• KDI Journal of Economic Policy
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• v.12 no.2
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• pp.95-120
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• 1990

The underpricing of new shares of a firm that are offered to the public for the first time (initial offerings) is well known and has puzzled financial economists for a long time since it seems at odds with the optimal behavior of the owners of issuing firms. Past attempts by financial economists to explain this phenomenon have not been successful in the sense that the explanations given by them are either inconsistent with the equilibrium theory or implausible. Approaches by such authors as Welch or Allen and Faulhaber are no exceptions. In this paper, we develop a signalling model of capital investment to explain the underpricing phenomenon and also analyze the efficiency of investment. The model focuses on the information asymmetry between the owners of issuing firms and general investors. We consider a firm that has been owned and operated by a single owner and that has a profitable project but has no capital to develop it. The profit from the project depends on the capital invested in the project as well as a profitability parameter. The model also assumes that the financial market is represented by a single investor who maximizes the expected wealth. The owner has superior information as to the value of the firm to investors in the sense that it knows the true value of the parameter while investors have only a probability distribution about the parameter. The owner offers the representative investor a fraction of the ownership of the firm in return for a certain amount of investment in the firm. This offer condition is equivalent to the usual offer condition consisting of the number of issues to sell and the unit price of a share. Thus, the model is a signalling game. Using Kreps' criterion as the solution concept, we obtained an essentially unique separating equilibrium offer condition. Analysis of this separating equilibrium shows that the owner of the firm with high profitability chooses an offer condition that raises an amount of capital that is short of the amount that maximizes the potential profit from the project. It also reveals that the fraction of the ownership of the firm that the representative investor receives from the owner of the highly profitable firm in return for its investment has a value that exceeds the investment. In other words, the initial offering in the model is underpriced when the profitability of the firm is high. The source of underpricing and underinvestment is the signalling activity by the owner of the highly profitable firm who attempts to convince investors that his firm has a highly profitable project by choosing an offer condition that cannot be imitated by the owner of a firm with low profitability. Thus, we obtained two main results. First, underpricing is a result of a signalling activity by the owner of a firm with high profitability when there exists information asymmetry between the owner of the issuing firm and investors. Second, such information asymmetry also leads to underinvestment in a highly profitable project. Those results clearly show the underpricing entails underinvestment and that information asymmetry leads to a social cost as well as a private cost. The above results are quite general in the sense that they are based upon a neoclassical profit function and full rationality of economic agents. We believe that the results of this paper can be used as a basis for further research on the capital investment process. For instance, one can view the results of this paper as a subgame equilibrium in a larger game in which a firm chooses among diverse ways to raise capital. In addition, the method used in this paper can be used in analyzing a wide range of problems arising from information asymmetry that the Korean financial market faces.

• International Journal of Computer Science & Network Security
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• v.22 no.7
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• pp.57-64
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• 2022

This scientific article is devoted to the study of the legal significance of such a category of legal status of the purchaser of another's thing, as its good faith. The essence of this phenomenon has been studied, it has been established that the criterion of good faith attaches significant importance to the claims of the participants of these relations for the acquisition or preservation of private property rights. The paper emphasizes that, in addition to the importance of good conscience at the time of possession of another's thing, which gives legal certainty the possibility of registration of the title and is part of the actual composition for the acquisition of property or the right of ancient possession, bona fides also characterizes the behavior of the occupier. In this case, good conscience only has some legal consequences when it is opposed to subjective law. Under such conditions, it acquires direct legal significance, including as a condition for the acquisition and protection of rights. Good faith possession of another's property is an internal indicator of the subject's awareness of a certain property status. This sense, the article assesses this status from the standpoint of the scientific concept of the visibility of law. According to this theory, prescription is also considered as a consequence of the appearance of law, however, because it arises and lasts against the will of the parties and despite their awareness of this fact. Therefore, bona fide continuous and open possession of property as one's own, during the acquisition period, was most significantly associated with the appearance of property. Therefore, the concept of good faith, in the sense of personal perception of real values, is closely related to the principle of protection of the appearance of law, as it is aimed at understanding it by third parties. The paper notes certain differences in the application of the theory of the appearance of the right in the acquisition of property by a bona fide purchaser from an unauthorized alienator and the acquisitive prescription. It is emphasized that such a mechanism must be used in presuming the attitude to the thing as its own, by the holder of movable property. But there should be exceptions to the rule, in particular, if the owner has grounds for vindication of the thing.

