Corporate governance structure and firm performance : empirical evidence from Brusa Malaysia, Kuala Lumper

The issue of corporate governance has been emerging as important phenomena that has been searched extensively both in developed countries due to its strategic impact on the monitoring of management activities and firms’ performance. Yet little attempt has been made in developing countries like Malaysia to ascertain what constitute corporate governance and its impact on firm's performance. Therefore, this study aims at examining the structure of the corporate governance and its impact on firm’s performance. This study is based on 100 firms, which are the component of the Composite Index (CI) serve as market barometer. This study employs cross-sectional annual multiple regression model to examine, what constitutes the corporate governance structure and its impact on performance of the firm. The analysis was based on annual regression over 5 years period from 1997 through 2001. Three different blend of surrogate for corporate governance were developed for good corporate governance structure. These are the independent non-executive (outside) directors, audit committee and remuneration committee. To isolate the size effect from the impact of corporate governance structure on firm’s performance, firm’s size was also included are variable in the model. The ratio of net income before tax to total asset is used as a surrogate for firm’s performance. Evidence from the study indicates that there is partial relation between corporate governance structure and corporate performance. The presence of both audit and remuneration committee serves as an important monitoring device to control management activities that lead to increase firm's performance. While on average, the presence of independent nonexecutive directors does not provide any significant explanation for the firm's performance. However, the firm size appears to have significant impact on corporate performance.

The relationship between the real exchange rate and balance of payments: empirical evidence for China from cointegration and causality testing

This article examines the relationship between the renminbi real exchange rate and China's foreign exchange reserves using cointegration and Granger causality testing. The main findings are that in the long run foreign exchange reserves Granger cause the real exchange rate. Meanwhile, in the short run there is unidirectional Granger causality running from foreign exchange reserves to the real exchange rate.

Temporal causality between human capital and real income in cointegrated VAR processes : empirical evidence from China, 1960-1999

This article examines the causal relationship between human capital and real income using data for China from 1960 to 1999. In the long run there is unidirectional Granger causality running from human capital to real income, while in the short run there is unidirectional Granger causality running from real income to human capital

The dynamic relationship between real exchange rates, real interest rates and foreign exchange reserves : empirical evidence from China

This article examines the long-run and short-run relationship between China's real exchange rate, foreign exchange reserves and the real interest rate differential between China and the United States using monthly data from 1980 to 2002. Extensive testing for unit roots allowing for up to two structural breaks in the trend indicates that the variables are not integrated of the same order. Thus, the bounds testing approach to cointegration is used, which finds that there is a single long-run relationship between the three variables. In the long run the real exchange rate has a statistically significant positive effect on foreign exchange reserves. The coefficient on the real interest rate differential is also positive, but is statistically insignificant. In the short-run it is found that the relationship between the real exchange rate, real interest rate differential and foreign exchange reserves is non-monotonic.

The importance of training and education for New Zealand entrepreneurs : some empirical evidence

Entrepreneurship date back thousands of years. Effective workforces require training and education. Entrepreneurs need a thorough training needs analysis before adapting training programmes. Training describes learning activities to improve entrepreneurs' knowledge, skills and abilities to perform and manage effectively. Education improves competency of entrepreneurs. Models are referred to in the literature review. Training and education needs were identified for entrepreneurs to maintain competitive advantage and profit margins. A study done in 2008 in Auckland, New Zealand found that training and education is necessary for entrepreneurs and employees; how they could gain greater efficiencies and increased profit through training of current employees.

Are business cycles stationary fluctuations around a deterministic trend? empirical evidence from 79 developing countries

There is a large literature that tests the univariate time series properties of the real output series following the seminal work of Nelson and Plosser (1982). Whether or not real output is characterized by a unit root process has important implications. A unit root in real output, for instance, is inconsistent with the notion that business cycles are stationary fluctuations around a deterministic trend. In this paper, we investigate the univariate time series properties of real output for 79 developing countries using the conventional augmented Dickey and Fuller (1979) unit root test, the Zivot and Andrews’ (1992) one structural break unit root test, and the Lumsdaine and Papell (1997) two structural breaks unit root test. Our main finding is that, for 40 countries, real output is stationary around a trend. This indicates that business cycles are stationary fluctuations around a deterministic trend for only 51% of the developing countries in our sample.

Challenge to ICT manpower planning under the economic restructuring : empirical evidence from MNCs in Singapore and Taiwan

The study evaluates the issues related to the manpower planning for developing the information, communication and technology (ICT) industry under the economic restructuring in Singapore and Taiwan. Using data collected from 211 multinational companies (MNCs) operating in these two countries, we measured recruitment difficulty and attrition rate experienced by MNCs, and evaluate the extent of ICT skill shortages among the companies surveyed. We found some impact of the nation-pushed ICT manpower planning and development on easing the recruitment difficulty overall at firm level. However, a high attrition rate especially of the low-medium ICT professionals identified in this study may be related to an imbalanced approach taken by the governments to focus on developing high level of science and technology and ICT skills. Implications to the two countries examined and other latecomer countries such as China, India and Vietnam are discussed.

Research framework and empirical evidence of sustainable supply chain

The aim of this research is to conduct a review on the approaches used to assess different criteria on sustainability used by supply chains and to suggest a framework for a methodical approach that would be easy and practical in making complex sustainable assessments. A review was conducted on the present models that are used to examine sustainability within supply chains. A sample of 332 companies mainly from the manufacturing area was examined to determine what criteria they require for assessing sustainable issues amongst their supply chains. A quantitative study using factor analysis and multiple regression were used to analyse the data to determine the statistical significance of the attempted prediction. It was identified that corporate commitment to sustainability, corporate reporting and management systems are significant predictors for green procurement in supply chain management. This framework can be beneficial in implementing environmental sustainable assessments for supply chains. Much of the empirical research on supply chains has focused on business performance, while there is very little empirical work undertaken in the literature on sustainable supply chains, Sustainability within supply chains implies that businesses need to consider the economic, environmental and social impacts of their activities.

A study of older Australians’ volunteering and quality of life : empirical evidence and policy implications

Older Australians are confronted by dramatic changes in their physical, social, financial, and psychological well-being. There are social costs to these changes related to their productivity and increased costs associated with caring for older Australians. Greater community engagement through voluntary work practice may minimize these costs, as well as positively influence volunteers' subjective quality of life (QOL). This study investigates the motivations for older Australians to engage in formal voluntary work. It seeks to identify whether the motivational factors to volunteer are associated with individuals' subjective QOL. The results indicate a positive relationship between older people's motivations to volunteer and their subjective QOL. This association is strengthened by respondents' community orientation, positive perception of voluntary work, positive personal attitudes toward volunteering, and their self-esteem. The role of policy makers in motivating larger participation by the older groups is discussed.

Some empirical evidence on offender time discount rates

The conventional wisdom is that offenders have very high discount rates not only with respect to income and fines but also with respect to time incarcerated. These rates are difficult to measure objectively and the usual approach is to ask subjects hypothetical questions and infer time preference from their answers. In this article, we propose estimating rates at which offenders discount time incarcerated by specifying their equilibrium plea, defined as the discount rate, which equates the time and expected time spent in jail following a guilty plea and a trial. Offenders are assumed to exhibit positive time preference and discount time spent in jail at a constant rate. Our choice of sample is interesting because the offenders are not on bail, punishment is not delayed and the offences are planned therefore conforming to Becker’s model of the decision to commit a crime. Contrary to the discussion in the literature, we do not find evidence of consistently high time discount rates, and therefore cannot unequivocally infer that the prison experience always results in low levels of specific deterrence.