Journal of Economics and Finance

Publishes theoretical and empirical articles in the general areas of economics and finance. 

Articles from Vol. 36, No. 1, January

Analysing Contagion and Bailout Effects with Copulae: Evidence from the Subprime and Japanese Banking Crises
Abstract In this paper, a new methodical framework that combines elements of event studies and copula methodology is proposed in the context of the analysis of bank contagion. Furthermore, to the best knowledge of the author, this paper is the first...
GDP Trend Deviations and the Yield Spread: The Case of Eight E.U. Countries
Abstract Several studies have established the predictive power of the yield curve in terms of real economic activity. In this paper we use data for a variety of E.U. countries: both EMU (Germany, France, Italy, Portugal and Spain) and non-EMU members...
Migration and Public Policies: A Further Empirical Analysis
Abstract This study of internal migration at the state level empirically investigates the Tiebout hypothesis (as extended by Tullock) of "voting with one's feet." In addition to its adoption of more current data (net migration from July, 2000 through...
Relating Economic Infrastructure Indexes to Investor Protection for Selected Emerging Economies
Abstract This paper employs four indexes that capture economic infrastructure. Economic infrastructure refers to the quality of economic institutions that create an environment that may support productive activities and encourage capital accumulation....
Revisiting the Forward-Spot Relation: An Application of the Nonparametric Long-Run Correlation Coefficient
Abstract This study revisits the statistical relationship between the spot and the forward rate. Unlike previous studies, this association is measured by the estimation of the long-run correlation coefficient, a non-parametric measure of linear association....
Social Identity and Schooling Inequality
Abstract The focus of this paper is to evaluate similarities and differences between and within socio-economic samples of school attendance. Eight variables broadly classified by income, education, family background, and class size, are employed for...
Speculating on Presidential Success: Exploring the Link between the Price-Earnings Ratio and Approval Ratings
Abstract Stock markets and politics are enduring staples of dinner party conversations but surprisingly little is known about the interaction between the two. Here we present evidence for a robust relationship between a key financial measure-the aggregate...
Sportsbook Pricing and the Behavioral Biases of Bettors in the NHL
Abstract The betting market for the NHL is investigated using actual betting percentages on favorites and underdogs from real sportsbooks. Sportsbooks do not appear to attempt to price to balance the book as betting percentages are not proportional to...
The Effect of the Kyoto Protocol on Carbon Dioxide Emissions
Abstract In this paper, we investigate the impact of the Kyoto Protocol on world emissions of a greenhouse gas, carbon dioxide. We use a large unbalanced panel data consisting of 177 countries from 1980 to 2006. The key finding of this paper is that...
The Housing Bubble in Real-Time: The End of Innocence
Abstract Market agents suffering through unanticipated boom-bust cycles would find extremely useful analytical techniques capable of serving as an early warning system. Unobserved components models and cointegration analysis are valuable in this respect....
The Interaction of Corporate Dividend Policy and Capital Structure Decisions under Differential Tax Regimes
Abstract We develop a valuation model that integrates corporate capital structure and dividend payout policies. The resulting "extended" Miller (J Financ 32:261-297, 1977) model explicitly incorporates the different tax rates on corporate income, personal...
The Nexus between Exchange Rates and Stock Markets: Evidence from the Euro-Dollar Rate and Composite European Stock Indices Using Rolling Analysis
Abstract Both the goods market hypothesis and the portfolio balance theory, suggest a nexus between exchange rates and stock prices, albeit with a different direction of causality. This paper, using daily data, takes up the issue of the linkages between...