both complement each other. I am very happy to have come across these writings that go a long way in getting out of the limitations of mainstream economics.
BOOK REVIEW OF LEAPFROGGING TO POLE-VAULTING CREATING THE MAGIC OF RADICAL YET SUSTAINABLE TRANSFORMATION
Vibhor VermaVolume 40, Issue 1 (Jan - Jun)
We use energy that is environmentally harmful, finite in supply and dangerously concentrated in the hands of a few. On the demand side our energy requirements are shooting up, especially because of the rising standard of living in the developing world.
BOOK REVIEW OF AN INTRODUCTION TO ECOLOGICAL ECONOMICS
Annavajhula J.C. BoseVolume 40, Issue 1 (Jan - Jun)
Like Mother Nature gives us free-of-charge many vital things in support of our life, this book is a freely downloadable public good meant for harmoniously connecting humankind with Nature. Robert Costanza and Herman Daly are the two economists among the authors, who can be taken as the famous founders and proponents of Ecological Economics as a new, transdisciplinary branch of heterodox economics, that rose in the mid-1980s. For these authors, economics is embedded in the broader ecosystem that supports all human activity, and so there are both limits for economic growth and opportunities to improve long-term human well-being...
SUPREMACY TOWARDS THE CONTROL OF THE LEVEL OF RAHIM'S ORGANISATIONAL CONFLICT INVENTORY BETWEEN PUBLIC AND PRIVATE SECTOR COMMERCIAL BANKS OF PUNJAB
Shivani NischalVolume 40, Issue 1 (Jan - Jun)
In the Present world of privatisation, liberalization, globalization, and technological advancement every banking sector organisation is employing work force at a very faster rate. So, conflicts has been also been multiplying at a very faster rate. Only optimal level of conflict is very useful for the development of creativity, high problem solving behaviours and productivity. High level of conflict creates dysfunctional impacts upon the organisations. This research paper examines the nature and extent of organisational conflict between public sector and private sector banks selected under study. Further comparative analysis has been done across all banks in order to judge the level and extent of organisational conflict in each bank.
Culture and Economic Growth: A Survey of the Literature
Priyanka AroraVolume 40, Issue 1 (Jan - Jun)
Economists for long have been fixated with the concept of a self-interested rational economic agent. Decision making by them however is not done in isolation from the society and societal culture plays a key role there. This article provides with a review of the existing work that relates culture to macroeconomic issues like growth and development.
Political Marketing: An Emerging theory
Suman SiVolume 40, Issue 1 (Jan - Jun)
Marketing as it said to be one of the competent and most important factors for the growth of any entity, be it a brand, a product, a person etc. The same applies to the political world that we deal with at present .The ever increasing competition amongst the political parties have left them with no option but to promote them in a way in which they can justify themselves to be the best amongst all. There has been an increased application of marketing techniques by the political parties these days which popularly has evolved and has become to be known as Political marketing. Over the years the implicit ties between marketing and political process have become inevitable and more prominent. Major changes have taken place in the political marketplace in the past three to four decades in terms of influx of social and mass media as information dissemination tools .There has been rapid escalation of campaign costs with respect political marketing. Both business marketers and political marketers have started using media outlets to inform, remind, and alter the attitudes and behaviours of potential clients and voters (respectively), and they both try to employ similar tools when structuring campaigns, such as market research and statistical analysis. In this particular study we will throw some light on the increasing role of marketing as a communication medium for politics and political parties. Despite the presence of 24-hour news stations and 24X7 online news coverage, the general public most of the times remains under-informed on political issues and news which is supposed to be covered using political marketing and hence day by day this concept is gaining momentum as it helps in understanding the voter behavior. The purpose of this paper is to understand and show the applicability of marketing as an important weapon in the area of political marketing in general.
Proactive Approach to Corporate Social Responsibilities (CSR) Spending post-Legislation mandating CSR
Jyotika Bahl and Vijay Kumar KaulVolume 40, Issue 1 (Jan - Jun)
The recent legislation making CSR discharge mandatory for qualifying firms has been a game changer as it requires all qualifying firms to form a CSR committee for planning and executing the CSR function. Different modes of implementation have been provided for discharging CSR namely- through other implementing agencies or directly. Firms generally choose between different implementing strategies depending on the cost benefit analysis, nature of activity, requirement of expertise, resources, etc. Since the CSR committee weighs the cost and benefits associated with each strategy, the effect of different strategies should be positive on CSR. This paper attempts to understand the effect of different strategies adopted by the firms on CSR. The result of the logistic model reveals a positive impact of the two strategies- directly and other implementing agencies on the probability of the firm to spend more than 2% on CSR or proactively perform CSR.