The existence and nature of risk management committees in Australian companies

A risk management committee (RMC), as a newly evolving sub-committee of the board of directors, functions as a key governance support mechanism in the oversight an organisation’s risk management strategies, policies and processes. However, empirical evidence on the factors associated with the existence and the type of RMCs remains scant. Using an agency theory perspective, this study investigates the association between board factors such as proportion of non-executive directors, CEO duality, and board size; as well as, other firm-related factors (e.g. auditor type, industry, leverage, and complexity), and (1) the existence of a RMC, and (2) the type of RMC (namely, a separate RMC versus one that is combined with the audit committee). Data was collected from the annual reports of the top 300 ASX-listed companies. The results, based on logistic regression analyses, indicate that RMCs tend to exist in companies with an independent board chairman and larger boards. Further, the results also indicate that in comparison to companies with a combined RMC and audit committee, those with a separate RMC are more likely to have larger boards, higher financial reporting risk and lower organisational complexity. The findings of this study provide additional information on the use and design of RMCs in a voluntary setting.

Heritability of corticosterone response and changes in life history traits during selection in the zebra finch

Vertebrates respond to environmental stressors through the neuro-endocrine stress response, which involves the production of glucocorticoids. We have selected independent, duplicate divergent lines of zebra finches for high, low and control corticosterone responses to a mild stressor. This experiment has shown that over the first four generations, the high lines have demonstrated a significant realized heritability of about 20%. However, the low lines have apparently not changed significantly from controls. This asymmetry in response is potentially because of the fact that all birds appear to be showing increased adaptation to the environment in which they are housed, with significant declines in corticosterone response in control lines as well as low lines. Despite the existence of two- to threefold difference in mean corticosterone titre between high and low lines, there were no observed differences in testosterone titre in adult male birds from the different groups. In addition, there were no consistent, significant differences between the lines in any of the life history variables measured – number of eggs laid per clutch, number of clutches or broods produced per pair, number of fledglings produced per breeding attempt, nor in any of egg, nestling and fledgling mortality. These results highlight the fact that the mechanisms that underlie variation in the avian physiological system can be modified to respond to differences between environments through selection. This adds an additional level of flexibility to the avian physiological system, which will allow it to respond to environmental circumstances.

Examination of EMG normalisation methods for the study of the posterior and posterolateral neck muscles in healthy controls

The purpose of this study was to examine the reliability of normalisation methods used in the study of the posterior and posterolateral neck muscles in a group of healthy controls. Six asymptomatic male subjects performed a total of 12 maximum voluntary isometric contractions (MVIC) and 60%-submaximal isometric contractions (60%-MVIC) against the torque arm of an isokinetic dynamometer whilst surface and intramuscular electromyography (EMG) was recorded unilaterally from representative posterior and posterolateral locations. Reliability was calculated using intra-class correlation coefficient (ICC), relative standard error of measurement (%SEM) and relative coefficient of variation (%CV). Maximal torque output was found to be highly reliable in the directions of extension and right lateral bending when the first of three MVIC contractions was excluded. When averaged across contraction direction, high reliability was found for both surface (MVIC: ICC = 0.986, %SEM = 7.5, %CV = 9.2; 60%-MVIC: ICC = 0.975, %SEM = 10, %CV = 13.7) and intramuscular (MVIC: ICC = 0.910, %SEM = 20, %CV = 19.1; 60%-MVIC: ICC = 0.952, %SEM = 16.5, %CV = 13.5) electrodes. Intramuscular electrodes displayed the least reliability in right lateral bending. The use of visual feedback markedly increased the reliability of 60%-MVIC contractions.

Effect of particle size on the photocatalytic activity of nanoparticulate zinc oxide

In this study, a three-stage process consisting of mechanical milling, heat treatment, and washing has been used to manufacture nanoparticulate ZnO powders with a controlled particle size and minimal agglomeration. By varying the temperature of the post-milling heat treatment, it was possible to control the average particle size over the range of 28–57 nm. The photocatalytic activity of these powders was characterized by measuring the hydroxyl radical concentration as a function of irradiation time using the spin-trapping technique with electron paramagnetic resonance spectroscopy. It was found that there exists an optimum particle size of approximately 33 nm for which the photocatalytic activity is maximized. The existence of this optimal particle size is attributable to an increase in the charge carrier recombination rate, which counteracts the increased activity arising from the higher specific surface area for a sufficiently small particle size.

