2,202 research outputs found
Detection of Stock Price Manipulation Using Kernel Based Principal Component Analysis and Multivariate Density Estimation
Stock price manipulation uses illegitimate means to artificially influence market prices of several stocks. It causes massive losses and undermines investors’ confidence and the integrity of the stock market. Several existing research works focused on detecting a specific manipulation scheme using supervised learning but lacks the adaptive capability to capture different manipulative strategies. This begets the assumption of model parameter values specific to the underlying manipulation scheme. In addition, supervised learning requires the use of labelled data which is difficult to acquire due to confidentiality and the proprietary nature of trading data. The proposed research establishes a detection model based on unsupervised learning using Kernel Principal Component Analysis (KPCA) and applied increased variance of selected latent features in higher dimensions. A proposed Multidimensional Kernel Density Estimation (MKDE) clustering is then applied upon the selected components to identify abnormal patterns of manipulation in data. This research has an advantage over the existing methods in overcoming the ambiguity of assuming values of several parameters, reducing the high dimensions obtained from conventional KPCA and thereby reducing computational complexity. The robustness of the detection model has also been evaluated when two or more manipulative activities occur within a short duration of each other and by varying the window length of the dataset fed to the model. The results show a comprehensive assessment of the model on multiple datasets and a significant performance enhancement in terms of the F-measure values with a significant reduction in false alarm rate (FAR) has been achieved
Challenges in Designing Public Procurement Linkages: The Case Study of SMEs Preference in China’s Government Procurement
Preferential treatment in government procurement, also known as procurement linkages, is a con-troversial yet popular tool to achieve socio-economic goals, most importantly, affirmative action for certain targeted groups. This Article utilizes the recently enacted small-medium enterprise (“SME”) procurement linkages in China to examine the pitfalls in the design of procurement linkages. Two major deficiencies of the Chinese regime impede effective implementation of procurement linkages. First, loopholes in the Chinese regulatory regime allow large enterprises to usurp the benefits meant for SMEs through the use of wholly owned subsidiaries and other corporate arrangements. Second, aggrieved suppliers face stringent procedural requirements and limited civil remedies in their attempts to enforce procurement linkages, while the government procuring authority has a perverse incentive to overlook and even acquiesce in the violations. This Article argues that these deficiencies reflect the mistaken assumption that procurement linkages should be treated as simply a conventional type of government procurement. Effective reform would have to go beyond strengthening the enforcement mechanisms for conventional government procurement and entails specific legislative action to tackle the particular requirements of the preferential policies.postprin
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An empirical study on anomalies in China's stock market
This thesis conducts empirical studies on China's stock market using contemporary financial theories in order to explain the anomalies in China's stock market and then put forward some policy implications on the basis of the empirical research findings. The thesis consists of seven chapters. In addition to providing a brief introduction to the relationship between stock market development and economic growth.
Chapter 1 describes several anomalies occurring in the international stock markets and sets up a research framework for the thesis to further study. Chapter 2 is a literature review. It reviews major contemporary theories or hypotheses related to initial public offerings (IPOs) underpricing, long-run underperformance and asset pricing characteristics. Chapter 3 is a general description of China's stock market development, which offers an institutional background such as IPOs system and stock market structure. Chapters 4, 5 and 6 conduct empirical studies using data from China's stock market. In Chapter 4, using cross sectional regression, I examine whether short run underpricing exists in China's stock market and the validity of a series of theories used in explaining this phenomenon. In Chapter 5, based on standard event study methodology, I investigate whether long-run underperformance of IPOs exists in China's stock market, and to what extent. In Chapter 6, according to Fama-MacBeth approach, I build a univariant model to examine whether Capital Asset pricing Model and Fama-French Three-Factor Model hold in China's stock market, and lo analyse empirically the asset pricing characteristics of China's stock market. Chapter 7, the last chapter, is the summary of the thesis. Some suggestions and policy implications are presented
Abstracts : policy research working paper series - numbers 1894-1935
This paper contains abstracts of Policy Research Working Paper series Numbers 1894-1935.Environmental Economics&Policies,Banks&Banking Reform,Governance Indicators,Health Economics&Finance,Economic Theory&Research
THREE ESSAYS ON CORPORATE SOCIAL RESPONSIBILITY
This thesis encompasses three empirical chapters, each focusing on a distinct aspect of corporate social responsibility (CSR) and examining both its drivers and outcomes at organizational and individual levels.