• Journal of the Korean Institute of Landscape Architecture
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• v.35 no.6
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• pp.21-28
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• 2008

This study deals with the participatory design process of renovating a children's park. The process should proceed with two major elements. Firstly, the children's park should be designed from the perspective of children. Secondly, it should be designed in consideration of the context of the community. This study is divided into two parts. First is the review of theory concerning the meaning and roles of the children's park as a community space, the importance of children's participation in the design and the participatory method of the children. The second is the case study. The site for the case study is Ssial Park in Nowon-Gu, Seoul. The entire process of the case study is with community participation, from identifying the park's problems to the actual construction. At every step, through the participatory programs, the community participates in the decision making. In addition, mutual understanding among participants is pursued through diverse means of communication. The following results of the case study were found. Firstly, diverse participatory programs and the active trial to enable the community to communicate contribute to the sense of ownership and responsibility concerning the park Secondly, the community can negotiate the differences in opinions without needing the help of experts. Of course, there are limits in the case study, such as the fact that the community organization, which is the core of communication and maintenance concerning the park, is not organized through the process of a case study. Another is that more diverse methods, which inform all community members of the participatory process, should have been used.

• Korean Journal of Health Education and Promotion
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• v.25 no.1
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• pp.83-104
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• 2008

Objectives: Community-Based Participatory Research (CBPR) is a kind of health promotion approach to increase social cohesion and sense of community, which has built the collaborated partnership in all phases. This has the co-ownership of research objectives and knowledges produced by residents, and the outcome was taken to enhance community empowerment. This study performed to embody CBPR, which had regulated collective health status approached by social epidemiology. Methods: Reference review had been exercised focused on CBPR books and papers published since 1990. Our interests were aimed at its paradigm and methodological issues. Particularly, we problematized its feasibility in the social and behavioral foundations of pubic health. Results: According to the review, CBPR shared critical understanding and decision-making related to their community development including health status. Therefore, it was strength-based approach in spite of scientific dichotomy. CBPR created social cohesion and community empowerment with all participants, because it sublated contradiction between subjectivism and objectivism. Conclusions: The success of CBPR needs what we so called trust, democracy, collaboration, devotion, and consensus of equity. Despite these factors, CBPR may be a methodological transition to prepare some intervention of health inequality. This is because it does emphasize a mixture of theory and praxis to manage vulnerable people in community.

• The Journal of the Korea Contents Association
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• v.11 no.7
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• pp.366-373
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• 2011

This study aims to present basic directions and implications of the organizational culture and job performance by analysis of the causal path between the variables acknowledging the important role of the organizational satisfaction on the assumption that the organizational culture which is developed for improvement of the revenue officer's job performance by the taxation organization. In the results of analysis, the clan culture, hierarchy culture and market culture except the culture of innovation have positive effects on the organizational satisfaction, and the higher the organizational satisfaction, the higher efficiency of the performance of the tax administration affairs become, so the job performance becomes increase. This can be the results that the characteristics of the tax organizational culture which conducts the taxation administration affairs by the clan culture which is hierarchical and emphasizes the business performance through teamwork, and the market culture which emphasizes the results reflect the job performance. Therefore, the organizational culture that develops sense of ownership and being performed autonomously and responsibly should be created in order to increase the competitiveness in the organizations and to increase the job performance efficiently by the members of the organization to have worthwhile feeling.

• Journal of the Korean housing association
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• v.19 no.5
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• pp.93-102
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• 2008

In Korea, a movement for forming intentional communities is gathering people's interests to improve individualistic living environment, and to create a humanistic lifestyle. However, it is difficult to say if its management is successful or not, because intentional community is just in the experimental stage in Korea. The purpose of this study is to identify actual condition of residents' participation in forming process, shared activities in their daily lives, residents' regulation, common facilities and its management in order to offer basic information for revitalization of intentional communities in Korea. 7 intentional communities including eco-friendly villages, religious communities and a cooperative housing community were collected as the study objects. Upon analysis, those communities were divided into two groups according to their purpose of establishment; "HC (Housing-life focused Community includes cooperative housing community and eco-friendly community)" and "IC (Ideology focused Community includes ideology community and religious community)" in order to identify difference in residents' participation between the two groups. In-dept interviews with representatives of 7 intentional communities by a structured questionnaire were used as study method. The findings of this study are as follows; In general, more active residents' participation is identified in ICs than in HCs. There is no common house, which is considered as essential in intentional community, in HCs, while it was facilitated in all ICs. Role of leader seems more important in ICs than in HCs. About the ownership of housing and land, private owned is common in HCs, while community owned is common in ICs. Shared activities and residents' regulations are evidently less in most HCs than in ICs. Furthermore, in order to run a community sustainable, it is crucial to encourage sense of community among residents, and developing common house and activity programs. Common house design, which can promote proactive residents' participation in shared activity should be studied fitted to Korean circumstances. Above all, proactive participation in the shared activities is one of the most important factors in intentional community.

