The relevance of Asian development bank: existing in the shadow of the Asian infrastructure investment bank

This paper analyses the potential impact of the China-led Asian Infrastructure Investment Bank (AIIB) on the Japan-USA-led Asian Development Bank (ADB). Given the financial strengths and the technical know-how of the newly formed AIIB there is a question about thefuture role and indeed relevance of the ADB. The questions canvassed in this article refer to ADB’s ability to change and adapt to the new situation, where it is no longer the dominant multi-lateral development bank (MDB) in the Asia-Pacific region. Against this background the discussion turns to issues concerning the geo-political sphere of influence of the ADB andAIIB and analyses the ADB – AIIB geo-political equilibrium in the Asia-Pacific region. Subsequently this paper discusses factors that may impact on ADB’s future relevance.

Boom and bust in Australian screen policy: 10BA, the Film Finance Corporation, and Hollywood's 'race to the bottom'.

In recent years, a narrative has emerged in the Australian popular media about the box office 'unpopularity' of Australian feature films and the 'failure' of the domestic screen industry. This article explores the recent history of Australian screen policy with particular reference to the '10BA' tax incentive of the 1980s; the Film Finance Corporation of Australia (FFC), a government screen agency established in 1988 to bring investment bank-style portfolio management to Australia's screen industry; and local production incentive policies pursed by Australian state governments in a chase for Hollywood's runaway production.

We argue the 10BA incentive catalysed an unsustainable bubble in Australian production, while its policy successor, the FFC, fundamentally failed in its stated mission of 'commercial' screen financing (over its 20-year lifespan, the FFC invested 1.345 billion Australian dollars for 274.2 million Australian dollars recouped - a cumulative return of negative 80 percent). For their part, private investors in Australian films discovered that the screen production process involved high levels of risk.

Foreign-financed production also proved highly volatile, due to the vagaries of trade exposure, currency fluctuations and tax arbitrage. The result of these macro and micro-economic factors often structural and cross-border in nature was that Australia's screen industry failed to develop the local investment infrastructure required to finance a sustainable, non-subsidised local sector.

Investment banks' entry into new IPO markets and IPO underpricing

We examine the relationship between investment banks' initial public offering (IPO) market shares and their prior IPO underpricing in the new IPO market for China-based companies on the Hong Kong Stock Exchange. To gain expertise in Chinese business practices, investment banks have the incentive to obtain business in this new IPO market by providing high offer prices to the issuer, leading to less underpricing and less money on the table. We hypothesize and find that the less an investment bank underprices Chinabased company IPOs, the greater its subsequent market share of China-based company IPOs in the Hong Kong Stock Exchange. Furthermore, this relationship is driven by a bank's initial China-based company IPO deals. These results suggest that in new IPO markets, investment banks' initial market shares, obtained through lower underpricing, help them grow their market shares in later periods, possibly through the expertise gained in the initial business.

Measuring the walkability of local communities using geographic information systems data

Researchers are working to identify and promote environment and policy initiatives to encourage more active and healthy communities. Measuring environmental attributes through objective means can verify which physical environment factors are most important. We describe how Geographic Information Systems (GIS) may be used to measure objectively, the features of the built environment that may influence walking. We show how four key attributes currently believed to be of most relevance to walking for transport may be used to create a ‘walkability’ index. These are dwelling density (higher-density neighbourhoods support greater retail and service variety, resulting in shorter, walkable distances between facilities; driving and parking are more difficult); street connectivity (higher intersection density provides people with a greater choice of potential routes, easier access to major roads where public transport is available and shorter times to get to destinations); land use mix (the more varied the land use mix and built form, the more conducive it is to walk to various destinations); and net retail area (people who live near multiple and diverse retail opportunities are able to make more frequent and shorter shopping trips by walking and can walk to more local employment opportunities). The potential relationships between each of the objective environmental-attribute measures and walking behaviours is discussed, together with suggestions as to how such measures might be used to guide community infrastructure planning. GIS mapping can assist decision makers in where to focus transportation investments and where to guide future growth. Readily accessible GIS data can be used to guide and support urban planning and infrastructure investment decisions in both the private and public sectors, to increase walking in communities.

Study of electrical usage and demand at the container terminal

The electrical usage and demand at container terminal were studied for two years. The results provide a technique for calculating the maximum demand at container terminal with a more accurate result, leading to a substantial saving both in capital cost for electrical infrastructure investment and ongoing electricity costs.

