scholarly journals A Research on the Crisis Spillover Effect of Food Safety Incidents on Competitive Firms: The Influence of Political Connections and Charitable Donations

2021 ◽  
Vol 9 ◽  
Author(s):  
Rong Xiang ◽  
Mengqi Wang ◽  
Li Lin ◽  
Dongxia Wu
Keyword(s):  
Food Safety ◽  
Negative Impact ◽  
Spillover Effect ◽  
Market Value ◽  
The Political ◽  
Political Connection ◽  
Competitive Effect ◽  
Charitable Donation ◽  
Charitable Donations ◽  
Competitive Firm

Taking the perspective of corporate social responsibility and institutional theory, this research establishes an innovative relationship between variables such as charitable donation, political connection and crisis spillover effect of firms through quantitative analysis using the event study method, regression analysis and the Heckman two-stage model. Taking 8 food safety incidents from 2011 to 2016 as research samples, this paper studies the impact of food safety incidents on the market value of both firms under crisis and their competitive firms, as well as the influence of political connection and charitable donation. Based on the current situation that the product crisis or reputation crisis of a firm will, inevitably, affect the market performance and value of its competitive firms in the same industry, this paper attempts to answer questions such as “what kind of firms are capable of minimizing this negative influence?” “will the political connection of competitive firms exert a positive or negative impact?” and “can actions taken before the crisis, such as charitable donation of competitive firms, help these firms in reducing the harm?” The conclusions are as follows: first, the occurrence of food safety incidents not only has a negative impact on the market value of the crisis firm, but also has a negative spillover effect on the competitive firm; second, charitable donations made by the competitive firm before the crisis demonstrates a positive competitive effect on the competitive firm, and the intensity of such charitable donations is positively correlated with this positive competitive effect; third, the political connection of the competitive firm has no significant impact on the crisis spillover effect. These findings provide enlightenment for the operation and management of firms in the food industry.

Are independent directors’ political connections valuable?

2020 ◽  
Vol 11 (2) ◽  
pp. 299-315 ◽  
Author(s):  
Yanyu Chen ◽  
Wenzhe Zheng ◽  
Yimiao Huang
Keyword(s):  
Firm Value ◽  
Negative Impact ◽  
Listed Companies ◽  
Political Connections ◽  
Independent Directors ◽  
The Political ◽  
Political Connection ◽  
Exogenous Shock ◽  
Content Type ◽  
Negative Effect

Purpose The purpose of this paper is to use difference-in-difference method (DID) to study the influences of independent directors’ political connection on firm value. Design/methodology/approach File No. 18 by the Organization Department of the Communist Party of China Central Committee requires that the leading cadres in party and government offices are not allowed to act as independent directors; this restriction applies to retired officials as well. As a result, many listed companies lose the political connections of officers as independent directors. This paper takes it as an exogenous shock to evaluate the influence of the political connection of independent directors on firm value, effectively alleviating the endogeneity problem existing in previous studies. Findings The research finds the following: under the policy of compelled resignation, the loss of political connection of independent directors has a prominent negative impact on firm value; and compared to state-owned enterprises, the firm value of private enterprises receives a greater negative impact. However, the political advantage of state-owned enterprises is not obviously influenced. In the regions with worse external market environments, due to a greater reliance on resources brought about by political connection, the policy has a much greater influence on their listed companies. Research limitations/implications The study faces several limitations, each of which represents a potential research direction. First, our analysis is based on the policy effects on the firm’s current Tobin’s Q and finds a negative effect of losing political connections. However, the long-term effects are still unclear, as some studies find a negative effect of political connections. Second, the paper focuses on one channel in which political connections may affect firm value. Other channels, such as subsidies and loans from state-owned banks, which need more granular data, should be explored in the future. Practical implications The use of DID model can better objectively evaluate the implementation effects of ban policies and alleviate endogenous problems, which is also enlightening for further perfection of the system of independent directors in the A-share market. Social implications It enriches existing researches of the value of independent directors from the perspective of political connection, which is conducive to understanding the influence and channel on the firm value after the loss of political connection and the value of independent directors in the corporate governance in a more comprehensive and accurate manner. Originality/value This paper extends the relevant research on the value of the political connection of independent directors from the perspective of political connection and enlightens the evaluation of the effect of ban policies.

