Effectiveness of the Global Banking System in 2010： A Data Envelopment Analysis Approach

The current crisis has revealed the weaknesses of the global financial in general and its banking system in particular and puts forward a requirement for assessing the effectiveness and stability of the banking sectors across countries. Based on available data from 64 countries over the world, the author tried to evaluate the effectiveness of the banking sectors in those countries through the view point of the data envelopment analysis approach to define how the global banking systems is under the effect of the current crisis. Findings from the research showed that banking systems in advanced economies are still more effective than in developing countries. Moreover, it explained the effect of the current financial crisis, the role of public finance （and the government）, and the development of the （privately） commercial banks to the effectiveness of the banking sectors. The research also explained some determinants that can affect the effectiveness of the banking system, including inflation, bank concentration, and level of economic development.

Threshold Effects in the Capital Account Liberalization and Foreign Direct Investment Relationship

This paper examines how capital account liberalization （CAL） affects foreign direct investment （FDI） inflows. Authors use a dynamic panel model encompassing 14 Middle East countries over the period from 1985 to 2009. The findings suggest that countries that are able to reap the benefits of the capital openness policy satisfy certain threshold conditions regarding the level of financial development and institutional quality. Thus to promote FDI, governments in this region should develop a set of policies that not only focus on financial openness, but also on the improvement of the financial system and legal institutions.

Factors Determining the Development of Non-cash Payments in Rural Areas in Poland

This article aims at characterization and assessment of the financial behaviors of rural dwellers on non-cash payment markets and identification of factors determining the intensity of using individual methods of payment by the inhabitants of rural areas. The main source of data used for analysis and inference was information originating from the authors＇ own investigations conducted in 2013 on a group of 500 rural households and on a group of 150 trade and service points operating in non-urbanized areas. This work made use of statistical summary measures and Z2 independence test. According to the results of the conducted studies, forms of payment used by rural dwellers depend on many variables, of demographic, economic, and psychological character. Cash payments are more frequently used by persons possessing vocational or secondary education, elderly people, old-age pensioners, annuitants, or households with lower incomes. Also, persons who do not trust financial institutions or do not perceive benefits resulting from the use of non-cash instruments prefer cash. It is a group of households which require urgent educational activities in the area of non-cash payment instruments. A significant barrier to using non-cash payment instruments by rural dwellers was a limited access to non-cash channels. It is connected in the first place with a poorer development of financial infrastructure in rural areas （banks or cash points）, insufficient Internet access conditioning a possibility to use electronic banking points, and also a worse development of credit card acceptance network. As has been demonstrated by the results of conducted studies, the main reason for a lack of point of sale （POS） terminals in retail and service-providing points operating in rural areas, in the opinion of their owners, is the very high interchange fee （50% indications）, which under Polish conditions is one of the highest in the European Union （EU）.

International Disorder and China's Strategic Thoughts

Since the 2008 international financial crisis, international political and economic disorder has become obvious. Major reasons are the decline of US-led Western developed economies' global influence; US and other Western countries inaction or ineffective actions; power diffusion allowing non-state actors to intervene; a global governance short of needed rules; and mainstream economic theory's overemphasis on market roles. International disorder is a long-term process posing a potential threat to China's national interests. The situation challenges China to create an international economic and trade order, thereby shaping itself as prophet of global free trade, shaper of international economic and trade rules, and trendsetter for globalization.

How Financial Knowledge Affect Household Wealth

This paper is based on the research conducted in Shanghai. We use Probit model empirically analysis how tinanclal hteracy affect household wealth. The results are as follows： financial literacy does have positive effects on household financial wealth and debt, but do not have significant effect on fixed wealth. Age growth, household income growth, self-owned house and seeking for financial consultant will significantly boost household wealth. Moreover, consumer＇ s self-confidence and risk aversion have positive effects on both fixed and financial assets, but do not have significant effect on debt.

Developments in the Romanian Real Estate： Where to？

The financial crisis has deeply affected Eastern European countries since the end of 2008. The global economic crisis put an end to a period when the region witnessed solid economic growth, high inflows of foreign investment and a dynamic real estate sector, which was one of the main drivers of the region＇s economic growth （Abelson, Kaemar, ＆ Jackofsky, 1990）. The Eastern European real estate market was deeply impacted by the crisis. Investment in real estate dropped sharply due to the significant increase in risks and difficulties in financial borrowing （Bruce, 1991）. Rising unemployment affected retail sales, as well as office net absorption. Take-up fell significantly in all markets： Transactions were of smaller size and demand for buildings decreased. On the supply side, vacancy increased sharply due to the high level of completions entering the market （Smith, 1992）. The strong rise in vacancy rates has put pressure on rents, which dropped sharply in 2008 and in early 2009. They started to stabilize only by the end of 2009. How will the Romanian real estate market evolve？ No one knows for certain. Through this work we try to get some predictions based on statistical theory and not on the lessons learned from other crises.