Airport and air cargo operation systems

Analysis of airport and air cargo operations is commonly performed in isolation, sharing only simple information such as flight schedules. Systems theory and Systems methodology can enhance such analysis by considering all aspects of air operations. It provides the decision-maker with an improved understanding of the implication of policy decisions, resource allocations and infrastructure investment strategies, through the capture of emergent behaviours and interdependencies. For example, the term airport operations, initially reminds us of the thought of passengers being transported by aircraft. Deeper thinking would identify activities that affect passenger operations, such as baggage handling systems, aircraft maintenance, and passenger security. In reality, airport operations consist of numerous aspects, including; concourses, runways, airlines, fuel depots, cargo terminal operators, retail, parking, cleaning, catering and many interacting people including travellers, service providers and visitors. For the airport to function effectively, these numerous systems must work together. This talk will focus on new tools and methodologies that are required for model development and analysis. It will then focus on modelling, simulation and analysis of the airport operations, providing greater understanding of airport operation with an emphasis towards security.

Industry expertise, information leakage and the choice of M&A advisors

This paper examines the impacts of M&A advisors’ industry expertise on firms’choice of advisors in mergers and acquisitions. We show that an investment bank’s expertise in merger parties’ industries increases its likelihood of being chosen as an advisor, especially when the acquisition is more complex, and when a firm in M&A has less information about the merger counter party. However, due to the concerns about information leakage to industry rivals through M&A advisors, acquirers are reluctant to share advisors with rival firms in thesame industry, and they are more likely to switch to new advisors if their former advisors have advisory relationship with their industry rivals. In addition, we document that advisors with more industry expertise earn higher advisory fees and increase the likelihood of deal completion.

A highly practical approach toward achieving minimum data sets storage cost in the cloud

Massive computation power and storage capacity of cloud computing systems allow scientists to deploy computation and data intensive applications without infrastructure investment, where large application data sets can be stored in the cloud. Based on the pay-as-you-go model, storage strategies and benchmarking approaches have been developed for cost-effectively storing large volume of generated application data sets in the cloud. However, they are either insufficiently cost-effective for the storage or impractical to be used at runtime. In this paper, toward achieving the minimum cost benchmark, we propose a novel highly cost-effective and practical storage strategy that can automatically decide whether a generated data set should be stored or not at runtime in the cloud. The main focus of this strategy is the local-optimization for the tradeoff between computation and storage, while secondarily also taking users' (optional) preferences on storage into consideration. Both theoretical analysis and simulations conducted on general (random) data sets as well as specific real world applications with Amazon's cost model show that the cost-effectiveness of our strategy is close to or even the same as the minimum cost benchmark, and the efficiency is very high for practical runtime utilization in the cloud.

Does banks’ dual holding affect bank lending and firms’ investment decisions? Evidence from China

This study investigates the effect of banks’ dual holding on bank lending and firms’ investment decisions using a sample of listed firms in China. We find that dual holding leads to easier access to bank loans, a result that is more pronounced for non-state-owned enterprises (non-SOEs) than SOEs. We also find that dual holding distorts banks’ lending decisions and harms the investment efficiency for SOEs, while resulting in optimal lending decisions and enhanced investment efficiency for non-SOEs. For non-SOEs, further analysis suggests that optimal lending decisions and efficient investment can be achieved for firms with higher ownership concentration, and firms in which the family and foreign investors are the controlling shareholders. We argue that, in emerging markets, whether a bank plays a monitoring role by directly holding the debt and equity claims of companies relies heavily on whether the potential collusion between firm executives and bank managers can be averted, which in turn is determined by the firms’ governance framework and ownership structure.

Tax incentives for foreign direct investment part I : Recent trends and countertrends

