Snowboarding Physics :: Snowboard Sport

Snowboard Composition The typical snowboard is designed to face the toughest conditions in any climate, even though it's use is mainly during the winter. In general, a snowboard is composed of several layers to attain a durable, yet light structure. Making the surfaces of a snowboard with a minimal friction coefficient is essential in the snowboard manufacturing industry. Like its various, eye-catching graphic designs, each and every snowboard has a unique layer structure. The two most basic yet important layers of a snowboard are the core (4) and the P-Tex/base layer (10). The core is usually made of birch wood; it is ideal for its lightweight, rigid, and flexible characteristics. Advances in core technology in recent years allowed the snowboard to become more maneuverable and portable. Hollow aluminum cells with walls in the shape of honeycombs are a breakthrough in snowboard core construction. With this type of core layer the snowboard retains its rigidity, but reduces its weight drastically. Another alternative to the wood core is a foam injected core. Foam can be injected electronically - to any cell size, thus allowing variability in rigidity. The P-Tex layer is named after the company that patented the material used for the layer. It is a special type of polyethylene plastic that allows the board to have a minimal friction coefficient when sliding down snow-covered ground, creating a "slippery" feeling. This plastic was designed to absorb wax for conditioning and extended life. A steel ring (7) serves two purposes: it protects the sides of the snowboard and puts maximum force into the snow for optimum maneuverability. The graphic layer (2) is a printed layer of fiberglass giving the snowboard an appealing design. There are literally millions of different snowboards with a unique graphic on them, but snowboard consumers may have a custom image printed on their snowboard. Multiple layers of fiberglass are usually glued on the immediate sides of the core for increased durability. A protective coating lines the top of the snowboard to protect scuffing and minor scratching on the graphics layer Different types of layers are arrangements in each type of core. Type A shows a foam core, with a large rubber sidewall (6). Type B represents the common wood core layer layout with additional protective layering. Type C shows that the aluminum honeycomb core is similar to the wood core structure, since nearly the same kinds of material are used. Snowboarding Physics :: Snowboard Sport Snowboard Composition The typical snowboard is designed to face the toughest conditions in any climate, even though it's use is mainly during the winter. In general, a snowboard is composed of several layers to attain a durable, yet light structure. Making the surfaces of a snowboard with a minimal friction coefficient is essential in the snowboard manufacturing industry. Like its various, eye-catching graphic designs, each and every snowboard has a unique layer structure. The two most basic yet important layers of a snowboard are the core (4) and the P-Tex/base layer (10). The core is usually made of birch wood; it is ideal for its lightweight, rigid, and flexible characteristics. Advances in core technology in recent years allowed the snowboard to become more maneuverable and portable. Hollow aluminum cells with walls in the shape of honeycombs are a breakthrough in snowboard core construction. With this type of core layer the snowboard retains its rigidity, but reduces its weight drastically. Another alternative to the wood core is a foam injected core. Foam can be injected electronically - to any cell size, thus allowing variability in rigidity. The P-Tex layer is named after the company that patented the material used for the layer. It is a special type of polyethylene plastic that allows the board to have a minimal friction coefficient when sliding down snow-covered ground, creating a "slippery" feeling. This plastic was designed to absorb wax for conditioning and extended life. A steel ring (7) serves two purposes: it protects the sides of the snowboard and puts maximum force into the snow for optimum maneuverability. The graphic layer (2) is a printed layer of fiberglass giving the snowboard an appealing design. There are literally millions of different snowboards with a unique graphic on them, but snowboard consumers may have a custom image printed on their snowboard. Multiple layers of fiberglass are usually glued on the immediate sides of the core for increased durability. A protective coating lines the top of the snowboard to protect scuffing and minor scratching on the graphics layer Different types of layers are arrangements in each type of core. Type A shows a foam core, with a large rubber sidewall (6). Type B represents the common wood core layer layout with additional protective layering. Type C shows that the aluminum honeycomb core is similar to the wood core structure, since nearly the same kinds of material are used.

”Pride and Prejudice” by Jane Austen Essay

Pride and Prejudice is a 19th century novel written by Jane Austen. As it is a popular novel it has been remade for television and film several times. In this essay two media adaptations are being analysed. The 1995 BBC classic drama of pride and Prejudice and a 2004 Bollywood version renamed Bride and Prejudice. The BBC adaptation of Pride and Prejudice is a period drama and has been made using the books storyline and text very closely whereas the Bollywood adaptation has only faithfully adhered to the storyline and parts have been changed to attract a modern audience. In addition to storyline, and text not changed in the BBC adaptation, costume, props and language are all in keeping with the 19th century way of life. However the Bollywood adaptation uses costume, props and language from the Indian culture, this has up dated the film and also keeps with the storyline of the book. Both adaptations have very different audiences they are trying to attract. Pride and Prejudice aims for older and more mature people, an audience who are interested in period dramas and may have read the book. The Bollywood film, however is aimed at younger audiences who may have not heard of Pride and Prejudice nor read the book. It has been changed into a romantic comedy; â€Å"romcom† rather than a more serious look at the book. The use of the Indian culture and view on marriages is a contrast to the views in the 19th century. In both productions the main theme is marriage but they use different methods to represent it. The BBC version shows how relationships and marriage were in the 19th century, in contrast to this how many of the restrictions placed in the 19th century are still in practise in the Indian culture today, however, modernizes the story. In this essay the two media adaptations, (Pride and Prejudice and Bride and Prejudice), are going to be compared to show how they have been adapted for screen. Three key scenes from both productions are going to be discussed and a number of factors to show how they have changes. The three scenes are: * The Netherfield Ball * Mr Collins/Kholi Arrival * Lydia/Lucky and Wickham relationship The Netherfield ball is the place in both adaptations where Darcy and Elizabeth/Lalita meet for the first time the two settings however are very different. In the Bollywood version the setting very much reflects the Indian culture, it is colourful and brash. The atmosphere is hectic with lots of people talking, dancing, laughing and partying. On the other hand the BBC version is more formal with talking kept to minimum and the mood is soft, this is to show what an occasion in 19th century would have been like. The BBC also has kept to tradition and there are different rooms for occasions throughout, Bollywood have used an open plan room to show the change in time and fashion. The camera shots in the scene change a lot. The BBC adaptation uses a birdseye view of the dancing and uses long shot, medium shot, close ups and point of view shot. This is to give a wide variation of the view of the ballroom and closer shots to see the actors’ facial expressions. In the Bollywood adaptation however they use only a few birdseye views of the dancing and more medium shots and point of view shots especially with Darcy and Lalita’s conversation, this shows us what the other person is feeling as they talk to one another and identify with the character. When Darcy is looking up at Lalita on the balcony and Lalita to Darcy on the ground the camera angle is pointed up and down, this gives the film a more dramatic look. Lighting also varies considerably in the two adaptations. In the Bollywood adaptation top lighting is used to brighten the room and give a party atmosphere, this changes in the scene with Darcy and Lalita on the balcony however and backlighting is mainly used. As the BBC adaptation is a period drama lighting is not as bright as the Bollywood effect, there is more under lighting used from lamps and chandeliers. The sound in both adaptations is also clearly different, the BBC use classical sounds and people play instruments for music, and the music they dance to is soft and quite compared to the Bollywood sound. Instruments again produce the music but everyone sings which gives it more volume, they also use words to reflect their feelings. Both scenes have dancing involved but they are clearly different. The BBC has again stuck with traditional dance, which has very repetitive dance moves and is slow. Also shown is how social etiquette is set out with the men only allowed to ask women to dance and how it was very rude for them to refuse. Bollywood has changed this in its adaptation; the dancing is traditional for Bollywood style, fast and very