In this paper, I examine a new approach for measuring earnings quality, defined as the closeness of reported earnings to “permanent earnings,” based on firm decisions with regard to capital and labor investments. Specifically, I measure earnings quality as the contemporaneous association between changes in the levels of capital and labor investment and the change in reported earnings. This appr...

‘Civil war, private portfolios and growth in Africa’ The thesis will provide analytical insights and empirical evidence on civil war, private portfolios and growth in Africa. It will investigate the following questions. How much capital flows out during civil war? How much comes back and what is that contingent upon? In addition, there will be econometric analysis of the relationship between ca...

Markets for natural resources and commodities are often oligopolistic. In these markets, production capacities are key for strategic interaction between the oligopolists. We analyze how different market structures influence oligopolistic capacity investments and thereby affect supply, prices and rents in spatial natural resource markets using mathematical programing models. The models comprise ...

CIRANO is a private non-profit organization incorporated under the Québec Companies Act. Its infrastructure and research activities are funded through fees paid by member organizations, an infrastructure grant from the Ministère de l’Industrie, du Commerce, de la Science et de la Technologie, and grants and research mandates obtained by its research teams. The Scientific Series fulfils one of t...

a r t i c l e i n f o Keywords: R&D R&D investment Resource-based view Decision factors This study investigates the decision factors regarding R&D investment activities. The subjects in this empirical study are from the countries of Taiwan, Japan, and Korea, which are all similar in the level of regional economic development and technology manufacturing. The research samples consist of the fina...

By postulating a simple stochastic process for the firm’s cash flows in which the drift and the variance of the process depend on the investment policy of the firm, we develop a theoretical model, determine the optimal investment policy and, given this policy, calculate the ratio of the current value of the firm and the current cash flow which we call the “cash flow multiplier”. The main contri...

Transportation assume no liability for the contents or use thereof. The contents do not necessarily reflect the official views or policies of the State of California or the Department of Transportation. This report does not constitute a standard, specification, or regulation. 2 Abstract In this report we present a methodology to decide capacity expansions for a transportation network that finds...