• The Journal of Asian Finance, Economics and Business
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• v.8 no.11
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• pp.47-66
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• 2021

Despite the dominance of the USD as a vehicle currency in non-US trade, most studies on the exchange rate-trade balance relationship ignore its importance. Some recent J-curve papers have proved that incorporating the role of USD as vehicle currency as a crucial determinant of trade balance can well reflect the reality of global trade and provide more detailed findings. Motivated by this new approach and by the fact that USD is substantially used in the trade between China and the EU and the UK, this paper scrutinizes how the vehicle currency USD and the bilateral exchange rates asymmetrically affect China's trade balance with each EU country and the UK. The results of NARDL estimation indicate that the USD models outperform the bilateral exchange rate (BER) models in terms of detecting significant long-run and short-run coefficients, which confirms the usefulness of the new approach. Also, this paper finds that the USD/CNY exchange rate cannot be neglected in China's trade with the EU and the UK, which can supplement China's policies on international trade and foreign exchange management.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.5
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• pp.43-52
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• 2021

This study is the first to scrutinize how real effective exchange rate, together with the vehicle currency exchange rate, asymmetrically influences the total trade balance between ASEAN (Association of Southeast Asian Nations) and the EU (European Union). This research employs quarterly data between 2000Q1 and 2018Q1, which is derived from several sources. We introduce a method for constructing the double-aggregated real effective exchange rate between ASEAN and the EU that captures the roles of all their currencies. Moreover, we propose the formula to compute vehicle currency exchange rate to assess the importance of vehicle currency in ASEAN-EU trade. Additionally, as asymmetrical impacts of exchange rate on trade balance are well documented by current studies, we employ Nonlinear Autoregressive Distributed Lag (NARDL) model of Shin et al. (2014) to analyze the impacts of currency depreciation as well as appreciation in detail. The findings confirm the prominence of USD as vehicle currency in ASEAN-EU trade. Both depreciation and appreciation of ASEAN's currencies against USD can foster ASEAN's trade balance in the long run. Short-run asymmetrical impacts as well as J-curve effect are found in the vehicle currency models only. The results are robust for the cases of EU-28 and EU-27.

• Journal of the Korea Society of Computer and Information
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• v.10 no.6 s.38
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• pp.287-298
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• 2005

In this local self-government era, in order to achieve real local decentralization, it is guaranteed to establish self-finances of certain administration level. Nowadays Local equalization scheme is carried out for insuring regional equal development and efficiency and effectiveness of administration and for solving vertical horizontal problem of unequal finance in local government. Local equalization scheme is the system to guarantee the financial source so that all local self-governing organizations can obtain national minimum standard while correcting the unbalance of finance and maldistribution of tax revenue source between regions. This paper presents the directions of improvement so that national subsidy and local tax can contribute to the finance balance of local self-governing organization in the uncertainties of future finance with weak financial ability. Consequently, it is required to operate the system according to balance principle by adjusting the operation form and distribution type such as national subsidy and local tax.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.75
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• pp.117-136
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• 2017

Trade finance services have been played an important role in the Korea trade development history since 1960's. These days the trade environment is confronted by the 4th Industrial revolution and new trade protectionism. So we need to improve the Korea Trade Finance Services in order to improve Korea trade volume. Bank of Korea(BOK) also revised the Rule of Korea Trade Finance in 2014 and enlarged the trade fund for commercial banks where they handle the trade finance to small and medium enterprises(SME) in 2016. This article handle the current state and problems of Korea trade finance services and suggest the improvement measures as follows; First, the commercial banks, which handle trade finance fund, should improve the customs and practice of judge loan for SMEs. Second, the export volume counting rule for trade loan should harmonize between BOK's Rule and Foreign Trade Management Regulation under the Foreign Trade Act. Third, the processing trade and intermediate trade also can use the trade finance like other trade. Fourth, Trade finance should be in balance between export and import finance to defend the new protectionism. It means that the trade finance should expand to import in the certain conditions. Lastly, the related trade promotion agencies and their employees should improve their skills and abilities for handling trade finance.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.12
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• pp.63-72
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• 2020

Shadow banking in China has been growing rapidly; banks use wealth management products aggressively to evade regulatory constraints. The loan-to-deposit ratio or LDR targets both sides of the balance sheet; loans in terms of asset-side, and deposits in terms of liabilities-side; banks needed to control and maintain both sides. Regulators restricted Chinese banks to maintain a 75% limit for their loan-depositratio. Banks' needed to either lower their loans or increase the deposits; WMPs helped banks to evade this limit. Banks issue more WMPs to control and manage a 75% statutory ceiling LDR. This WMPs-LDR positive association disappeared post-2015 period. This study empirically examined how Chinese banks use WMPs issuance to avoid regulatory constraints. Quarterly panel data for 30 top Chinese banks were used by analyzing pre-2015 (during the 75% LDR limit) and post-2015 (after removal of the LDR limit). This study also performed fixed-effects model as recommended by the Hausman specification test, with feasible generalized least squares FGLS estimation technique. The results of this study show that for the pre-2015 period, Chinese banks use issuance of WMPs aggressively to manage their LDR limit; this WMPs-LDR relationship disappeared post-2015 period. Moreover, SMBs use WMPs more eagerly as compare to Big4 banks.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.5
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• pp.37-41
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• 2021

