scholarly journals Minority investor protection mechanisms and agency costs: An empirical study using a World Bank–developed approach

Accounting ◽  
2022 ◽  
Vol 8 (2) ◽  
pp. 235-248 ◽  
Author(s):  
Hoang N. Pham ◽  
Minh C. Nguyen
Keyword(s):  
World Bank ◽  
Agency Costs ◽  
Investor Protection ◽  
Agency Problems ◽  
Minority Shareholders ◽  
Firm Level ◽  
The World Bank ◽  
The World ◽  
Protection Mechanisms ◽  
The Impact

This study aims to examine the impact of minority investor protection mechanisms on agency costs. All relevant indicators of minority investor protection adapted from the World Bank’s annual ‘Doing Business’ reports, along with concentrated government ownership, are employed with a panel data sample of 135 Vietnamese listed firms during the period 2014–2018. It is found that the following mechanisms are effective in mitigating agency costs and hence agency problems at the firm level: 1) review and approval requirements for related-party transactions; 2) minority shareholders’ ability to sue and hold directors liable for their duties; 3) minority shareholders’ access to internal corporate documents; 4) investors’ rights to approve major corporate investment and sale of asset decisions; and 5) disclosure in annual reports of salaries, bonuses and other forms of remuneration to directors and management. Interestingly, board independence and controlling government shareholders are not confirmed to play significant roles in addressing agency problems. To the best of the authors’ knowledge, this is the first attempt at testing for the impact of minority investor protection mechanisms developed by the World Bank on agency costs at the firm level, hence providing empirical evidence for the adoption of the minority investor protection mechanisms promoted by the World Bank. This study also provides policy implications for selecting effective mechanisms to mitigate agency conflicts between controlling shareholders and minority investors in order to enhance the financial performance of firms in an Asian emerging market.

scholarly journals Do Democratic Economies Grow Faster? The Case of Asia vs. the EU

2018 ◽  
Vol 14 (2) ◽  
pp. 115
Author(s):  
Samuel D. Barrows
Keyword(s):  
World Bank ◽  
Capita Income ◽  
Time Frame ◽  
Per Capita Income ◽  
The World Bank ◽  
The World ◽  
Per Capita ◽  
Economic Growth Rates ◽  
The Impact ◽  
The Eu

The dynamics of the five fastest growing GDP per capita economies in Asia and the EU are studied between 2010 and 2014. This time frame was selected in order to avoid the height of the 2008-2009 financial crisis, but to include the stimulus and recovery periods which occurred afterward. The intent was not to compare the recoveries or the impact of the stimulus programs. The intent was to compare the economic growth rates of the two groups and also the absolute per capita income along with five topic areas on economies including: configuration, utilization, investments, demographics, and outcomes. A total of twenty measurements are used for assessment from the World Bank databank website. The findings are that the Asian economies grew faster while the EU economies had a higher per capita income. The workforces of the Asia economies are also younger and more flexible whereas the workforces of the EU economies are older, but more educated. Discussions include the links between effective governments and economic development and the links between democracy and economic levels.

On the Brain Drain of Africans to America: Some Methodological Observations

2006 ◽  
Vol 5 (3) ◽  
pp. 155-162 ◽  
Author(s):  
F. Nii-Amoo Dodoo ◽  
Baffour Takyi ◽  
Jesse Mann
Keyword(s):  
Human Capital ◽  
World Bank ◽  
Brain Drain ◽  
Developed Countries ◽  
Accounting System ◽  
The World Bank ◽  
The World ◽  
Relative Comparisons ◽  
The Impact ◽  
The Brain

