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on Payment Systems and Financial Technology |
| By: | Darrell Norman Burrell (University of Maryland School of Pharmacy, Baltimore, MD, USA; Marymount University, USA) |
| Abstract: | This study examines the convergence of cyberpsychology and criminal psychology in whaling attacks at XXO University, where faculty received phishing emails impersonating senior leaders to solicit sensitive information. Unlike general phishing, whaling attacks are tailored to exploit authority bias and organizational trust, targeting specific high-ranking individuals to access confidential data. The inquiry highlights how psychological manipulation underpins these attacks, using techniques that circumvent technical safeguards by leveraging human behavior and cognitive biases. With spear phishing responsible for 95% of successful network breaches and 65% of targeted attacks, these tactics underscore a critical gap in traditional cybersecurity measures that focus solely on technical defenses without addressing psychological vulnerabilities (Reed 2022; Avery 2023). The investigation further reveals the escalating costs and operational risks posed by these attacks, as companies face over 700 social engineering attempts annually, averaging $14.8 million in losses for larger organizations (Reed 2022). Whaling and spear phishing is especially potent within hierarchical structures like universities, where authority compliance is ingrained. This study underscores the need for a cybersecurity framework that integrates behavioral insights, aiming to develop organizational resilience against social engineering by addressing both cognitive and technical vulnerabilities. |
| Keywords: | Whale Phishing, Spear Phishing, cyberpsychology, criminal psychology, Authority-Obedience Theory, Social Engineering, Compliance Theory, Shattered Assumption Theory |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0465 |
| By: | Horace C. Mingo (Marymount University, Arlington, United States) |
| Abstract: | The increasing frequency and sophistication of cyberattacks have exposed organizational systems to significant vulnerabilities. However, much of the current research remains focused on technical solutions. This study addresses this gap by examining how organizational behaviors, internal complexities, and leadership dynamics can exacerbate or mitigate cybersecurity risk. This study employs a qualitative content analysis approach to investigate how these factors contribute to cyber vulnerabilities. It uses a hypothetical organizational model to simulate real-world cyber incidents, such as ransomware attacks, phishing, data breaches, and insider threats. These findings demonstrate the critical importance of an integrated approach that addresses technical and organizational challenges in enhancing cybersecurity resilience. By focusing on these often-overlooked aspects, this study provides practical insights for organizational leaders and cybersecurity professionals, offering them actionable strategies for improving their cybersecurity posture. Based on our key findings, these strategies can be implemented immediately to bolster organizational cybersecurity. This review article delineates the research methodologies employed, highlights the key findings, and discusses practical strategies to improve organizational cybersecurity. |
| Keywords: | Cybersecurity vulnerabilities, organizational behavior, leadership, human factors, complex adaptive systems |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0468 |
| By: | Patrick Joel Turkson (Methodist University Ghana); Joseph Gyamfi Yeboah (Methodist University Ghana); Doris Anim Yeboah (Ghana Christian University College); Paul Quaisie Eleke-Aboagye (Methodist University Ghana) |
| Abstract: | The study examined mobile money fraud by highlighting the differences in consumer profiles using selected variables (gender, age, educational level, financial status, and knowledge of mobile money fraud). Data was collected from selected parts of the Greater Accra Region and the Eastern Region of Ghana over the period of three months. A convenience sampling technique was employed to select a total of 408 respondents, which constituted the sample size of the study. A 100% response rate was attained. Descriptive statistics, comparing means, and the ANOVA test were employed to analyze the data collected. SPSS version 26 was the statistical tool used for the analysis. The study revealed that males, individuals aged 18–25, those with no formal education, those with poor financial status, and those unaware of mobile money fraud become easy targets for mobile money fraudsters in Ghana. The study concluded that differences in gender, age, educational level, financial status and knowledge of mobile money fraud influence mobile money fraud in Ghana. |