This study aims to investigate the relationship between the exchange rate and Trade Balance. Trade Balance is used as the dependent variable, and the independent variables are Exchange Rate, Gross Domestic Product, and Inflation. Augmented Dickey-Fuller unit root test was adopted to test the stationary property of time series data, Auto Regressive Distributed Lag model was employed to find the long run and short-run relationship and long-run adjustment, Bound test approach, the unrestricted Error Correction Model and Granger Causality Test are used to analyze the data from 1977 to 2019. The research findings suggest that inflation has a positive impact on the trade balance in the short run. The exchange rate and the Gross Domestic Product have adverse effects on Trade balance in the long run. The coefficient of ER in the previous year is negative, and the coefficient of TB in the previous year is positive and significant. This is consistent with the J-Curve phenomenon, which states that devaluation may not improve trade balance in the immediate period, but will significantly impact the trade balance improvement in subsequent periods. Hence Marshall Lerner Condition exists in Sri Lanka.

• The Journal of Asian Finance, Economics and Business
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• v.5 no.3
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• pp.103-112
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• 2018

While the number of women labor force in Malaysia is increasing, only a few of them make it to the top. For many reasons, some women turn down top position offer and some of them refuse to stay working. Commitment to the family, work-life conflict and lack of support from the family and the colleagues are among issues that caused women to have less interest to pursue career advancement. This article examines the role of work-life balance and its relationship to women career advancement, and why both are important in Malaysia. The arguments are arranged based on a review of the previous literature to conceptualize the relationship between work-life balance and career advancement. It is found that both work-life balance and women career advancement are important to retain women in the working world as well as to motivate them to pursue promotion to a higher position. Even though some researchers agreed that the relationship between work-life balance and career advancement is mostly negative, others found positive relationship between both constructs. At the end of the paper, some suggestions on how to improve work-life balance and career advancement are presented as well as suggestion for future research.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.10
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• pp.339-345
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• 2020

Human resource is considered as an important resource that enables organizations to achieve competitive advantage. As such, it is important to have engaged employees to drive the strategic objectives of the organization. The study focuses on variables that can promote employee engagement. Work-life balance and employee engagement have received attention in both academia and practice. Engaged employees are crucial in the achievement of the strategic objectives of organizations. Besides, the role of religious orientation in life and work has been gaining attention from management scholars. The paper attempts to fill the research gap by developing a conceptual model and propositions for empirical testing. Specifically, the study proposes that work-life balance is expected to act as a mediator in the relationship between religiosity and employee engagement. Furthermore, religiosity is included as a moderator since religious belief can strengthen the positive relationship between work-life balance and employee engagement. A systematic literature review was carried out. A framework and propositions for future studies have been developed. The proposed framework provides direction for scholars to empirically test the indirect relationship between work-life balance, religiosity and employee engagement. Empirical testing of the framework could provide insights into how work-life balance and religiosity promote employee engagement.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.10
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• pp.49-59
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• 2022

This paper examined the impact of real exchange rate volatility on trade balance in Malaysia by using quarterly data from year 2000 until 2019. Generalized Autoregressive Heteroscedasticity (GARCH) model was used to extract the volatility component of real exchange rate before examining its impact on trade balance. Furthermore, Autoregressive Distributed Lag (ARDL) model was used to investigate the long-run relationship and short-run dynamic between trade balance, money supply, national income and volatility of exchange rate. Empirical results show the existence of co-movement between variables under study in the long-run. However, the results also suggest that volatility of real exchange rate does not significantly affect trade balance neither in the long-run nor short-run. The risk which is associated in the movement of exchange rate do not influence trader's behaviour toward Malaysia exports and imports. Thus, it should be note that any depreciation or appreciation in Malaysian Ringgit do not have an impact towards trade balance either it is being further improved or deteriorates. Hence, exchange rate volatility may not be too concern for policymakers. This may be partially due to manage floating exchange rate regime that has been adopted by Malaysia eventually eliminated the element of risk in the currency market.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.10
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• pp.443-450
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• 2020

This study aims to add insight into the effectiveness of e-training, e-leadership, work-life balance, and work motivation on millennial generation employees' performance in today's work life amid the outbreak of the COVID-19 pandemic that requires to work more online. Unlike previous generations, millennials are technology-literate, intent on succeeding quickly, give up easily, and seek instantaneous gratification. The population in this study are millennial generation employees at one of Honda motorcycle dealers in Jakarta, Indonesia. The number of samples collected was 200. The sampling technique used is the side probability method, with proportional random sampling technique. The research method used is an associative quantitative approach through survey methods and Structural Equation Modeling. Data were collected through questionnaires distributed to millennial generation employees, with results then processed through the Lisrel 8.5 program. The results of this study show, first, that e-training, e-leadership, and work-life balance have positive effect on work motivation. Second, e-training, e-leadership, work-life balance, and work motivation have positive effect on employees' performance. The findings indicate that companies must pay attention to the factors of e-training, e-leadership, and work-life balance to keep employees motivated and to maintain optimal employee performance, especially during the COVID-19 pandemic through working online.