Remittances to Ghana： Benefits to the Housing Sector and Impact of Financial Crisis

The role of inflow of overseas remittances towards the development of housing sector in Ghana, and the impact of recent financial crisis on the development process is investigated. This is achieved through a review and analysis of information gathered through national and international statistical sources and targeted household and institutional interviews. As a prelude to the analysis the study assessed the importance of remittance as large and growing part of the economic underpinning of developing countries. It then assesses whether remittances have a particular relationship with housing. The research provided an estimate of the nature, level and uses of remittances and the different cyclical characters of other flows. It reveals that the successful real estate market development across Ghana during the past decade benefited from a buoyant national economy, improved financial systems and family remittances. However, the picture changed especially during 2008 attributed mainly to the global financial crisis and economic downturn. The reverberating problems of unemployment and high levels of bankruptcies in the advanced countries were felt but not as pronounced as they were in the major industrialised economies. The discussions concluded by posing a much broader question in relation to other developing countries about how remittances could be mobilised towards the development of the housing sector.

Global Financial Crisis： Systemic Failure and the Underlying Knowledge Gap

Recently, global financial crisis or meltdown rocked the international financial market. This havoc was the result of the reckless use of financial derivatives that received spontaneous patronization from the financial whiz, but it is strange to discover that those proponents of market economy embarked on policy that was purely Keynesian in principle. The episode started in August 2007 with the collapse of subprime mortgage market and reached its climax during August 2008. Central banks in many countries of the western world intervened in the market to pump additional fund to give buoyancy in the credit market. The crisis encapsulated with the queer idea of financial instruments and multiple origins related to subprime mortgage left its trail in both developed and developing countries. Thus, an elaborate analysis of the causal link among various innovative instruments highlighting a mismatch between academic doctrine and real-life perspective and the inadequacy of the institutional arrangements supposed to tame the volatility of the market may be a useful guide to financial analysts and policy planners. The purpose of this paper is to highlight systemic gaps in the meltdown and redefine the contour of macroeconomics most appropriate to weather such catastrophe in the future.

Research on financial support of the new energy industry

As it is known to all, the new energy industry plays an important in the economic transformation and structure adjustment of our country. The government attaches great importance to the development of the new energy industry. Particularly for the developing countries, to achieve rapid development require a lot of capital. However, there are some problems with finance in the development of the new energy industry. Based on the analysis, this paper puts forward some countermeasures.

Credit Risk （Based on Analysis of Financial Statements） as the Decisive Factor Influencing the Risk of Investors

Banks as the key subjects in the financing of investment have a strong influence on the risk of investors. Hence, the solvency of the bank is of crucial importance for the risk management in the investment process. Given the fact of underdevelopment of financial markets and the lack of trading activities in securities, it is evident that the investments of banks in the developing countries mostly include lending investments. Looking at the key categories of risk that influence the overall risk of the banking business in such conditions, it can be concluded that credit risk presents the dominant and decisive factor. The aim of the paper is to select the bank determinant key factors of credit risk and to determine the extent to which non-performing loans （NPL） of bank credits affect the solvency of banks, and therefore also the risk of investors. This selection of the main determinants will be based on the analysis of financial statements. This is essential, especially taking into account the impact of the global financial crisis and the increasingly frequent falling into insolvency customers. Finally, liquidity of customers is that of the bank, and it is crucial for investors to timely identify possible risks associated with bank loans in order to proactively manage risk investment.

Who Governs Public Health？ Donor Retreat and the Shifting Spheres of Influence in Southern African HIV/AIDS Policy Making

For the last decade, discussions about who governs policy on prevention and treatment of HIV/AIDS have revolved around the controversial relationship between Western donors and the power they have over their recipient governments. While these debates were once politically germane, recent trends show a decline of donor funding, as well as an increase of financial ownership of the epidemic within Southern Africa. Commensurate with this shifting financial influence, some well-governed, wealthy African states are beginning to deviate from global M＆E （monitoring and evaluation） indicators. These policy movements, away from global M＆E indicators, also correlate with increases in HIV prevalence, which signals the need for further investigation into policy efficacy.

Rethinking China's Macroeconomic Policy

Six years have passed since the global financial crisis began.Yet,mainstream economists are still far from reaching a consensus on a framework for restructuring macroeconomic policy.In April 2013,many top scholars attended the International Monetary Fund's(IMF) second conference on "Rethinking Macro Policy".During the conference,the following basic assessments with respect to macroeconomic policy were reached:economists and policy-makers have entered a "brave new world" where they face more problems than effective solutions and the image of a new macroeconomic policy framework remains opaque.Based on discussions at the conference and the dissertations of important scholars over recent years,this paper provides a systematic review of the reflections of mainstream economic academia regarding the restructuring of a macroeconomic policy framework,with a view to providing an orientation to China s ongoing reform of macroeconomic regulation.

