For a sample comprising 36,105 U.S. firm-year observations from 1985 to 2008, we find that firms located in more religious counties enjoy cheaper equity financing costs. This result is robust to a battery of sensitivity tests, including alternative assumptions and model specifications, additional controls for noise in analyst forecasts, and various approaches to addressing endogeneity. In another set of tests, we find that the equity pricing role that religion plays comes predominantly from Mainline Protestants. We also document that the effect (...) of religiosity on firms’ cost of equity capital is larger for firms (periods) lacking alternative monitoring (regulation) mechanisms as measured by lower institutional ownership (the pre-SOX era), implying that religion plays a corporate governance role. Finally, we find that the importance of religion to equity pricing is concentrated in firms that suffer lower visibility, which tend to be more sensitive to local social and economic factors. By examining the links between religiosity and valuation at the firm level, we provide strong, robust evidence supporting the perspective that religion facilitates economic development. (shrink)

We examine how corporate environmental responsibility affects the cost of equity capital for manufacturing firms in 30 countries. Using several approaches to estimate firms’ ex ante equity financing costs, we find in regressions that control for firm-level characteristics as well as industry, year, and country effects that the cost of equity capital is lower when firms have higher CER. This finding is robust to addressing endogeneity through instrumental variables, to using alternative specifications and proxies for the cost of equity capital, (...) and to accounting for noise in analyst forecasts. We conclude that investment in CER reduces firms’ equity financing costs worldwide. (shrink)

Recent research suggests that collectivism breeds corruption in bank lending. This finding, together with the stickiness of culture, poses a direct challenge to economic growth in collectivist societies. In this paper, we address this grim outlook by examining the types of firms that are susceptible to the detrimental effect of collectivism on lending integrity and the formal institutions that can help alleviate such effect. We find that the adverse effect of collectivism on bank corruption is more severe in small and (...) medium-sized firms, privately owned firms, and non-exporting firms, while it is considerably weaker in countries with more effective private monitoring, a higher fraction of foreign-owned banks, a more competitive banking sector, better information sharing, and stronger legal and political institutions. Our findings are robust to using alternative measures of collectivism and alternative dependent variables. These results highlight how firm-level characteristics and formal institutions interact with collectivism in affecting firms’ access to bank credit. (shrink)

This study provides evidence on the relationship between corporate social responsibility and firms’ credit ratings. We find that credit rating agencies tend to award relatively high ratings to firms with good social performance. This pattern is robust to controlling for key firm characteristics as well as endogeneity between CSR and credit ratings. We also find that CSR strengths and concerns influence credit ratings and that the individual components of CSR that relate to primary stakeholder management matter most in explaining firms’ (...) creditworthiness. Overall, our results suggest that CSR performance conveys important non-financial information that rating agencies are likely to use in their evaluation of firms’ creditworthiness, and that CSR investments—particularly those that extend beyond compliance behavior to reflect what is desired by society—can lead to lower financing costs resulting from higher credit ratings. (shrink)

This study provides novel evidence of the impact of corporate social responsibility (CSR) on investment sensitivity to cash flows. We posit that CSR affects investment–cash flow sensitivity (ICFS) through information asymmetry and agency costs, commonly viewed as the two channels through which investment responds to the availability of internal cash flows. We find that CSR performance leads to a decrease in ICFS. We further find that ICFS decreases (increases) when CSR strengths (concerns) increase. Finally, we find that the effect of (...) CSR on ICFS is driven by the areas Community, Diversity, and Human Rights. In sum, the findings of this study stress the relevance of CSR—in particular, of CSR activities that extend beyond compliance behavior and reflect what is desired by society—in reducing market frictions and improving firms’ access to financial capital. (shrink)

Prior research suggests that the media plays an important information intermediary role in capital markets. We investigate the role of the media in influencing firms’ engagement in corporate social responsibility activities. Using a large sample of 4396 unique firms from 42 countries over the period 2003–2012, we find strong evidence that firms engage in more CSR activities if located in countries where the media has more freedom. This relation is robust to using various proxies for media freedom, an alternative source (...) of CSR data, and to applying the instrumental variables approach to address endogeneity. In additional analyses, we find that the positive relation between media freedom and CSR engagement is stronger for better governed firms and for larger firms. Since the media have the ability to impact reputational capital, we conclude that media freedom affects firms’ incentives to engage in costly CSR activities. (shrink)

The disclosure of corporate environmental performance is an increasingly important element of a firm’s ethical behavior. We analyze how the legal origin of foreign institutional investors affects a firm’s voluntary greenhouse gas emissions disclosure. Using a large sample of firms from 36 countries, we show that foreign institutional ownership from civil law countries improves the scope and quality of a firm’s greenhouse gas emissions reporting. This relation is robust to addressing endogeneity and selection biases. The effect is more pronounced in (...) firms from non-climate-sensitized countries, for which the gap between firms’ environmental standards and investors’ environmental targets is potentially larger, and in less international firms. Firms with a higher level of voluntary greenhouse gas emissions disclosure also exhibit higher valuations. (shrink)