| Keywords: | Mobile money fraud, age, gender, financial status, educational level, Ghana |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0452 |
| By: | Nicoleta-Elena Heghes (Dimitrie Cantemir Christian University of Bucharest; Acad. Andrei Rădulescu Legal Research Institute of Romanian Academy, Romania) |
| Abstract: | The present article proposes a brief presentation of the criminalization rules in Romania that address incidents and provide protection against possible illegal conduct that can be committed online, with reference only to the most common crimes against the person in the online environment. To contextualize the problem that is the subject of this study, preliminary aspects regarding crimes against individuals in general and those likely to be committed online will be presented initially. Subsequently, general considerations will be made regarding the active subject, the passive subject, and the immediate follow-up of the crimes relevant to the matter, as well as procedural aspects. The purpose of this article is to raise an alarm signal and highlight the importance of acts committed in the online environment that could be criminalized from a legal perspective, along with the means available for individuals to protect themselves against potential illicit conduct of malicious persons. |
| Keywords: | Crimes, Online, Injured Person, Immediate Follow-Up |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0443 |
| By: | Pham, Thi Trang (RS: GSBE other - not theme-related research, Mt Economic Research Inst on Innov/Techn); Caldarola, Bernardo (RS: GSBE other - not theme-related research, Mt Economic Research Inst on Innov/Techn) |
| Abstract: | While mobile internet diffusion in the last decade has led to significant growth and improvements in household income and employment, much less has been studied on education attainment outcomes, which matter especially for developing countries’ human capital policies for development catch-up. In this paper, we find that 3G internet diffusion improves lower-secondary school attainment but discourages upper-secondary achievement of youth in Viet Nam. We rationalize these findings through an education – employment tradeoff perspective by considering the opportunity costs of schooling vis `a vis employment. We show that the diffusion of fast mobile broadband internet is associated with more job opportunities and reduced returns to schooling during the period 2012-2016 following fast diffusion. Our results offer implications for developing countries’ education and human capital development policies in the age of (mobile) digitalization. |
| JEL: | I25 O33 J13 L96 |
| Date: | 2024–09–03 |
| URL: | https://d.repec.org/n?u=RePEc:unm:unumer:2024022 |
| By: | Oikawa , Keita (Economic Research Institute for ASEAN and East Asia); Iwasaki , Fusanori (Economic Research Institute for ASEAN and East Asia); Sawada, Yasuyuki (University of Tokyo); Shinozaki, Shigehiro (Asian Development Bank) |
| Abstract: | The coronavirus disease (COVID-19) pandemic profoundly impacted people’s lives, social activities, and businesses. It particularly affected micro, small, and medium-sized enterprises (MSMEs), which account for the vast majority of firms and most of the labor force. Compared to larger firms, MSMEs were less able to absorb the pandemic’s shocks, both in developed and developing economies. While digital technologies, such as e-commerce platforms, were often seen as effective tools for businesses where in-person communications are restricted, they did not guarantee the success of MSMEs. An Indonesian study showed that adopting digital technologies did not always result in positive business outcomes for MSMEs during the early stages of the pandemic (Oikawa et al. 2024a). This paper investigates whether e-commerce use in the Philippines strengthened MSME performance during the pandemic, based on a unique Asian Development Bank dataset on the impact of COVID-19 on Philippine businesses from 2020 to 2021. The findings reveal that internet or e-commerce use did not lead to better MSME outcomes during the strict lockdown in March 2020. In fact, performance sometimes worsened. However, by August 2020, the negative effects had lessened, and by March 2021, one year into the pandemic, a positive impact had emerged. These results are consistent with the Indonesia study by Oikawa et al (2024a). |
| Keywords: | digitalization; digital financial services; access to finance; SME development; SME policy; Philippines |
| JEL: | D22 G20 L20 L50 |
| Date: | 2025–02–04 |
| URL: | https://d.repec.org/n?u=RePEc:ris:adbewp:0767 |
| By: | Simplice A. Asongu (Johannesburg, South Africa); Therese E. Zogo (Yaounde, Cameroon) |
