Monetary models of exchange rates and sweep programs

Numerous studies find that monetary models of exchange rates cannot beat a random walk model. Such a finding, however, is not surprising given that such models are built upon money demand functions and traditional money demand functions appear to have broken down in many developed countries. In this article, we investigate whether using a more stable underlying money demand function results in improvements in forecasts of monetary models of exchange rates. More specifically, we use a sweep-adjusted measure of US monetary aggregate M1 which has been shown to have a more stable money demand function than the official M1 measure. The results suggest that the monetary models of exchange rates contain information about future movements of exchange rates, but the success of such models depends on the stability of money demand functions and the specifications of the models.

Monetary models of exchange rates and sweep programs

Numerous studies find that monetary models of exchange rates cannot beat a random walk model. Such a finding, however, is not surprising given that such models are built upon money demand functions and traditional money demand functions appear to have broken down in many developed countries. In this paper we investigate whether using a more stable underlying money demand function results in improvements in forecasts of monetary models of exchange rates. More specifically, we use a sweepadjusted measure of US monetary aggregate M1 which has been shown to have a more stable money demand function than the official M1 measure. The results suggest that the monetary models of exchange rates contain information about future movements of exchange rates but the success of such models depends on the stability of money demand functions and the specifications of the models.

Footballers and social media ‘Faux Pas’:the Football Association’s cash cow?

Reflects on the increasing scope for irresponsible comments made on social media sites to attract civil or criminal penalties, and how such remarks by professional footballers have generated significant amounts of revenue for the Football Association (FA). Reviews the range of social media "faux pas" committed by footballers, the large fines imposed by the FA Regulatory Commission and why these constitute a useful "cash cow".

Leg muscles motion during whole body linear frequency sweep vibration

Whole body vibration (WBV) aims to mechanically activate muscles by eliciting stretch reflexes. Mechanical vibrations are usually transmitted to the patient body standing on a oscillating plate. WBV is now more and more utilized not only for fitness but also in physical therapy, rehabilitation and in sport medicine. Effects depend on intensity, direction and frequency of vibration; however, the training frequency is one of the most important factors involved. A preliminary vibratory session can be dedicated to find the best vibration frequency for each subject by varying, stepwise, the stimulation frequency and analyzing the resulting EMG activity. This study concentrates on the analysis of muscle motion in response to a vibration frequency sweep, while subjects held two different postures. The frequency of a vibrating platform was increased linearly from 10 to 60 Hz in 26 s, while platform and single muscles (Rectus Femoris, Biceps Femoris - long head and Gastrocnemius Lateralis) motions were monitored using tiny, lightweight three-axial MEMS accelerometers. Displacements were estimated integrating twice the acceleration data after gravity contribution removal. Mechanical frequency response (amplitude and phase) of the mechanical chains ending at the single muscles was characterized. Results revealed a mechanical resonant-like behavior at some muscles, very similar to a second-order system in the frequency interval explored; resonance frequencies and dumping factors depended on subject and its positioning onto the vibrating platform. Stimulation at the resonant frequency maximizes muscle lengthening, and in turn muscle spindle solicitation, which produce muscle activation. © 2009 Springer-Verlag.

Motives for corporate cash holdings:the CEO optimism effect

We examine the chief executive officer (CEO) optimism effect on managerial motives for cash holdings and find that optimistic and non-optimistic managers have significantly dissimilar purposes for holding more cash. This is consistent with both theory and evidence that optimistic managers are reluctant to use external funds. Optimistic managers hoard cash for growth opportunities, use relatively more cash for capital expenditure and acquisitions, and save more cash in adverse conditions. By contrast, they hold fewer inventories and receivables and their precautionary demand for cash holdings is less than that of non-optimistic managers. In addition, we consider debt conservatism in our model and find no evidence that optimistic managers’ cash hoarding is related to their preference to use debt conservatively. We also document that optimistic managers hold more cash in bad times than non-optimistic managers do. Our work highlights the crucial role that CEO characteristics play in shaping corporate cash holding policy.