Impacts of currency fluctuations on Japanese foreign direct investment

The Japanese currency has appreciated substantially against most other currencies over the last two decades. During the same time Japan has become one of the world's largest providers of FDI. Japan's share of total FDI outflows increased from about 6 percent during the late 70's to 21 percent in 1990 while its share of the total stock of FDI in the world increased from less than 1 percent in 1960 to more than 13 percent in 1993. Not surprisingly, Japan's role in international business in general and its FDI activities, in particular, have attracted considerable attention from researchers world wide. However, much of this attention has been directed towards the patterns and determinants of Japanese foreign direct investment, in particular to the United States. The impact of changes in the value of the Yen on Japanese FDI has been largely overlooked. Thus, this paper fills an important gap in the literature by focusing on the influence of changes of the exchange rate on Japanese foreign direct investment. A comprehensive simultaneous equa-tion model of Japanese FDI is developed on a regional level to gauge the extent to which currency fluctuations affect Japanese FDI activities. The results suggest that the exchange rate is an effective mechanism through which to influence FDI. Thus, the exchange rate should not be overlooked by the World Trade Organisation in its efforts to further liberalise investment through the Multilateral Agreement on Investment.

Relationship between long-term environmental fluctuations and diving effort of female Australian fur seals

For predators foraging within spatially and temporally heterogeneous marine ecosystems, environmental fluctuations can alter prey availability. Using the proportion of time spent diving and foraging trip duration as proxies of foraging effort, a multi-year dataset was used to assess the response of 58 female Australian fur seals Arctocephalus pusillus doriferus to interannual environmental fluctuations. Multiple environmental indices (remotely sensed ocean colour data and numerical weather predictions) were assessed for their influence on inter-annual variations in the proportion of time spent diving and trip duration. Model averaging revealed strong evidence for relationships between 4 indices and the proportion of time spent diving. There was a positive relationship with effort and 2 yr-lagged spring sea-surface temperature, current winter zonal wind and southern oscillation index, while a negative relationship was found with 2 yr-lagged spring zonal wind. Additionally, a positive relationship was found between foraging trip duration and 1 yr-lagged spring surface chlorophyll a. These results suggest that environmental fluctuations may influence prey availability by affecting the survival and recruitment of prey at the larval and post-larval phases while also affecting current distribution of adult prey.

Holocene record of Tuggerah Lake estuary development on the Australian east coast: sedimentary responses to sea-level fluctuations and climate variability

We investigated the Holocene palaeo-environmental record of the Tuggerah Lake barrier estuary on the south-east coast of Australia to determine the influence of local, regional and global environmental changes on estuary development. Using multi-proxy approaches, we identified significant down-core variation in sediment cores relating to sea-level rise and regional climate change. Following erosion of the antecedent land surface during the post-glacial marine transgression, sediment began to accumulate at the more seaward location at ~8500. years before present, some 1500. years prior to barrier emplacement and ~4000. years earlier than at the landward site. The delay in sediment accumulation at the landward site was a consequence of exposure to wave action prior to barrier emplacement, and due to high river flows of the mid-Holocene post-barrier emplacement. As a consequence of the mid-Holocene reduction in river flows, coupled with a moderate decline in sea-level, the lake experienced major changes in conditions at ~4000. years before present. The entrance channel connecting the lake with the ocean became periodically constricted, producing cyclic alternation between intervals of fluvial- and marine-dominated conditions. Overall, this study provides a detailed, multi-proxy investigation of the physical evolution of Tuggerah Lake with causative environmental processes that have influenced development of the estuary.

Fluctuations of redox conditions across the Permian–Triassic boundary : new evidence from the GSSP section in Meishan of South China

Oceanic anoxia has long been considered as one of the main causes for the end-Permian mass extinction. However, the results obtained by different researchers are rather divergent from different sections, or even on the same section using the same redox proxy. This study aims to examine the causes for some of these divergent results using high-resolution pyrite framboid sampling at the Meishan GSSP section in South China. Detailed microfacies analysis shows that the uppermost Late Permian strata comprises two significantly different sedimentary facies: one characterized by silicious muddy limestone and recognized as representing autochthonous background sediments; the other distinguished by bioclastic grainstone, interpreted to be allochthonous in origin and have been transported from the nearby platform margin. These two different sedimentary facies represent two distinctly different redox conditions. Together with the facies analysis, a statistical analysis of pyrite framboids was carried out to evaluate the redox evolution across the Permian-Triassic boundary. Abundant framboids with average diameters of about 6μm are found in background sediments beneath the extinction boundary, indicating generally anoxic bottom water conditions. But this condition was punctuated by transient intervals of rapid oxygenation interpreted to have been caused by intrusion of intermittent turbidity flows. Our study also showed that anoxic conditions persisted into the immediate aftermath of the mass extinction, thereafter it was quickly followed by a relatively long period of oxic conditions (with rare framboids). However, the redox conditions returned to anoxia (with abundant pyrite framboids averaging about 5μm in diameter), accompanied by a rapid global transgression. The oxygenation manifested near the Permian-Triassic boundary coincides with the negative excursion of carbon isotope. This would imply that, contrary to previous interpretations, this great δ13C negative excursion was probably not caused by the upwelling of anoxic deep ocean waters.