Cost performance of Irish credit unions

There are 424 credit unions in Ireland with assets under their control of €14.3bn and a membership of 2.5m which equates to about 66% of the economically active population, the highest penetration level of any country. That said, the Irish movement sits at a critical development stage, well behind mature markets such as Canada and the US in terms of product provision, technological sophistication, fragmentation of trade bodies and regulatory environment. This study analyses relative cost efficiency or performance of Irish credit unions using the popular frontier approach which measures an entity’s efficiency relative to a frontier of best practice. Parametric techniques are utilised, with variation in inefficiency being attributed to credit union-specific factors. The stochastic cost frontier parameters and the credit-union specific parameters are simultaneously estimated to produce valid statistical inferences. The study finds that the majority of Irish credit unions are not operating at optimal levels. It further highlights the factors which drive efficiency variation across credit unions and they include technological sophistication, ‘sponsor donated’ resources, interest rate differentials and the levels of bad debt written off

Pressure drop of gas–liquid Taylor flow in round micro-capillaries for low to intermediate Reynolds numbers

In this paper, a model is presented that describes the pressure drop of gas-liquid Taylor flow in round capillaries with a channel diameter typically less than 1 mm. The analysis of Bretherton (J Fluid Mech 10:166-188, 1961) for the pressure drop over a single gas bubble for vanishing liquid film thickness is extended to include a non-negligible liquid film thickness using the analysis of Aussillous and Qu,r, (Phys Fluids 12(10):2367-2371, 2000). This result is combined with the Hagen-Poiseuille equation for liquid flow using a mass balance-based Taylor flow model previously developed by the authors (Warnier et al. in Chem Eng J 135S:S153-S158, 2007). The model presented in this paper includes the effect of the liquid slug length on the pressure drop similar to the model of Kreutzer et al. (AIChE J 51(9):2428-2440, 2005). Additionally, the gas bubble velocity is taken into account, thereby increasing the accuracy of the pressure drop predictions compared to those of the model of Kreutzer et al. Experimental data were obtained for nitrogen-water Taylor flow in a round glass channel with an inner diameter of 250 mu m. The capillary number Ca (gl) varied between 2.3 x 10(-3) and 8.8 x 10(-3) and the Reynolds number Re (gl) varied between 41 and 159. The presented model describes the experimental results with an accuracy of +/- 4% of the measured values.

The journey of a ‘green’ micro-enterprise – The Green Planet

This teaching case explores the longitudinal evolution of a small environmental micro-enterprise, The Green Planet retail store. Exploring two decades of business history it analyses the development of this business as sustainability issues and greener consumer goods mainstreamed in society. The case presents one of the first explorations of the individual trade-offs that owners make between economic, environmental and social criteria, alongside an exploration of the role that the personal values of the owner played in the evolution of this business. Also presented is a sample of other environmental enterprises profiled alongside The Green Planet in the early 1990s. This additional dataset provides a rich resource for readers, and a number of indicative discussion themes are identified. Readers interested in topics such as marketing, business strategy, innovation, entrepreneurship, corporate social responsibility and environmental management will find this case a valuable addition to their teaching resources.

Credit Unions in Great Britain: Recent Trends and Current Prospects

Against the current backdrop of deteriorating economic and financial conditions we consider recent trends and current prospects for credit unions in Great Britain. We note that although credit unions have experienced solid membership and asset growth there are clouds on the horizon. Bad debts and loan arrears are on the rise and may be linked to recent legislative amendments and the increasing use by Government of credit unions as a mechanism to achieve its financial inclusion goals. Whatever the reason, the deterioration in the loan book needs to be quickly addressed, or it will ultimately result in either more government bailouts or a stream of failing credit unions.

Credit Unions: A Theoretical and Empirical Overview

In 2009 there were over 49,330 credit unions across 98 countries with more than 184 million members and approximately $1,354 billion in assets. There is a great diversity within the credit union movement across these countries. This reflects the various economic, historic and cultural contexts within which credit unions operate. This paper traces the evolution of the credit union movement. It examines credit union objectives, and considers issues relating to efficiency, technology adoption, product diversification, merger, failure and demutualization. The regulatory environment within which credit unions operate is also explored under the themes of interest rate regulation, common bond requirements, taxation, deposit insurance and capital regulation. The overview also considers demutualization and the costs and benefits to credit unions of altering their organizational form.

Unfunded pension liabilities and sponsoring firm credit risk: an international analysis of corporate bond spreads

This paper tests empirically whether pension information derived by corporate pension accounting disclosures is priced in corporate bond spreads. The model represents a hybrid of more traditional accounting ratio-based models of credit risk and structural models of bond spreads initiated by Merton (1974). The model is fitted to 5 years of data from 2002 to 2006 featuring companies from the US and Europe. The paper finds that while unfunded pension liabilities are priced in the overall sample, they are not priced as aggressively as traditional leverage. Furthermore, an extended model shows that the pension–credit risk relation is most evident in the US and Germany, where unfunded pension liabilities are priced more aggressively than traditional forms of leverage. No pension–credit risk relation is found in the other countries sampled, notably the UK, Netherlands and France.

Internet banking and Irish credit unions

The purpose of this paper is to examine IT adoption by Irish credit unions. Using probabilistic models, we explore one aspect of IT, that of internet banking technology, and assess the degree to which characteristics specific to the credit union and to its potential membership base influence adoption. Our
analysis suggests that asset size, organisational structure being a member of the Irish League of Credit Unions and the loan to asset ratio are all important credit union specific drivers of internet banking adoption. We also find that characteristics of the area from where the credit union captures its members are important. Factors such as the percentage of the population that is employed, the proportion of the population in the age bracket 35 to 44, the proportion of the population that have access to broadband and the level of familiarity with a local ATM facility are all identified as influencing the probability of adopting internet banking.

School as ‘Micro-city’ for the Autism Spectrum Disorder (ASD) Pupil

As architects and designers we have a responsibility to provide an inclusive built environment. For the person with Autistic Spectrum Disorder (ASD) however, the built environment can be a frightening and confusing place, difficult to negotiate and tolerate. The challenge of integrating more fully into society is denied by both having difficulty in communication and in an alienating built environment. The following paper therefore firstly outlines the challenge when designing for those with ASD. It then illustrates, by critically examining the school as a 'micro-city' (Hertzberger 2008) that a voice can be given to those with ASD. It then goes onto highlight, through two case studies in an Irish context, some of the lessons that can be learnt from pupils with ASD that are applicable to the city beyond. Finally in conclusion it suggests some of the benefits for an enriched built environment for all, when listening to the pupil with ASD. The objective is twofold; firstly to gain a better understanding of the needs of those with ASD and secondly, to ascertain what can be learnt from those with ASD that can challenge our perception of not just school, but also of the city.

Hydrodynamic cavitation in micro channels with channel sizes of 100 and 750 micrometers

Decreasing the constriction size and residence time in hydrodynamic cavitation is predicted to give increased hot spot temperatures at bubble collapse and increased radical formation rate. Cavitation in a 100 x 100 mu m(2) rectangular micro channel and in a circular 750 mu m diameter milli channel has been investigated with computational fluid dynamics software and with imaging and radical production experiments. No radical production has been measured in the micro channel. This is probably because there is no spherically symmetrical collapse of the gas pockets in the channel which yield high hot spot temperatures. The potassium iodide oxidation yield in the presence of chlorohydrocarbons in the milli channel of up to 60 nM min(-1) is comparable to values reported on hydrodynamic cavitation in literature, but lower than values for ultrasonic cavitation. These small constrictions can create high apparent cavitation collapse frequencies.