• Human Ecology Research
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• v.61 no.3
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• pp.389-399
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• 2023

Sustainable fashion products have different characteristics from typical fashion products. Therefore, this study focuses on shoes while exploring the expansion and development of sustainable fashion consumption as well as consumers' perceptions of the sustainability approaches practiced by shoe companies. In-depth interviews were conducted with 24 consumers, who had purchased sustainable shoes, in order to understand their purchase decision-making process and consumption characteristics, using the seven stages of the EBM model. In the "need recognition" stage, the survey participants' social background and family influences were categorized as macro factors, while their personal background influences were categorized as micro factors. In the "evaluation of alternatives" stage, participants reconfirmed whether or not to make a purchase based on the product's properties, such as price, brand value, and offered services. In the "purchase" stage, participants' purchase channels were determined according to their preferences as well as the selection pattern they followed until the final purchase within the chosen channel. In the "consumption" stage, the start of product ownership coincides with the start of using the products after making a purchase. In the "post-purchase assessment" stage, higher positive experiences led to a higher repurchase intention of sustainable shoes, while negative experiences caused participants to defer consumption and made them experience a sense of guilt for failing to consume sustainably. During the "post-purchase behavior" stage, which focused on the categories that the customers prioritized, many participants spread information about sustainable fashion to specific individuals through active online WOM behavior.

• Korean Security Journal
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• no.10
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• pp.243-272
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• 2005

All measures related to the safety of the casino facilities guarantee safety of facilities that are targets of security guards, protect lives and properties, minimize risks of artificial and natural disaster and crimes. In summary, plan for responding to safety and accidents should be developed not only for the casino facilities but also for the facilities of annexed buildings, and lives and properties of customers and employees. Determine areas in the casino facilities that are prone to accidents and set around-the-clock guard in the areas or maintain surveillance with CCTV and prevent accidents through continuous patrol. These are the most basic and the most important requirements in safety. In addition, casinos which prompt gambling are causing economic and psychological treats to families. To resolve these social issues, casinos have adopted limited entrance system. To support this system, new forms of machine security systems such as video automatic recognition system of fingerprint pattern recognition system should be adopted too. In addition, security guards in casino facilities need to instill themselves with a sense of ownership as well as a strong sense of mission to do the best for customer security and to protect the company assets and employees and manage accidents that could occur without notice. Security guards should do their best to enable manage accidents that could occur without notice. Security guards should do their best to enable tourists who are on the rise due to increase in advanced country-style tourism and leisurely activities to get the utmost satisfaction from the casinos, and as a leader of private security company, establish the foundation for security based on the characteristics of security in Korea.

• International Commerce and Information Review
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• v.15 no.1
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• pp.97-116
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• 2013

The environmental problems such as global climate chage, global wamning, ozone depletion, environmental pollution have been caused by the rapid economic growth, increasing in use of fossil fuels for industralization and scientific technology development. Between Environmental Preservation and Economic Development, the new paradigm, "Sustainable Development" is presented to the world now. To achieve global environmental objectives, some multilateral envrionment mental agreements includes trade regulation. However Kyoto Protocol has no provisions to regulate trade and is not in force yet. By the effectuation of the Kyoto Protocol, Korea will be faced very serious situation because of her high Dependency on Foreign Trade and Fossil Fuel- intensive Industries. We must be able to gain a sense of ownership in the out come of the WTO/CTE discussions by contributing meaningfully to the creation of a constructive relationship between Trade and Environment concerns.

• Journal of the Korean Institute of Rural Architecture
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• v.13 no.2
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• pp.1-8
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• 2011

Due to rapid decrease in population of farming and fishing villages and drain of young rural manpower to the cities, aging is being intensified, and the conditions of housing and welfare of elderly households are inadequate. Currently, group home is being discussed as part of specialized housing and welfare support policy for the people in the vulnerable class with poor self-supporting abilities such as the aged living alone in farming and fishing villages, and aged farming and fishing households. So the purpose of this research is to present the basic data for proposing the policy of supplying group home through examining the realities of housing and welfare of the people in the vulnerable class in farming and fishing villages. Survey was conducted on the 4 regions -Cheonan-si, Gongju-si, Yesan-gun, and Seosan-si - whose apartments were all occupied by the residents among the group homes for the elderly living alone in Chungcheongnam-do and the following results were derived from the analysis on the data collected from the survey. First, great effects can be attained at small costs by reorganizing and utilizing the public facilities that are unused or little used and the existing houses that are exposed to risks due to improper maintenance. Second, it can be pointed out that the residential environment of the vulnerable members of society was improved without impairing the existing village landscape. Third, housing welfare was enhanced without investing a large sum of money and the system to promptly cope with negligent accidents and emergency can be built and operated. Fourth, the cases promoted to solve the problems of the poor, unhygienic, and unsafe housing of the elderly and the vulnerable members of society were very positive and well worthy of being presented as planning direction of future group homes in farming and fishing villages. Finally, if they are operated entirely for free, it will cause the lack of the sense of ownership and the problems in securing the budget, so the ways of paying minimum individual housing expenses should be examined. The alternatives of housing welfare for the vulnerable members of farming and fishing villages are needed and the ways of constructive planning and researches should be continuously made. Also, the government's support policy should be actively promoted.