Fracking Essay Example for Free

Fracking Essay â€Å"Fracking,† or hydraulic fracturing, is a controversial technology that was originally developed over 60 years ago. It allows us to obtain oil and hydrocarbons from otherwise inaccessible underground locations by drilling thousands of feet into the Earth and intentionally fracturing the shale. The oils and hydrocarbons are collected and then refined into pipeline quality natural gas. Natural gas is cleaner, more reliable, and more abundant than other fossil fuels. In recent years, people in America have become more concerned with the environment, and fracking has been a topic of frequent debate. We have seen firsthand what a boost these natural gas extraction facilities can give the economy, there are thousands of jobs being created and increasing amounts of refined natural gas being sold. New steel factories are being constructed to produce the materials required for the natural gas well casings. We don’t have to do a lot of dealing with trading or transport of natural gas, because most of the natural gas we use in America is extracted from our own soil. For this reason, many people are concerned with the impact fracking is having on our health and our environment. One major issue with the process is the risk of contaminating the ground and drinking water near the fracking wells. The wells are filled with high pressure fracking fluid, which contains chemicals and metals that are harmful to humans and our soil. Another possible problem or danger is gas migration, where drilling activity can cause methane build up in nearby wells of drinking water, contaminating the air and water supply with the dangerous gas. The natural gas industry accounts for forty percent of methane gas emitted in America. Breathing in and drinking or eating these harmful pollutants is not only directly harmful to those in the area either, as the livestock and crop can become contaminated before being distributed for sale to unknowing customers. Effects of these pollutants vary, but most of them are hazardous to human health, and can include cancer, respiratory or cardiovascular failure, and developmental damage. Fracking certainly has the potential to decrease our foreign oil dependency by tapping into our abundance of shale gas. It would definitely be best to redesign our process first, before irreversible damage is done to our environment.