According to the conventional wisdom, tax incentives for investment - in particular for foreign direct investment (FDI) - are not recommended. That is the view held almost universally by theorists and by the international bodies that advise on tax matters.' Tax incentives are bad in theory and bad in practice. They are bad in theory principally because they cause distortions: investment decisions are made that would not have been made without the inducement of special tax concessions. They are bad in practice, being both ineffective and inefficient. They are ineffective in that tax considerations are only rarely a major determinant in FDI decisions; they are inefficient because their cost, in terms of tax revenue foregone, often far exceeds any benefits they may produce. Other criticisms are also frequently levelled against tax incentives for FDI - they are inequitable (since they benefit some investors but not others), they are difficult to administer and open to abuse, and they lack transparency. Thus, it is not surprising that ''the standard advice given by institutions like the World Bank and the lMF to developing countries is to refrain from offering tax incentives to foreign investors".2 The purpose of this article is not to question that advice or to challenge the conventional wisdom - except in one respect. Recent evidence does suggest that tax considerations are an increasingly important factor in investment decisions and that special tax incentives have become substantially more effective as instruments for attracting FDI than they were 10 or 20 years ago.3 The first part of this article, published here, examines some of that evidence, reviews some recent trends in national policies towards FDI, attempts to suggest why investment incentives have become more important and more effective, and looks at the pressures that are exerted on governments, especially in developing countries, to compete for FDI by offering special incentives. The second part of the article, to be published in the Bulletin next month, assumes that many countries will continue to offer tax incentives to investors regardless of the best advice, and considers how incentives might be designed in order to increase their effectiveness and efficiency.

Asian biotechnology hub

Focuses on the development of biotechnology in Asia. Factors that make Asia a suitable location for global biotech investment; Asian countries leading in biotechnology development; Development of a biotechnology hub in Singapore; Growth in agricultural biotechnology research in Malaysia; Projects in the biotechnology sector in South Korea.

Secure accounting and payment infrastructure for grid computing

In this paper, we propose an architecture of accounting and payment services for service oriented grid computing systems. The proposed accounting and payment services provide the mechanisms for service providers to be paid for authorized use of their resources. It supports the recording of usage data, secure storage of that data, analysis of that data for purposes of billing and so forth. It allows a variety of payment methods, it is scalable, secure, convenient, and reduce the overall cost of payment processing while taking into account, requirements of Grid computing systems.

Greening political risk: transnational advocacy networks and the World Bank Group

Significant increases in direct private investment in developing countries in recent decades have also led to increased interest in political risk insurance. Of importance to transnational advocacy networks are the environmental and social impacts of guaranteeing loans for private sector projects in developing countries with weak or no social or environmental safeguards. This article examines how transnational advocacy networks have attempted to influence political risk insurers to become sustainable development guarantors through a case study of the World Bank Group’s Multilateral Investment Guarantee Agency (MIGA). Analyzing how advocacy networks influenced MIGA’s projects, policies, and accountability institutions enables greater understanding of how to ‘politicize finance.’ It also assesses the likelihood of shaping political risk insurance identities to become sustainable development guarantors. The outcomes of such an analysis however, question the extent to which politicizing finance necessarily leads to further greening of the international development lending process.

The economic performance of transportation infrastructure: an empirical study on the recent development of China

It has been widely recognised that infrastructure systems highly affect the economic development of a country or region. In particular, the quality and quantity of transportation infrastructure have a direct bearing on economic growth in developing countries. Therefore, it is challenging to allocate the infrastructure construction budget across a country so that economic growth as a whole will not be hampered by the lack of infrastructure construction in any local area. In this research, the authors focus on simulating the correlations between economic growth, capital investment and transportation infrastructure construction in China historically and comparing the production and investment indicators at the cross-region based on the statistical data reported from government agencies in China. These computed correlations and indicators are crucial for making financial decisions and investment policies on transportation infrastructure construction at a national level.

So flat, so cute! Robots, superflatness and asian architectural futures

Many depictions of urban futures have a distinctly Asian flavour. There have been numerous visions of highly technological futures whose environments extrapolate present societies into futures technically, culturally and politically dominated by China or Japan, Such futures are portrayed as both exciting and threatening, to the point that the Japanese academic and cultural critic Toshiya Ueno used the term ‘Techno-Orientalism’ to describe the phenomenon. Nevertheless, whether Western interest is Orientalist or not, Asian architects are also increasingly looking to their own contemporary and future cultures for inspiration. This paper will discuss two manifestations of this. The first is Thai architect Sumet Jumsai’s Bank of Asia. Unlike contemporaneous English hightech buildings, with their coldly mechanistic representation of ducts and struts, Jumsai’s Bank of Asia, takes on the anthropomorphic character of Japanese scifi robots. It is endearing, friendly, even cute. The second example is what might be termed superflat architecture, from the term coined by the artist Takashi Murakami to describe an aesthetic of intrinsic flatness, eliminating depth in favour of skin and surface. The emergence of Techno-Cute and Superflat architecture suggest contemporary Asian architectural sensibilities that neither derive their aesthetic qualities solely from tradition nor from Western Modernism or Postmodernism.