The effect of past earnings and dividend patterns on the information content of dividends when earnings are reduced

This study pursues two objectives: first, to provide evidence on the information content of dividend policy, conditional on past earnings and dividend patterns prior to an annual earnings decline; second, to examine the effect of the magnitude of low earnings realizations on dividend policy when firms have more-or-less established dividend payouts. The information content of dividend policy for firms that incur earnings reductions following long patterns of positive earnings and dividends has been examined (DeAngelo et al., 1992, 1996; Charitou, 2000). No research has examined the association between the informativeness of dividend policy changes in the event of an earnings drop, relative to varying patterns of past earnings and dividends. Our dataset consists of 4,873 U.S. firm-year observations over the period 1986-2005. Our evidence supports the hypotheses that, among earnings-reducing or loss firms, longer patterns of past earnings and dividends: (a) strengthen the information conveyed by dividends regarding future earnings, and (b) enhance the role of the magnitude of low earnings realizations in explaining dividend policy decisions, in that earnings hold more information content that explains the likelihood of dividend cuts the longer the past earnings and dividend patterns. Both results stem from the stylized facts that managers aim to maintain consistency with respect to historic payout policy, being reluctant to proceed with dividend reductions, and that this reluctance is higher the more established is the historic payout policy. © 2010 The Authors. Journal compilation © 2010 Accounting Foundation, The University of Sydney.

A csomagoláson található információtartalom újragondolása sokdimenziós skálázással az élelmiszeripar példáján (Rethinking of information content on food packaging using multidimensional scaling)

A csomagolás részét képezi a jelölés – vagy más néven címke, label –, aminek elsődleges funkciója a termék tulajdonságairól való tájékoztatás, amellett, hogy a vállalat és a fogyasztó egyik legfontosabb találkozási pontja. Kiemelt szerepe van a marketing és a vállalati menedzsment eszköztárában, hiszen a fogyasztói döntéshozatal meghatározó forrása. A szerző írásában a jelölések definícióját, fajtáit és csoportosítását tárja az olvasó elé, majd ismerteti jelentőségét, fontosságát és szerepét az élelmiszer-ipari termékek segítségével. Ezután egy 630 fős megkérdezés eredményeképp a sokdimenziós skálázás (MDS) módszerével a jelölések új értelmezését mutatja be: a jelöléseket három dimenzió mentén lehet elhelyezni (előzetes tudás, érdek, megbízhatóság), valamint ezenkívül a jelölések öt homogén csoportot alkotnak (klasszikus, diétás, funkcionális, tudatos, előállítási). A téma jelentőségét az egészség és a környezet iránti növekvő érdeklődés, valamint a változó jogszabályi környezet is alátámasztja. / === / Signs, labels, claims are to inform consumers of product attributes, and are part of the packaging. Labeling is one of the most important marketing and management tool, while purchase decision is made at the point of purchase. The aim of this paper is to present the basic definitions and elements of information content on food packaging. The author developed a new approach to examine labeling using multidimensional scaling as a result of a pilot study. Labels are to distinguish through three dimensions: precognition, interest and reliability. Beyond that labels can be sorted to five homogeneous clusters based on classic, dietary, functional, conscious and production attributes. The relevancy of labeling is supported by growing interest of health and environmental issues and changing law environment.

Information Content of Bank Credit Rating Changes: Evidence from Europe

This thesis examines the short-term impact of credit rating announcements on daily stock returns of 41 European banks indexed in STOXX Europe 600 Banks. The time period of this study is 2002–2015 and the ratings represent long-term issuer ratings provided by S&P, Moody’s and Fitch. Bank ratings are significant for a bank’s operation costs so it is interesting to investigate how investors react to changes in creditworthiness. The study objective is achieved by conducting an event study. The event study is extended with a cross-sectional linear regression to investigate other potential determinants surrounding rating changes. The research hypotheses and the motivation for additional tests are derived from prior research. The main hypotheses are formed to explore whether rating changes have an effect on stock returns, when this possible reaction occurs and whether it is asymmetric between upgrades and downgrades. The findings provide evidence that rating announcements have an impact on stock returns in the context of European banks. The results also support the existence of an asymmetry in capital market reaction to rating upgrades and downgrades. The rating downgrades are associated with statistically significant negative abnormal returns on the event day although the reaction is rather modest. No statistically significant reaction is found associated with the rating upgrades on the event day. These results hold true with both rating changes and rating watches. No anticipation is observed in the case of rating changes but there is a statistically significant cumulative negative (positive) price reaction occurring before the event day for negative (positive) watch announcements. The regression provides evidence that the stock price reaction is stronger for rating downgrades occurring within below investment grade class compared with investment grade class. This is intuitive as investors are more concerned about their investments in lower-rated companies. Besides, the price reaction of larger banks is more mitigated compared with smaller banks in the case of rating downgrades. The reason for this may be that larger banks are usually more widely followed by the public. However, the study results may also provide evidence of the existence of the so-called “too big to fail” subsidy that dampens the negative returns of larger banks.

