Do External Auditors Perform a Corporate Governance Role in Emerging Markets? Evidence from East Asia

In emerging markets, the concentration of corporate ownership has created agency conflicts between controlling owners and minority shareholders. Conventional corporate control mechanisms such as boards of directors and takeovers are typically weak in containing the agency problem. This study examines whether external independent auditors could be employed as monitors and as bonding mechanisms to alleviate the agency conflict. Using a broad sample of firms from eight East Asian economies, we document that firms are more likely to employ Big Five auditors when they are more subject to the agency problem imbedded in their ultimate ownership structure. One possible reason that this documented relation between auditor choice and the agency problem is more evident than the inconsistent results using U.S. and U.K. data is that alternative governance mechanisms are limited in East Asia. In addition, among East Asian auditees subject to the agency problem, Big Five auditors charge a higher fee and set a lower audit modification threshold while non-Big Five auditors do not. Taken together, the evidence suggests that Big Five auditors in emerging markets do have a corporate governance role.http://deepblue.lib.umich.edu/bitstream/2027.42/39784/3/wp400.pd

Thirty-Three Stata Tips

Since 2003, the Stata Journal has published Stata Tips on special issues in data analysis with Stata. Now Thirty-three Stata Tips compiles these useful guides into a compact tome for ease of reference. In keeping with the Stata spirit, Tips are from Stata users and StataCorp employees alike and will serve as guideposts for both new and experienced users.data management, statistics, graphics, Stata

Macroeconomic policy and income inequality: an error-correction representation

Fiscal policy ; Income distribution ; Monetary policy

Minutes of the CD-ROM Workshop

The workshop described in this document had two goals: (1) to establish guidelines for the CD-ROM as a tool to distribute datasets; and (2) to evaluate current scientific CD-ROM projects as an archive. Workshop attendees were urged to coordinate with European groups to develop CD-ROM, which is already available at low cost in the U.S., as a distribution medium for astronomical datasets. It was noted that NASA has made the CD Publisher at the National Space Science Data Center (NSSDC) available to the scientific community when the Publisher is not needed for NASA work. NSSDC's goal is to provide the Publisher's user with the hardware and software tools needed to design a user's dataset for distribution. This includes producing a master CD and copies. The prerequisite premastering process is described, as well as guidelines for CD-ROM construction. The production of discs was evaluated. CD-ROM projects, guidelines, and problems of the technology were discussed

Timing Measurements of the Relativistic Binary Pulsar PSR B1913+16

We present results of more than three decades of timing measurements of the first known binary pulsar, PSR B1913+16. Like most other pulsars, its rotational behavior over such long time scales is significantly affected by small-scale irregularities not explicitly accounted for in a deterministic model. Nevertheless, the physically important astrometric, spin, and orbital parameters are well determined and well decoupled from the timing noise. We have determined a significant result for proper motion, $\mu_{\alpha} = -1.43\pm0.13$, $\mu_{\delta}=-0.70\pm0.13$ mas yr$^{-1}$. The pulsar exhibited a small timing glitch in May 2003, with ${\Delta f}/f=3.7\times10^{-11}$, and a smaller timing peculiarity in mid-1992. A relativistic solution for orbital parameters yields improved mass estimates for the pulsar and its companion, m_1=1.4398\pm0.0002 \ M_{\sun} and m_2=1.3886\pm0.0002 \ M_{\sun}. The system's orbital period has been decreasing at a rate $0.997\pm0.002$ times that predicted as a result of gravitational radiation damping in general relativity. As we have shown before, this result provides conclusive evidence for the existence of gravitational radiation as predicted by Einstein's theory.Comment: Published in APJ, 722, 1030 (2010

Prognostic Launch Vehicle Probability of Failure Assessment Methodology for Conceptual Systems Predicated on Human Causal Factors

Lessons learned from past failures of launch vehicle developments and operations were used to create a new method to predict the probability of failure of conceptual systems. Existing methods such as Probabilistic Risk Assessments and Human Risk Assessments were considered but found to be too cumbersome for this type of system-wide application for yet-to-be-flown vehicles. The basis for this methodology were historic databases of past failures, where it was determined that various faulty human-interactions were the predominant root causes of failure rather than deficient component reliabilities evaluated through statistical analysis. This methodology contains an expert scoring part which can be used in either a qualitative or a quantitative mode. The method produces two products: a numerical score of the probability of failure or guidance to program management on critical areas in need of increased focus to improve the probability of success. In order to evaluate the effectiveness of this new method, data from a concluded vehicle program (USAF's Titan IV with the Centaur G-Prime upper stage) was used as a test case. Although the theoretical vs. actual probability of failure was found to be in reasonable agreement (4.46% vs. 6.67% respectively) the underlying sub-root cause scoring had significant disparities attributable to significant organizational changes and acquisitions. Recommendations are made for future applications of this method to ongoing launch vehicle development programs

Numerical Modeling Of Hohlraum Radiation Conditions: Spatial And Spectral Variations Due To Sample Position, Beam Pointing, And Hohlraum Geometry

View-factor simulations are presented of the spatially varying radiation conditions inside double-ended gold Hohlraums and single-ended gold Hohlraums (\u27\u27 halfraums \u27\u27) used in inertial confinement fusion and high-energy density physics experiments [J. Lindl, Phys. Plasmas 11, 339 (2004); M. D. Rosen, Phys. Plasmas 3, 1803 (1996)]. It is shown that in many circumstances, the common assumption that the Hohlraum \u27\u27 drive \u27\u27 can be characterized by a single temperature is too simplistic. Specifically, the radiation conditions seen by an experimental package can differ significantly from the wall reemission measured through diagnostic holes or laser entrance holes (LEHs) by absolutely calibrated detectors. Furthermore, even in situations where the radiation temperature is roughly the same for diagnostics and experimental packages, or for packages at different locations, the spectral energy distributions can vary significantly, due to the differing fractions of reemitting wall, laser hot spots, and LEHs seen from different locations. We find that the spatial variation of temperature and especially the differences between what diagnostics looking in the LEH measure versus the radiation temperature on wall-mounted experimental packages are generally greater for double-ended Hohlraums than for halfraums. View-factor simulations can also be used to explore experimental variables (halfraum length and geometry, sample position, and beam pointing) that can be adjusted in order to, for example, maximize the radiation flux onto a sample, or other package. In this vein, simulations of Hohlraums and halfraums with LEH shields are also presented. (c) 2005 American Institute of Physics