Special Issue "Accounting, International Finance, and Economic Development with Applications"

A special issue of Journal of Risk and Financial Management (ISSN 1911-8074). This special issue belongs to the section "Economics and Finance".

Deadline for manuscript submissions: 15 November 2022 | Viewed by 10087

Special Issue Editors

Prof. Dr. Wing-Keung Wong
E-Mail Website
Guest Editor
Department of Finance, Fintech & Blockchain Research Center, and Big Data Research Center Asia University, Taichung 41354, Taiwan
Interests: Financial Economics; Econometrics; Mathematical Finance; Mathematical Economics; Equity Analysis; Investment Theory; Risk Management; Behavioral Finance; Behavioral Economics; International Business; International Finance
Special Issues, Collections and Topics in MDPI journals
Dr. Husam Rjoub
E-Mail Website
Guest Editor
1. Department of Accounting and Finance, Faculty of Economics and Administrative Sciences, Cyprus International University, Mersin 10, Haspolat 99040, Turkey
2. Business Administration Department, Faculty of Management Sciences, ILMA University, Karachi, Pakistan
Interests: international finance; asset pricing and financial accounting
Special Issues, Collections and Topics in MDPI journals
Prof. Dr. Kittisak Jermsittiparsert
E-Mail
Guest Editor
MBA School, Henan University of Economics and Law, Henan 450046, China
Interests: comparative politics; public policy; business administration; economic growth; energy management; sustainable development

Special Issue Information

Dear Colleagues,

Financial inclusion is a development goal that must be achieved by 2030, especially in emerging economies, as an extension of the Sustainable Development Goals (SDG). With the emergence and widely spread acceptance of electronic (digital) devices, funding such an objective and its subsequent achievement will have enormous benefits, which will foster growth and development. One of the important concerns around growth and development in less developed and emerging economies is the weakness in transferring funds from surplus units to economic deficits. A wide range of high-quality financial products and services is a major development catalyst. The diversity of financial services and products will characterize an inclusive financial industry, thus increasing competition between financial suppliers in a liberalized economy.

Appropriate strategizing in the planning phases allows us to account for activities such as financial-inclusion-related practices, reporting methods, forensic accounting, green accounting, corporate governance, banking strategies, corporate creativity, etc. Furthermore, most companies are already starting to evaluate sustainability risk management (SRM). This latest risk assessment aims to increase the interest of shareholders, but it also includes environmental and social survival aspects. The definition of sustainable development is broader and encompasses not just environmental risk concerns but also social responsibility problems as well as other important evolving challenges such as national security, globalization, and reputational risk.

This Special Issue on “Accounting, International Finance, and Economic Development with Applications”, edited by Wing Keung Wong, Husam Rjoub, and Kittisak Jermsittiparsert, will be devoted to advancements in the modeling of accounting, international finance, and economic development with applications. This Special Issue will also bring together practical, state-of-the-art applications of mathematics, probability, and statistical techniques in accounting, international finance, and economic development with applications.

We invite investigators to contribute original research articles that advance the use of mathematics, probability, statistics, and econometrics models in the areas of accounting, international finance, and economic development with Applications. All submissions must contain original unpublished work not being considered for publication elsewhere.

Prof. Dr. Wing-Keung Wong
Dr. Husam Rjoub
Prof. Dr. Kittisak Jermsittiparsert
Guest Editors

Manuscript Submission Information

Manuscripts should be submitted online at www.mdpi.com by registering and logging in to this website. Once you are registered, click here to go to the submission form. Manuscripts can be submitted until the deadline. All submissions that pass pre-check are peer-reviewed. Accepted papers will be published continuously in the journal (as soon as accepted) and will be listed together on the special issue website. Research articles, review articles as well as short communications are invited. For planned papers, a title and short abstract (about 100 words) can be sent to the Editorial Office for announcement on this website.

Submitted manuscripts should not have been published previously, nor be under consideration for publication elsewhere (except conference proceedings papers). All manuscripts are thoroughly refereed through a single-blind peer-review process. A guide for authors and other relevant information for submission of manuscripts is available on the Instructions for Authors page. Journal of Risk and Financial Management is an international peer-reviewed open access monthly journal published by MDPI.

Please visit the Instructions for Authors page before submitting a manuscript. The Article Processing Charge (APC) for publication in this open access journal is 1200 CHF (Swiss Francs). Submitted papers should be well formatted and use good English. Authors may use MDPI's English editing service prior to publication or during author revisions.

