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

Elliptic Flow from a Transversally Thermalized Fireball

The agreement of elliptic flow data at RHIC at central rapidity with the hydrodynamic model has led to the conclusion of very rapid thermalization. This conclusion is based on the intuitive argument that hydrodynamics, which assumes instantaneous local thermalization, produces the largest possible elliptic flow values and that the data seem to saturate this limit. We here investigate the question whether incompletely thermalized viscous systems may actually produce more elliptic flow than ideal hydrodynamics. Motivated by the extremely fast primordial longitudinal expansion of the reaction zone, we investigate a toy model which exhibits thermalization only in the transverse directions but undergoes collisionless free-streaming expansion in the longitudinal direction. For collisions at RHIC energies, elliptic flow results from the model are compared with those from hydrodynamics. With the final particle yield and \kt-distribution fixed, the transversally thermalized model is shown not to be able to produce the measured amount of elliptic flow. This investigation provides further support for very rapid local kinetic equilibration at RHIC. It also yields interesting novel results for the elliptic flow of massless particles such as direct photons.Comment: revtex4, 15 pages + 10 embedded EPS figure

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.corporate governance, auditor, ownership concentration, East Asia

A unified model of the electrical power network

Traditionally, the different infrastructure layers, technologies and management activities associated with the design, control and protection operation of the Electrical Power Systems have been supported by numerous independent models of the real world network. As a result of increasing competition in this sector, however, the integration of technologies in the network and the coordination of complex management processes have become of vital importance for all electrical power companies. The aim of the research outlined in this paper is to develop a single network model which will unify the generation, transmission and distribution infrastructure layers and the various alternative implementation technologies. This 'unified model' approach can support ,for example, network fault, reliability and performance analysis. This paper introduces the basic network structures, describes an object-oriented modelling approach and outlines possible applications of the unified model

Update of an early warning fault detection method using artificial intelligence techniques

This presentation describes a research investigation to access the feasibility of using an Artificial Intelligence (AI) method to predict and detect faults at an early stage in power systems. An AI based detector has been developed to monitor and predict faults at an early stage on particular sections of power systems. The detector for this early warning fault detection device only requires external measurements taken from the input and output nodes of the power system. The AI detection system is capable of rapidly predicting a malfunction within the system. Artificial Neural Networks (ANNs) are being used as the core of the fault detector. In an earlier paper [11], a computer simulated medium length transmission line has been tested by the detector and the results clearly demonstrate the capability of the detector. Today’s presentation considers a case study illustrating the suitability of this AI Technique when applied to a distribution transformer. Furthermore, an evolutionary optimisation strategy to train ANNs is also briefly discussed in this presentation, together with a ‘crystal ball’ view of future developments in the operation and monitoring of transmission systems in the next millennium

Power system fault prediction using artificial neural networks

The medium term goal of the research reported in this paper was the development of a major in-house suite of strategic computer aided network simulation and decision support tools to improve the management of power systems. This paper describes a preliminary research investigation to access the feasibility of using an Artificial Intelligence (AI) method to predict and detect faults at an early stage in power systems. To achieve this goal, an AI based detector has been developed to monitor and predict faults at an early stage on particular sections of power systems. The detector only requires external measurements taken from the input and output nodes of the power system. The AI detection system is capable of rapidly predicting a malfunction within the system . Simulation will normally take place using equivalent circuit representation. Artificial Neural Networks (ANNs) are used to construct a hierarchical feed-forward structure which is the most important component in the fault detector. Simulation of a transmission line (2-port circuit ) has already been carried out and preliminary results using this system are promising. This approach provided satisfactory results with accuracy of 95% or higher

Early warning fault detection using artificial intelligent methods

This paper describes a research investigation to access the feasibility of using an Artificial Intelligence (AI) method to predict and detect faults at an early stage in power systems. An AI based detector has been developed to monitor and predict faults at an early stage on particular sections of power systems. The detector for this early warning fault detection device only requires external measurements taken from the input and output nodes of the power system. The AI detection system is capable of rapidly predicting a malfunction within the system. Artificial Neural Networks (ANNs) are being used as the core of the fault detector. A simulated medium length transmission line has been tested by the detector and the results demonstrate the capability of the detector. Furthermore, comments on an evolutionary technique as the optimisation strategy for ANNs are included in this paper

Does the bracket-ligature combination affect the amount of orthodontic space closure over three months? A randomized controlled trial

OBJECTIVE: To investigate the effect of bracket-ligature combination on the amount of orthodontic space closure over three months. DESIGN: Randomized clinical trial with three parallel groups. SETTING: A hospital orthodontic department (Chesterfield Royal Hospital, UK). PARTICIPANTS: Forty-five patients requiring upper first premolar extractions. METHODS: Informed consent was obtained and participants were randomly allocated into one of three groups: (1) conventional pre-adjusted edgewise brackets and elastomeric ligatures; (2) conventional pre-adjusted edgewise brackets and Super Slick((R)) low friction elastomeric ligatures; (3) Damon 3MX((R)) passive self-ligating brackets. Space closure was undertaken on 0.019x0.025-inch stainless steel archwires with nickel-titanium coil springs. Participants were recalled at four weekly intervals. Upper alginate impressions were taken at each visit (maximum three). The primary outcome measure was the mean amount of space closure in a 3-month period. RESULTS: A one-way ANOVA was undertaken [dependent variable: mean space closure (mm); independent variable: group allocation]. The amount of space closure was very similar between the three groups (1 mm per 28 days); however, there was a wide variation in the rate of space closure between individuals. The differences in the amount of space closure over three months between the three groups was very small and non-significant (P = 0.718). CONCLUSION: The hypothesis that reducing friction by modifying the bracket/ligature interface increases the rate of space closure was not supported. The major determinant of orthodontic tooth movement is probably the individual patient response