Study on the Effects of Political Association of Private Listed Corporations in China

2014 ◽  
Vol 687-691 ◽  
pp. 4588-4596
Author(s):  
Yue Liu ◽  
Yu Mei Ye ◽  
Yan Wang
Keyword(s):  
Social Exchange ◽  
Resource Dependence ◽  
Corporate Performance ◽  
Resource Dependence Theory ◽  
Economic Effects ◽  
The Political ◽  
Political Connection ◽  
Charitable Donations ◽  
Private Corporations ◽  
Political Association

This document is based on the rent-seeking theory, the relationship culture, resource dependence theory, social exchange theory and stakeholder theory, and using the empirical data of Chinese private listed corporations in 2011, from this point of view that the political connection enterprises will better fulfill their social responsibility, research the social effects and economic effects of the political association of private listed corporations. Empirical study finding, The scale of employees and level of charitable donations of private listed corporations with political association are significantly higher than that no associated corporations, and the stronger degree of political connection, its employees scale is greater and the level of charitable donations is higher; Corporate performance of private listed corporations with political association better than no Associated Corporations, and the stronger degree of political connection, the corporate performance better. This study has a profound significance on using the advantages of private Corporations' political connections to improve the long-term competitiveness of Corporations .

ПОЛИТИЧЕСКИЙ БЕСПРЕДЕЛ ОППОЗИЦИИ И ПОЧЕМУ ВЫИГРАЛ ВЫБОРЫ АШРАФ ГАНИ?

2020 ◽  
pp. 63-67
Author(s):  
Мохаммад Исаак Шафак
Keyword(s):  
Presidential Election ◽  
Negative Impact ◽  
Expert Assessment ◽  
Political Crisis ◽  
The Political ◽  
Political Elites ◽  
Political Situation ◽  
Political Processes ◽  
Underlying Causes ◽  
Personal Qualities