| Abstract: | This present study examines the role of financial inclusion dynamics (depth, access and efficiency) in mitigating the incidence of income inequality on gender inclusion in terms of women in business and women in politics. The following main findings are established. Income inequality reduces gender inclusion while financial inclusion dynamics dampen the negative effect of income inequality on gender inclusion. The corresponding net effects are negative. Considering positive conditional or interactive effects and the negative net effects, financial institution thresholds at which income inequality no longer reduces gender inclusion are provided and discussed. Policy implications are discussed. |
| Keywords: | Financial inclusion; women; inequality; sub-Saharan Africa |
| JEL: | G20 O40 I10 I20 I32 |
| Date: | 2024–01–01 |
| URL: | https://d.repec.org/n?u=RePEc:aak:wpaper:24/011 |
| By: | George Beknazar-Yuzbashev; Rafael Jiménez-Durán; Jesse McCrosky; Mateusz Stalinski |
| Abstract: | Most social media users have encountered harassment online, but there is scarce evidence of how this type of toxic content impacts engagement. In a pre-registered browser extension field experiment, we randomly hid toxic content for six weeks on Facebook, Twitter, and YouTube. Lowering exposure to toxicity reduced advertising impressions, time spent, and other measures of engagement, and reduced the toxicity of user-generated content. A survey experiment provides evidence that toxicity triggers curiosity and that engagement and welfare are not necessarily aligned. Taken together, our results suggest that platforms face a trade-off between curbing toxicity and increasing engagement. |
| Keywords: | toxic content, moderation, social media, user engagement, browser experiment |
| JEL: | C93 D12 D83 D90 I31 L82 L86 M37 Z13 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11644 |
| By: | Pham, Thi Trang (RS: GSBE other - not theme-related research, Mt Economic Research Inst on Innov/Techn) |
| Abstract: | New developments of existing technologies over time have led to emergent patterns of technology adoption and accordingly changing impacts on economy and society. Focusing on the arrival of mobile Internet in the early 2010s in developing countries, we identified significant positive effects of mobile Internet on provinces’ average household income in Vietnam. The effect sizes are larger for lower-income quintiles groups and for rural areas, suggesting the more inclusive changing impact of the innovation over the last decade. Preliminary evidence of impact mechanisms via skilled employment rates and (formal) wages are also presented. The evidence from Vietnam, a lower middle-income country, can bring further understanding in the extent of development impacts of second-generation mobile for development (M4D 2.0) in particular and ICT for development (ICT4D) in general. |
| JEL: | D31 E20 E24 J24 O30 O53 R50 |
| Date: | 2023–11–23 |
| URL: | https://d.repec.org/n?u=RePEc:unm:unumer:2023042 |
| By: | Heming Chen |
| Abstract: | This study systematically examines how several alternative approaches considered affect three aspects that determine portfolio performance (the gross return, the transaction costs and the portfolio risk). We find that it is difficult to exploit the possible predictability of asset returns. However, the predictability of asset return volatility produces obvious economic value, although in a highly correlated cryptocurrencies market. |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2501.12841 |
| By: | Shigeo Morita (Fukuoka University); Yukihiro Nishimura (Osaka University and CESifo); Hirofumi Okoshi (Okayama University) |
| Abstract: | As development of online market brings ongoing concerns that foreign app suppliers avoid value-added tax (VAT) in a domestic country, some countries design a tax reform which makes platform pay VAT instead of app suppliers (platform taxation). In the market where the monopoly platformer determines the prices of the network good and the commission fee of the platform services (with online apps as a representative example), this study investigates whether the prevention of tax leaks by platform tax improves the welfare of the host country, as well as the extent of the cross-market incidence of the two-sided market. We find that the tax reform reduces foreign app suppliers and consumption of a network good such as smartphones, with substantial extent of cross-market pass-through. The effect of the tax reform on home app suppliers crucially depends on the responsiveness of the app supplies from the number of users, which we call entry elasticity. Platform tax also increases the tax burden laid on the network product, but the monopoly seller let the increase of the tax burden born entirely by consumers. We also show that digitalization reduces the loss of welfare as well as tax planning by the platformer. |