enthusiastic. The men start the dance with the women following later, the women all walk down the balcony and tighten their saris before they dance to show they are ready. Another difference between dances in Bollywood is the man and women dance towards each other rather than with each other, both of these points show how women now have more power than in the 19th century. The songs in Bollywood films offer meaning and feelings of the characters which the film hasn’t got time to express, this is something used in Bollywood and has been included to reflect this. The conversations that take place between Darcy and Lalita and Darcy and Elizabeth are very different. In the BBC version Darcy and Elizabeth do not actually have a face-to-face conversation, he makes a very rude and cutting remark about her which she later makes light of with her friends. The conversation in the BBC adaptation is also very polite and minimal but important, the conversation has not been changed from the book. However, in the Bollywood version Darcy tells Lalita how he thinks it is simpler to have an arranged marriage, she takes this the wrong way and thinks he means Indian women are simple. Lalita is very defensive towards him and tells him otherwise. This change made in the film is to display thoughts on Indian marriage and show the similarities it has with the original 19th century tradition. There is also a conversation which is both in the BBC and Bollywood adaptations of the novel, that of Mrs Bennet/Bakshi. In the scenes she talks about marriage and wealth to f riends, this conversation gives an insight into the character already and has been included in the Bollywood adaptation because the characters are the same. The costumes in both productions are exactly the same for the time. The costumes also represent the characters. Darcy is uncomfortable but more so in the Bollywood version because he cannot speak the language, cannot join in with the dancing and is a different nationality. The Bingley sister wears modern and expansive clothes, in the BBC version she wears feathers and gold jewellery. This has been changed in the Bollywood adaptation to the sister wearing designer labels, this equally shows the wealth but also the change in time. The Bennet/Bakshi sisters in both productions are not as wealthy as the Bingley sisters and this is visible in their clothes. In the BBC adaptation they do not wear feathers and the accessories are very simple likewise in the Bollywood adaptation they do not wear designer labels. In the scene the personalities of the characters are seen and they are quite similar in both adaptations. In the Bollywood adaptation Darcy is uncomfortable, however he also very rude in the BBC version. Elizabeth is lively, strong and defensive in both scenes, she also shows in the BBC adaptation when she makes light of Darcy’s comment about her. Bingley in both versions is charming and in Bollywood takes part in the dance unlike Darcy. Mrs Bennet and Bakshi both talk about marriage and don’t differ at all in the adaptations, as do the younger Bennet sisters they are flirtatious and playful. The key personality of the characters has not been changed at all and this is one way in which the Bollywood adaptation has stuck to the novel. The scene of Mr Collins/Kholi’s arrival in both adoptions is changed in many ways. Transport that Mr Collins/Kholi arrives in is very different, in the Bollywood adaptation Mr Kholi arrives in a taxi whereas in the BBC adaptation Mr Collins arrives in a carriage. This change shows the change in times and the change of country. The setting is also different and reflects the change in times and country, Mr Collins arrives out side the Bennets house in the Bennets estate which has gardens and gravel walkways, Mr Kholi however, arrives on a dusty Indian street and the Bakshis do not own any estate around them. This to show how the Bakshis live compared to the Bennets. In terms of camera shots Mr Collins/Kholi’s arrival is quite the same, the camera use medium and long shots to show both characters arriving and point of view shots from the families and Mr Collins/Bakshi’s view. Both adaptations also use close up shots of the sisters smirking at Mr Collins/Kholi, this involves the audience in the amusement they find in Mr Collins/Kholi. Lighting is different in the scenes though, Mr Collins arrives in daylight at the Bennets and toplighting is used to give a pleasant atmosphere. In the Bollywood adaptation they are inside and the lighting is darker but again toplighting is used. There are no songs or music in the scenes of Mr Collins/Kholi arriving there is only he and the families talking, however in both films sound effects are used. In the BBC adaptation the carriage arriving and in the Bollywood adaptation the Indian street, these sound effects add to the atmosphere and setting of the arrival. Another adaptation that has been made is the costume. Mr Collins wears formal dress which is the clothes which would be worn in the 19th century. The style of his clothes are also a representation of him, he is a clergyman and a very plain man. Mr Kholi’s clothes are stylish, bold and very up to date, and this represents his character very well. Mr Kholi is self-confident, loud man and does not realise often what he is saying or how he offends people, the clothes also represent his break away from the Indian culture and living in America. As well as the costumes reflecting their characters the audience can also see what the characters are like. In the BBC adaptation Mr Collins is a religious and traditional man, Mr Kholi however has turned his back on his Indian culture and moved to America for a better life. There are some parts of the Mr Collins character that are the same in the Bollywood adaptation in the same way as the BBC adaptation. Both Mr Collins and Mr Kholi look do wn to the Bennets/Bakshis, they think they are better than them. In Mr Collins’ case this is because he will inherit the Bennets estate and Mr Kholi’s because he has more money and a better life than the Bakshi’s, they are both unpleasant characters. The Bollywood adaptation has also changed the conversation of Mr Kholi compared to Mr Collins. When Mr Collins arrives he uses his language to make himself look smart, he uses substantial and intelligent words, which are incorrect. Alternatively Mr Kholi brags about his wealth and lifestyle, he also has inappropriate conversations and is very out spoken. Greetings in the two adaptations are also different too, Mr Collins greets people formally and there is no touching or hugging, this reflects the social etiquette of the 19th century instead of the informal hugs Mr Kholi gives. In both adaptations there are similarities and differences in the mannerisms of Mr Collins and Mr Kholi. Mr Collins uses formal language and, as mentioned before, incorrect in the context intelligent words. This is unlike Mr Kholi who uses casual language and does not realise what he says sometimes offends people. In the same way Mr Collins eats using social etiquette and Mr Kholi eats with his hands and mouth open, Mr Kholi also uses his hands when he talks. These changes show equally how the character is offensive but in different ways and in different circumstances. A similarity however, is that Mr Collins/Kholi feel they are more important than certain people and this shows when they both sit at the head of the table at the meal with the Bennets/Bakshis. As well as the mannerisms of Mr Collins/Kholi presenting similarities and differences, people’s reactions to Mr Collins/Kholi do too. Both of the eldest sisters in the Bennets/Bakshis smirk at each other when he says things and tries to boast about his life, this shows they are sensitive and intelligent enough to realise how stupid Mr Collins/Kholi is. Mr Bennet/Bakshi realises this too but expresses his amusement in different ways. Mr Bennet makes sarcastic comments towards Mr Collins to show him up but Mr Collins does not understand, Mr Bakshi however uses facial expressions to make fun of him. This reflects the characters of Mr Bennet and Mr Bakshi, Mr Bennet takes a more serious approach where Mr Bakshi uses childish gestures. Furthermore Bollywood has also made a change with the reaction of Darcy when he meets Mr Kholi. In the BBC adaptation Mr Collins introduces himself to Darcy and talks about his self, Darcy walks away and ignores him in contrast, Darcy is introduced t o Mr Kholi and does not ignore him. As shown by Mr Bennet and Mr Bakshi this is a reflection of Darcy’s characters, Darcy in the BBC adaptation is confident enough to be able to walk away but Darcy in the Bollywood adaptation is not, as he is a country he does not know he is polite to everyone. The reaction of people towards Mr Collins/Kholi reveals a lot about his character; he is someone who tries to be popular by knowing everyone and likes to be well thought of. One relationship, which has been adapted and changed considerably, is the Lydia/Lucky relationship. Adapted for Bollywood are a number of scenes where the main action takes place. In the BBC adaptation the scenes take place after Wickham and Lydia have eloped and are living in a grotty bedsit, this has changed for Bollywood and is replaced by scenes in public places e.g. fairground, cinema and the main scene where Lucky and Wickham go out for the day in London. The scene has been changed for Bollywood because Lucky and Wickham are not actually together yet and it is the lead up for Lucky finding out eventually who Wickham really is after pursuit by Darcy and Lalita. This change has been made for the viewer to look at their relationship in two different ways, in the BBC adaptation Lydia and Wickham have to stay in bedsit which is far form luxury, this