Аннотация: В данной статье автор исследовал феномен победы действующего президента Мохаммада Аршаф Гани, выигравшего во второй раз президентские выборы у своих оппонентов, его персональные качества в отличие от его оппонентов, проигравших выборы на пример Абдуллы Абдуллы. Названы глубинные причины возникновения политического кризиса, как недоговороспособность политических элит Афганистана, разрозненных личными и местечковыми интересами своих кланов. Сделан анализ, почему годами оставаясь у власти, оппоненты Ашрафа Гани, не использовали свои властные полномочия не улучшили политическую ситуацию Афганистана. Автором приведены аналитические выводы их отрицательного влияния на развитие политических процессов, это связано большей частью для сохранения собственных корыстных интересов и благ. Автор на примере анализа деятельности президента и его оппонентов на выборах, выразил собственное экспертную оценку вокруг сложившийся политической ситуации вновь избранного действующего президента Ашрафа Гани Ахмадзая, как политической персоны, выделив его слабые и сильные стороны и оппонентов. Ключевые слова: феномен победы, политический кризис, выборы. Аннотация: Автордун бул илимий макаласында, Мохаммад Ашраф Ганидин экинчи мөөнөткө 2019 -жылы 28-сентябрда болуп өткөн президенттик шайлоодо атаандаштарын утушу, Абдулла Абдулла жана да башка оппонентеринин президенттик шайлоодогу жеке сапаттарын изилдеген. Ооган саясий элитасынын ар түрдүү жеке жана ичи тардык, кызгануу сыяктуу эле кызыкчылыктарын, саясий башаламандык кыймылы жөнүндө жана ошол себептер менен саясий кризис курчуунун негизги себептерин атады. Алардын (эски элитанын) бийликте калуу максатында кыймылдарынын терс таасири тууралуу аналитикалык корутунду көрсөттү, бул инсандар негизинен өздөрүнүн жеке керт башынын кызыкчылыктары менен пайдасын сактоо менен байланыштуу, шайлоодо президенттин иш-аракеттери жана оппоненттери боюнча сереп-талдоо жазылган. Ооганстандагы саясый кырдаал жакшырган жок, саясий жараяндар таатал боюнча калууда, Ашраф Гани менен оппоненттеринин күчтүү жактарын жана кемчиликтери касиеттери жөнүндө, учурдагы Ооганстанда саясий кырдаал тууралуу өзүнүн серебин билдирди. Түйүндүү сөздөр: жеңүүнүн феномени, саясий кризис, шайлоо Annotation: In this article, the author explored the phenomenon of victory of incumbent President Mohammad Ashraf Ghani, who won the second time the presidential election against his opponents, his personal qualities, unlike his opponents, who lost theelection by the example of Abdullah Abdullah. The underlying causes of the political crisis are identified as the lack of maturity of the political elites of Afghanistan, fragmented by the personal and local interests of their clans. An analysis is made of why staying in power for years, opponents of Ashraf Ghani, did not use their power, did not improve the political situation in Afghanistan, the author gives analytical conclusions of their negative impact on the development of political processes, this is mainly due to preserving their own selfish interests and benefits. The author, using an example of analysis of the activities of the president and his opponents in the elections, expressed his own expert assessment around the current political situation of the newly elected incumbent president Ashraf Gani Ahmadzai as a political person, highlighting his weaknesses and strengths and opponents. Keywords: the phenomenon of victory, political crisis, elections.

The Charitable Continuum

2021 ◽  
Vol 22 (1) ◽  
pp. 285-334
Author(s):  
Eric Kades
Keyword(s):  
Central Limit Theorem ◽  
Limit Theorem ◽  
Social Welfare ◽  
Normal Curve ◽  
Charitable Donation ◽  
Charitable Donations ◽  
The Central Limit Theorem ◽  
Central Value ◽  
Fairness And Efficiency ◽  
Better Than

Abstract There are powerful fairness and efficiency arguments for making charitable donations to soup kitchens 100% deductible. These arguments have no purchase for donations to fund opulent church organs, yet these too are 100% deductible under the current tax code. This stark dichotomy is only the tip of the iceberg. Looking at a wider sampling of charitable gifts reveals a charitable continuum. Based on sliding scales for efficiency, multiple theories of fairness, pluralism, institutional competence and social welfare dictate that charitable deductions should in most cases be fractions between zero and one. Moreover, the Central Limit Theorem strongly suggests that combining this welter of largely independent criteria with the wide variety of charitable gifts results in a classic bell-shaped normal curve of optimal deductions, with a peak at some central value and quickly decaying to zero at the extremes of 0% and 100%. Given that those are the only two options under the current tax code, the current charitable deduction regime inevitably makes large errors in most cases. Actually calculating a precise optimal percentage for each type of charitable donation is of course impractical. This Article suggests, however, that we can do much better than the systematically erroneous current charitable deduction. Granting a 100% deduction only for donations to the desperately poor, along with 50%, 25%, and 0% for gifts yielding progressively fewer efficiency, fairness, pluralism, and institutional competence benefits, promises to deliver a socially more desirable charitable deduction.

scholarly journals Chemical Contamination Pathways and the Food Safety Implications along the Various Stages of Food Production: A Review

2021 ◽  
Vol 18 (11) ◽  
pp. 5795
Author(s):  
Kgomotso Lebelo ◽  
Ntsoaki Malebo ◽  
Mokgaotsa Jonas Mochane ◽  
Muthoni Masinde
Keyword(s):  
Food Safety ◽  
Food Production ◽  
Food Industry ◽  
Food Packaging ◽  
Agricultural Sector ◽  
Negative Impact ◽  
Anthropogenic Factors ◽  
Chemical Contamination ◽  
Chemical Toxicity ◽  
Chemical Substances

