Why does the Euro fail? The DCCA approach

The present crisis in the Euro is one of the most serious crises reported in history. The fact that different countries that adopted the Euro have different conditions to support asymmetric shocks in their economies could explain some of the consequences currently affecting the Eurozone. In this paper we apply detrended cross-correlation analysis and its cross correlation coefficient to evaluate the degree of financial integration of the first set of countries to adopt the common currency. Since time series used in these studies are known to be non-stationary, DCCA is suited to study it. It is the first time this methodology has been applied to study financial integration. We conclude that the degree of financial integration is unequal in several countries using the common currency. The fact that countries like Greece, Ireland or Portugal are the ones facing most problems in verification of the parity used in this paper could help to explain the present instability in the Eurozone.

How long is the memory of the US stock market?

The Efficient Market Hypothesis (EMH), one of the most important hypothesis in financial economics, argues that return rates have no memory (correlation) which implies that agents cannot make abnormal profits in financial markets, due to the possibility of arbitrage operations. With return rates for the US stock market, we corroborate the fact that with a linear approach, return rates do not show evidence of correlation. However, linear approaches might not be complete or global, since return rates could suffer from nonlinearities. Using detrended cross-correlation analysis and its correlation coefficient, a methodology which analyzes long-range behavior between series, we show that the long-range correlation of return rates only ends in the 149th lag, which corresponds to about seven months. Does this result undermine the EMH?

Entrepreneurship rates the fuzzy-set approach

A fuzzy-set qualitative comparative analysis is applied to determine the necessary and sufficient conditions for higher entrepreneur rates. Based on Global Entrepreneurship Monitor data, it is shown that the most relevant conditions are Media Attention to Entrepreneurship, as well as Perceived Capabilities and Perceived Opportunities. The non-existence of Fear of Failure is also an important factor in determining higher entrepreneurship rates. When the sample is split, this condition is more important for most developed countries. This can be viewed as relevant information for policymakers to better define their policies to promote entrepreneurship, which is a key to more sustainable growth in countries.

G7 Stock Markets: Who is The First to Defeat The DCCA Correlation?

Following the methodology of Ferreira and Dionísio (2016), the objective of this paper is to analyze the behavior stock markets in the G7 countries and find which of those countries is the first to reach levels of long-range correlations that are not significant. We carry out this analysis using detrended cross-correlation analysis and its correlation coefficient, to check for the existence of long-range dependence in time series. The existence of long-range dependence could be understood as a possibility of EMH violation. This analysis remains interesting because studies are not conclusive about the existence or not of long memory in stock return rates.

What are the conditions for good innovation results? A fuzzy-set approach for European Union

Innovation is one of the main concerns of European Union countries since the beginning of the century. Despite failing to reach their targets, innovation remains a priority because innovation enables countries to achieve better economic performance. This study analyzes the relation between the level of innovation and the economic effects and applies a fuzzy-set qualitative comparative analysis to study the relation between six conditions and two different outcomes. The data comes from the Union Innovation Scoreboard. The study finds that research systems, linkages and entrepreneurship, and intellectual assets are necessary conditions for the outcomes of a high level of innovation and positive economic effects. The main sufficient condition for both outcomes is a good research system.

Socio-demographic and Health Aspects Associated with the Quality of Life in the Elderly of the Family Health Strategy. An Analytical Study

to analyze the association between the socio-demographic and health aspects to the quality of life (QOL) of elderly peoplelinked to the ESF.

Interpretação popular dos frescos exteriores das igrejas conventuais dos mosteiros de Sucevita e Voronet (Bucovina) – Roménia

No nordeste da Roménia, na antiga província da Moldávia e próxima da fronteira com a Ucrânia, encontra-se Bucovina, uma região histórica de frequentes ocupações e constantes divisões, disputada por vários povos (dácios, citas, sármatas, romanos, godos, hunos, avaros, eslavos, otomanos, tártaros, mongóis, …). Tem a maior concentração de mosteiros e igrejas, cerca de 20, decoradas no interior e exterior com frescos religiosos. Na época em que Bucovina era devastada por invasões do império Otomano, as igrejas ocupavam a zona central das fortalezas – posteriormente adaptadas em mosteiros – onde as tropas e a população se reuniam. A maioria era analfabeta e com dificuldade em entender a complexa liturgia ortodoxa que se praticava naqueles tempos. No século XIII, Petrus Rares, filho do Stephen III Muşat (1457-1504), um dos santos mais célebres na ortodoxia da Roménia, converteu as paredes interiores e exteriores das igrejas em autênticas bíblias ilustradas, com frescos relatando as histórias de santos e de mártires, além das crónicas épicas da luta contra os otomanos, com o objetivo de fortalecer o espírito da população. Os frescos conjugam os dogmas ortodoxos, a seriedade expressiva da pintura bizantina e a vivacidade da arte popular local. Grande parte das pinturas exteriores ainda se encontram em bom estado de conservação com exceção das fachadas orientadas a norte, deterioradas pela chuva e pelo vento frio. De uma forma geral os frescos do exterior são semelhantes, com três representações principais: a) O Juízo Final, com a ressurreição dos mortos e o julgamento dos justos e dos pecadores. b) A árvore de Jessé, que representa a genealogia de Jesus e a ligação entre o velho e o novo testamento. c) O cerco de Constantinopla (1453) representada normalmente junto à porta de entrada da igreja. Efetua-se uma breve análise, tendo por base a interpretação popular dos frescos exteriores das igrejas dos mosteiros de Suceava (1522) e Voronet (1487). Devido à importância artística e histórica dos frescos, as duas igrejas estão inscritas na lista de Património da Humanidade da UNESCO em 2010 e 1993, respetivamente.