| Keywords: | Value-added tax; Tax reform; Digital economy; Platform; Network externality |
| JEL: | F23 H26 |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:osk:wpaper:2502 |
| By: | Lema, Rasmus (RS: GSBE other - not theme-related research, Mt Economic Research Inst on Innov/Techn); Rabellotti, Roberta |
| Abstract: | This paper is based on a review of the literature that brings together GVCs, green and digital transformations. Or to be more precise, the analysis is based on three main components: (a) the greening of GVCs and environmental upgrading; (b) the digital transformation of manufacturing GVCs and (c) an initial exploration of the green and digital joint transformations in GVCs. The aim is to provide a framework bringing together environmental upgrading and digital technologies in manufacturing GVCs. We find that the greening of the global value chains in manufacturing industries unfold in analytically separable steps: a) new patterns of demand preferences and consumer behaviours, b) new green strategies by lead firms and global buyers and c) enforcement of environmental standards and associated patterns of upgrading and downgrading across global supply bases. Digitalization in manufacturing GVCs have differentiated effects across the Global South. The importation and adoption of advanced digital technologies is still limited to a small number of countries (the so-called emerging economies) and their production at any scale is limited to an even smaller set of advanced economies plus China. Across most of the Global South, adoption rates of smart manufacturing and service technologies as well new technologies for data processing and analysis are very low and many firms still face challenges with adopting much older manufacturing and service technologies. Still very little is known about the extent to which key enabling digital technologies support the process of environmental upgrading in the Global South firms that are inserted into GVCs. This is because these techno-institutional waves are still concentrated geographically and the full extent of the ramifications across the Global South remains to be seen. This also means that synergy-creation is challenging. The small pool of literature identified for this study suggests that potentials are mainly limited to certain digital technologies and specific types of environmental upgrading. These insights are anyhow useful because they may help to early direct the efforts of policymakers towards the more likely opportunities. |
| JEL: | F18 L23 L60 O33 Q56 |
| Date: | 2023–04–11 |
| URL: | https://d.repec.org/n?u=RePEc:unm:unumer:2023013 |
| By: | Diana Geanina Ionas (Transylvania University of Brasov, Romania) |
| Abstract: | Notary is a millennia-old profession. Ever since writing appeared, the notary was the trustworthy person who provided counsel and ensured the just fulfillment of certain acts and procedures. By the authority he is invested with, he supplies legal services and guarantees legal security, by ensuring the order of law. However, in Romania, the profession of public notary is not only inflexible, but it seems to struggle to keep up with the new realities of our times. The digital revolution is manifested in all areas of our lives, in trend with the new generation, and the profession of public notary has no choice but to modernize by achieving new values. In an attempt to modernize and align with the new realities, the Ministry for Digitalization in collaboration with the Ministry of Justice elaborated the law for the electronic notary activity. This article aims to analyze the suggestions made within this law to verify if indeed, Romanian notary services, a notary of tradition, are extremely rigid and would accept modernization and truly enter the digital age. |
| Keywords: | notary, digitalization, transition |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0485 |
| By: | Simona Mandile |
| Abstract: | This paper investigates the impact of social media algorithms on mental health outcomes. I exploit a quasi-experimental setting combining data from the Dutch Longitudinal Internet Studies for the Social Sciences (LISS) coupled with the introduction of the algorithmic feed on Instagram in 2016. I estimate a differences-in-differences model comparing individuals having an Instagram account with individuals who have an account on social media platforms other than Instagram. Using a longitudinal dataset, allows for comparison of the same individuals before and after the introduction of the algorithm. The results show that the introduction of the algorithm on Instagram had a negative impact on teenagers mental health. Furthermore, I show that this effect cannot be attributed to a decrease in stigma surrounding mental health issues or an increased likelihood of individuals reporting such conditions. Additionally, evidence on mechanisms suggests that the results are due to the algorithm on Instagram favoring negative social comparisons. |
