Template-Type: ReDIF-Article 1.0 Author-Name: William B. Galose Author-X-Name-First: William B. Author-X-Name-Last: Galose Author-Name: Musa Essayyad Author-X-Name-First: Musa Author-X-Name-Last: Essayyad Title: Historical determinants of supplemental environmental projects included in the financial settlement of a US EPA case using Tobit estimation Abstract: This finance paper revisits an earlier environmental finance research paper by Galose and Essayyad (2014) focused on drawing lessons from US history regarding what factors determine whether the financial settlement of a typical US Environmental Protection Agency (EPA) case includes a supplemental environmental project (SEP). SEPs provide benefits to the community affected by the alleged violation of environmental laws and the regulated entity. Galose and Essayyad (2014) employs <i>probit</i> models in its estimations of what variables determine whether an EPA settlement includes a SEP, with the dependent variable whether a SEP is included in the financial settlement. Unlike the previous research, this paper employs <i>Tobit</i> models and uses the same sample to estimate the amount spent on SEPs included in the financial settlement of an EPA case. The value added of the <i>Tobit</i> models is that they provide a superior measure of the benefits of SEPs by estimating the monetary amount spent on SEPs while simultaneously controlling for whether the settlement includes a SEP. The empirical results of the <i>Tobit</i> models substantiate those of the <i>probit</i> models. Journal: American J. of Finance and Accounting Pages: 1-17 Issue: 1 Volume: 6 Year: 2019 Keywords: Tobit; US Environmental Protection Agency; supplemental environmental projects; SEPs; environmental finance; environmental enforcement; environmental justice; environmental history; restorative justice; George W. Bush Administration; William Jefferson Clinton Administration; corporate social responsibility. File-URL: http://www.inderscience.com/link.php?id=104160 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:1-17 Template-Type: ReDIF-Article 1.0 Author-Name: Elaoud Assawer Author-X-Name-First: Elaoud Author-X-Name-Last: Assawer Author-Name: Jarboui Anis Author-X-Name-First: Jarboui Author-X-Name-Last: Anis Title: Strategic foresight and auditor's cognitive contribution: the study of cognitive mapping Abstract: This research allows acquiring a better understanding of the strategic prospective of the auditor in the accounting audit mission, in which the emphasis is placed on the auditor mind and forward thinking. The analysis of the cognitive approach and the prospective strategy of the auditor using the cognitive mapping allow identifying the factors that enable the auditors to reduce the cognitive problems in their strategy. This paper provides new insights into the cognitive role of the auditors and their strategic foresight. Practitioners and researchers can use the findings of this study to better understand the success audit factors. Moreover, auditing firms may use the findings of this study to improve their foresight audit strategy. Journal: American J. of Finance and Accounting Pages: 18-37 Issue: 1 Volume: 6 Year: 2019 Keywords: strategic foresight; auditors' mission; cognitive accounting; cognitive errors; cognitive conflict; cognitive mapping. File-URL: http://www.inderscience.com/link.php?id=104189 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:18-37 Template-Type: ReDIF-Article 1.0 Author-Name: Aleem Ansari Author-X-Name-First: Aleem Author-X-Name-Last: Ansari Title: Herding behaviour in Indian equity market: a quantile regression approach Abstract: This study examines the presence of herding behaviour in the Indian equity market using average daily data from BSE-500 Index stocks for January 2000 to December 2018. The study employs model developed by Chang et al. (2000) using cross sectional absolute deviation of return dispersion as a measure of herding behaviour. The empirical results of OLS regression reveal absence of herding behaviour for pre, during and post crisis period in normal market return and the asymmetric market condition. Similarly, no evidence of herding behaviour is found by examining trading volume and volatility. Further, robustness checked by applying non-parametric techniques of quantile regression, the result remains consistent with OLS findings. Overall, herding behaviour does not prevail in the Indian equity market. The outcome of increased return dispersion may be due to the efficient micro information in the Indian equity market. Journal: American J. of Finance and Accounting Pages: 38-55 Issue: 1 Volume: 6 Year: 2019 Keywords: herding behaviour; quantile regression; crisis period. File-URL: http://www.inderscience.com/link.php?id=104190 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:38-55 Template-Type: ReDIF-Article 1.0 Author-Name: Davin Raiha Author-X-Name-First: Davin Author-X-Name-Last: Raiha Title: Time horizons and corporate governance Abstract: This paper examines the impact of operational time-horizons on corporate governance. Managerial 'short-termism' is problematic in industries where long product development and life cycles require managerial decisions that are similarly far-sighted in scope. By protecting managers from the pressures that induce short-termism I show how corporate governance and anti-takeover provisions can mitigate short-termism for firms with long operational time-horizons. I predict that firms operating in long time-horizon industries will employ more anti-takeover provisions than firms in short time-horizon industries. I examine this empirically and find support for this prediction. Journal: American J. of Finance and Accounting Pages: 77-100 Issue: 1 Volume: 6 Year: 2019 Keywords: governance; time-horizon; anti-takeover provisions; ATP; short-termism; managerial myopia; product development cycle; product life cycle. File-URL: http://www.inderscience.com/link.php?id=104191 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:77-100 Template-Type: ReDIF-Article 1.0 Author-Name: Ines Khammassi Author-X-Name-First: Ines Author-X-Name-Last: Khammassi Author-Name: Kamel Naoui Author-X-Name-First: Kamel Author-X-Name-Last: Naoui Title: Credit risk and bank opacity: a comparative study of conventional and Islamic banks Abstract: In this paper, we examine the impact of banking opacity along other bank-specific and macroeconomic factors on credit risk using a regression analysis. We estimate our panel data model using the fixed and random effects method for 72 conventional and Islamic listed banks in the MENA region over the 2005-2015 period. We found that banking opacity has a direct positive effect on the credit risk of conventional banks. On the other hand, banking opacity has no significant impact on the credit risk of Islamic banks. Journal: American J. of Finance and Accounting Pages: 56-76 Issue: 1 Volume: 6 Year: 2019 Keywords: banking opacity; credit risk; conventional banks; Islamic banks; panel data. File-URL: http://www.inderscience.com/link.php?id=104192 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:56-76 Template-Type: ReDIF-Article 1.0 Author-Name: Claude Bergeron Author-X-Name-First: Claude Author-X-Name-Last: Bergeron Author-Name: Jean-Pierre Gueyie Author-X-Name-First: Jean-Pierre Author-X-Name-Last: Gueyie Author-Name: Komlan Sedzro Author-X-Name-First: Komlan Author-X-Name-Last: Sedzro Title: Consumption, earnings risk, and payout ratios Abstract: This paper investigates the theoretical relationship between earnings, risks and dividends, in an intertemporal context. After assuming that firms adjust their dividend payments toward a target dividend payout ratio, we utilise the framework of the consumption capital asset pricing model (CCAPM) to examine the effect of systematic earnings risk on dividend policy. Our main result indicates that the dividend payout ratio of a firm is negatively related to its earnings consumption beta, obtained from the covariance between aggregate consumption and earnings. This result suggests that risk measured with earnings influences dividend policy. This result also suggests that the earnings consumption beta integrates the multiple dimensions of a firm's earnings risk. Journal: American J. of Finance and Accounting Pages: 101-118 Issue: 1 Volume: 6 Year: 2019 Keywords: dividend policy; earnings beta; intertemporal model; consumption risk; CCAPM. File-URL: http://www.inderscience.com/link.php?id=104194 File-Format: text/html File-Restriction: Access to full text is restricted to subscribers. Handle: RePEc:ids:amerfa:v:6:y:2019:i:1:p:101-118