shows how their relationship is very shameful in the 19th century. In contrast to this Lucky and Wickham meet at very public places, th eir relationship seems very open and would not be seen wrong in the public nor the viewer’s eye, but the viewer understands Wickham is a bad man. The use of media effects in both adaptations is strong. The camera effects in both adaptations are similar, in the BBC adaptation medium shots and close ups are used to give the viewer a more intimate view of Lydia and Wickham. It shows shots of Lydia running around the bedsit and close ups of Wickham’s facial expressions to the viewer to tell them he is not happy about the situation. In the Bollywood adaptation the camera plays a very important part in the chase that occurs between Wickham, Lucky, Lalita and Darcy. The camera use close ups and medium shots of the couples, and glances between the two parties. It also uses close ups of Wickham glancing back to see if they are still being chased. The camera follows Lucky and Wickham but blurs out the background to give the viewer an impression of how easily it would be to lose them in a crowd. The lighting effect in the BBC adaptation gives the atmosphere of a dark room and uses underlighting, the only available light source the viewer can see is the daylight coming through the window. Two different types of lighting is used in the Bollywood adaptation however, the first toplighting used in the chase to create a bright, modern setting for the viewer. This contrast however when Lucky and Wickham go into the cinema, the lighting is backlighting from the cinema screen and also presents to the audience that Wickham is trying to hide. Costume has also been changed considerably, the BBC adaptation use typical dress for the 19th century but change it from formal wear to very inappropriate wear in the bedsit. Lydia wears a nightdress and Wickham stays in his uniform but un-tucked his shirt and his boots are undone, this is to represent the seediness of their relationship and how wrong it was in the 19th century. Lucky and Wickham are the same in that Lucky tries to rebel against her Indian culture, like the rules set out in the 19th century, in the scene where Lucky and Lydia meet in London she wears tight jeans and a cropped top and makes no effort to show her Indian roots. Wickham also wears clothes that are very casual and he looks like a traveller, this is in contrast to Darcy’s clothes which are smart, and reveals that Wickham may not be the good character as seen by Lalita and Lucky. The costumes in both adaptations have been translated to represent the character in the same way but to show the change in different cultures and times. Lydia and Lucky wear clothes seen as normal and traditional but try to show their flirty ways by tighter clothes but in other scenes they rebel completely. In Lydia’s case she wears a very inappropriate nightdress and Lucky wears modern, tight clothes. It is the same for Wickham too; Wickham is always put in as the opposite of Darcy who is very formal unlike Wickham who wears an officer uniform or traveller’s clothes, this is also to show Wickham is not like Darcy and a bad character. Bollywood have adapted Wickham to become a traveller to be a modern representation of the BBC Wickham who becomes an officer because he has no money. In the scenes of Lydia/Lucky and Wickham the audience can see a lot about their character. Lydia and Lucky both are flirtatious, young girls who are unaware of consequences of their actions; this is displayed through Lydia’s obsession of the officers and her elopement and Lydia through her constant attention seeking of Wickham. Wickham also plays the handsome man well in both adaptations, his rough look in contrast to Darcy should also tell the viewer he is not as he seems. There are many things left out of the Bollywood adaptation that are in the BBC one. In the Bollywood adaptation we see Lucky and Wickham develop a relationship and meet up on occasions, this does not happen with the BBC as Lydia and Wickham, by chance, meet in Brighton and make a quick decision. This is to show the change in times and controversy of what Lydia and Wickham did, also it is not believable that Lucky and Wickham would have gone to London on just one meeting. The chase of lucky and Wickham also adds to the tension and thrill for the audience, this makes the viewer think, will they be caught? There is also one major difference between the BBC and Bollywood adaptation, the ending. In the BBC adaptation Darcy pays Wickham to Marry Lydia and therefore not bringing shame on the Bennets, in the Bollywood adaptation Wickham and Lydia are caught by Darcy and Lalita and Wickham is seen for the real man he is. This has been changed for the Bollywood adaptation for the happy ending that happens in Bollywood films, it would not be entirely like a Bollywood film if Lucky ended up with the bad man and not be happy. In conclusion the BBC and Bollywood adaptations of Pride and Prejudice have been made very differently. The title of the Bollywood adaptation has been changed to Bride and Prejudice to reflect the difference in the Indian culture, the main personality of the characters have stayed the same in both adaptations, costumes have been changed to reflect the difference in cultures and times yet kept so the characters traits can be seen, the contrast in settings shows the different countries and a different way in life and the change in the storyline reflects the difference in times, countries and culture. The setting of the story has been changed as the film wants to show the restrictions on 19th century marriage still coincide with the Indian view on marriages today, the characters traits were kept the same to show how they could be brought into the present day but changed slightly in their costumes, mannerisms and they way people see them. As the characters are represented through their costumes, the wealth of the families is too, the costumes have been changed in the Bollywood adaptation to traditional Indian costumes but they show the contrast to the expensive clothes of the Balraj sister compared to the Bakshi sisters. This is also the same for the Bingley sister and Bennet sisters in the BBC adaptation. I preferred the Bollywood adaptation. This is because it is not as serious as the BBC adaptation; it is more vibrant, colourful and loud. The singing and dancing breaks up the film and the comedy also puts more life into the story. The BBC adaptation is too long and does not keep my attention as much as the other. Another reason why I preferred the Bollywood adaptation was the costumes and new surroundings, the Indian culture is very bold and this made it more enjoyable to watch.

Arbitrage Pricing Theory Against Capital Asset Pricing Model - Free Essay Example

Sample details Pages: 10 Words: 3134 Downloads: 5 Date added: 2017/06/26 Category Finance Essay Type Compare and contrast essay Did you like this example? In the modern financial theory, development of financial equilibrium asset pricing models has been the most important field of research. These models are widely experimented for developed markets. Explanatory factor analysis approach and Pre-specified macro-economic approach indicates two factors governing stock return which also identifies these two factors as the anticipated and unanticipated inflation and market index and dividend yield. Don’t waste time! Our writers will create an original "Arbitrage Pricing Theory Against Capital Asset Pricing Model" essay for you Create order The applications of financial equilibrium models have been very thoroughly investigated. These applications are widely used for several purposes such as predicting common stock systematic risk and defining the opportunity cost of capital. Here, lets looks at the overview from the CAPM to the APT which we will discuss further. Arbitrage Pricing Theory (APT), founded upon the work of Ross (1976,1977), purpose to analyze the equilibrium relationship between assets risk and expected return just as the CAPM does. The two major CAPM assumptions of perfectly competitive and efficient markets and homogeneous expectations are remained. Moreover, in line with the CAPM, the APT assumes that portfolios are sufficiently varied, so that the contribution to the total portfolio risk of assets unique (unsystematic) risk is about zero. The APTs two main differences from the CAPM are: (a) The explicit modeling of several factors affecting assets actual and expected returns, different to the CA PM which focus on the market portfolio only. (b) The fact that the equilibrium relationship is only closely related and is derived based on a no-arbitrage assumption. The two are interrelated, as market equilibrium in the CAPM rests on the observability and efficiency of the market portfolio. Background Studies The Arbitrage Pricing Theory (APT) was developed primarily by Stephen Ross (1976a, 1976b). It is a one-period model in which every investor believes that the stochastic properties of returns of capital assets are consistent with a factor structure. In other word, it is an asset pricing  model  based on the idea  that an assets returns can be predicted using  the relationship between that same asset and many common risk factors. This theory predicts a relationship between the returns of a  portfolio and the returns of a single asset through a linear combination of many independent macro-economic variables. (Arbitrage pricing theory (APT) (n.d.)) Macro-economic variables are: Changes in GNP growth Change in Treasure bill yield (proxy for expected inflation) Changes in yield spread between Treasure bonds and Treasury bills Changes in default premium on corporate bonds Changes in prices level of oil Ross argues that