Money Trade Research Articles

The effect of tax and economic freedom on capital investment and foreign direct investment: empirical evidence from a panel of countries around the world.

Investment in the home country or abroad has become an important strategy for companies to survive and grow. It exposes these companies to several financial and economic hazards. This paper employs cross-country tax rates and economic freedom regressions for a sample of 82 countries to examine the determinants of investment and foreign direct investment (FDI) between 2010 and 2016. Besides, it analysis the role of economic freedom factors (legal system, sound money system, regulations, and trade freedom) and economic factors [gross domestic product (GDP) growth, trade level, inflation, and GDP per capita]. While the results of the study agree these factors are important to investments, FDI reflects a higher sensitivity to these factors. A sound money system and trade freedom have a high influence on FDI. The results also show that companies are eager to expand their investments wherever they find welcoming markets, financially and economically. This can benefit policymakers in home or host countries to increase investments and FDI.

Trading Simulations and Real Money Outcomes

Using a novel dataset of trades made on a trading simulator in Brazil, we examine the link between simulation experience and (1) the determinants of opening a real money account, and (2) the performance in real money accounts. We find that more active simulator users, simulator users who take on more risk, and simulator users with the best stock level performance (but not portfolio level performance) are more likely to open real money accounts. These users are also likely to be more active real money traders and significantly underperform in their real money trades. These results suggest that without proper education regarding the hazards of active trading and accurate performance evaluation, stock simulator users may draw incorrect inferences regarding their trading skill and experience real-money underperformance.

Where does the Fair Trade money go? How much consumers pay extra for Fair Trade coffee and how this value is split along the value chain

Abstract Fair Trade certification aims at transferring wealth from the consumer to the farmer; however, coffee passes through many hands before reaching final consumers. Bringing together retail, wholesale, and stock market data, this study estimates how much more consumers are paying for Fair Trade-certified coffee in US supermarkets and finds estimates around $1.50 per lb. The study then assesses how this price premium is split between the different stages of the value chain: most of the premium goes to the roaster’s profit margin, while the retailer surprisingly makes smaller absolute profits on Fair Trade-certified coffee, compared to conventional coffee. In the period studied in this study, the coffee farmer receives about a sixth of the price premium paid by the consumer.

Toledo, siglos XII-XV. La coexistencia de cristianos (latinos y mozárabes), musulmanes y judíos. Una síntesis

Durante cuatro siglos, cristianos (de rito romano o visigótico), musulmanes y judíos coexistieron en la ciudad de Toledo. Pero tal coexistencia, antes de terminar de manera trágica, se caracterizó por muchos matices y atravesó circunstancias diversas. Cuando los llamados mozárabes (cristianos arabizados de rito visigótico) se fundieron en la masa cristiana de rito latino y lengua hispánica, después de dominar en la ciudad durante largo tiempo, los musulmanes (mudéjares), nunca muy numerosos, alcanzaron cierto apogeo en el siglo XIV, antes de quedar parcialmente marginalizados en el XV. En cuanto a los judíos, debido al papel que desempeñaban en la gestión del dinero, fueron objeto de la ira y el furor popular, sobre todo en los siglos XIV y XV, incluso después de su conversión, fingida o sincera, a la fe cristiana.

Blockchain Based Service Providers Payment Methodology

Following quite a while of huge improvement and research in advanced cash, the most acclaimed Bitcoin industry chain has been bit by bit finished including mining, trade, money trade, ATM, unavoidable computerized wallet structure, etc. Particularly, its blockchain innovation has become FinTech associations' rising business and research bearings, additionally been applied in the interdisciplinary medicinal science, inventory network and Internet of things. Digitizing cash can tackle numerous issues in physical money, for example, the wild fake banknotes. Consequently, not just the straightforwardness can be cost-adequately safeguarded in store's record, yet in addition client's privileges and interests can be ensured while utilizing the advanced wallet. For the administration, the guideline and reviewing of monetary exchange can be made less complex and progressively helpful for charge assortment issue. Digitized exchange subtleties can be a lot simpler to review by any registering gadget than physically review the regular record books. Moreover, to make Service Providers to utilize digitized money a lot simpler, in this paper, we propose and send a Blockchain based Payment framework for clients and Service Providers