The first empirical chapter investigates the role of gender diversity in top management teams and its relationship with firms’ CSR engagement. Drawing on resource dependence theory, the primary findings indicate that female directors significantly enhance firm's CSR performance by contributing to board diversity. Furthermore, the results reveal that social trust bolsters the effectiveness of female directors.
The second empirical chapter explores the environmental issues and their driving factor, specifically institutional investors. The analysis demonstrates that institutional investors contribute to a reduction in greenhouse gas emissions among Chinese listed firms. The mechanism operates through the investors’ use of their voice in shareholder proposals.
The final empirical chapter delves into external experiences that influence CEOs' attitudes towards their firms' CSR profiles. The findings suggest that CEOs, motivated by a desire to enhance their reputation, tend to engage more in CSR activities following the receipt of an award. Concurrently, the easing of financial constraints facilitates these decisions. Ultimately, the results support the notion that CSR agency problems can lead to decisions made by awarded CEOs that adversely impact firm value
China: New Engine of World Growth
Twenty-five years of reform have transformed China from a centrally planned and closed system to a predominantly market-driven and open economy. As a consequence, China is emerging as the new powerhouse for the world economy. China: new engine for world growth discusses the impact and significance of this transformation. It points out risks to the growth process and unfinished tasks of reform. It presents conclusions from recent research on growth, trade and investment, the financial sector, income and regional disparities, industrial location and private sector development. Ross Garnaut is a Professor of Economics in the Research School of Pacific and Asian Studies, and Chairman of the China Economy and Business Program at The Australian National University. He was Australia’s Ambassador to China in the 1980s.
Ligang Song is a Fellow in the Asia Pacific School of Economics and Government, and Director of the China Economy and Business Program at The Australian National University
Post-WTO China Tax Law System Reform and the Rule of Law: Progress and Prospects
A close examination of China\u27s accession commitments reveals that effective economic reform and trade liberalization call for substantiations from a matching legal infrastructure reform. For example, taxpayers\u27 rights protection should be viewed in terms of broader political and civil rights reform. Indeed, a number of the values featured in the WTO principles and the rule of law framework encourage China\u27s further integration into both the global trade network and the international human rights regime. This is particularly evident in the Chinese tax law context. WTO principles and the rule of law requirements must be introduced and evaluated together in tax law reform proposals. WTO principles of transparency, uniform and impartial administration, judicial review match the instrumentalist\u27s rule of law elements of consistency, generality, predictability, enforceability, stability and congruence, and the substantive rule of law framework\u27s requirements of democracy, limited government, accountable administrative decision-making, and judicial independence.
China\u27s accession to the WTO requires reform not only of China\u27s substantive laws, but also of its institutional arrangements, to which the Chinese government has given inadequate consideration. Without real institutional reforms creating an independent and functional administrative framework or judiciary, any substantive economic reforms are likely to fall in nascent or vague - the tremendous economic success will be held back when ill-designed incentives are spoiled or exploited. The transparency requirement scattered in various provisions of the WTO Accession Agreement is an elevated burden for China. The uniform and impartial administration principle demands the removal of subtle trading barriers such as local protectionist practices. More importantly, independent judicial review of administrative actions challenges the status quo of slow judicial reform in China - requiring that China\u27s courts meet WTO standards of independence, impartiality and non-arbitrary enforcement of judgments.
China\u27s tax law system is administrative in nature but this characterization is complicated by legislative and judicial functions in the tax law. In this sense, the tax law reform benefits from as well as is circumvented by the post-WTO legal reform. The accession to WTO bounds China calling for transparency, consistency, simplicity and certainty in terms of tax legislations at both national and local levels. The hierarchical tax administration structure should not impede enforcement of tax laws. Uniform and impartial administration of tax regulations at various local levels should be improved to a level acceptable to guarantee wellgrounded tax administrative decisions and facilitate tax judicature independence. Given the growing awareness of taxpayers\u27 rights, tax authorities should not dwell at the stereotype monitor position proclaiming obligation to pay tax, rather, a workable system of protections should be established and honored. Moreover, the tax treatment of the nonprofits sector as the third sector of the society should be formulated and enforced.