AbstractRecurring debates about the impact of the brain drain— the developing world's loss of human capital to more developed countries—has motivated estimation of the magnitude of the phenomenon, most recently by the World Bank. Although frequently cited as a key contributor to Africa's wanting development record, what constitutes the "brain-drain" is not always clearly defined. Today, in the absence of an accounting system, resolution of the definitional and measurement question depends on relative comparisons of measurement variants, which will identify definitional shortcomings by clarifying the merits and demerits of these variants, and thereby suggest corrective imputations. This paper compares the World Bank's approach to a chronological precedent (Dodoo 1997) to clarify the value of variant comparisons. The resultant implications for corrections are also discussed.

scholarly journals Does the Common Currency Increase Exports? Evidence from Firm-Level Data

2014 ◽  
Vol 41 (1) ◽  
pp. 8-22 ◽  
Author(s):  
Andrzej Cieślik ◽  
Jan Michałek ◽  
Anna Michałek
Keyword(s):  
World Bank ◽  
Common Currency ◽  
Firm Level ◽  
Export Activity ◽  
The World Bank ◽  
Level Data ◽  
The World ◽  
Firm Level Data ◽  
The Common ◽  
Econometric Approach

Abstract The main goal of this paper is to investigate empirically whether the adoption of the common currency increases the export activity of individual frms using the probity model. There are many studies that seek to estimate the aggregate trade effects of the adoption of the euro by the “outside” EU countries, which are based on the gravity model. In contrast to the existing literature we use an alternative micro econometric approach based on firm level data compiled by the EBRD and the World Bank. We demonstrate that the propensity to export of individual frms from Slovenia and Slovakia increased after the accession of those countries to the Eurozone.

sociological implications arising from world bank projects and their impact on sub-saharan indigenous peoples

2005 ◽  
Vol 1 (2) ◽  
pp. 143-154 ◽  
Author(s):  
ilias bantekas
Keyword(s):  
World Bank ◽  
Indigenous Peoples ◽  
Social Structures ◽  
Compensation Policy ◽  
The World Bank ◽  
Indigenous Group ◽  
The World ◽  
Sub Saharan ◽  
The Impact

the world bank has in place a set of guidelines for assessing the impact of bank-funded projects on indigenous peoples and requires investors to produce detailed reports and ensure for the provision of adequate compensation. the tendency is to preserve sub-saharan indigenous social structures without inquiring whether a particular indigenous group finds itself oppressed within such structures and wants to escape from them. the bank’s compensation policy should strive to remedy social imbalances if that is the wish of indigenous societies.

scholarly journals Structural transformation of the economy: practical aspects

2021 ◽  
pp. 19-27
Author(s):  
A. T. Abdikarimova ◽  
G. B. Aimagambetova
Keyword(s):  
World Bank ◽  
Structural Transformation ◽  
World Economy ◽  
Service Sector ◽  
Structural Changes ◽  
Rapid Change ◽  
Great Influence ◽  
The World Bank ◽  
The World ◽  
The Impact

The purpose of the article is to consider the practical aspects of the structural transformation of economy. Over the past few decades, absolutely all national economies have undergone structural changes, regardless of their size, economic system and all other political or economic differences. The transformation of structures was associated with many factors, including institutional changes, technological changes, the widespread introduction of the results of scientific and technological progress, globalization and integration processes. At the same time, it should be noted that not all structural changes had a positive effect for all countries, even though the changes had almost the same trend of growth in the share of the service sector, a decrease in the share of agriculture and manufacturing. This article is an attempt to systematize the main trends and consequences of structural transformations in the world. The authors put forward the hypothesis that the world economy tends to “servicization” and deindustrialization, which has dialectical significance for the world economy. To assess the structural changes, we analyzed the data of the World Bank to study the dynamics of changes in the sectoral structure of the countries of the world in the period from 1990 to 2019. A very great influence on these processes was exerted by globalization, which through its mechanisms made possible a rapid change in industry proportions not only in the developed world, but also in developing countries, while forming a global trend of “servicization” of the economy. The authors tried to conduct a comparative analysis of the impact of each economic sector on GDP using a regression model based on panel data from more than 180 countries of the world presented by the World Bank.

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