EPOCA LUI ALEXANDRU IOAN CUZA: DISCUȚII, PROPUNERI, PROIECTE, NEREUȘITE, ÎMPLINIRI ÎN DOMENIUL FINANCIAR-BANCAR NAȚIONAL

. First and foremost, we will depict the realities of “money trading” (money changing, pawnbroking, and quasi-modern lending) in the Romanian Principalities from the 18th century to mid-19th century, having as starting point a number of more ancient or recent bibliographical resources. The need for low interest rate loans to support lucrative business was increasingly present in the period between 1830 and1859. The financial market of the Romanian Principalities was becoming the focus of more and more Western European banks that were seeking to pursue business through their Ottoman branches. With the support of his close associates, Alexandru Ioan Cuza, the Ruler of the Romanian Principalities, also had in mind the modernisation of the Romanian banking system, as part of the reforms aimed at the development of the Romanian society as a whole. Discussions revolved around the establishment of a discount and circulation bank that would also have the right to issue currency and of a mortgage bank entitled to give out loans to the largest landowners in the country. Even though the 1864 establishment of the Savings and Consignments House had been successful in collecting private savings to be later used by the Government as budget resources for major national investment projects, the 1865 attempt at establishing Banque de Roumanie resulted in failure, due to opposition by the Romanian ruler’s political adversaries. The establishment of French and English banks in Romania was stopped and Romania failed to become a preferred market for Western European countries. Nevertheless, one should keep in mind that Alexandru Ioan Cuza, the Ruler of the Romanian Principalities, was a pioneer in this field as well, since his ideas were implemented and expanded upon after 1866.

Naknada štete zbog neizvršenja ugovorne obaveze kod kupoprodajnog ugovora u spoljnotrgovinskom poslovanju

One of the oldest human activities is the trade of goods, services, money and other property values both within a country and abroad. Foreign trade business has an exceptional importance for socio-economic relations between countries. Each state independently regulates the trade of goods and services. However, no state economy is self-sufficient, so its need to join the international markets is quite justified. Through a mutual trade cooperation, states transfer the effects of the concluded agreements beyond their borders, and the need for the unification of certain norms is absolutely necessary, as well as the regulation of the issue of a breach of contractual obligation and compensation for damages as a consequence resulting from such a thing. Some countries have a fear of ratifying the international rules, because they think that the accepted solutions would be contrary to their national legislation. There is mentioned only one of the reasons for the states resistance, as well as the difficulties in achieving the unique acceptable solution. This paper analyzes the concept, the importance of foreign trade business for countries, then the rights and obligations of the contracting parties and the compensation for damage due to a breach of a contractual obligation by non-performance in the sales contract.

ANALISIS PENGARUH VARIABEL FUNDAMENTAL DAN MAKROEKONOMI TERHADAP EKSPOSUR EKONOMI (Studi pada Perusahaan Manufaktur yang Terdaftar di BEI Tahun 2015-2017 )

Globalization is growing rapidly, inter-state economic relations will become intertwined and increase flow of trade of goods and money as well as capital between countries. Changes in macroeconomic indicators occurring in other countries will indirectly impact the country’s economic indicators. Indonesia is one of the countries with the largest potential land for the development of industrial sectors. This is related to the many resources in Indonesia for both raw materials and labour. The results of Indonesia’s manufacturing industry increasingly propagate into world markets. The Central Statistic Agency (BPS) records the Indonesian economy in cumulative growth of 5.78 percent in 2013. The achievement of Indonesia’s economic growth is still far below China and India, however, in terms of economic growth, Indonesia is among the three major. The number of middle class citizens reached 36 million people and was relatively productive. While the manufacturing industry becomes an important component to economic exposure (study on the IDX-listed manufacturing company 2015-2017). There are 120 non-financial companies in Indonesia. The sampling technique in this study is nonprobability sampling (unrandomized withdrawal of samples). The data collection technique in this study is to use the documentation method published by the Indonesian Stock Exchange (IDX). The analysis of the research data includes descriptive statistical analysis, inferential statistical analysis and hypothesis testing.