Keywords

• Accounting
• Finance
• Development
• Economics
• Liberalization
• Digital
• Sustainable risk management
• Risk
• Foreign direct investment

Published Papers (9 papers)

Order results
Result details
Select all
Export citation of selected articles as:

Research

Article
Foreign Direct Investment and Trade—Between Complementarity and Substitution. Evidence from European Union Countries
J. Risk Financial Manag. 2021, 14(11), 559; https://doi.org/10.3390/jrfm14110559 - 19 Nov 2021
Cited by 1 | Viewed by 692
Abstract
This aim of this work is to study the relationship between foreign direct investment (FDI) and trade. FDI is a driving force for economic growth for host countries. The positive effects of FDI are seen in many aspects of the economy. However, the [...] Read more.
This aim of this work is to study the relationship between foreign direct investment (FDI) and trade. FDI is a driving force for economic growth for host countries. The positive effects of FDI are seen in many aspects of the economy. However, the implications of FDI on foreign trade are questionable. Therefore, this study uses a Granger causality technique to test whether the relationship between FDI and foreign trade is complementary or substitutive. The findings of this study indicate that this relationship appears to be complementary, and FDI investment does cause an increase in trade flow in the countries that are taken into consideration. This research aims to make a comparison between the relations of FDI flows of three groups of countries from the European Union (EU)—Romania and Bulgaria, the Visegrád Group and the Euro area—for the period of 2005 to 2019. However, the results indicate that this link between the variables is not yet found for the three group of countries, and further research is required in this aspect. This leads to the conclusion that the FDI impact on foreign trade of the host country depends on the type of investment and absorptive capacity of the receiver, the economic development of host and home countries, and not every type of FDI leads to more trade. Full article
Article
The Nexus among Competitively Valued Exchange Rates, Price Level, and Growth Performance in the Turkish Economy; New Insight from the Global Value Chains
J. Risk Financial Manag. 2021, 14(11), 528; https://doi.org/10.3390/jrfm14110528 - 06 Nov 2021
Cited by 1 | Viewed by 547
Abstract
Currently, global value chains (GVCs) are increasingly shaping the global economy, covering a growing share of international trade, GDP, and employment globally. Global trade is impacted by the emergence of GVCs in areas as diverse as commodities, electronics, and business service outsourcing, among [...] Read more.
Currently, global value chains (GVCs) are increasingly shaping the global economy, covering a growing share of international trade, GDP, and employment globally. Global trade is impacted by the emergence of GVCs in areas as diverse as commodities, electronics, and business service outsourcing, among other areas, since the countries involved in the GVCs hold some value(s) and benefit(s) from the exports of the finished product. In this study, the nexus among Competitively Valued Exchange Rates, Price level, and Growth Performance in the Turkish Economy; New insight from the GVCs is investigated using annual data from 1980 to 2020 within the framework of the ARDL bound test, Bayer and Hanck Cointegration (BHC) test, and ECM. The study results revealed that the relationship among real effective exchange rate, exports, and imports induced economic performance and external trade competitiveness particularly when directed at GVCs in both the short and long run. The study recommends that policies enhancing a 10% equilibrium convergence are required annually to competitively minimize the dependence on foreign value-added inputs by importing only world-class inputs for value addition and exports benefits in the competitive GVCs world. Furthermore, monetary policy, GVCs, and economic growth should be investigated. Full article
Show Figures