Historically, chemicals exceeding maximum allowable exposure levels have been disastrous to underdeveloped countries. The global food industry is primarily affected by toxic chemical substances because of natural and anthropogenic factors. Food safety is therefore threatened due to contamination by chemicals throughout the various stages of food production. Persistent Organic Pollutants (POPs) in the form of pesticides and other chemical substances such as Polychlorinated Biphenyls (PCBs) have a widely documented negative impact due to their long-lasting effect on the environment. This present review focuses on the chemical contamination pathways along the various stages of food production until the food reaches the consumer. The contamination of food can stem from various sources such as the agricultural sector and pollution from industrialized regions through the air, water, and soil. Therefore, it is imperative to control the application of chemicals during food packaging, the application of pesticides, and antibiotics in the food industry to prevent undesired residues on foodstuffs. Ultimately, the protection of consumers from food-related chemical toxicity depends on stringent efforts from regulatory authorities both in developed and underdeveloped nations.

Political connection, family ownership and corporate risk disclosure: empirical evidence from Jordan

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Malek Hamed Alshirah ◽  
Ahmad Farhan Alshira’h ◽  
Abdalwali Lutfi
Keyword(s):  
The Body ◽  
The Political ◽  
Family Ownership ◽  
Political Connection ◽  
Risk Disclosure ◽  
Moderator Effect ◽  
Content Type ◽  
Negative Effect ◽  
Corporate Risk ◽  
Level Of Risk

Purpose This study aims to empirically examine whether the political connection is related to risk disclosure practices. The study also seeks to contribute to the existent risk disclosure literature by investigating the moderator effect of family ownership on this relationship. Design/methodology/approach The content analysis approach was used to collect data and determine the level of risk disclosure over the non-financial Jordanian firms listed on 1Amman Stock Exchange. The sample of this study contains 376 annual reports over four years from 2014 to 2017. It used the random effect regressions to examine the hypothesis of the study. Findings The results show that politically connected companies disclose less risk information than the unconnected ones in Jordan. The results also refer that family ownership contributes in mitigating the negative effect of the political connection on the level of corporate risk. Practical implications The results have implications for regulatory institutions such as the Jordan Securities Commission to take the negative effect of political connection in their consideration and impose further regulations to monitor this board’s attribute and control politicians’ domination on the board decisions. Originality/value The current study also contributes to the body of literature by investigating the effects of the political connections on the level of risk disclosure in the financial reports. To the best of the authors’ knowledge, the current study is the first to examine the effect of the political connection on the risk disclosure practices. Moreover, the study is among the first studies that examine the moderating role of family ownership on such relationship.

scholarly journals Politics is making us sick: The negative impact of political engagement on public health during the Trump administration

PLoS ONE ◽  
2022 ◽  
Vol 17 (1) ◽  
pp. e0262022
Author(s):  
Kevin B. Smith
Keyword(s):  
Presidential Election ◽  
Negative Impact ◽  
Political Engagement ◽  
The Political ◽  
Negative Effects ◽  
Large Numbers ◽  
Political Left ◽  
Nationally Representative ◽  
Significant Health ◽  
Trump Administration