Investigation of a prefetch model for low bandwidth networks

We investigate speculative prefetching under a model in which prefetching is neither aborted nor preempted by demand fetch but instead gets equal priority in network bandwidth utilisation. We argue that the non-abortive assumption is appropriate for wireless networks where bandwidth is low and latency is high, and the non-preemptive assumption is appropriate for Internet where prioritization is not always possible. This paper assumes the existence of an access model to provide some knowledge about future accesses and investigates analytically the performance of a prefetcher that utilises this knowledge. In mobile computing, because resources are severely constrained, performance prediction is as important as access prediction. For uniform retrieval time, we derive a theoretical limit of improvement in access time due to prefetching. This leads to the formulation of an optimal algorithrn for prefetching one access ahead. For non-uniform retrieval time, two different types of prefetching of multiple documents, namely mainline and branch prefetch, are evaluated against prefetch of single document. In mainline prefetch, the most probable sequence of future accesses is prefetched. In branch prefetch, a set of different alternatives for future accesses is prefetched. Under some conditions, mainline prefetch may give slight improvement in user-perceived access time over single prefetch with nominal extra retrieval cost, where retrieval cost is defined as the expected network time wasted in non-useful prefetch. Branch prefetch performs better than mainline prefetch but incurs more retrieval cost.

Membrane nanotubes in myeloid cells in the adult mouse cornea represent a novel mode of immune cell interaction

Membrane nanotubes (MNTs) are newly discovered cellular extensions that are either blind-ended or can connect widely separated cells. They have predominantly been investigated in cultured isolated cells, however, previously we were the first group to demonstrate the existence of these structures in vivo in intact mammalian tissues. We previously demonstrated the frequency of both cell–cell or bridging MNTs and blind-ended MNTs was greatest between major histocompatibility complex (MHC) class II+ cells during corneal injury or TLR ligand-mediated inflammation. The present study aimed to further explore the dynamics of MNT formation and their size, presence in another tissue, the dura mater, and response to stress factors and an active local viral infection of the murine cornea. Confocal live cell imaging of myeloid-derived cells in inflamed corneal explants from Cx3cr1GFP and CD11ceYFP transgenic mice revealed that MNTs form de novo at a rate of 15.5 μm/min. This observation contrasts with previous studies that demonstrated that in vitro these structures originate from cell–cell contacts. Conditions that promote formation of MNTs include inflammation in vivo and cell stress due to serum starvation ex vivo. Herpes simplex virus-1 infection did not cause a significant increase in MNT numbers in myeloid cells in the cornea above that observed in injury controls, confirming that corneal epithelium injury alone elicits MNT formation in vivo. These novel observations extend the currently limited understanding of MNTs in live mammalian tissues.

An empirical analysis of environmental strategy, eco-controls, environmental and economic performance

 This study provides empirical evidence on the role of eco-controls, in terms of both the style of use and bureaucratic stance towards eco-controls, as a critical mediating variable between an organisation’s level of proactive environmental strategy and its environmental and economic performance outcomes.

Environmental enrichment ameliorates a motor coordination deficit in a mouse model of Rett syndrome Mecp2 gene dosage effects and BDNF expression

Rett syndrome, commonly associated with mutations of the methyl CpG-binding protein 2 (MECP2) gene, is characterised by an apparently normal early postnatal development followed by deterioration of acquired cognitive and motor coordination skills in early childhood. To evaluate whether environmental factors may influence the disease outcome of Rett syndrome, we tested the effect of environmental enrichment from 4 weeks of age on the behavioural competence of mutant mice harboring a Mecp2 tm1Tam-null allele. Our findings show that enrichment improves motor coordination in heterozygous Mecp2 +/− females but not Mecp2 −/y males. Standard-housed Mecp2 +/− mice had an initial motor coordination deficit on the accelerating rotarod, which improved with training then deteriorated in subsequent weeks. Enrichment resulted in a significant reduction in this coordination deficit in Mecp2 +/− mice, returning the performance to wild-type levels. Brain-derived neurotrophic factor (BDNF) protein levels were 75 and 85% of wild-type controls in standard-housed and environmentally enriched Mecp2 +/− cerebellum, respectively. Mecp2 −/y mice showed identical deficits of cerebellar BDNF (67% of wild-type controls) irrespective of their housing environment. Our findings demonstrate a positive impact of environmental enrichment in a Rett syndrome model; this impact may be dependent on the existence of one functional copy of Mecp2.

Effect of δ-ferrite co-existence on hot deformation and recrystallization of austenite

This work evaluates the effect of co-existence of a large volume fraction of δ-ferrite on the hot deformation and dynamic recrystallization (DRX) of austenite using comparative hot torsion tests on AISI 304 austenitic and 2205 duplex stainless steels. The comparison was performed under similar deformation conditions (i.e. temperature and strain rate) and also under similar Zener-Hollomon, Z, values. The torsion data were combined with electron backscatter diffraction (EBSD) analysis to study the microstructure development. The results imply a considerable difference between DRX mechanisms, austenite grain sizes and also DRX kinetics of two steels. Whereas austenitic stainless steel shows the start of DRX at very low strains and then development of that microstructure based on the necklace structure, the DRX phenomena in the austenite phase of duplex structure does not proceed to a very high fraction. Also, the DRX kinetics in the austenitic steel are much higher than the austenite phase of the duplex steel. The results suggest that at a similar deformation condition the DRX grain size of austenitic steel is almost three times larger than the DRX grains of austenite phase in duplex steel. Similarly, the ratio of DRX grain size in the austenitic to the duplex structure at the same Z values is about 1.5.