| Keywords: | social media, recommendation algorithm, mental health |
| JEL: | I12 I31 L82 L86 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11648 |
| By: | Banco de España (Banco de España) |
| Abstract: | Este informe sobre la accesibilidad presencial a los servicios bancarios en España muestra una ligera reducción —del 0, 55 %— de los puntos de acceso en 2023, menor que en 2022. El número de oficinas bancarias disminuyó, pero mucho menos que en años previos, mientras que el de cajeros automáticos aumentó ligeramente. Por su parte, el número de municipios sin acceso presencial se redujo tan solo en 10, comparado con la reducción de 167 de 2022. La utilización de canales presenciales para las gestiones bancarias sigue siendo alta, con un 84 % de usuarios que utilizan cajeros automáticos y un 64 % que acuden a sucursales. Un 58 % usan la banca online. La brecha digital persiste, con diferencias por edad, nivel de estudios y rentas, pero se espera que se reduzca progresivamente, en particular entre los distintos tramos de edad. Las preferencias de los clientes indican una inclinación hacia la atención presencial, especialmente entre personas mayores y con menor nivel educativo. La valoración de los servicios bancarios es, en general, positiva, y destacan la confianza en la atención presencial y la comodidad de la banca online. |
| Keywords: | inclusión financiera, accesibilidad, preferencias del cliente, servicios bancarios, efectivo, banca online, áreas rurales |
| JEL: | R51 I31 E41 D31 G21 |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:bde:opaper:2502 |
| By: | Tessmann, Ruben; Elbert, Ralf |
| Abstract: | Standardization is gaining importance for digital platform eco-systems as they try to balance both stability and flexibility of their core as well as their boundary resources. Our knowledge on which factors influence standardization processes in business-to-business (B2B) focused digital platform eco-systems remains limited. Using three B2B platform eco-systems from the cargo transportation and seaport eco-system context, we apply a multiple case study to investigate which factors affect the standardization mode and the standard adoption. Based on 19 interviews and a systematic coding procedure, we identified 24 factors and cluster them into four overarching themes. We show the relatedness between standardization and innovation research, identify standard characteristics as the most important theme of factors and show that standardization has to be seen as a dynamic and interconnected process, as some factors are interdependent but the controllability varies between factors. Lastly, implications of these results and future research directions are discussed. |
| Date: | 2025–01–16 |
| URL: | https://d.repec.org/n?u=RePEc:dar:wpaper:152438 |
| By: | Darrell Norman Burrell (University of Maryland School of Pharmacy, Baltimore MD, USA; Marymount University, Arlington, VA, USA) |
| Abstract: | This study examines the critical role of cyberpsychology in mitigating the spread of COVID-19 and vaccine misinformation on social media which is an urgent global health concern with profound public health implications. Despite being a major conduit for misinformation, social media holds the potential to be part of an integrated solution. Traditional countermeasures, such as content moderation and fact-checking, have struggled to address the cognitive biases and emotional factors fueling misinformation’s rapid spread. This research delves into the psychological mechanisms by which individuals process, trust, and share health information in digital spaces by leveraging cyberpsychology, a field that merges psychology, sociology, and computer science insights. This study sheds light on the cognitive, emotional, and social drivers of misinformation. This analysis advances practical, cyberpsychology-based recommendations, developed with contributions from leading experts, to inform future public health strategies. These strategies are not only adaptable but also effective in the increasingly complex digital information landscape, emphasizing the need for such approaches. |
| Keywords: | COVID-19 misinformation, Cyberpsychology, Media Psychology, Social Media, Health Misinformation, Digital Health Literacy, Public Health, Health Education, Vaccine hesitancy |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0454 |