Combination of web usage, content and structure information for diverse web mining applications in the tourism context and the context of users with disabilities

188 p.

Product-library-derived specification parameters in building information models augmentation

This paper conceptualizes a framework for bridging the BIM (building information modelling)-specifications divide through augmenting objects within BIM with specification parameters derived from a product library. We demonstrate how model information, enriched with data at various LODs (levels of development), can evolve simultaneously with design and construction using different representation of a window object embedded in a wall as lifecycle phase exemplars at different levels of granularity. The conceptual standpoint is informed by the need for exploring a methodological approach which extends beyond current limitations of current modelling platforms in enhancing the information content of BIM models. Therefore, this work demonstrates that BIM objects can be augmented with construction specification parameters leveraging product libraries.

Consequences of Converting Graded to Action Potentials upon Neural Information Coding and Energy Efficiency

Information is encoded in neural circuits using both graded and action potentials, converting between them within single neurons and successive processing layers. This conversion is accompanied by information loss and a drop in energy efficiency. We investigate the biophysical causes of this loss of information and efficiency by comparing spiking neuron models, containing stochastic voltage-gated Na+ and K+ channels, with generator potential and graded potential models lacking voltage-gated Na+ channels. We identify three causes of information loss in the generator potential that are the by-product of action potential generation: (1) the voltage-gated Na+ channels necessary for action potential generation increase intrinsic noise and (2) introduce non-linearities, and (3) the finite duration of the action potential creates a `footprint' in the generator potential that obscures incoming signals. These three processes reduce information rates by similar to 50% in generator potentials, to similar to 3 times that of spike trains. Both generator potentials and graded potentials consume almost an order of magnitude less energy per second than spike trains. Because of the lower information rates of generator potentials they are substantially less energy efficient than graded potentials. However, both are an order of magnitude more efficient than spike trains due to the higher energy costs and low information content of spikes, emphasizing that there is a two-fold cost of converting analogue to digital; information loss and cost inflation.

Redefining knowledge in an information world – a polemic

This paper looks at knowledge and information as different forms of the same ideas or "memes". Very different, for knowledge is live, and information is dead. Knowledge is personal, difficult to acquire; information is plentiful, a commodity. Dawkins coined the term meme to refer to a "unit of cultural transmission". I distinguish between forms of the meme that are live knowledge – the internal idea, or imago, and the external transient representation of it, the ephemeron – and those which are permanent information (artefact and permaphemeron). It is a mistake to talk of a "content-free" learning experience, as though content were "just information". Content is knowledge. The point of education is not just to regenerate live knowledge from one generation to the next, it is to extend and add to it through knowledge creation. And knowledge creativity does not operate in a knowledge vacuum. You need ideas to breed ideas.

Living is Information Processing: From Molecules to Global Systems

We extend the concept that life is an informational phenomenon, at every level of organisation, from molecules to the global ecological system. According to this thesis: (a) living is information processing, in which memory is maintained by both molecular states and ecological states as well as the more obvious nucleic acid coding; (b) this information processing has one overall function-to perpetuate itself; and (c) the processing method is filtration (cognition) of, and synthesis of, information at lower levels to appear at higher levels in complex systems (emergence). We show how information patterns, are united by the creation of mutual context, generating persistent consequences, to result in 'functional information'. This constructive process forms arbitrarily large complexes of information, the combined effects of which include the functions of life. Molecules and simple organisms have already been measured in terms of functional information content; we show how quantification may be extended to each level of organisation up to the ecological. In terms of a computer analogy, life is both the data and the program and its biochemical structure is the way the information is embodied. This idea supports the seamless integration of life at all scales with the physical universe. The innovation reported here is essentially to integrate these ideas, basing information on the 'general definition' of information, rather than simply the statistics of information, thereby explaining how functional information operates throughout life. © 2013 Springer Science+Business Media Dordrecht.

The basic principles of uncertain information fusion. An organised review of merging rules in different representation frameworks.

