Human Capital Outflow and Economic Misery: Fresh Evidence for Pakistan

This paper visits the impact of economic misery on human capital outflow using time series data over the period of 1975–2012. We have applied the combined cointegration tests and innovation accounting approach to examine long run and causal relationship between the variables. Our results affirm the presence of cointegration between the variables. We find that economic misery increases human capital outflow. Foreign remittances add in human capital outflow from Pakistan. The migration from Pakistan to rest of world is boosted by depreciation in local currency. Income inequality is also a major contributor to human capital outflow. The present study is comprehensive effort and may provide new insights to policy makers for handling the issue of human capital outflow by controlling economic misery in Pakistan.

     

Using principal components to test normality of high-dimensional data

Many multivariate statistical procedures are based on the assumption of normality and different approaches have been proposed for testing this assumption. The vast majority of these tests, however, are exclusively designed for cases when the sample size n is larger than the dimension of the variable p, and the null distributions of their test statistics are usually derived under the asymptotic case when p is fixed and n increases. In this article, a test that utilizes principal components to test for nonnormality is proposed for cases when p/n → c. The power and size of the test are examined through Monte Carlo simulations, and it is argued that the test remains well behaved and consistent against most nonnormal distributions under this type of asymptotics.     

Multi-objective multi-verse optimiser for integrated two-sided assembly sequence planning and line balancing

Research in assembly optimisation is presently inclined towards integrative measures. Several benefits of simultaneously optimised Assembly Sequence Planning (ASP) and Assembly Line Balancing (ALB) have been highlighted by researchers to have better solution quality, shorter time-to-market, and minimalised error during planning. Recently, several efforts have been made to realise integrated assembly optimisation. However, none of the published research considered the two-sided assembly line problem. This paper presents an integrated ASP and ALB optimisation in a two-sided assembly environment (2S-ASPLB), which is mainly adopted in automotive assembly process. In this study, the 2S-ASPLB problem was formulated and optimised using Multi-Objective Multi-Verse Optimiser (MOMVO) by considering line efficiency, reorientation penalty, and tool change as the optimisation objectives. The computational experiments were conducted in a few stages, beginning with the identification of the best decoding approach for 2S-ASPLB. Next, the best MOMVO coefficient was studied, followed by comparing MOMVO performance with well-established multi-objective optimisation algorithms. Finally, a case study problem was presented to demonstrate applicability of the proposed model and algorithm in real-life problem. The results indicated that the priority factor (PF) decoding approach had better performance compared with others. Meanwhile, in comparison with well-established algorithms, MOMVO performed better in convergence and solution distribution. The case study results indicated the applicability of proposed 2S-ASPLB model and algorithm to improve line efficiency in assembly line. The main contribution of the research is a new 2S-ASPLB model and optimisation scheme, which can assist manufacturer in designing better assembly layout.

     

Pre- versus post-crisis central banking in Qatar

In the years before the global financial crisis of 2008–2010, Qatar experienced a huge build-up of liquidity surplus in the banking system, mainly driven by surging net capital inflows. This paper identifies various sources of interbank liquidity in Qatar and discusses the various implications of structural primary liquidity surplus for the money market in particular and the economy at large. The paper attempts to evaluate the Qatar Central Bank policy making and conduct during the pre- and post-crisis periods within a framework of the Austrian monetary overinvestment theories, and concludes that the central bank had forcibly committed several forced monetary policy mistakes, which resulted in a breakdown in the interest rate channel of the monetary policy transmission mechanism. This led to the inability of the central bank to control the interbank interest rate and to an accelerating inflation rate during the pre-crisis years. In contrast, a dramatic change in the central bank's monetary policy framework and a deliberate monetary policy mistake on behalf of the central bank resulted in a restoration of the interest rate channel of the monetary policy transmission mechanism, stabilization of the interbank interest rate close to the central bank's policy rate and a sharp deceleration in the inflation rate in the post-crisis period. The paper concludes by offering brief policy recommendations.     

Asymptotic behaviour of frequency polygons under φ-mixing samples

Under mild conditions, we study the asymptotic behaviour of the uniformly strong consistency of the frequency polygon investigated by Scott under φ ?mixing samples. The results obtained weaken the relevant conditions used by Carbon et al. [6].     

Multiple comparisons with a control in repeated measures incomplete block designs using R-estimators

New multiple comparison with a control (MCC) procedures are developed in repeated measures incomplete block design settings based on R-estimates. It is assumed that the errors within each subject are exchangeable random variables. The R-estimators of the treatment effects are obtained by minimizing a sum of Jaeckel (1972)-type dispersion functions. Based on the R-estimators, Dunnett-type multiple comparison procedures are developed for comparing test-treatments with a control-treatment. Under exchangeable errors, it is demonstrated that for Cox-type designs, the new procedures are more efficient than the existing nonparametric procedures. The new MCC procedures are applied to a data set in a clinical trial which consists of patients with reversible obstructive pulmonary disease.     

When Boards Matter: The Case of Corporate Social Irresponsibility

While academic research has made remarkable progress in understanding corporate social responsibility (CSR), we have scant understanding of corporate social irresponsibility (CSiR). This paper adopts a stakeholder‐agency perspective towards CSiR to ask two related questions: (1) What board‐level structures can monitor management to reduce CSiR? and (2) What are the conditions that render board monitoring more effective? Employing a unique objective measure of CSiR and a sophisticated system generalized method of moments with dynamic panel model on a sample of publicly listed firms in the USA between 2002 and 2015, this paper demonstrates how firms with a specific board‐level governance bundle (i.e. a large, more independent board, with a board CSR committee, a higher proportion of women within boards with frequent director activity) are better equipped to reduce irresponsible behaviours, both in terms of number of irresponsible incidents as well as in terms of their economic costs to the firm. Moreover, the effectiveness of this governance bundle sustains under conditions of high institutional ownership and high board remuneration. This paper has implications for CSR and corporate governance literatures, as well as for managers and policymakers.     

Achieving manufacturing excellence through the integration of enterprise systems and simulation

This paper discusses the significance of the enterprise systems and simulation integration in improving shop floor’s short-term production planning capability. The ultimate objectives are to identify the integration protocols, optimisation parameters and critical design artefacts, thereby identifying key ‘ingredients’ that help in setting out a future research agenda in pursuit of optimum decision-making at the shop floor level. While the integration of enterprise systems and simulation gains a widespread agreement within the existing work, the optimality, scalability and flexibility of the schedules remained unanswered. Furthermore, there seems to be no commonality or pattern as to how many core modules are required to enable such a flexible and scalable integration. Nevertheless, the objective of such integration remains clear, i.e. to achieve an optimum total production time, lead time, cycle time, production release rates and cost. The issues presently faced by existing enterprise systems (ES), if properly addressed, can contribute to the achievement of manufacturing excellence and can help identify the building blocks for the software architectural platform enabling the integration.