| By: | Caldarola, Bernardo (Mt Economic Research Inst on Innov/Techn, RS: GSBE other - not theme-related research); Fontanelli, Luca |
| Abstract: | Recent empirical evidence finds positive associations between digitalisation and industry concentration. However, ICT may not be all alike. We investigate the effect of the purchase of cloud services on the long run size growth rate of French firms. Our findings suggest that cloud services positively impact firm growth rates, with smaller firms experiencing more significant benefits compared to larger firms. This evidence suggests that the diffusion of cloud technologies may help mitigate concentration in the era of the digital transition by favouring the digitalisation and growth of smaller firms, especially when the cloud services provided are more advanced. |
| JEL: | L20 L25 O33 |
| Date: | 2024–09–24 |
| URL: | https://d.repec.org/n?u=RePEc:unm:unumer:2024026 |
| By: | Jose Mauricio Gomez Julian |
| Abstract: | This research studies the relation between money and prices and its practical implications analyzing quarterly data from United States (1959-2022), Canada (1961-2022), United Kingdom (1986-2022), and Brazil (1996-2022). The historical, logical, and econometric consistency of the logical core of the two main theories of money is analyzed using objective bayesian and frequentist machine learning models, bayesian regularized artificial neural networks, and ensemble learning. It is concluded that money is not neutral at any time horizon and that, despite money is ultimately subordinated to prices, there is a reciprocal influence over time between money and prices which constitute a complex system. Non-neutrality is transmitted through aggregate demand and is based on the exchange value of money as a monetary unit. |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2501.14623 |
| By: | Cornelia Beatrice Gabriela Ene-Dinu (Nicolae Titulescu University of Bucharest, Romania) |
| Abstract: | The purpose of this research is to explore how blockchain technology can be leveraged to protect the confidentiality of electronic correspondence while adhering to the requirements of the General Data Protection Regulation (GDPR). As digital communication becomes increasingly prevalent, safeguarding sensitive information is essential, especially considering GDPR’s stringent data protection rules. This study aims to assess the advantages, challenges, and potential solutions related to using blockchain for securing correspondence. The research involves a comprehensive review of existing literature on blockchain technology and data protection, along with a comparative analysis of blockchain features and traditional methods for securing electronic communication. Case studies of current implementations of blockchain in various industries, such as finance and healthcare, are examined to identify practical applications and compliance strategies. Additionally, technical challenges, including scalability and the conflict between blockchain’s immutability and GDPR’s right to be forgotten, are analyzed. Theoretically, this study contributes to understanding blockchain’s role in enhancing data security and its legal implications under GDPR. It offers insights into the evolving landscape of digital privacy and the intersection of emerging technologies with regulatory frameworks. Practically, the research provides valuable recommendations for companies seeking to implement blockchain to secure communications, highlighting best practices and potential pitfalls. This study serves as a guide for organizations looking to align technology adoption with legal compliance, ensuring robust data protection while fostering innovation. Overall, the findings aim to inform policymakers, technology developers, and businesses on optimizing blockchain’s use for protecting correspondence confidentiality under GDPR. |
| Keywords: | blockchain technology, digital communication, data protection, data security, privacy, correspondence, confidentiality |
| Date: | 2024–08 |
| URL: | https://d.repec.org/n?u=RePEc:smo:raiswp:0470 |
| By: | Mahirah Mahusin (Economic Research Institute for ASEAN and East Asia (ERIA)); Hilmy Prilliadi (Economic Research Institute for ASEAN and East Asia (ERIA)) |
| Abstract: | The growth of digital payment use in ASEAN has been significant, with digital payments accounting for over 50% of transactions and projected to reach US$416.60 billion by 2028. This expansion supports financial inclusion, enhances e-commerce, and bolsters micro, small, and medium-sized enterprises. However, challenges – such as interoperability, regulatory fragmentation, and data security – persist. ASEAN’s initiatives, including the Declaration on Advancing Regional Payment Connectivity and Promoting Local Currency Transaction, aim to address these issues. This policy brief emphasises the need for harmonised regulations, enhanced cross-sectoral collaboration, and robust security measures to ensure the seamless integration and sustainable growth of digital payments in the region. Latest Articles |
