Privatization and governance regulation in frontier emerging markets: The case of Romania

We investigate the link between the regulation of control transactions and the institutional and corporate features of public companies, by analyzing the massive delisting activity in the Romanian capital market. The peculiar ownership reforms involving a large number of listed companies offer a unique opportunity to test Bebchuk and Roe’s (2000) theory of path dependence. Over time, the Romanian authorities have undertaken wide-ranging institutional reforms, most of which favoring blockholders over small and dispersed shareholders. Our empirical approach, based on logit and duration models, allows us to analyze the evolution of public companies over this period and sheds light on the likely events causing the eclipse of frontier emerging markets. Our main findings reveal that delisting is more likely to occur when (i) the shareholdings acquired from the privatization authority by circumventing the capital market are high; (ii) the company experiences frequent takeover bids; and (iii) the stock liquidity is low.ou

The Market Reaction to Changes in Disclosure of Related-Party Transaction Rules

We examine the valuation effects of the 2004 changes in Romanian related -party transactions (RPT) disclosure rules. Because the rule changes apply only to companies listed on the Bucharest Stock Exchange (BSE), companies traded on an alternative market (RASDAQ) serve as a natural control group. We find that immediately following the adoption of the rules, BSE firms experience abnormal returns of 6% to 12% relative to matched RASDAQ firms with similar pre-reform characteristics. We also show that in the three-year period following the reforms, BSE firms experience a 20-25% increase in their Tobin’s q. Overall, the results suggest that the implementation of mandatory RPT disclosure rules can be effective in decreasing tunneling and increasing minority valuations in an emerging market

Enhanced iron magnetic moment in the ThFe11C2 intermetallic compound

International audienceDetailed theoretical investigations on the electronic and magnetic properties of the ThFe11C2 compound have been performed using both the linear muffin-tin orbital and Korringa-Kohn-Rostocker methods of band structure calculation. The structure of the ThFe11C2 compound has three inequivalent iron sites with different local environment. A strongly enhanced magnetic moment is observed on certain Fe positions, coexisting with much lower magnetic moments on other iron positions of the lattice. Band structure calculations indeed show that the Fe magnetic moments depend strongly on the local environment. The average Fe magnetic moment obtained from these calculations is in good agreement with the experimental average Fe moment obtained from magnetization measurements. The orbital contribution to the magnetic moment is found to be especially large on the Fe 4b position. Comparing calculated hyperfine fields with experimental results, it is found that the calculated and experimental hyperfine fields are correlated. However, similarly to the results reported before for elemental Fe, the magnitude of all calculated Fe hyperfine fields is about 25% smaller. The agreement with the Mössbauer measurements is improved by scaling the core polarization contribution and by estimating the orbital valence d-electrons contribution to the magnetic hyperfine fields using the local spin density approximation + dynamical mean field theory calculated orbital moments

Interference in interacting quantum dots with spin

We study spectral and transport properties of interacting quantum dots with spin. Two particular model systems are investigated: Lateral multilevel and two parallel quantum dots. In both cases different paths through the system can give rise to interference. We demonstrate that this strengthens the multilevel Kondo effect for which a simple two-stage mechanism is proposed. In parallel dots we show under which conditions the peak of an interference-induced orbital Kondo effect can be split.Comment: 8 pages, 8 figure

The Positioning of Universities in Collaborative Models as Clusters in a Knowledge Based Economy

The most significant research about knowledge based economy is concentrated on innovation. Research about entrepreneurial thinking at the university level and positioning of universities in collaborative models as clusters are in the early stages. The new approach that we propose in this research is positioning the university as a main promoter and integrator of organizations in clusters and innovations enterprises networks in a global network of knowledge. The results of this research are based on data that was obtained through questionnaires from organizations that are active in the ITC industry in the region of Bucharest-Ilfov. These characteristics are representative for different types of clusters.economic cluster, institutional cluster, objectives for cluster establishing, specialized knowledge

Lin-Kernighan Heuristic Adaptations for the Generalized Traveling Salesman Problem

The Lin-Kernighan heuristic is known to be one of the most successful heuristics for the Traveling Salesman Problem (TSP). It has also proven its efficiency in application to some other problems. In this paper we discuss possible adaptations of TSP heuristics for the Generalized Traveling Salesman Problem (GTSP) and focus on the case of the Lin-Kernighan algorithm. At first, we provide an easy-to-understand description of the original Lin-Kernighan heuristic. Then we propose several adaptations, both trivial and complicated. Finally, we conduct a fair competition between all the variations of the Lin-Kernighan adaptation and some other GTSP heuristics. It appears that our adaptation of the Lin-Kernighan algorithm for the GTSP reproduces the success of the original heuristic. Different variations of our adaptation outperform all other heuristics in a wide range of trade-offs between solution quality and running time, making Lin-Kernighan the state-of-the-art GTSP local search.Comment: 25 page