On choice of technique in the Robinson-Solow-Srinivasan model

We report results on the optimal \choice of technique" in a model originally formulated by Robinson, Solow and Srinivasan (henceforth, the RSS model) and further discussed by Okishio and Stiglitz. By viewing this vintage-capital model without discounting as a speci c instance of the general theory of intertemporal resource allocation associated with Brock, Gale and McKenzie, we resolve longstanding conjectures in the form of theorems on the existence and price support of optimal paths, and of conditions suÆcient for the optimality of a policy rst identi ed by Stiglitz. We dispose of the necessity of these conditions in surprisingly simple examples of economies in which (i) an optimal path is periodic, (ii) a path following Stiglitz' policy is bad, and (iii) there is optimal investment in di erent vintages at di erent times. (129 words)

Optimal taxation with gradual learning of types

An important feature of life-cycle models is the presence of uncertainty regarding one’s labor income. Yet this issue, long recognized in different areas, has not received enough attention in the optimal taxation literature. This paper is an attempt to fill this gap. We write a simple 3 period model where agents gradually learn their productivities. In a framework akin to Mirrlees’ (1971) static one, we derive properties of optimal tax schedules and show that: i) if preferences are (weakly) separable, uniform taxation of goods is optimal, ii) if they are (strongly) separable capital income is to rate than others forms of investiment.

Essays on competition and returns of inside money

In an early paper, Cavalcanti and Wallace (2001) showed, using a computable version of Cavalcanti-Wallace model (CW-1999), that optimal regulation induces banks to pay interests, instead of contracting the money supply in an inside money allocation. Here, we generalize CW in two fashions, assuming inside money allocations, so that banks are supposed to issue money as they find a potential producer wishing to produce. The first generalization allows for seasonality due to real shocks on preferences with persistence and for monetary policy improvement. We found an asymmetric path for interest rates when constraints matter, even when shocks are independent. The second generalization allows for bank competition, in the sense that banks can choose between two different banking nets. We proof the existence of simple stable and unstable equilibria and also verify the existence of multiple equilibria.

The long-run properties of a dynamic Mirrlees' model with aggregate shocks

Nós abordamos a existência de distribuições estacionárias de promessas de utilidade em um modelo Mirrlees dinâmico quando o governo tem record keeping imperfeito e a economia é sujeita a choques agregados. Quando esses choques são iid, provamos a existência de um estado estacionário não degenerado e caracterizamos parcialmente as alocações estacionárias. Mostramos que a proporção do consumo agregado é invariante ao estado agregado. Quando os choques agregados apresentam persistência, porém, alocações eficientes apresentam dependência da história de choques e, em geral, uma distribuição invariante não existe.

On endogenous cost of altruism

The paper extends the cost of altruism model, analyzed in Lisboa (1999). There are three types of agents: households, providers of a service and insurance companies. Households have uncertainty about future leveIs of income. Providers, if hired by a household, have to choose a non-observable leveI of effort, perform a diagnoses and privately learn a signal. For each signal there is a procedure that maximizes the likelihood of the household obtaining the good state of nature. Finally, insurance companies offer contracts to both providers and households. The paper provides suflicient conditions for the existence of equilibrium and shows the optimal contract induces providers to care about their income and also about the likelihood households will obtain the good state of nature, which in Lisboa (1999) was stated as altruism assumption. Equilibrium is inefficient in comparison with the standard moral hazard outcome whenever high leveIs of effort is chosen precisely due to the need to incentive providers to choose the least expensive treatment for some signals. We show, however that an equilibrium is always constrained optimal.

Evidence on the incentive optimality of share contracts

Ever since Adam Smith, economists have argued that share contracts do not provide proper incentives. This paper uses tenancy data from India to assess the existence of missing incentives in this classical example of moral hazard. Sharecroppers are found to be less productive than owners, but as productive as fixed-rent tenants. Also, the productivity gap between owners and both types of tenants is driven by sample-selection issues. An endogenous selection rule matches tenancy contracts with less-skilled farmers and lower-quality lands. Due to complementarity, such a matching affects tenants’ input choices. Controlling for that, the contract form has no effect on the expected output. Next, I explicitly model farmer’s optimal decisions to test the existence of non-contractible inputs being misused. No evidence of missing incentives is found.