Figure 1

Article
Accounting Policies, Institutional Factors, and Firm Performance: Qualitative Insights in a Developing Country
J. Risk Financial Manag. 2021, 14(10), 473; https://doi.org/10.3390/jrfm14100473 - 07 Oct 2021
Viewed by 677
Abstract
This study aims to uncover the determinants for the formulation of accounting practices and their impact on firm performance in Pakistan through the lens of institutional theory. Based on a pragmatic approach, this study has collected data from 455 participants and 21 semi-structured [...] Read more.
This study aims to uncover the determinants for the formulation of accounting practices and their impact on firm performance in Pakistan through the lens of institutional theory. Based on a pragmatic approach, this study has collected data from 455 participants and 21 semi-structured interviews have been conducted. Firstly, it is noted that accounting practices can be traced back to the Mughal regime, and subsequently underwent a major development in the British colonial system. Secondly, our results indicate that institutional factors, namely, accounting regulatory framework, political factors, economic factors, cultural factors, and country-specific factors have also played a major role in the development of accounting practices after the creation of Pakistan as a separate state. Finally, this study suggests that the development of accounting practices have a novel contribution towards the performance of firms. This research thus provides a pathway for policymakers in this county to closing the gaps between accounting practices and the policies of the International Accounting Standard Board (IASB). Furthermore, firms can enhance their performance by implementing international accounting standards. This paper helps Pakistan’s regulatory institutions such as the SECP (Securities and Exchange Commission of Pakistan) and SBP (State Bank of Pakistan) in the process of developing new policies. Such decisions are related, but not limited to: attracting foreign investments, economic expansion, and international trade. Furthermore, it provides a pathway for firms to improve their performance. Ultimately, this research fills the gap as concerns international accounting standards by assessing, both empirically and theoretically, the role of various determinants for the formulation of accounting practices and their impact on the performance of firms. Full article
Article
Financial Leverage and Debt Maturity Targeting: International Evidence
J. Risk Financial Manag. 2021, 14(9), 437; https://doi.org/10.3390/jrfm14090437 - 09 Sep 2021
Viewed by 820
Abstract
We provide evidence on leverage and debt maturity targeting in a large international setting. There are key differences in the relative importance of institutional factors in explaining actual as opposed to target capital structures. Targets and target deviations are plausibly influenced by the [...] Read more.
We provide evidence on leverage and debt maturity targeting in a large international setting. There are key differences in the relative importance of institutional factors in explaining actual as opposed to target capital structures. Targets and target deviations are plausibly influenced by the institutional environment. Firms from countries with strong legal institutions target lower leverage and higher long-term debt, whereas better-functioning financial systems result in lower target leverage and long-term debt. Financial crisis has shifted the desired structure of the securities toward shorter maturities and has led to more prevalent target deviations. Better institutions significantly decrease the likelihood of target deviations. Full article
Show Figures

Figure 1

Article
The Turkish Cypriot Municipalities’ Productivity and Performance: An Application of Data Envelopment Analysis and the Tobit Model
J. Risk Financial Manag. 2021, 14(9), 407; https://doi.org/10.3390/jrfm14090407 - 28 Aug 2021
Cited by 1 | Viewed by 568
Abstract
Nowadays, countries are more concerned with the improvement of effectiveness and efficiency in public sector activities in the perspective of frugal innovation. The problem centers around how to obtain more and better public service with the limitations of the public incomes and indebtedness [...] Read more.
Nowadays, countries are more concerned with the improvement of effectiveness and efficiency in public sector activities in the perspective of frugal innovation. The problem centers around how to obtain more and better public service with the limitations of the public incomes and indebtedness in preserving environmental conditions. This paper empirically investigates the efficiency, technical efficiency, productivity, and the determinants factor of implementing sustainable development policy of the five major municipalities in North Cyprus by conducting DEA and Tobit analyses during the period from 2004 to 2018 quarterly. The empirical results show that the size of the economically active population of a city, lower expenditures, and grants result in a higher efficiency, whereas the independent revenue sources (grants) and the per capita expenditures of North Cypriot municipalities have a negative effect on the efficiency. The employment rate in the municipalities has a considerable negative effect on the efficiency score. The results of Tobit analysis also show that population has a positive impact which may increase the technical efficiency. Finally, the findings of this study demonstrated that implementing proper environmental programs not only improve the efficiency of local government but also help the ecological sustainability and the geographical location of the regional changes and barriers for sustainable initiatives by using proper waste mechanism, clean water technology, and solar lighting. Full article
Article
The Effect of Dividend Payment on Firm’s Financial Performance: An Empirical Study of Vietnam
J. Risk Financial Manag. 2021, 14(8), 353; https://doi.org/10.3390/jrfm14080353 - 04 Aug 2021
Cited by 2 | Viewed by 1367
Abstract
This research aims to investigate the effects of dividend policies on a firms’ financial performance. The paper explores the research gap and then builds a research model using ROA, ROE, and Tobin’s Q as dependent variables, dividend rate and decision of dividend payment [...] Read more.
This research aims to investigate the effects of dividend policies on a firms’ financial performance. The paper explores the research gap and then builds a research model using ROA, ROE, and Tobin’s Q as dependent variables, dividend rate and decision of dividend payment as independent variables. The paper collected data and financial statements of 450 firms that are listing on the stock market of Vietnam from 2008 to 2019. The analysis results indicate that the decision of dividend payment has negative impact to Vietnamese firms measured by accounting-based performance but this improve market expectation on firms. In addition, the paper finds that Vietnamese firms are offering low dividend rate which has a positive impact on accounting-based performance but a negative effect on market expectation. This paper proposes some instructive recommendations based on the findings, including a more appropriate model of dividend policies, a lower dividend rate, and clear decision of dividend payment. Full article
Show Figures