Objectives To quantify the effect of politics on the physical, psychological, and social health of American adults during the four-year span of the Trump administration. Methods A previously validated politics and health scale was used to compare health markers in nationally representative surveys administered to separate samples in March 2017 (N = 800) and October 2020 (N = 700). Participants in the 2020 survey were re-sampled approximately two weeks after the 2020 election and health markers were compared to their pre-election baselines. Results Large numbers of Americans reported politics takes a significant toll on a range of health markers—everything from stress, loss of sleep, or suicidal thoughts to an inability to stop thinking about politics and making intemperate social media posts. The proportion of Americans reporting these effects stayed stable or slightly increased between the spring of 2017 and the fall of 2020 prior to the presidential election. Deterioration in measures of physical health became detectably worse in the wake of the 2020 election. Those who were young, politically interested, politically engaged, or on the political left were more likely to report negative effects. Conclusions Politics is a pervasive and largely unavoidable source of chronic stress that exacted significant health costs for large numbers of American adults between 2017 and 2020. The 2020 election did little to alleviate those effects and quite likely exacerbated them.

scholarly journals Political Connection, Institutional Ownership and Tax Aggressiveness in Indonesia

2020 ◽  
Vol 5 (5) ◽  
Author(s):  
Yety Anggraini ◽  
Wahyu Widarjo
Keyword(s):  
Stock Exchange ◽  
Institutional Ownership ◽  
The Political ◽  
Political Connection ◽  
Manufacturing Companies ◽  
Small Companies ◽  
Tax Aggressiveness ◽  
The Difference

This study aims to analyze the effect of political connection and institutional ownership toward tax aggressiveness on manufacturing companies listed on Indonesia Stock Exchange. Samples for this study are 62 manufacturing companies listed between the periods of 2014 -   2018, hence obtained 310 observations. Result of this study shows that political connection of the directors and institutional ownership have positive and significant effect toward tax aggressiveness, while the political connection of the board of commissioners does not significantly affect toward the tax aggressiveness. Furthermore, this study also finds the difference of political connection and institutional ownership between big companies and small companies. The effect of political connection of the directors is stronger in small companies than big companies, while the effect of political connection of the board of commissioners toward tax aggressiveness is stronger in big companies than small companies.

scholarly journals Macroeconomic Characteristics of Tourism Economy in the Republic of Tunisia

REGIONOLOGY ◽  
2019 ◽  
pp. 224-245
Author(s):  
Marina A. Zhulina ◽  
Vyacheslav M. Kitsis ◽  
Svetlana V. Saraykina
Keyword(s):  
Negative Impact ◽  
Comparative Method ◽  
International Tourism ◽  
The Political ◽  
Factors Affecting ◽  
The World ◽  
Macroeconomic Indicators ◽  
The Republic ◽  
Tourism Economy ◽  
The Impact

Introduction. Tourism is a dynamic, constantly developing sector of the economy. Tourism economy develops along with the society, recreation and tourism. The purpose of the article is to show the features of the impact of tourism on the national economy using the case of Tunisia. The experience of Tunisia is especially useful for the countries where beach recreation has developed and where the political situation has remained difficult for a long time (Egypt, Turkey, Thailand, etc.). Materials and Methods. The article is based on the statistical data provided by the World Tourism Organization, the World Data Atlas and open Internet sources. The study employed general scientific methods (analysis, synthesis, synthesis, comparison, etc.) and special ones (the methods of mathematical statistics, the graphical method, the comparative method, etc.). Results. For the first time, the article has provided a fairly complete description of the macroeconomic indicators characterizing the level of development of international tourism in Tunisia. The article has analyzed the dynamics of inbound and outbound tourism, discussed the factors affecting the volume of international tourism, considered international tourism expenditures and revenues, which to a large extent have a positive or negative impact on the country’s balance of payments. The trends in the development of international tourism in Tunisia have been revealed and the problems facing the industry have been identified. Discussion and Conclusion. The research has revealed that tourism economy largely depends on the political and economic processes taking place in the country. The current level of macroeconomic indicators of tourism economy in Tunisia lags behind the 2008–2009 figures. The results of the study made it possible to assess the current state of international tourism and make a number of suggestions aimed at increasing the level of development of international tourism in the country. The results of the study can contribute to the development of a program aimed to boost tourism economy in Tunisia, one of the key tasks of which should be that of increasing performance at the macro-level.

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