The experiment of text – number combination forecasting

In foreign exchange money trading, historical data are publicly available continuously. This historical data such as opening, highest, lowest, and closing rate are important variable to predict the future of rates movement. The available data is not only historical trading itself, but also from news release and expert analysis from expert trader. This kind of data contains text and number. This paper proposes in forecasting the rates by combining text and number data. The combination of text mining technique with several time series method i.e: simple moving average, weighted moving average and exponential moving average. Research period for this experiment is between 1st December 2018 and 31st January 2019. The currency pair are EUR – USD, USD-JPY and EUR – JPY. Forecasting results with some time series method were compared with combined time series forecasting method and naïve bayes classifier. The experiment results show that combined time series method with naïve bayes classifier delivered better accuracy level.

PERSPEKTIF HUKUM EKONOMI SYARIAH TERHADAP PRAKTIK JUAL BELI UANG KUNO DI KOTA LHOKSEUMAWE

Recently, people are purchasing and selling more old money in many areas including Lhokseumawe, the prices offered are varied from tens of thousands, hundreds of thousands, even millions. This research aims to explain the practice of old money trading and the factors which influence this transaction at Lhokseumawe including the Sharia Economic Law review toward old money trading. The result of the research indicates that there are 2 types of mechanism for purchasing and selling the ancient money in Lhokseumawe, the first step where someone looks for oldmoney himself and then resells it, the second, seller sells someone else's money by agreement where the seller will provide a place for such a transaction. On the other hand, there are two methods ofold money sale which aredirect selling (sell it manually) and purchasing itvia online. Besides, there are several factors encouraging the old money transaction development at Lhokseumawe, namely: economic factors, hobbies, uniqueness factors, the collectors' hobby, scarcity factors, and historical values. In Sharia Economic Law observation, the old money sale transactions are "permissible" because the old money is no longer applied for a medium of exchange. Likewise, because of its high price, the commercial of old money is allowed. Meanwhile, the old money becomes a high value and antique object/merchandise like other art items such as ancient furniture and paintings. Therefore, high prices determination for old money exchange is reasonable and permissible in the KHES (kompilasi Hukum Ekonomi Syariah) which is one of the references in Sharia Economic law.

Who Holds Positions in Agricultural Futures Markets

We use non-public data regarding all trader-level futures positions, reported to the U.S. grain and oilseed derivatives market regulator (the CFTC), in order to describe the nature of market participants, the maturity structure of their holdings, and the aggregate position patterns for nine different categories of traders that we separate based on their main lines of business. We provide novel evidence about the overall extent of calendar spreading and about the contribution of commercial traders to total spreading activity. Our sample’s 3,854 traders account for 86 to 93 percent of the total futures open interest at the end of an average day in 2015–2018. Well over 90 percent of their positions have maturities of less than a year. Among our nine trader categories, just three (hedge funds and commercial dealers/merchants, plus commodity index traders on the long side) account for about four fifths of all reported trader positions. In fact, fewer than 200 “permanent” large traders (overwhelmingly from these three categories) make up the bulk of the daily open interest in the four largest agricultural futures markets. In the aggregate, the positions of commercial dealers and hedge funds (including commodity pool operators, commodity trading advisors, managed money traders, and associated persons) are highly negatively correlated. This correlation is strikingly strong for short positions: as a result, the sum total of commercial dealers’ and hedge funds’ respective shares of the short open interest fluctuates relatively little over time. We show, for the first time, that calendar spreads account for more than a third of all large trader positions; that much of the intra-year variation in the total futures open interest can be tied to changes in the extent of calendar spreading; that about half of all spread positions involve contracts expiring in 4 to 12 months (either spreading with shorter-dated contracts, or involving only maturities of 4 to 12 months); and that commercial traders who are not swap dealers (dealers and merchants, mostly) make up from a quarter to two fifths of all calendar spread positions. Again, commercial dealers’ and hedge funds’ shares of the spread open interest are negatively correlated. None of these patterns can be inferred from public data, as the CFTC’s Commitments of Traders Reports (COT) do not break out spreads for “traditional” commercial traders in general and commercial dealers and merchants in particular.