Using a large sample of 3,040 U.S. firms and 16,606 firm-year observations over the 1991–2010 period, we find strong evidence that firm internationalization is positively related to the firm’s corporate social responsibility rating. This finding persists when we use alternative estimation methods, samples, and proxies for internationalization and when we address endogeneity concerns. We also provide evidence that the positive relation between internationalization and CSR rating holds for a large sample of firms from 44 countries. Finally, we offer novel evidence (...) that firms with extensive foreign subsidiaries in countries with well-functioning political and legal institutions have better CSR ratings. Our findings shed light on the role of internationalization in influencing multinational firms’ CSR activities in the U.S. and around the world. (shrink)

This study provides novel evidence of the impact of corporate social responsibility (CSR) on investment sensitivity to cash flows. We posit that CSR affects investment–cash flow sensitivity (ICFS) through information asymmetry and agency costs, commonly viewed as the two channels through which investment responds to the availability of internal cash flows. We find that CSR performance leads to a decrease in ICFS. We further find that ICFS decreases (increases) when CSR strengths (concerns) increase. Finally, we find that the effect of (...) CSR on ICFS is driven by the areas Community, Diversity, and Human Rights. In sum, the findings of this study stress the relevance of CSR—in particular, of CSR activities that extend beyond compliance behavior and reflect what is desired by society—in reducing market frictions and improving firms’ access to financial capital. (shrink)

There is no doubt that custard apple diseases are among the important reasons that destroy the Custard Apple plant and its agricultural crops. This leads to obvious damage to these plants and they become inedible. Discovering these diseases is a good step to provide the appropriate and correct treatment. Determining the treatment with high accuracy depends on the method used to correctly diagnose the disease, expert systems can greatly help in avoiding damage to these plants. The expert system correctly diagnoses (...) Custard Apple disease to make it easier for farmers to find the right treatment based on the appropriate diagnosis. Objectives: A specialized syllable language system was established for the diagnosis of Custard Apple plant disease. (shrink)

A mass balance based model has been derived to represent the dynamical behavior of the ecosystem contained in an anaerobic digester. The model considers two bacterial populations: acidogenic and methanogenic bacteria. It forms the basis for the design of a software sensor considering both a model of the biological system and on-line gaseous measurements. The software sensor computes the concentration of inorganic carbon and volatile fatty acids (VFA) in the digester. Another software sensor is dedicated to the estimation of the (...) bacterial biomasses. The predictions of the software sensors for a real experiment are very close to the actual off-line measurements. The software sensors monitor the accumulation of VFA and thus very early detect a destabilization of the digester due to overloading. The presented methodology demonstrates the usefulness of advanced monitoring techniques for an improved understanding of the internal working of a biological system. (shrink)

The authors of the Samnyāsa Upanisads, manuals of ascetic lifestyle and practice, recommend that wanderers renounce behavioral standards of their formerly Brahmin householder life, including ritual purity and familial duties. Patrick Olivelle argues that these ascetics are thereafter considered impure and corpse– or ghoul–like, clearly lacking in dharma. However, these Upanisads counsel pursuing mental purity and moral behavior, and modeling oneself after the perfection of the Absolute. This essay investigates ascetic notions of purity and identity, and virtues such as (...) non–violence and kindness cultivated in forest isolation. Is ascetic dharma universal in intent, and is it conceptually opposed to householder dharma? What type of ethics is admired by the authors, what type deprecated? Olivelle’s position is reevaluated, as is Jeffrey Kripal’s notion that monistic mysticism does not support ethics adequately. (shrink)

The authors of the "Saṃnyāsa Upaniṣads", manuals of ascetic lifestyle and practice, recommend that wanderers renounce behavioral standards of their formerly Brahmin householder life, including ritual purity and familial duties. Patrick Olivelle argues that these ascetics are thereafter considered impure and corpse- or ghoul-like, clearly lacking in dharma. However, these Upanisads counsel pursuing mental purity and moral behavior, and modeling oneself after the perfection of the Absolute. This essay investigates ascetic notions of purity and identity, and virtues such as (...) non-violence and kindness cultivated in forest isolation. Is ascetic dharma universal in intent, and is it conceptually opposed to householder dharma? What type of ethics is admired by the authors, what type deprecated? Olivelle's position is reevaluated, as is Jeffrey Kripal's notion that monistic mysticism does not support ethics adequately. (shrink)

E. T. A. Hoffmann is one of the most famous representatives of early German horror literature. He has been both, inspired by its predecessors, as well as having influenced the work of many of his successors, and hence the development of the whole genre. The present article examines a story by E. T. A. Hoffmann, “Vampirismus” from the collection of short stories “Serapions Brüder”. Emphases are, on the one hand, on the mechanisms that cause readers’ fear and uncertainty and, on (...) the other hand, the peculiarity of the vampire or Nachzehrer figure and their function in the story. Firstly, it will be shown that the vampire depicted in the work is not actually a vampire. We find here a ghoul; that is a demon from Arab culture. However, the ghoul has more to do with the monster outlined by Antoine Galland in his translation of the “One Thousand and One Nights” than with traditional folk beliefs. Secondly, the author comes to the conclusion that Hoffmann has functionalized the Horrible. This element does not work by itself, but serves the author as the background of the action. And he is using this background to let the characters reveal all their weaknesses and dark sides. The violation of the order ruling in the world as it is represented engages the reader and at the same time raises his fear. The resulting excited feelings and general alienation are further reinforced for the figure of the Nachzehrer that occurs instead of a formerly innocent, graceful girl. The emergence of the supernatural – the final confirmation of the breach of order – is responsible for the effect just described. (shrink)