if equilibrium prices offer no arbitrag e opportunities over static portfolios of the assets, then the expected returns on the assets are approximately linearly related to the factor loadings. (The factor loadings, or betas, are proportional to the returns covariances with the factors.) This intuition is shows that the linear pricing relation is a necessary condition for equilibrium in a market where agents maximize certain types of utility. A linear relation between the expected returns and the betas is tantamount to an identification of the stochastic discount factor (SDF). The use of Factor Analysis (FA) developed by Spearman and Hotelling at the beginning of the last century as a potential tool for the extraction of the K common factors from a sample of returns. Since factor analysis only identifies the factor loadings up to a non trivial rotation, they are priced by market can be difficult when the task of extracting the K common factors. So, FA will be substitute by the use of Principal Components Analysis (PCA) whi ch to produce results are close to FA are provided by Chamberlain and Rothschild (1983). Over the years numerous studies (Trzcinka, 1986; Connor and Korajczyk, 1993; Geweke and Zhou, 1996; Jones, 2001; Merville and Xu, 2002) have documented the dominance of one factor, labeled as the market factor, which explains most of the sample variation. More limited and inconclusive results have been obtained for identifying other factors such as industry specific factors. This has usually been attributed to the lack of formal criteria for choosing the number of factors from an empirical distribution of proper value of the sample covariance matrix. In practice it is common to choose the number K by visual inspection of the scree plot or by the use of ad-hoc cut-off points of the distribution of proper value. More recently random matrix theory was employed to describe the distribution of the idiosyncratic noise component, which has a bounded support. Therefore, it is possible to choose th e number of factors as the number of eigenvalues outside the finite support of the eigenvalues due to noise, as formalized by Onatski (2005). This approach is also found in the growing econophysics literature where numerous empirical investigations of different asset markets have been performed using this method (Plerou et. al., 2002; Bouchard and Potters, 2003). These studies also document the dominance of the market factor and remain inconclusive on the identification of further factors. Brown (1989) provides Monte-Carlo evidence of an economy with K factors, each of which is priced and contributes equally to the returns. Moreover, the economy is by construction admissible under the framework of Chamberlain and Rothschild (1983) and calibrated to actual data from the NYSE. Nevertheless, he finds evidence that PCA is biased towards a single factor model. Thus, we cannot conclude that the empirical evidence presented in the numerous studies, some of which were mentioned above, is not also consistent with a setup where more than one factor is present in the economy, but where PCA fails to identify the entire set of relevant factors. Literature review Arbitrage pricing theory, developed by Ross (1976) proposes that there are various sources of risk that can be thought of as related to economy wide factors such as inflation and changes in aggregate output which cannot be eliminated by diversification., Arbitrage pricing theory calculates many betas by estimating the sensitivity of an assets return to changes in each factor instead of calculating a single beta, like the CAPM. The arbitrage pricing theory assumes that a security return is a linear function, with several common factors. The APT thus proves that the risk premium for an asset is related to the risk premium for each factor. When the assets sensitivity to each factor increases, its risk premium will increase as well. The APT anticipates that the prices of all risky assets in the economy corresponded to the condition of no arbitrage. No arbitrage define that an individual holding a well diversified portfolio could not earn any additional return by only changing the we ights of the assets included in the portfolio, holding both systematic and unsystematic risk remain constant. There is a set of underlying sources that influence all stocks returns stated by APT. The stock return is a linear function of a certain number; say k, of economic factors, but these factors are unobservable and not meaningful. According to Chen et al. (1986), these risk factors arise from changes in some fundamental economic and financial variables such as interest rates, inflation, real business activity, a market index, and also investor confidence. The APT thus starts with the assumption that returns on any stocks, Rit , are generated by a k-factors model of the following for Rit = E(Ri) + bi1 F1 + bi2 F2 + †¦+ bik Fk + ?i †¦ (1) Where E( Ri ), i=1,2,3†¦n, is the expected return of the stock i. Fj (j=1,2,3†¦k,) are unobserved economic factors. bij is the sensitivity of the security i to the economic factors j and ?i are the unique risks of th e stocks (uncontrolled factor) i-e a random error term with mean equal to zero and variance equal to ? 2 ei. Ross (1976) showed that if the number of stocks is sufficiently large, the following linear risk-return relationship holds. E(Ri) =? o + ? 1 b i 1+ ?2 b i 2+ + ?k bik †¦ (2) Where ?o is a constant risk less rate of return (the common return on all zero-beta stocks), and ? j, j = 1,2,, k represents, in equilibrium, the risk premium for the jth factor. The mean zero random common factors can be thought of as representing unanticipated changes in fundamental economy-wide variables. The magnitude and direction of the reaction in asset returns are measured by sensitivity coefficients. There are two main approaches to test the APT empirically: One can simultaneously predict the asset sensitivities and unknown factors by exploratory factor analysis on stock returns. In this case, a theory does not estimate the exact content or even the number of relevant factors . Specify prior general factors that explain pricing in the stock market. Such macroeconomic variables could be those affecting either future cash flows or future risk-adjusted discount rates in the companies. The trend of pre-specifying factors seems to be a promising avenue of research in the search for meaningful factor structure is generally accepted. The factor analysis-based empirical tests of the APT on US data have come out with relatively mixed results. Roll and Ross (1980) tested the APT for the period 1962 to 1972. They used daily data for individual equities are listed on the New York Stock Exchange and is concluded that the return generating process were found at least three and probably four priced factors. Chen (1983) discovered that the APT seems better than the traditional CAPM when evaluated by explanatory power on stock returns. He examined stocks by using daily return data during the periods of 1963 to 1978 from the New York Stock Exchange. He compared t he empirical performance of the APT with CAPM. More studies, a number of critical issues have been found when testing the theory. For example, it has been found that when the number of investigated securities increases, the number of factors seems to increase. There is a deficiency of research classifying the validity of the APT in non-US stock markets. The European results of the APT include those reported in Diacgiannis (1986), Abeysekera and Mahajan (1988), Rubio (1988), Ostermark (1989), Yli-Olli and Virtanen (1989), and Yli-Olli et al. (1990). Concerning the Scandinavian results, Ostermark (1989) reported APT-dominance on Finnish as well as Swedish data. Yli-Olli et al. (1990) using monthly data found three stable common factors across these two neighbouring countries, for the period of 1977-1986. They used the principal component analysis to get the factor loadings, and then cross-sectional OLS regressions were used for the three factor solutions to test how many factors we re priced in the two countries. The common factors that explain pricing in the stock market are first measured using pre-specified macroeconomic variables, and asset sensitivities to these factors are predicted using time series regressions. Chen et al. (1986) found that the spread between long-term and short-term interest rates, expected and unexpected inflation, industrial production and spread between high and low-grade bonds are valued in the generating process of stock returns in the US stock market. These state variables have also been found to be important in a number of other studies on US data such as Chen (1989). Martikainen et al. (1991) using monthly data tested APT for the Finish Stock Market. They used two different approaches which are exploratory factor analysis and a pre-specified macroeconomic factor approach. They tested how many factors were there affected finish stocks in the two time periods 1977-81 and 1982-86. In the first step of the test, principal co mponents analysis and varimax rotation have been used to get the factor loadings. Then, OLS regressions were made where factor loadings were consider as independent variables and the average return on stock was consider as dependent variable. The aim was to find how many factors that were priced in the market. In the second step of the test, 11 pre-specified macroeconomic factors have been used to test the APT model by using different stock market indices, price indices, interest rates and other national economic variables such as the GNP and money supply. Loflund (1992) found that international factors which are unanticipated changes in real exchange rates, inflation and unanticipated changes in future