Figure 1

Article
Do Financial Development and Economic Openness Matter for Economic Progress in an Emerging Country? Seeking a Sustainable Development Path
J. Risk Financial Manag. 2021, 14(6), 237; https://doi.org/10.3390/jrfm14060237 - 26 May 2021
Cited by 17 | Viewed by 1461
Abstract
While emerging economies face the challenge of competing with developed nations, they are capable of catching up to the developed world. In this context, financial development and the degree of economic openness may provide better living conditions for the current generation without giving [...] Read more.
While emerging economies face the challenge of competing with developed nations, they are capable of catching up to the developed world. In this context, financial development and the degree of economic openness may provide better living conditions for the current generation without giving up future generations’ prosperity. Therefore, this research’s prime intention is to investigate the impact of economic openness and financial development on economic progress, employing Pakistan’s time-series data from 1975–2018. To examine the long-term association between economic openness, financial development, and economic progress, Autoregressive Distributed Lag (ARDL) cointegration tests were performed and the results present a long-term association between these variables. Findings from ARDL estimates indicate that the relationship between financial development and economic progress is significantly positive in the long term. Contrastingly, the relationship between economic openness and economic progress is significantly positive in the short term. A fully modified ordinary least square technique was applied to check the robustness of the long-term links. The Granger causality test revealed that economic progress is motivated by both economic openness and financial development in an emerging economy such as Pakistan. Thus, policies boosting financial development and economic openness are proposed to put the emerging economies on a path of sustainable economic development. Full article
Show Figures

Figure 1

Article
Bank Capital Buffer and Economic Growth: New Insights from the US Banking Sector
J. Risk Financial Manag. 2021, 14(4), 142; https://doi.org/10.3390/jrfm14040142 - 24 Mar 2021
Cited by 4 | Viewed by 1328
Abstract
This research intends to explore the relationship between capital buffer, nominator effect, denominator effect, and economic growth for large insured commercial banks of the USA. The study applied a two-step system Generalized Method of Moment (GMM) framework by taking the unique and comprehensive [...] Read more.
This research intends to explore the relationship between capital buffer, nominator effect, denominator effect, and economic growth for large insured commercial banks of the USA. The study applied a two-step system Generalized Method of Moment (GMM) framework by taking the unique and comprehensive dataset over the period extending from 2002 to 2018. The research found a countercyclical relationship between a capital buffer and economic growth. In the case of well-capitalized banks, this relationship is more critical than adequately capitalized banks. In the case of low-liquid banks, counter-cyclicality is more significant than high-liquid banks. The results also suggest the pro-cyclical relationship between nominator, denominator, and economic growth. The results remain consistent and robust with the use of the tier-one capital buffer ratio. The findings have implications for regulators to incorporate the counter-cyclicality between the capital buffer and economic growth, while formulating the policies for capital requirements in the future. Full article
Article
Financing Growth through Remittances and Foreign Direct Investment: Evidences from Balkan Countries
J. Risk Financial Manag. 2021, 14(3), 117; https://doi.org/10.3390/jrfm14030117 - 11 Mar 2021
Cited by 11 | Viewed by 1071
Abstract
The ultimate goal of central banks, worldwide, is to promote the foundations for sustainable economic growth. In the case of developing economies, in particular, such objective requires time, huge efforts, attention, and plenty of resources in order to be accomplished to the fullest [...] Read more.
The ultimate goal of central banks, worldwide, is to promote the foundations for sustainable economic growth. In the case of developing economies, in particular, such objective requires time, huge efforts, attention, and plenty of resources in order to be accomplished to the fullest degree. This paper thoroughly investigates key factors affecting Balkan countries’ economic development (as measured by gross domestic product (GDP) growth), focusing especially on the impact of remittances. The analysis was done over an 18-year time interval (2000–2017) and builds on 144 observations. The data figures were retrieved from the World Bank database while two dummies were created to test the impact of the last financial crisis (2008–2012). Econometric tools were employed to carry out a broad analysis on the interdependencies that exist and, in particular, to determine the role of remittance income on growth. The vector auto regressive model was estimated using EViews software, and was used to come up with relevant insights. Empirical findings suggest the following: population growth, remittances, and labor force participation are insignificant factors for sustainable growth. On the other hand, previous levels of GDP, trade, and foreign direct investments (FDIs) appear to be relevant for the predictor. This research provides up-to-date conclusions, which can be considered during the decision-making process of central banks, as well as by government policymakers. Full article
Back to TopTop