Like most religions, the Buddhist tradition is rich in stories that are designed to illustrate key principles and values. Stories of the Buddha himself offer a verbal portrait of an ideal human being that followers of the tradition can aspire to emulate; his story offers a picture of a person with a perfectly healthy mind. Stories of other people (and of gods, ghosts and ghouls) portray a wide range of beings from the nearly perfect to the dreadfully imperfect, all presented (...) as models of what one could eventually become oneself through gradual transformations from one’s present mentality. In what follows, I shall first tell a brief story about myself and will then recount the stories of two men who were cousins with similar but importantly different mentalities. And I shall conclude with a few observations about what I see as the significance of the difference between these two cousins. (shrink)

It is almost impossible to fully understand the spirituality of the Ukrainian people, their mental features without a detailed study of the pagan - the basis of the consciousness of our ancestors, in particular archaic ideas about the infinite existence in the sacred tribal community. The belief in eternity, the infinity of human being, in the sacred connection between dead ancestors and living descendants has existed in our ancestors for millennia and arose long before the "birth" of pagan gods. It (...) is no coincidence that, several centuries after the introduction of Christianity, national scribes became confused in the names of several former pagan Eastern Slavic deities. The pagan beliefs and ordinances associated with the worship of the dead ancestors: - Births and births, carnations and ghouls - were preserved in the national environment until almost the sixteenth century. (shrink)

Using U.S. Department of Justice data on state-level political corruption, we find that, consistent with the Harmful Corruption Environment Hypothesis (HCEH), firms situated in states with higher levels of corruption incur higher costs of equity (CoEs). These results are robust for additional controls, propensity score matching, use of instrumental variables, exogenous shocks, and alternate measures for main dependent and primary independent research variables. Our study extends the stream of literature that investigates the influence of local ethical or trust factors on (...) CoE and complements works by El Ghoul and colleagues and Gupta and colleagues. (shrink)

On the young bride’s shoulder is a mauve bite mark: the outline of a mouth, a double arch,teeth marks, open jaws, lips raised up over hard enamel. Not the barely open lips of a kisson the skin; open, rather, as for a kiss on the mouth, but this time penetrating the skin: abristling kiss with the teeth bared, extreme – at the limit of the kiss, or beyond. A cruelkiss: a kiss of flesh . A young couple kisses in a (...) plane: the beginning ofthe film. Later we will see this icon, not knowing when it was imprinted, like a tattoo or abranding with the red hot iron of some ancient justice.What is a kiss? This is the question posed by Claire Denis’s film. Or rather: what isfucking?2It has long been accepted and repeated that kissing is a kind of devouring. Itbelongs to a core of imagery and metaphor that includes fairy tales , the fascination with cannibalism, the symbolism of Christian communion andthat of the lacerations of Dionysos, Osiris or Acteon, together with ghouls, striges andvampires, werewolves, incubi and succubi. This entire carnivorous breed is concealedwithin the film. It is recalled in its entirety, evoked by the gesture of Coré, the sick woman, standing on a bank, filmed from a low angle raising her coat aboveher shoulders to bring to mind for a moment the silhouette of Murnau’s Nosferatu.The vampire’s true formula is only revealed when one says ‘the kiss of the vampire’.That is what is at stake here, allowing for the fact that we are no longer in the era ofvampire stories: the kiss as vampire.It is not a question of any particular kiss, but rather that the kiss, in itself, opens on to the bite, and the taste of blood. And consequently it is a question of another wellknown coupling, that of Eros and Thanatos: not in a dialectic of opposites, but in a mutualexcitation and exasperation, each asking the other to go further, to go all the way to theend, to get completely lost. (shrink)

Conceptually, entrepreneurship is seen as the engine that drives a robust economy, promotes a favorable quality of life, and assures the availability of the attributes needed for meaningful living. However, like many popular concepts in this world, its limitations are normally not well acknowledged. A grouping of entrepreneurial ventures which has recently come into existence deals with the personal fiscal issues associated with the end-of-life phase of the human cycle. While generally praised as humanitarian services for society, that are assuredly (...) within legal bounds, these activities have potentially significant negative implications. When examined from an ethical perspective, some questionable practices became apparent. Three such undertakings in particular have to do with the terminally ill and are examined in this paper. The first, viatical transactions, is defined as the transfer of a life insurance policy's ownership to someone who does not have an insurable interest in the life of the insured individual. The second, creative tax shelters for wealthy people involved in estate planning, involves hiring unrelated parties, particularly those who are young and in failing health, to do the dying for the principal. The third, mind games, involves curtailing the use of medical resources for the dying. The justification for this is rationing scarce medical resources. (shrink)