China\u27s tax reform cannot be expected to fit any pre-designed, transplanted model. The project here is to build a versatile tax system, which takes opportunities to streamline, track, and propel economic development
Post-WTO China Tax Law System Reform and the Rule of Law: Progress and Prospects
A close examination of China\u27s accession commitments reveals that effective economic reform and trade liberalization call for substantiations from a matching legal infrastructure reform. For example, taxpayers\u27 rights protection should be viewed in terms of broader political and civil rights reform. Indeed, a number of the values featured in the WTO principles and the rule of law framework encourage China\u27s further integration into both the global trade network and the international human rights regime. This is particularly evident in the Chinese tax law context. WTO principles and the rule of law requirements must be introduced and evaluated together in tax law reform proposals. WTO principles of transparency, uniform and impartial administration, judicial review match the instrumentalist\u27s rule of law elements of consistency, generality, predictability, enforceability, stability and congruence, and the substantive rule of law framework\u27s requirements of democracy, limited government, accountable administrative decision-making, and judicial independence.
China\u27s accession to the WTO requires reform not only of China\u27s substantive laws, but also of its institutional arrangements, to which the Chinese government has given inadequate consideration. Without real institutional reforms creating an independent and functional administrative framework or judiciary, any substantive economic reforms are likely to fall in nascent or vague - the tremendous economic success will be held back when ill-designed incentives are spoiled or exploited. The transparency requirement scattered in various provisions of the WTO Accession Agreement is an elevated burden for China. The uniform and impartial administration principle demands the removal of subtle trading barriers such as local protectionist practices. More importantly, independent judicial review of administrative actions challenges the status quo of slow judicial reform in China - requiring that China\u27s courts meet WTO standards of independence, impartiality and non-arbitrary enforcement of judgments.
China\u27s tax law system is administrative in nature but this characterization is complicated by legislative and judicial functions in the tax law. In this sense, the tax law reform benefits from as well as is circumvented by the post-WTO legal reform. The accession to WTO bounds China calling for transparency, consistency, simplicity and certainty in terms of tax legislations at both national and local levels. The hierarchical tax administration structure should not impede enforcement of tax laws. Uniform and impartial administration of tax regulations at various local levels should be improved to a level acceptable to guarantee wellgrounded tax administrative decisions and facilitate tax judicature independence. Given the growing awareness of taxpayers\u27 rights, tax authorities should not dwell at the stereotype monitor position proclaiming obligation to pay tax, rather, a workable system of protections should be established and honored. Moreover, the tax treatment of the nonprofits sector as the third sector of the society should be formulated and enforced.
China\u27s tax reform cannot be expected to fit any pre-designed, transplanted model. The project here is to build a versatile tax system, which takes opportunities to streamline, track, and propel economic development
Integration of International Financial Regulatory Standards for the Chinese Economic Area: The Challenge for China, Hong Kong, and Taiwan
This article initially reviews the current development of financial services that converge regulatory systems around the world. Along with focusing on banking and securities, this article assesses financial systems and regulators within China, Hong Kong, and Taiwan respectively. The evaluation of the CEA\u27s financial system is based on recommendations issued by the Basle Committee. In addition, with respect to the principle of national treatment, this article evaluates the operations of foreign financial institutions in the CEA. In the future, participation in the WTO will enable the CEA to experience greater growth and increase its participation in the internationalization of financial sectors. This article argues that the implementation of the Basle Accords as soft law is important for the establishment of a sound financial system in the CEA. This article concludes with an evaluation of the prospects of future financial development in the CEA
Integration of International Financial Regulatory Standards for the Chinese Economic Area: The Challenge for China, Hong Kong, and Taiwan
This article initially reviews the current development of financial services that converge regulatory systems around the world. Along with focusing on banking and securities, this article assesses financial systems and regulators within China, Hong Kong, and Taiwan respectively. The evaluation of the CEA\u27s financial system is based on recommendations issued by the Basle Committee. In addition, with respect to the principle of national treatment, this article evaluates the operations of foreign financial institutions in the CEA. In the future, participation in the WTO will enable the CEA to experience greater growth and increase its participation in the internationalization of financial sectors. This article argues that the implementation of the Basle Accords as soft law is important for the establishment of a sound financial system in the CEA. This article concludes with an evaluation of the prospects of future financial development in the CEA
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