| URL: | https://d.repec.org/n?u=RePEc:era:wpaper:pb-2024-13 |
| By: | Peter Albrecht; Evžen Kočenda; Evžen Kocenda |
| Abstract: | Our study presents an in-depth analysis of the interconnectedness in returns among five major cryptocurrencies from 2018 to 2023. Our work introduces novel findings by employing a novel bootstrap-after-bootstrap method of Greenwood-Nimmo et al. (2024) to establish a link between increases in connectedness and various systematic events. We found a clear rise in connectedness within a month following the event for ten endogenously selected events. Further, we identify Bitcoin and Ethereum as net return transmitters, mainly to Binance coin and Ripple. Moreover, we found that these transmissions increased by up to 20% for up to one month after the shocks occurred. We calculate optimal portfolio weights and hedging ratios for cryptocurrency risk management. Our findings reveal that Cardano and Ripple are the most effective choices in portfolio optimization. The implications of this study are significant for devising strategies in portfolio management and risk hedging, offering valuable guidance for policy formulation in the financial sector. |
| Keywords: | return connectedness, cryptocurrencies, bootstrap-after-bootstrap procedure, portfolio composition and hedging |
| JEL: | H56 G11 G15 Q40 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11658 |
| By: | Mayer, Pascal |
| Abstract: | This research paper explores the relationship between firm internationalisation and digital resource use. On the one hand, the modularity of digital resources and their applicability in different international contexts provide significant benefits to multinational companies. On the other hand, the complexity of managing digital resources across different institutional systems escalates with rising levels of internationalisation. Because of these competing forces, I argue that the relationship is inversely U-shaped. Additionally, I investigate the moderating effect of firms' financial constraints and conjecture a steepening effect of the inverted Ushape. In my empirical identification strategy, I employ a text-based measure of internationalisation, based on companies' 10-K annual reports, and combine this measure with data on internet and e-commerce technology used by Standard & Poor's 1, 500 firms. The results provide empirical support of an inverse U-shaped relationship and the moderating role of financial constraints. Various robustness tests corroborate the findings. This study contributes to the literature streams of firm internationalisation and information systems research by highlighting the trade-offs faced by MNEs when they "go digital". |
| Abstract: | Diese Studie untersucht den Zusammenhang zwischen der Internationalisierung von Unternehmen und der Nutzung digitaler Ressourcen. Einerseits bieten die Modularität digitaler Ressourcen und ihre Anwendbarkeit in verschiedenen internationalen Kontexten erhebliche Vorteile für internationale Unternehmen. Andererseits nimmt die Komplexität der Verwaltung digitaler Ressourcen über verschiedene institutionelle Systeme hinweg mit zunehmenden Internationalisierungsgrad zu. Aufgrund dieser konkurrierenden Kräfte argumentiere ich, dass sich die Beziehung durch ein umgekehrtes U beschreiben lässt. Darüber hinaus untersuche ich die moderierende Wirkung von finanziellen Beschränkungen und vermute eine Streckung des Zusammenhangs. In der empirischen Identifikationsstrategie verwende ich ein textbasiertes Maß zur Messung der Internationalisierung von Unternehmen, das auf 10-K-Jahresberichten US-amerikanischer Unternehmen des S&P 1.500 Index basiert, und kombiniere dieses mit Daten zu Internet- und E-Commerce-Technologien sowie Buchhaltungs- und Finanzkennzahlen. Die Ergebnisse unterstützen die Hypothesen einer umgekehrt U-förmigen Beziehung sowie der Moderation durch finanzielle Beschränkungen. Mehrere Robustheitstests untermauern die Ergebnisse. Diese Studie leistet einen Beitrag zur Literatur im Bereich der Unternehmensinternationalisierung und Informationssysteme, indem sie Zielkonflikte aufzeigt, denen sich multinationale Unternehmen gegenübersehen, wenn sie digitalisieren. |
| Keywords: | Digital Resources, Digital Strategic Initiatives, Financial Constraints, FirmInternationalisation, Multinationals |
| JEL: | F20 F23 M16 O33 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:umiodp:310321 |