HEAVY-TAILED-DISTRIBUTED THRESHOLD STOCHASTIC VOLATILITY MODELS IN FINANCIAL TIME SERIES

To capture mean and variance asymmetries and time‐varying volatility in financial time series, we generalize the threshold stochastic volatility (THSV) model and incorporate a heavy‐tailed error distribution. Unlike existing stochastic volatility models, this model simultaneously accounts for uncertainty in the unobserved threshold value and in the time‐delay parameter. Self‐exciting and exogenous threshold variables are considered to investigate the impact of a number of market news variables on volatility changes. Adopting a Bayesian approach, we use Markov chain Monte Carlo methods to estimate all unknown parameters and latent variables. A simulation experiment demonstrates good estimation performance for reasonable sample sizes. In a study of two international financial market indices, we consider two variants of the generalized THSV model, with US market news as the threshold variable. Finally, we compare models using Bayesian forecasting in a value‐at‐risk (VaR) study. The results show that our proposed model can generate more accurate VaR forecasts than can standard models.     

More than Myth: The Developmental Significance of Romantic Relationships During Adolescence

Adolescents' romantic relationships have attracted popular interest, but, until recently, little scientific curiosity. Research has been impeded by erroneous assumptions that adolescent relationships are trivial and transitory, that they provide little information beyond measures of the influence of parent‐child and peer relationships, and that their impact is primarily associated with problems of behavior and adjustment. This article proposes that distinguishing five features of romantic relationships (involvement, partner selection, relationship content, quality, and cognitive and emotional processes) is essential to describing adolescents' relationships and their developmental significance. These distinctions also help to clarify the role of context, age‐related variations, and individual differences in the impact of romantic experiences. Research is needed to illuminate questions of how and under what conditions romantic relationships affect individual development and how romantic and other close relationships jointly influence developmental trajectories during adolescence.     

The Exclusion of Disabled People from Positions of Power in British Voluntary Organisations

Disabled people are excluded in various ways from a wide range of social privileges, activities and institutions. Voluntary and charitable organisations promote themselves as champions of disabled people in their struggle for access to the ordinary choices and opportunities of everyday life. This paper reports the findings of an empirical study which demonstrate that in voluntary agencies governed by able-bodied people, disabled people are excluded from positions of power and influence, and they experience the same sorts of barriers and constraints as those with which they are confronted in the wider world. Furthermore, the development of agencies governed by disabled people themselves is constrained by their lack of access to money, staff and other resources.     

The theoretical and empirical structure of general well-being

A comprehensive set of variables that have been supported as contributing to overall health and general well-being were analyzed to determine their simple structure using factor analysis and their relative contribution using Pearson correlation. The contributors to general well-being had been theoretically grouped into: emotions, beliefs, temperaments, behaviors, sittuations, experiences and health. The empirical factor structure was compared with the theoretical structure used to develop the variables. Stability was investigated by comparing results with those of another geographically separated group. All subjects were normally functioning working adults. The results demonstrated the feasibility and potential usefulness of using self-report questionnaires with multivariate procedures to measure components of the global general well-being concept.     

The Effects of ROTC Program Participation on Socioeconomic Status and Life Satisfaction*

Using mail survey data based on a stratified systematic sample [N = 686] of 1983–1988 graduates of a medium-sized state university, this research evaluates whether ROTC program participation constitutes an independent source of human capital in civilian labor markets by comparing postgraduate earnings (annual income), prestige and authority, and life satisfaction of ROTC program participants with those of nonparticipants. The results revealed no statistically significant ROTC program participation effects, independent of subsequent military status. ROTC program participation paid off in terms of occupational prestige and authority for those on active duty, but not for those in national guard or reserve units. Neither ROTC participation nor current military status affected income or life satisfaction levels.     

Modified cross-validation in density estimation

We propose a new modified (biased) cross-validation method for adaptively determining the bandwidth in a nonparametric density estimation setup. It is shown that the method provides consistent minimizers. Some simulation results are reported on which compare the small sample behavior of the new and the classical cross-validation selectors.     

Recurrent pain in college students.

The authors investigated the prevalence of recurrent pain in a college student sample. Of the 1,564 students surveyed, 467 (29%) indicated that they had experienced recurrent pain at an intensity that was mostly in the mild-to-moderate range. Students who reported having recurrent pain were significantly older and more depressed than students who did not indicate they suffered from recurrent pain. Pain intensity was positively correlated (r = .14) with depression among the students who reported having recurrent pain. Implications of the findings for future research, treatment, and health promotion efforts are discussed.     

The effect of 1980s tort reform legislation on general liability and medical malpractice insurance

A large number of states adopted tort reforms in the mid-1980s to limit the dramatic surge in insurance losses and premiums. Evidence based on liability insurance data by state indicates that these reforms substantially influenced general liability insurance. The levels of losses, premiums, and loss ratios (a measure of insurance profitability) all reflected the impact of the reforms. The large-scale reform efforts in 1986 were particularly influential. Medical malpractice insurance was much less sensitive to the reform efforts.     

A SCALE IN SEARCH OF A CONSTRUCT: COMMENTS ON GAVIN AND WAMBOLDT

The article examines some issues raised in Gavin and Wamboldt's (1992) recent study on the Family-of-Origin Scale (FOS) (Hovestadt, Anderson, Piercy, Cochran, & Fine, 1985). The discussion centers on unresolved concerns regarding the validity and utility of the FOS and on unsubstantiated and potentially misleading claims made in the Gavin and Wamboldt article. A case is made for conceptual and methodological precision in the study of family phenomena.