foreign economic activity would be important. National factors are unexpected inflation, unanticipated changes in the short-term interest rate, the term structure of interest rates and unexpected changes in domestic real production would be important. Booth et al. (1993) tested the APT by using monthly data for US, Finnish and Swedish stock returns during the period of 1977-86. They tested the intra-country stability of the factor patterns over a period and across different samples. They examined the cross-sectional similarities of the factor patterns of twelve 30-stock samples and used transformation analysis to test the stability. The empirical evidence indicated that two stable common factors could be found in different samples. Another essential discover was that there existed two common factors across the first US sample and Finnish and Swedish samples. Thus, the two common factors acquire have been international by nature. The results implied that for Finland the APT performed relatively poorly and for US and Swedish data one to two priced factors were identified. For developing capital markets in general and Pakistani markets in particular empirical evidence on equilibrium models are few. Khilji (1993) and Hussain and Uppal (1998) examined the d istributional characteristics of stock return in the Karachi Stock Exchange concluding that the return behavior cannot be sufficiently modeled by a normal distribution. Hussain (2000) concluded that for the period January 1989 to December 1993 the absence of this predictability pattern implied efficiency of the market without evidence of the day of the week anomaly. Ahmad and Zaman (2000) found that some of the CAPM implications are valid in the Karachi Stock Market by using sectoral monthly data from July 1992 to March 1997 with evidence in favor of positive expected return for investors but speculative bubbles were also indicated. Khilji (1994) found that the pluralities of return series are characterized by non-linear dependence. Attaullah (2001) using 70 randomly selected stocks employing monthly data tested APT in the Karachi Stock Exchange from April 1993 to December 1998. Out of 11 macroeconomic factors, unexpected inflation, exchange rate, trade balance and world oil p rices were sources of systematic risk founded by Attaullah by using Iterative Non Linear Seemingly Unrelated Regressions technique. This study employs two different factor analysis techniques and stability analysis is also performed with a relatively greater sample. Moreover macroeconomic variables used are also increase in number and regional market indices are also included. Differences between APT and CAPM Differences between APT and CAPM Equilibrium notion CAPMs assumption of an efficient market portfolio which every investor desires to hold, the APT relies on the absence of free arbitrage opportunities. Factor consideration APT is based on multi-index (multi-factor) model, while CAPM was essentially derived from a single-index (single-factor) model First difference CAPM CAPM was essentially derived from a single-index (single-factor) model which means from a process generating asset returns which was only a function of returns unique to the asset (predictable and unpredictable) and returns on two factors, the market portfolio itself and the riskless asset, or the zero-beta portfolio. The sensitivity of the assets returns to the markets was defined as the assets beta, measuring systematic (market) risk, while the unsystematic (unique) risk of the asset (portfolio) tended to zero through diversification. APT APT can then be seen as a multi-index (multi-factor) model, which means one in which the returns generating process of the portfolio is a function of several factors, generally excluding the market portfolio. The factors are not specified a priori and their choice considers on the question. Probable factors may include particular sector-specific influences, for instant price dividend ratios, as well as agg regate macroeconomic variables. The covariance of each factor with the portfolio then leads to a natural extension of measuring risk by the beta attached to each factor. In arbitrage pricing models, the betas are often referred to as the factor loadings. Second difference CAPM CAPMs assumption of an efficient market portfolio which every investor desires to hold. APT APT relies on the absence of free arbitrage opportunities. Free arbitrage cannot obtain, equilibrium in the APT specifies a linear relationship between expected returns and the betas of the corresponding risk factors. Relationships between APT and CAPM Two portfolios with the same risk cannot offer different expected returns, because that would present an arbitrage opportunity with a net investment of zero. An investor could guarantee a riskless positive expected return by short-selling one portfolio and holding an equal and opposite long position in the other. The short-selling assumpti on is important to the equilibrium, as it constitutes one side of the arbitrage portfolio as equal as the requirement that the proceeds from short-selling are immediately available. APT has caught on in financial practice as it allows for a more detailed and custom-made approach to portfolio risk management than the CAPM. 4. Supporting theory a.) Mean-variance tautology The mean-variance tautology argument applies to the Arbitrage Pricing Theory and all asset-pricing models of the form where are unspecified factors which used in APT. If the factors are returns on a mean-variance portfolio, the equation holds exactly. It is always probable to identify in-sample mean-variance efficient portfolios within a dataset of returns. It is also always possible to construct in-sample asset pricing models that exactly satisfy the above pricing equation. b.) Recall back to macroeconomic variables are: Changes in GNP growth Change in Treasure bill yield (proxy for expected inflation) Changes in yield spread between Treasure bonds and Treasury bills Changes in default premium on corporate bonds Changes in prices level of oil Shifts in the yield curve Yield curves are usually upward sloping asymptotically, the longer the maturity, the higher the yield, with diminishing marginal increases (that is, as one moves to the right, the curve flattens out). There are two common explanations for upward sloping yield curves: When the market is anticipating a rise in the risk-free rate. If investors hold off investing now, they may receive a better rate in the future. Therefore, under the arbitrage pricing theory, investors who are willing to invest their money now need to be compensated for the anticipated rise in rates-thus long-term investments will provide the higher interest. Longer the maturities entail greater risks for the investor Conclusion As a conclusion, Asset Pricing Model is very useful tools that enable financial analysts or investors to evaluate the risk in a specific investment. At the same time, set a specific rate of return with respective amount of risk for an investment or portfolio. The CAPM method is simpler than ATP method which takes into consideration of the factor of time and does not get too wrapped up over the Systematic risk factors that sometimes we cannot control. These are two methods that different from each other, they try to explain and provide the same type of information in a unique way for the same purpose. Nowadays, people become more exposed to a highly volatile stock market and try to invest their money in any types of investment. Thus these pricing methods become the key factor when evaluating an investment and will greatly put in perspective the return to risk ratio in order to make a good financial decision. Finally, Arbitrage Pricing Theory (APT) is a very detailed pricing me thod. The APT is based on five different economical factors which make the result become more reliable.

Homelessness in america Essay - 1369 Words

Homelessness in America nbsp;nbsp;nbsp;nbsp;nbsp;Here in Tahoe, we are lucky enough to experience a great quality of life, and only a few have to face the horrible life of poverty and homelessness. However, nationwide, even right outside the basin, homelessness is a growing epidemic across the country. There are many ways one can become homeless; for the most part poverty. There are also different concentrations of homeless in different types of terrain, such as urban or suburban areas. Last, there is the ever- growing homeless population, and how much money it costs us for others to live in poverty. These are the questions we ask ourselves about homelessness, and the only way we can help is to know the facts about this lingering†¦show more content†¦Other factors can be domestic violence. Many women have to choose between abusive relationships or homelessness, and nearly 25% of single homeless women said they became homeless because of an abusive relationship in their previous place of residence.( 1) Health care afford ability is a minor reason for homelessness, but a reason none-the-less. More than half of people living in poverty or homelessness had no health care of any kind.(1) The reason for homelessness is an easy question to answer, how many homeless there are in the United States is a harder one. nbsp;nbsp;nbsp;nbsp;nbsp;Although it is very hard to estimate the number of homeless people in the US, we can get very close using massive amounts of studies and the census so we can at least get a good idea so we can start helping them. 52% of requests for emergency shelter for families were denied in the last year, a 22% increase from least year.