Financialization and commodity excess spillovers

To identify the relationship between financialization and cross-commodity linkages, this paper proposes the framework of excess spillovers which deals with the connectedness across multiple commodity prices that cannot be explained by macroeconomic fundamentals. We document that excess spillovers rose dramatically over the 2004–2008 period and peaked during the global financial crisis. The intensity of excess spillovers is significantly positively related to the extent of participation by financial investors, and the majority of the variation in excess spillovers can be attributed to activities of managed money traders and index traders. Besides, commodity markets with a higher degree of managed money participation are more likely to be net transmitters of excess spillovers. In contrast, commodity markets with a higher degree of index fund participation are more likely to be net receivers. Overall, our analysis verifies that the increasing integration of commodity markets is the new normal led by financialization, rather than a temporary change caused by fundamentals.

The Relationship Between Money Supply and Real Effective Exchange Rate Fluctuations in Kenya

Exchange rates play an important role in economic growth especially through foreign trade. Exchange rates in Kenya have been experiencing fluctuations since the transition of the fixed exchange rate regime of the 1960s to the crawling peg of the 1970s to 1980s and lately the floating exchange rate of the 1990s to date. The exchange rate has oscillated between Kshs. 7.142 in 1960s to Kshs. 102.35 per unit US dollar in 2015. The magnitude of exchange rate fluctuations in most developing economies has attracted the interest of many scholars including economists and policy makers. These scholars have however differed on the determinants of real effective exchange rate fluctuations and their respective levels of significance. The purpose of this study therefore was to examine the relationship between money supply and real effective exchange rate fluctuations in Kenya. External debt, trade balance and inflation rate were used as the intervening variables. The study was anchored on the balance of payments theory of exchange rate determination. The study used annual time series data for the period (1972-2015). The study used correlational study design and it employed the stationarity tests, cointegration and ECM. The study concluded that there exists a positive significant relationship between money supply, trade balance, inflation rate and real effective exchange rate fluctuations in Kenya. An increase in money supply also leads to depreciation in the Kenyan shilling same to an increasing inflation rate. An increasing debt burden depreciates the Kenyan shilling. These results are in conformity with the balance of payments theory of exchange rate determination. The study recommends that policy makers should formulate sound credit control policies to control money supply in the economy. Keywords: Money supply, exchange rate, trade balance, external debt, inflation rate, Kenya DOI : 10.7176/JESD/10-12-14 Publication date :June 30 th 2019

Financial Deepening and Economic Growth in Indonesia

The purpose of this study is to analyze the impact of financial deepening on economic growth in Indonesia. The time period studied for this research is from 1975 until2016. This study uses a quantitative research approach in the form of statistics and econometrics regression data. The data used is based on the annual time series data from 1975 until 2016. In this research, two models of testing are used, namely ARDL (Autoregressive Distributed Lag) and ECM (Error Correction Model). The results of this study indicate that financial deepening has a significant negative impact on economic growth in Indonesia. The Broad Money, Government Expenditure and Trade Openness variables influenced the variables of economic growth simultaneously in the period 1975-2016, but only the GDP and Trade openness variables had a significant influence on the dependent variable of GDP during the researched period. Therefore, Bank Indonesia (BI) needs to conduct further research on Broad Money trading (M2) so that the function of economic depth can encourage the growth of GDP Indonesia. In addition, there is a need for policies that will stimulate and facilitate foreign and domestic companies to sell their shares on BEI (Indonesian stock exchange) so that they can be traded by people whose impact will increase Indonesia's economic growth.

Determinants of leadership in online social trading: A signaling theory perspective

Online social trading offers an opportunity for less-experienced individuals or firms to follow top traders by mimicking their behavior, but little is known about the determinants of leadership that shape such relationships. To study this, we build on signaling theory using fixed-effect panel least squares estimations to analyze 250 top traders in a network of around 1100 traders; we examine their trader credentials, volume of trades, performance, and risk signals. Contrary to our initial expectations, findings show that trader credentials are more important than performance, volume, or risk signals, but there are significant differences between virtual and real money traders. This study proposes a network signaling theory approach by linking it to herd behavior and the disposition effect. Our findings can have practical implications not only for top traders, followers, and social trading platform managers but also for policy-makers and regulators of such investment instruments.

