Search results for "Financial market"
showing 10 items of 198 documents
Banking failure prediction: a boosting classification tree approach
2016
The recent financial crisis shows that failure of some financial institutions can cause other banks to fail and ultimately cause damage to the financial system worldwide. Eurozone banks that experienced either liquidity or solvency problems during the finan- cial markets turmoil were bailed out by their national governments with the financial support and supervision of the European Union. This paper applies the boosted classification tree methodology to predict failure in the banking sector and identifies four key scor- ecard variables that are worth tracking closely in order to anticipate and prevent bank financial distress. The data used in this study comprises 2006-2012 annual series of …
Integration and competition in the European financial markets
2007
Financial integration in Europe should affect the competition between markets and intermediaries and generate a convergence of both interest rates and margins among the different countries. This paper analyses the evolution of the convergence in interest rates and the level of competition and its inequalities among the European banking systems for the period 1993 to 2001. The inequality index used ?the Theil index- allows us to break down the inequalities so that the importance of either a country effect or a specialization effect is quantified. If the former effect dominates it would mean that the national banking markets are segmented as a consequence of the existence of obstacles or barr…
Trade imbalances within the euro area and with respect to the rest of the world
2015
Abstract Many studies have explored the determinants of current account balances in Europe. However, only in a few studies has trade balance been decomposed into intra balance, trade balance vis-a-vis the euro area, and extra balance, trade balance vis-a-vis the rest of the world. This decomposition is necessary for us to understand why some core euro area countries are acting as financial intermediaries for the periphery countries. Furthermore, the determinants of intra and extra balances might be different because nominal exchange rate cannot adjust between the EMU countries while their financial markets are highly integrated. Thus, we apply this decomposition and supplement the previous …
How News Affect the Trading Behavior of Different Categories of Investors in a Financial Market
2012
We investigate the trading behavior of a large set of single investors trading the highly liquid Nokia stock over the period 2003-2008 with the aim of determining the relative role of endogenous and exogenous factors that may affect their behavior. As endogenous factors we consider returns and volatility, whereas the exogenous factors we use are the total daily number of news and a semantic variable based on a sentiment analysis of news. Linear regression and partial correlation analysis of data show that different categories of investors are differently correlated to these factors. Governmental and non profit organizations are weakly sensitive to news and returns or volatility, and, typica…
An efficient analytical approach for obtaining a five parameters model of photovoltaic modules using only reference data
2013
Exploiting the equivalent one-diode circuit of a photovoltaic (PV) module, this paper proposes a novel and fully analytical model to predict the electrical performance upon solar irradiance intensity and PV module temperature. The model refers essentially to an equivalent circuit governed by five parameters and the extraction of them permits to describe the current–voltage curve of the PV panel and consequently permits to assess the energy output of PV modules. The proposed model extracts the five characteristic parameters using only exact analytical relationship and tabular data always available such as short-circuit current, open circuit voltage and the Maximum Power Point (MPP). The diff…
The COVID-19 Impact on Bucharest Stock Exchange. The First Six Months
2020
Abstract The first case of coronavirus was registered in Romania on February 26. From this moment, Romania has become “infected”, just like the whole world, and the economy has suffered milder or more severe symptoms, depending on the activity field. Four months have passed since then, during which in Romania, the effects of the health crisis overlapped with a tense political situation, in an unfavorable economic context. Once the COVID-19 hits each country, the economic effects started to become visible in all the world’s financial markets, the financial market being among the first to suffer the impact of the COVID-19 crisis. This paper analyzes how the financial market in Romania was aff…
Volatility transmission patterns and terrorist attacks
2009
The objective of this study is to analyze volatility transmission between the US and Eurozone stock markets considering the effects of the September 11, March 11 and July 7 financial crises. In order to do this, we use a multivariate GARCH model and take into account the asymmetric volatility phenomenon, the non-synchronous trading problem and the crises themselves. Moreover, a graphical analysis of the Asymmetric Volatility Impulse-Response Functions (AVIRF) is introduced, which takes into consideration the crisis effect. Results suggest that there is bidirectional and asymmetric volatility transmission and show the different impact that terrorist attacks had on both markets. El objetivo d…
Entropy-Based Behavioural Efficiency of the Financial Market
2021
The most known and used abstract model of the financial market is based on the concept of the informational efficiency (EMH) of that market. The paper proposes an alternative which could be named the behavioural efficiency of the financial market, which is based on the behavioural entropy instead of the informational entropy. More specifically, the paper supports the idea that, in the financial market, the only measure (if any) of the entropy is the available behaviours indicated by the implicit information. Therefore, the behavioural entropy is linked to the concept of behavioural efficiency. The paper argues that, in fact, in the financial markets, there is not a (real) informational effi…
Wear modelling in mild steel orthogonal cutting when using uncoated carbide tools
2007
Abstract Wear prediction in machining has been recently studied by FEM although the use of numerical methods for such applications is still a very challenging research issue. In fact, wear phenomenon involves many aspects related to process mechanics which require a very accurate modelling. In other words, only a very punctual code set-up can help the researchers in order to obtain consistent results in FE analysis. The high relative velocity between chip and tool requires effective material models as well as friction modelling at the interface. Moreover the prediction of temperature distribution is another critical task; in the paper some different procedures are discussed. Subsequently a …
The network of global corporate control.
2011
The structure of the control network of transnational corporations affects global market competition and financial stability. So far, only small national samples were studied and there was no appropriate methodology to assess control globally. We present the first investigation of the architecture of the international ownership network, along with the computation of the control held by each global player. We find that transnational corporations form a giant bow-tie structure and that a large portion of control flows to a small tightly-knit core of financial institutions. This core can be seen as an economic “super-entity” that raises new important issues both for researchers and policy make…