(2) Homeless families in rural areas have very little or nothing to fall back on if they are faced with homelessness. They are often forced to live with friends or relatives to avoid homelessness. This is often considered homelessness and counted in studies. However, nearly half of the families requiring emergency shelter arent even as lucky as to have a friend or relative to live with.(3) The national estimate for homelessness in the United States as of 2001, was 3.5 Million people, 1.5 million of them beingShow MoreRelatedHomelessness In America1007 Words   |  5 PagesHomelessness in the United States is a serious problem that can be h elped by giving homeless people opportunities to thrive in better conditions and/or communities. Although getting them off the streets is a huge step in the right direction, other actions need to be taken. Making sure they have somebody in their corner is a huge step in that process. There are 1,750,000 homeless people on the streets at this very moment. 1 in 30 children in the US, 40% of the homeless population are also VeteransRead MoreHomelessness in America3563 Words   |  15 PagesHomelessness in America Social Program: Public Housing Introduction The issue of homelessness is one that I can relate to all too well. About twenty five years ago I found myself among the homeless. My story is simple, I had no formal education and was working a job making minimum wage. I couldn’t keep up with my rent and other living expenses and was finally evicted from my overpriced apartment. At the time I was on a waiting list for public housing for which there wasRead MoreHomelessness in America Essay1414 Words   |  6 PagesHomelessness in America Here in Tahoe, we are lucky enough to experience a great quality of life, and only a few have to face the horrible life of poverty and homelessness. However, nationwide, even right outside the basin, homelessness is a growing epidemic across the country. There are many ways one can become homeless; for the most part poverty. There are also different concentrations of homeless in different types of terrain, such as urban or suburban areas. Last, there is the ever- growingRead MoreHomelessness in America Essay1172 Words   |  5 Pagesfor homeless programs (Romeo 1). The problem of homelessness and extreme poverty is not a new occurrence; but in past years more extreme measures have been taken to combat the issue as more people become homeless. Expensive social programs and housing developments for the homeless have been created to help battle the increasing issue. Homelessness is an expensive problem that will never end; furthermore, the condition of homeless people in America is af fected by the type of education they receiveRead More Homelessness in America Essay608 Words   |  3 Pages Homelessness is not something that was created over night; it has existed for a long time; often we choose not to see the homeless, or bother with them, so we look the other way.  Ã‚  Ã‚   Homelessness is not prejudice toward race, creed, or religion--it has no boundaries; all homeless people should not be stereotyped as being drug abusers or the mentally ill that have been released from mental hospitals. Homelessness is not a disease that a person can catch from bodily contact, but it certainlyRead MoreHomelessness in America Essay1783 Words   |  8 PagesHomelessness in America Each country in the world is faced with various social issues that attract the interests of society and the government. Homelessness is an enormous issue that America has been dealing with for years. There are millions of people, including children, families, veterans, and the elderly who go day to day without food, water or any form of shelter. Mentally ill people also have a rough time out on the streets due to their state of confusion, which makes it dangerous for themRead MoreThe Effects Of Homelessness In America1846 Words   |  8 Pagesshelter or a transitional housing program between October 1st, 2008 and September 30th, 2009. The severity of homelessness is often looked over by different communities. Even here in Charlotte the number of homeless children enrolled in Charlotte-Mecklenburg Schools is 4,700. While 10 percent of people in Charlotte are considered chronically homeless (National Law Center on Homelessness and Poverty, 2007). America’s homeless population consists of many at-risk groups, including people sufferingRead MoreHomelessness in America Essay2028 Words   |  9 PagesAccording to Streetwise of Street News Services (2010), the first reported instances of homelessness dates as far back as 1640, in some of the larger cities in the original 13 colonies. At this time, there were wars being fought between settlers and Native Americans, and people were left with no shelter in both sides (Street News Service, 2010). Later, the industrial revolution caused more homelessness, industrial accidents left many former hard-working families with a dead provider, or with severeRead MoreEnding Homelessness in America634 Words   |  3 Pageseasily lead someone into a financial struggle. This can lead to homelessness. Homelessness is not a lifestyle that one would choose by choice. In 2003, there has been ... as many as 1.3 million Canadians that have experienced homelessness...at some point during the last 5 years. Affordable housing cos ts less on an annual basis compared to putting the homeless in prison. Canada was the last to have an action plan towards ending homelessness and as we are understanding; the prisons are being over-populatedRead MoreThe Effect of Homelessness on the Youth of America1086 Words   |  5 Pages There are millions of homeless youth in America. On any given night, you can find these children ducking into abandoned buildings, crammed up against alley dumpsters, curled inside the big yellow slide of a local playground. I imagine they are thankful for sleep, wary of a new day, but thankful nonetheless. Homelessness at such a young age if left alone, leads to increased rates of conflict. The more homeless youths now, the more our country as a whole will have to deal with divorce, mental illness

Natural Disasters And A Christian God - 1538 Words

Natural Disasters and a Christian God Over many centuries the world has experienced what we now call, natural disasters. We can define natural disasters as an extreme and sudden event caused by environmental factors that injure or kill many people and destroy mass amounts of property. Examples of natural disasters are earthquakes, hurricanes, floods, and disease. They can strike anywhere on Earth with or without warning. The severity of these disasters depend of the preparedness of the people and how vulnerable a location is. If people are in vulnerable environments natural disasters can leave lasting damage, taking people years or even lifetimes to recover. Many people in today’s world as well as ancient worlds believe that natural disasters and religion are related. Most people around the globe would consider themselves religious in some way or at least spiritual. Therefore, religion plays and important role in shaping today’s societies. Even people who do not associate themselves with a religion often ag ree that it is important and a good tool in regulating people’s behavior. Some people would even go as far as saying that natural disasters are an act of God punishing us for our sins and reminding us to repent. This paper discusses this belief along with the beliefs that God does not play a part in the destruction of his own people through occurrences that naturally happen as a result of planet Earth and its people. We can see a link between religion and disasterShow MoreRelatedChristians Beliefs on Good and Evil Essay examples1164 Words   |  5 PagesChristians Beliefs on Good and Evil Christians may believe many different things about the power of good and the power of evil. The Roman Catholic Church teaches that God is all good and perfect. They teach that God perfectly loves; they also teach that God has the power to do anything (omnipotence). But there are all kinds of evil things in the world that cause people to suffer. These include moral evil, natural evil; such as floods, disease, hurricanes, fires andRead MoreThe Christian View Of God1647 Words   |  7 Pagesexistence questions the Christian view of God. The Christian God is an all-seeing, all-powerful being of moral perfection. Because these two truths cannot coexist, the fact that evil exists disproves the existence of the Christian God. If God is omnipotent, He could prevent any injustice. Since injustice does exist, it is necessary to modify either our perception of God s morality of, the extent of his power, or the limitations of human understanding. It is unlikely that God allows for the existenceRead MoreChristians and the Environment1279 Words   |  6 PagesChristians and the Environment Alexandra Gales Liberty University Online Christians and the Environment â€Å"For this is what the Lord says, he did not create it to be empty, but formed it to be inhabited† (Isaiah 45:18 NIV). Meaning that our earthly habitat is not unexpected, it is worth more than anything in this world. â€Å"For by him all things were created: things in heaven and or earth, visible and invisible, weather thrones or powers or rulers or authorities; all things were created byRead MoreThe Existence Of Evil And Evil1591 Words   |  7 Pagesof the perfect God. If God was truly omnipotent, omniscient, and perfectly good, then why would he let terrible things happen to good people? In recent news, we have witnessed many innocent deaths caused by a school shooting, a child raped, natural disaster, and other tragic events. If God was in control of everything, does this means that he allows these bad things to happen to humanity? This suffering seems to conflicts with the images of a perfect God. It is important for Christian to acknowledgedRead MorePlato s A rgument For Evil1402 Words   |  6 Pagesfor Christians: can an omnibenevolent God exist in a world full of evil? Now, the philosopher was not talking about the Abrahamic God, he was focused more on the gods of his culture in Greece. So in order to use the words of Epicurus as an argument against the views of God held by modern day Christians, we must make some assumptions. Epicurus’ argument takes a logical and deductive analytical route with the existence of evil. This argument is not capable of being used to debate whether any God existsRead MoreThe First Seven Seals Of Revelation1493 Words   |  6 Pageshow he expects them to respond not only in the event but to how the people should act as the events unfold. In fact, the first Seven Seals of Revelation are of a prophetic nature and the statements in the book are of an emblematic imagery, in which God intends how his are to listen to His words. Consequently, as the imagery parallels to any one of these life events they are in large a warning of what will happen to His children who do not listen. In the Bible, there are many parts of these fortyRead MoreThere Are Acts Of Evil1720 Words   |  7 Pagesin our world constantly. More so than in years past, we hear about school shootings, terrorist attacks, murders, and natural disasters such as earthquakes, tornadoes and hurricanes. Everyday there is a new headline in the news that proves that evil is happening all around us. This news is seen differently from person to person based on their religious beliefs. Those who believe in God think of him as having unconditional and infinite love for us. This being said, it is very difficult for someone withRead MoreWould an All-good, All-powerful, All-knowing God Allow Evil to Exist?864 Words   |  4 PagesThis essay features the discussion of the problem of evil in relation to the existence of god. Specifically outlining two sections where the problem of evil is discussed from atheist and theistic viewpoint. Statement: The problem of evil features an argument questioning the existence of god in relation to evil, attributing both atheistic and theistic replies. First reply to problem of evil: (atheist). If god was all good, all powerful and all knowing, he would not allow the existence of evil.Read MoreThe Existence Of Evil : Evil1451 Words   |  6 Pagesexists. We question the very existence of evil, its creation, the cause and the purpose. The â€Å"theodicy† problem, or the problem of evil, has been argued multiple ways over the course of many years. If God is so good and so powerful, why does He allow evil to happen in the world? How can a loving God allow so much pain and suffering, especially among the innocent? What, if any, is the purpose of this evil? Many arguments arise from these questions. Not only do these questions fall under a religiousRead MorePersuasive Speech : Salvation Army794 Words   |  4 Pagesand who they benefit Thesis: The Salvation Army is a Christian church and an international charitable organization that helps millions by helping the poor and providing disaster relief as well as humanitarian aid to developing countries. Intro: Attention getter: The Salvation Army, an international movement, is an evangelical part of the universal Christian Church. Its message is based on the Bible. Its ministry is motivated by the love of God. Its mission is to preach the gospel of Jesus Christ

Examining Persistent High Turnover Due To Low Wages †Free Samples

Question: Discuss about the Hospitality Industry Of New Zealand Examining Persistent High Turnover Due To Low Wages. Answer: Introduction The hospitality industryrefers to a broad group of businesses that provide services to customers in the field of providing services in hotels, restaurants and lodges. The primary areas of this service sector based industry are accommodation, food and beverage and travel and tourism. The Tourism, Hospitality and Recreation industry of New Zealand provides is a big avenue for employment generation giving opportunities to the young generation especially including part-time jobs (Cropp, 2016). Most of the employed youth in the industry are young students working part time and studying for higher qualifications. Employee turnover in an industry refers to the given number of people in the workforce which the industry needs to replace within a fixed period of time. This aspect is of vital importance to the functioning of an organization as it affects the productivity and more so when it is service based (Mok, Sparks Kadampully, 2013). Aim of the research The aims of this research are: To understand the hospitality industry of New Zealand To find out the rate of employee turnover in New Zealand To find out the difference in the rate of turnover in comparison to a global figure. To find out that factors or the causes behind the employee turnover in this sector To understand and find out the relation between the turnover rate and the wage of the employees To understand the effects of low wages on the employees To find out how this relation affects the productivity of the hospitality industry in New Zealand. Purpose of the research The purpose of this research is to understand the scenario of employment in the hospitality industry in New Zealand. Employee turnover has been the center of research of various researchers in the recent times highlighting many aspects of the hospitality industry (Hall Rusher, 2013). In New Zealand, this sector is the highest revenue earner garnering to employment needs of its young workforce. But in the past few years the hospitality industry has faced many ups and downs leading to a volatile job market (Poulston, Jenkins, 2016). The low rate of wages earned in this service industry that involves strong commitment and dedication in providing optimum customer satisfaction has been identified as a primary reason by many international studies (Hatch, 2016). It is therefore, very important to study what are the factors that have led to a low wage system in the industry leaving the workforce de motivated to leave the job and also find out ways and means to solve this problem (Mohsin, L engler Aguzzoli, 2015). Research questions The research questions that need to be answered in the course of study are: What is the hospitality industry of New Zealand? What is the rate of employee turnover in hospitality industry of New Zealand? What is the rate of employee turnover in hospitality industry in a global scale? What are the factors or causes behind the employee turnover rate in hospitality industry of New Zealand? What is the relation between the employee turnover rate and wages? What are the effects of low wages on employee? What are the effects of the employee turnover due to low wages in the productivity of the hospitality industry of New Zealand Guiding principle The theory of causality or cause and effect relationship is the guiding force shaping the research question of the study undertaken which has also been the basis of scientific enquiry since ancient times. This theory basically explains the universal phenomenon of a cause leading to an effect. In the context of the study undertaken this forms the construct that low wages have led to the high rate of employee turnover in the hospitality industry of New Zealand. This will help finding out the answers to the research questions by significantly exploring the distinct role played by wages or remuneration existing and how it effects the employees duration of employment in that industry. Studies have showed that wages or earnings are the sole purpose of employees to continue their association in any organization (Pascoe, 2017). The motivation to work is dependent on the salaries they receive in turn for the efforts they put in to deliver as employees. If the salaries they receive are at par with the services they deliver as employees they are more motivated to stay for longer durations in that particular job and similarly are de motivated if the wages are low (Brien, Thomas Brown, 2017). This theory will therefore helpful in the course of study. References Brien, A., Thomas, N. J., Brown, E. A. (2017). How hotel employee job-identity impacts the hotel industry: The uncomfortable truth.Journal of Hospitality and Tourism Management,31, 235-243. Cropp, A. (2016).Hotel staff shortages spell trouble for tourism.Stuff. Retrieved 21 July 2017, from https://www.stuff.co.nz/business/75646138/hotel-staff-shortages-spell-trouble-for-tourism. Hall, C. M., Rusher, K. (2013). Risky lifestyles? Entrepreneurial characteristics of the New Zealand bed and breakfast sector.Small in Firms Tourism, Michael, HC and K. Rusher (Eds.). Elsevier Publishing Company, Amsterdam, Netherlands, 83-98. Hatch, P. (2016).Hospitality hit hard by mining downturn.The Sydney Morning Herald. Retrieved 22 July 2017, from https://www.smh.com.au/business/retail/hospitality-hit-hard-by-mining-downturn-abs-figures-show-20160404-gnxn3q.html Mohsin, A., Lengler, J., Aguzzoli, R. (2015). Staff turnover in hotels: Exploring the quadratic and linear relationships. Tourism Management,51, 35-48. Mok, C., Sparks, B., Kadampully, J. (2013).Service quality management in hospitality, tourism, and leisure. Routledge. Pascoe, M. (2017).Why penalty rates for shift workers should be sharply higher.The Sydney Morning Herald. Retrieved 22 July 2017, from https://www.smh.com.au/business/the-economy/why-penalty-rates-for-shift-workers-should-be-sharply-higher-20170223-guk5vo.html Poulston, J., Jenkins, A. (2016). Barriers to the employment of older hotel workers in New Zealand.Journal of Human Resources in Hospitality Tourism,15(1), 45-68. Shen, Y., Morrison, A. M., Wu, B., Park, J., Li, C., Li, M. (2014). Where in the world? A geographic analysis of a decade of research in tourism, hospitality, and leisure journals.Journal of Hospitality Tourism Research.