Short-term contrarian and sentiment by traders’ types on futures markets

PurposeThe purpose of this paper is to investigate whether the interaction between sentiments and past prices can lead to higher abnormal profit in futures markets. Such examinations allow the authors to relate the paper to the debate that focuses on examining the behavior of different types of traders in futures market, and who among these traders destabilize the markets.Design/methodology/approachFirst, the authors develop new dynamic strategies in US futures market that combine sentiment by type of traders based on trader position provided by the Disaggregated Commitments of Traders with short-term contrarian signals. Next, the authors adjust the abnormal profits to the CAPM model and Miffre and Rallis’s (2007) model. Finally, the authors use the Du (2012) decomposition methodology.FindingsThe main findings are that the abnormal profit is more pronounced when the authors combine past returns with lagged high producer/merchant/processor/user or low managed money sentiment. The results from swap dealer or other reportable groups show that there is no pervasive directional relation between their sentiment and contrarian profit. A further investigation of the sources of abnormal profits demonstrates that these profits survive even after the adjustment of obtained return to risk. Instead, these profits are mainly due to the overreaction to the news by irrational traders.Originality/valueBased on behavioral finance theories, the authors conclude that producer, merchant, processor and user behave like irrational traders, while managed money traders behave like rational ones. Given that current regulatory proposes the limitation of speculation, the policy implications of these results are important. Therefore, these findings suggest that policy distinctions on trading motives may be more challenging to construct than ever.

Do speculators drive commodity prices away from supply and demand fundamentals?

No. We show that managed money traders tend to change positions in the same direction as prices, whereas commercial firms change positions in the opposite direction. Using insights from difference of opinion theory, we conclude that managed money traders have strong beliefs about the markets and trade aggressively. Commercial firms are willing to take the other side of these trades, and thus they provide liquidity to managed money firms. However, we find no evidence that this trading dynamic results in prices that deviate significantly from supply and demand fundamentals.

Związki frazeologiczne z komponentem bank w polszczyźnie

The subject of the article concerns phraseological units with the lexeme bank that can be found in the Polish language. The lexeme bank, which has been present in Polish since the sixteenth century, became the basis for a group of phraseological connections founded on three out of the four meanings of the word registered in dictionaries. More or less typically phraseological expressions were created around the meaning of the word bank as a money trading institution, or as a place where something is kept or stored and finally as a pot or pool in gambling games. The fourth meaning of bank, as an edifice that holds an institution involved in financial turnover, proved to be unattractive phraseologically and did not result in forming any phraseological units. Also it should be emphasized that some of the analyzed phraseological connections undergo semantic modifications in contemporary Polish, which have not yet been recorded in lexicographic collections. It happens so as new shades of meaning of the phrases rozbić bank (hit the jackpot) or trzymać bank (hold the pot) have not yet been fully established in the language and need to be carefully observed.

International Student Mobility: Trends Among Emerging Markets as Strategic tool for International Student Recruitment Officies

The trade of money and products is flowing freely across countries as well as knowledge. There are around five million students getting higher education outside their nations of origin, this number is three times bigger than in 1990. Nations with lacking capacity of an advanced higher education are increasing the number of students seeking for more new opportunities overseas. This new International Education environment is expanding competition among educational institutions and it is driving to more powerful strategies for recruitment based on a deep comprehension of international student mobility trends. This article was focused in five emerging countries: Nigeria, Brazil, Vietnam, and Indonesia and Saudi Arabia which have increased the number of outbound students during the last years. It is analyzed the current situation in international education, comparing the trends among the emerging countries and suggesting approaches and strategies in order to improve the recruitment models into new emerging markets.

Impact Analysis of Total Money Supply, Stock Trading Volume, Inflation, Interest Rate and Rupiah Exchange Rate on JCI in Indonesia Stock Exchange

This research includes explanatory research that is discussing Analysis of Total Money Supply Impact, Stock Trading Volume, Inflation, Interest Rate and Rupiah Exchange Rate of Change of JCI (Composite Stock Price Index) in Indonesia Stock Exchange.Population in this research all companies go public in BEI, monthly data taken by time series during period of July 2005 until December 2015, All population taken as sample or called saturated sample. The analysis used to test the hypothesis in this study is Multiple correlations.The results prove the amount of money supply and trading volume have a significant positive impact on changes in JCI. Inflation has no impact on JCI changes. Interest rates have a significant positive impact on JCI changes. While the exchange rate has a significant negative impact on JCI changes.