Growth Potential and Profitability Analysis of Insurance Companies in the Republic of Serbia

Economically developed countries hold much of its total wealth as financial savings, and they should faster experience higher rates of overall economic growth in the long run. Given the level of income made by economic entities and according to such correlation, their propensity to save can be generated. As a clear reflection of the development of the financial sector, insurance companies as financial intermediaries, through the mobilization of savings, contribute to the development of the entire financial sector. Analyzing the performance of insurance companies in Serbia, CARMEL method will be applied, which includes indicators for the presentation of quantitative criteria for the purpose of monitoring and analyzing the profitability of insurance companies consisting of a model that is the current methodology of the MMF. In addition to traditional financial instruments, derivative securities are traded in financial markets, promoting the development of financial markets, such as options, which are generators of potential growth of profitability. The aim of this paper is to show the growth potential of profitability in insurance companies, as well as decreasing risks which are connected to the business activities by the use of options.

Global Economic Rebalancing： Fancy and Reality

＂Global economic imbalance＂ and ＂global economic rebalancing＂ have aroused great interest among international economic and.financial research circles. As the global financial crisis begins to abate, some Western countries have used ＂global economic rebalancing＂ as an excuse for trade protectionism and restricting the foreign economic development of developing nations. As the basic theoretical justification for the ＂global economic imbalance,＂ the theory of international trade equilibrium is wrong both in theory and in practice, because it has never been proven in the 200 years of history since the Industrial Revolution. ＂Global economic rebalancing＂ contains serious policy traps and does not generate any winners. The exchange rate is only one of the）actors which affect international trade;furthermore, it is not the fundamental mechanism. With the U.S. dollar retaining its status as the key currency of the international monetary system, it is impossible for the United States to achieve long-term foreign economic and trade equilibrium. The United States＇ trade deficit is an inevitable result of the dollar＇s status as an international currency.

The Foundation for the Establishment of the BRICS New Development Bank:Immediate Impetus and Theoretical Rationale

The BRICS basic infrastructure suffers from a huge financing gap, but their massive foreign exchange reserves lack profitable outlets and member states＇ self-contained management costs are extremely high. The coincidence of the need for basic infrastructure investment and the need for profitable foreign exchange reserves are the immediate reasons for setting up the BRICS Development Bank. Comparative advantage and the co-movement of fluctuations in the BRICS member states optimize their cooperative interests. A co- movement game model analysis enables us to deduce the logical necessity for cooperation among the BRICS. Compared with other patterns of cooperation, virtual networks enable this financial cooperation to yield benefits in a short timeframe. The mutually supportive relationship between development and stability in the BRICS economies provides a solid rationale for the establishment of the New Development Bank.

Wonder Awaits——Westin Family Day at The Westin Beijing Financial Street

The Westin Beijing Financial Street launched the Westin Family Day event on July 18 by inviting families to join the single-day affair.With Westin Family,every exploration inspired moments of wonder,encouraging children to discover their environment,embark on adventures and try something new.The hotel prepared a specially designed T-shirt for every family.All of the children set out on the mission for the day,which was＂to make Daddy＆Mommy’s favorite pizza.＂

Chinese Security under Globalization

Cbina＇s rapid economic growth has benefited from the country＇s wellplaced position in the global production chain. But China encounters an acute security, dilemma externally and internally because it is integrating into a world system in which market democracies dominate and view China＇s rise with suspicion. Globalization changes, complicates, and benefits Chinese foreign policy. A growing China is also increasingly affecting globalization in its own image. Globalization has caused a backlash, particularly in developed countries, partly because of the China factor, and China＇s own commitment to globalization is being tested as economic problems mount in the current financial crisis.

Research of the Optimal Timing in Banks＇ Write-off Decision Under the Uncertain Conditions

On the assumption that the callback rate of the disposal of NPLs follow GBM, the paper obtains the partial differential equation, which is consistent with the value of waiting for the Non-performing loans disposal, by the method of the stochastic dynamic programming. Then, the equation solution is obtained on the value-matching and smooth-pasting. We can find the optimal timing of the Non-performing-loans disposal and the condition for deferring the Non-performing-loans disposal from the obtained solution.

INTELLIGENT EARLY-WARNING SUPPORT SYSTEM FOR ENTERPRISE FINANCIAL CRISIS BASED ON CASE-BASED REASONING

Case-based reasoning （CBR） is an important reasoning technique of expert system. In this paper, the authors introduce CBR to intelligent early-warning support system, which could warn quantitatively for enterprise financial crisis and could warn qualitatively by expert＇s knowledge and experience. Furthermore, genetic algorithm is applied to case-based reasoning in CBR-IEWSS, which improves accuracy and efficiency of case retrieval. Last, the structure of CBR-IEWSS is given.