Studies on International Fiscal Law

Question: Discuss about the Studies on International Fiscal Law. Answer: Introduction: Residency test means the test based on the residential status of an individual. It is important to calculate the residential status of an individual. According to Australian Law if a person resides in Australia, he/she is considered as an Australian resident for taxation purpose. In this case, he does not require passing the residency test of the country. There are three judicial tests to calculate the residential status of an individual in Australia which are as below: The domicile test: The term domicile means a person has a permanent home in one country, i.e. in his home country. A person can be treated as an Australian resident if he is residing in the country by constructing or owning his home in Australia unless he satisfies that his permanent home is outside Australia. Test based on 183 days: According to Australian Law, if a person resides in the country for more than a period of 180 days during their financial year, either continuously or by taking breaks in the tenure, than the person in this case can be treated as the constructive residence of the country unless he satisfies that his permanent residence is outside the country, moreover, he dont have any intention to stay in the country permanently. Test based on Superannuation method: It is helpful for those people who work for the government of the country in Australia, i.e., the person who is involved in either civil services or any government services. The person can be treated as Australian residents if he is working overseas for his post. The person has to declare all the details of his income whether earned in the country or overseas. In the given case, Midoona does not satisfy any of the above-mentioned condition. To pass the domicile test she has a permanent place outside Australia but she does not own any place of residence in Australia. She leases an apartment in Alatai and pays the rent on weekly basis, so that she can save money when she was touring to England for her recording sessions. So, no intention of her can be seen regarding permanent residency. Hence, she is non-resident for the financial year 2015/16. Based on the criteria of 183 days: She arrives in the country on 2 July 2015, and left the country on 15 September 2015 [30+31+15=76 days]. She returned to Australia again on 1 April 2016 and stays in the country for some time. Therefore, the calculated days during this period are [30+31+30=91]. Total calculated days=76+91=167 days. She does not satisfy the second test also. Hence, non-resident for the financial year 2015/16. The Superannuation test of residency is not applicable on her because she is not involved in the governmental services of the country. She works as a karaoke singer in the hotel. To conclude Midoona fails to satisfy all the three conditions of the residency test, hence, the income, which she earns in the country, is not taxable in Australia. Calculation of Midoonas tax liability in the 2015/2016 income year: According to Australian Law total income of an individual can be calculated based on three sources of his income, which includes income from business, income from salary and wages and income from capital gains. It is the main source of income for the federal government because it accounts for more than 67%of the income tax of the country whereas the other tier of government collects 55% from the total source of the revenue. The slab rate of tax for an individual is about 45% whereas for the corporate sector it is @ 30%. The Australian Taxation Office collects the tax. The financial year starts from 1st July and ends on 30th June every year. The tax is calculated on the income of an individual by subtracting the allowable deductions under specified sections of the act. After making necessary changes to the gross income of an individual his net income or the assessable income can be ascertained. The slab rate of tax for a resident in the country is as follows: Taxable income Till $18,200 From $18,201-$37,000 From $37,001-$80,000 From $80,001-$180,000 From more than $180,001 Tax on income Nil 19c for each dollar earned above $18,200 $3,572+32.5c for each dollar above $37,000 $17,547+37c for each dollar above $80,000 $54,547+45c for each dollar above $180,000 Tax rate 0% 0%-9.7% 9.7%-21.9% 21.9%-30.3% 30.3%-44.9 %( less than 45%) On the other hand the slab rate of tax for the income earned by a non-resident individual in the country are as follows: Taxable income Up to $80,000 From $80,001-$180,000 Above $180,001 Tax on income @of 32.5c for each dollar $26,000+37c for each dollar above $80,000 $63,000+45c for each dollar above $180,000 In the given problem, Midoona visited the country on 2nd July 2015 to commence her tour known as like a popstar in the country with her 3 children. The tour was very successful and she earns $450,000 from this tour. Her operating expenses for this tour are $ 380,000. She earns $15,000 as appearance fees for the show The Affairs of Today. On 15 August 2015, she completed her final tour in Adelaide and went for a trip to Australian outback. At Darwin, she enters into a trivia competition at Imperial Hotel. She earns $500 as cash and $500 as weekend package to Alatai. She left the country and returned to England on 15 September from Darwin. She visited Darwin again on 1 April 2016. There she won cash prize of $200 by participating in a competition at Grand Hotel. She earns $45,000 as karaoke host in Darwin. She receives $2,500 as tips from her customers. She deposits this amount to her children account as their pocket money. She spends $1,000 for two dresses, which is essential for her job. She spends $450(150*3) to purchase stilettos for her job. She spends $200 for subscription in the magazine Karaoke Queen so that she can improve her Karaoke skills. She also spends $500 for subscription to the Karaoke Australia Organization. Calculation of taxable income of Midoona for the year 2015/16 Particulars Income from tour in Australia in the year 2015 Operating expenses Appearance fees Amount received in cash from trivia competition Amount received in kind from trivia competition Amount received in cash from Grand Hotel Amount received by giving service as karaoke host Amount received as tips from customer Amount spend on costumes Amount spends on shoes used for working purpose Amount spends on the subscription of the magazine Amount spends on the subscription of Karaoke organization Amount $450,000 $380,000 $15,000 $500 $500 $200 $45,000 $2,500 $1,000 $450 $200 $500 Reason Foreign resident To be deducted from total income To be included in total income Exempt under sec. ITAA97 Exempt under sec.ITAA97 Exempt under sec.ITAA97 Taxable Taxable Deducted from income Deducted from income Deducted from income Deducted from income Taxable 450000 380000 15000 Nil Nil Nil 45000 2500 1000 450 200 500 Taxable income=$70,630 [Note: for calculation see the appendix below] Discussion for the justification for the inclusion/exclusion of each item in the tax payable calculation above: According to Australian Law there are certain implications which a person has to follow for the purpose of taxation which are as below: If a person does not have a permanent home outside Australia, than, the person is to be treated as Australian resident for taxation purpose. If a person, visits Australia for more than a period of six months and he lives at same place for that period than the person is to be treated as Australian resident. But in this case Midoona has a permanent home in UK, moreover, her period of stay was less than 180 days during the year. On the other hand there are certain other criteria based on which a person can be treated as foreign resident for taxation purpose: If a person visits Australia for more than a period of six months and he keeps on travelling during that period than in this case he is treated as a foreign resident for taxation purpose. If a person visits the country for holiday purpose or for a period which is less than a period of six months than he is to be treated as a foreign resident for taxation purpose. In case, if you are a foreign resident than the income which you earned in Australia should not be declared as a foreign income for taxation purpose. In some cases, it depends on the taxation treaty of the other country. It means if the country has some set up with Australian taxation law than the person is liable for tax in both the countries. For example, if a person earns some income in the UK and he is the permanent resident of Australia. If UK has, any set up with Australia than the person can pay the tax either in his own country or in UK. In the given problem, no further information regarding the taxation treaty is seen so it is assumed that there is no taxation treaty among the country. Therefore, whatever she earns in the country will be treated as foreign income and are chargeable to the taxation purpose in UK only. In certain, similar cases like Martin v FCT (1954) 90 CLR 470; Evans v FCT (1989) 20 ATR 922; 89 ATC 4540; Babka v FCT (1989) 20 ATR 1251; Brajkovich v FCT (1989) 20 ATR 1570. The High Court decision in FCT v Stone 2005 ATC 4234; [2005] HCA 21 the court opined that there is a difference in between the income earned as a profession and income earned from hobby. In the given case Midoona earned her income as a profession instead of hobby. Hence chargeable for taxation purpose. References: Ato.gov.au. (2016).Home page | Australian Taxation Office. [online] Available at: https://www.ato.gov.au/ [Accessed 7 Sep. 2016]. Aziz, O., Gemmell, N., Laws, A. (2013). The distribution of income and fiscal incidence by age and gender: some evidence from New Zealand.Victoria University of Wellington Working Paper in Public Finance, (10). Aziz, O., Gemmell, N., Laws, A. (2015). Income and Fiscal Incidence by Age and Gender: Some Evidence from New Zealand.Review of Income and Wealth. Burnett, C., Taylor, C. J., Wong, J. (2015). Qualification of Taxable Entities and Treaty Protection: National Report for Australia.CAHIERS DE DROIT FISCAL INTERNATIONAL: STUDIES ON INTERNATIONAL FISCAL LAW,99. Burton, M. A. (2013). The interpretation of tax legislation in Great Britain and Australia-a study of the indeterminacy of law. Butler, D. (2016). Superannuation: Changing SMSF trustees-tips and traps.Taxation in Australia,50(10), 620. Correaà ¢Ã¢â€š ¬Ã‚ Velez, I., Barnett, A. G., Gifford, S. (2015). Working for a better life: Longitudinal evidence on the predictors of employment among recently arrived refugee migrant men living in Australia.International Migration,53(2), 321-337. Grubert, H., Altshuler, R. (2016). Shifting the Burden of Taxation from the Corporate to the Personal Level and Getting the Corporate Tax Rate Down to 15 Percent.National Tax Journal,69(3). Hathaway, N. (2013). Imputation Credit Redemption ATO data 1988-2011.Where have all the credits gone. Higgins, C. (2016). Status Determination of Indochinese Boat Arrivals: A Balancing Actin Australia.Journal of Refugee Studies, fev036. Koslowski, R. (2014). Selective migration policy models and changing realities of implementation.International Migration,52(3), 26-39. Lang, M. (2014).Introduction to the law of double taxation conventions. Linde Verlag GmbH. Long, B., Campbell, J., Kelshaw, C. (2016). The justice lens on taxation policy in Australia.St Mark's Review, (235), 94. Phillips, J. (2013).Asylum seekers and refugees: what are the facts?. Canberra: Department of Parliamentary Services, Parliament of Australia. Richardson, G., Taylor, G., Wright, C. (2014). Corporate Profiling of Tax-Malfeasance: A Theoretical and Empirical.Citation: Richardson, G. and Taylor, G. and Wright, C, 359-382. Woodward, A., Taylor, M. (2015). Mergers and acquisitions: How clear is your exit?.Taxation in Australia,49(10), 635.