We propose and advocate basic principles for the fusion of incomplete or uncertain information items, that should apply regardless of the formalism adopted for representing pieces of information coming from several sources. This formalism can be based on sets, logic, partial orders, possibility theory, belief functions or imprecise probabilities. We propose a general notion of information item representing incomplete or uncertain information about the values of an entity of interest. It is supposed to rank such values in terms of relative plausibility, and explicitly point out impossible values. Basic issues affecting the results of the fusion process, such as relative information content and consistency of information items, as well as their mutual consistency, are discussed. For each representation setting, we present fusion rules that obey our principles, and compare them to postulates specific to the representation proposed in the past. In the crudest (Boolean) representation setting (using a set of possible values), we show that the understanding of the set in terms of most plausible values, or in terms of non-impossible ones matters for choosing a relevant fusion rule. Especially, in the latter case our principles justify the method of maximal consistent subsets, while the former is related to the fusion of logical bases. Then we consider several formal settings for incomplete or uncertain information items, where our postulates are instantiated: plausibility orderings, qualitative and quantitative possibility distributions, belief functions and convex sets of probabilities. The aim of this paper is to provide a unified picture of fusion rules across various uncertainty representation settings.

Analysis and visualization of chromosome information

This paper analyzes the DNA code of several species in the perspective of information content. For that purpose several concepts and mathematical tools are selected towards establishing a quantitative method without a priori distorting the alphabet represented by the sequence of DNA bases. The synergies of associating Gray code, histogram characterization and multidimensional scaling visualization lead to a collection of plots with a categorical representation of species and chromosomes.

Accessing complexity from genome information

This paper studies the information content of the chromosomes of 24 species. In a first phase, a scheme inspired in dynamical system state space representation is developed. For each chromosome the state space dynamical evolution is shed into a two dimensional chart. The plots are then analyzed and characterized in the perspective of fractal dimension. This information is integrated in two measures of the species’ complexity addressing its average and variability. The results are in close accordance with phylogenetics pointing quantitative aspects of the species’ genomic complexity.

Is more information always good? : investigating the impact of website interface features on e-retailer's sales performance

A number of frameworks have been suggested for online retailing, but still there exists little consensus among researchers and practitioners regarding the appropriate amount of information critical and essential to the improvement of customers' satisfaction and their purchase intention. Against this backdrop, this study contributes to the current practical and theoretical discussions and conversations about how information search and perceived risk theories can be applied to the management of online retailer website features. This paper examines the moderating role of website personalization in studying the relationship between information content provided on the top US retailers' websites, and customer satisfaction and purchase intention. The study also explores the role played by customer satisfaction and purchase intention in studying the relationship between information that is personalized to the needs of individual customers and online retailers' sales performance. Results indicate that the extent of information content features presented to online customers alone is not enough for companies looking to satisfy and motivate customers to purchase. However, information that is targeted to an individual customer influences customer satisfaction and purchase intention, and customer satisfaction in tum serves as a driver to the retailer's online sales performance.

Ontological modelling of content management and provision

Information provision to address the changing requirements can be best supported by content management. The Current information technology enables information to be stored and provided from various distributed sources. To identify and retrieve relevant information requires effective mechanisms for information discovery and assembly. This paper presents a method, which enables the design of such mechanisms, with a set of techniques for articulating and profiling users' requirements, formulating information provision specifications, realising management of information content in repositories, and facilitating response to the user's requirements dynamically during the process of knowledge construction. These functions are represented in an ontology which integrates the capability of the mechanisms. The ontological modelling in this paper has adopted semiotics principles with embedded norms to ensure coherent course of actions represented in these mechanisms. (C) 2008 Elsevier B.V. All rights reserved.

An ontological modelling of user requirements for personalised information provision

The knowledge economy offers opportunity to a broad and diverse community of information systems users to efficiently gain information and know-how for improving qualifications and enhancing productivity in the work place. Such demand will continue and users will frequently require optimised and personalised information content. The advancement of information technology and the wide dissemination of information endorse individual users when constructing new knowledge from their experience in the real-world context. However, a design of personalised information provision is challenging because users’ requirements and information provision specifications are complex in their representation. The existing methods are not able to effectively support this analysis process. This paper presents a mechanism which can holistically facilitate customisation of information provision based on individual users’ goals, level of knowledge and cognitive styles preferences. An ontology model with embedded norms represents the domain knowledge of information provision in a specific context where users’ needs can be articulated and represented in a user profile. These formal requirements can then be transformed onto information provision specifications which are used to discover suitable information content from repositories and pedagogically organise the selected content to meet the users’ needs. The method is provided with adaptability which enables an appropriate response to changes in users’ requirements during the process of acquiring knowledge and skills.