Oscar Wilde Constanly Mocks Victorian Society Essay Example for Free

Oscar Wilde Constanly Mocks Victorian Society Essay Act III offers happy resolution to the problems of identity and marriage that drive much of the humor in the previous acts. Wilde continues to mock the social customs and attitudes of the aristocratic class. He relentlessly attacks their values, views on marriage and respectability, sexual attitudes, and concern for stability in the social structure. Wilde attacks social behavior with the continuation of speeches by his characters that are the opposite of their actions. While Cecily and Gwendolen agree to keep a dignified silence, Gwendolen actually states that they will not be the first ones to speak to the men. In the very next line she says, Mr. Worthing, I have something very particular to ask you. Wilde seems to be saying that people speak as if they have strong opinions, but their actions do not support their words. If actions truly do speak louder than words, Wilde has made his point: Society, literally, speaks volumes, but the words are meaningless. Wilde continues his criticism of societys valuing style over substance when Gwendolen says, In matters of grave importance, style, not sincerity is the vital thing. Lady Bracknell discusses Algernons marriage assets in the same light. She says, Algernon is an extremely, I may almost say an ostentatiously, eligible young man. He has nothing, but he looks everything. What more can one desire? Indeed, in a society where looks are everything and substance is discounted, Algernon is the perfect husband. What else do aristocrats value? They seem to esteem the appearance of respectability. Respectability means children are born within the context of marriage. Wilde once again mocks the hypocrisy of the aristocrats who appear to value monogamy but pretend not to notice affairs. Jacks speech to Miss Prism, whom he believes to be his mother, is humorous in both its indignant defense of marriage and also its mocking of the loudly touted religious reformers virtues of repentance and forgiveness. He says to Miss Prism, Unmarried! I do not deny that is a serious blow†¦. Mother, I forgive you. His words are all the more humorous when Miss Prism indignantly denies being his mother. It was not at all unusual for aristocrats to have children born out of wedlock, but society turned its head, pretended not to know about those children, and did not condemn their fathers. The gulf between the upper class and its servants is explored in the scenes with Merriman and Prism. When Lady Bracknell unexpectedly shows up at Jacks, Merriman coughs discretely to warn the couples of her arrival. One can only imagine his humorous thoughts as he watches the wealthy tiptoe around each other and argue about what should be important. When Lady Bracknell hears the description of Prism and recognizes her as their former nanny, she calls for Miss Prism by shouting Prism! without using a title in front of her name. Imperiously, Lady Bracknell divides the servant from the lady of the manor. Wildes audience would recognize this behavior on the part of the servants and the upper class. The stuffy class distinctions defined the society in which they lived. In an age of social registers, Lady Bracknell laments that even the Court Guides have errors. In the next breath, she discusses bribing Gwendolens maid to find out what is happening in her daughters life. In Act III she also reveals that her aristocratic brothers family entrusted their most precious possession — Jack — to a woman who is more interested in her handbag and manuscript than in what happens to the baby in her charge. Wilde seems to be questioning the values of a society that believes in social registers, hires other people to neglectfully watch its children, and uses bribery to keep track of the children who are not missing. The death of Bunbury gives Wilde the opportunity to speak of aristocratic fears and have some continued fun with the upper classs lack of compassion about death. The 1885 Trafalgar Square riots brought on ruling-class fears of insurrection, anarchism and socialism. Wilde humorously touches on these fears when he allows Algernon to explain the explosion of Bunbury. Lady Bracknell, fearing the worst, exclaims, Was he the victim of a revolutionary outrage? I was not aware that Mr. Bunbury was interested in social legislation. If so, he is well punished for his morbidity. Evidently, to Lady Bracknells acquaintances, laws that protect the welfare of those less fortunate are strictly morbid subjects. In fact, this attitude seems to contradict the upper-class concern for reform. However, in reality, Wilde is confirming the upper-class definition of social reform: conforming to the status quo. In Act III Wilde makes a comment on the value of being homosexual with a veiled reference to Lady Lancing. When Lady Bracknell asserts that Cecily needs to have a more sophisticated hairstyle, she recommends a thoroughly experienced French maid who can make a great deal of change in a very short time. She explains that such a change happened to an acquaintance of hers, Lady Lancing, and that after three months her own husband did not know her. Jack uses the opportunity to make a pun on the word know, using it in an aside — a comment only the audience can hear. Jack interprets know to mean they no longer had sex, insinuating Lady Lancings preference for the French maid. He says, And after six months nobody knew her, indicating that the homosexual experience made a new woman of her. Although homosexuality would have been seen as immoral to Wildes audience, Jack indicates that being homosexual might be a good thing — almost as a social commentary — directly to the audience. It seems a double life is necessary after one is married, whether it be bunburying or the homosexual life Wilde was experiencing in an increasingly public way. Wilde continues his assault on family life in Act III by mentioning its strange qualities in several conversations. It appears rather strange, for example, that Lady Bracknell cannot even recall the Christian name of her brother-in-law, Algys father. Algernons father died before Algernon was one, so stranger yet is Algernons comment, We were never even on speaking terms. He gives that as the reason he cannot remember his fathers name. Further assaulting family life, Wilde has Lady Bracknell describe Lord Moncrieff as eccentric but excuses his behavior because it was the result of the Indian climate, and marriage, and indigestions, and other things of that kind. Marriage is lumped together with things such as indigestion. In explaining Lord Moncrieffs marriage, Lady Bracknell says that he was essentially a man of peace, except in his domestic life. Her description invites suspicion that the local constabulary might have visited because of domestic disturbances. Family life and domestic bliss do not get high marks in Wildes estimation. When Miss Prism humorously resolves the problem of Jacks lineage, Wilde takes his hero of unknown origins and paints him as the aristocrat who will now be assimilated into his rightful place in the social structure. Through the sad melodrama of Jacks handbag parentage, Wilde exaggerates the Victorian clichà © of the poor foundling who makes good. As soon as Jack is known to be a member of the established aristocracy, a Moncrieff in fact, he is seen as an appropriate person for Gwendolen to marry. They will, according to Wilde, live happily ever after in wedded bliss and continue the aristocratic blindness to anything that truly matters. The tag line of the play, spoken by Jack, is a familiar convention in Victorian farces. In discovering that he has been telling the truth all along — his name is Ernest, and he has a brother — Jack makes fun of the Victorian virtues of sincerity and honesty and asks Gwendolen to forgive him for speaking nothing but the truth. He now realizes the importance of being the person he is supposed to be. Wilde is saying perhaps that a new kind of earnestness exists, one that is different from the virtues extolled by the Victorians. Maybe it is possible to be honest and understand what should be taken seriously in life rather than being deceptive, hypocritical, and superficial. Some readers believe, however, that the ending shows Jack mockingly redefining Victorian earnestness as just the opposite: a life of lies, pleasure and beauty. Critics debate the interpretation of the last line. A curious stage direction occurs in Act III, revealing the concern Wilde had for the staging of his play to compliment his ideas. As his couples come together and move apart, he emphasizes the choreography of the pairs. He has them speak in unison, both the women together and the men together. It matters not who they are; they are interchangeable. Marriage is simply an institution that is a gesture, like a christening. The unison speaking is very stylistic, not meant to be realistic at all. It reveals Wildes attitude that what is important in Victorian marriage — names — really should not be as important as other considerations. In the end, Wilde leaves his audience thinking about the trivial social conventions they deem important. Their Victorian virtues perhaps need redefining. Institutions such as marriage, religion, family values and money should perhaps have new interpretations. The character of people, rather than their names and family fortunes, should weigh most heavily when considering their worth. Wilde was able to use humor to skewer these attitudes and convince his audience about the importance of being earnest.

Study on the Market Response to Stock Splits

Study on the Market Response to Stock Splits The market response to stock splits is investigated with the dataset from an emerging country – India for period 2006 March 2009. study reports significantly positive abnormal returns on day of split execution and next trading day. regression analysis suggests that the reaction can be attributed to liquidity hypothesis. The postsplit period experiences abnormally high negative which wipes out any positive gain during split execution. This seems mostly explained by presplit price increase and size of firms suggesting that the have experienced a in period are ones suffer worst returns. In theory, stocksplits are cosmetic corporate events as they simply increase the number of outstanding shares and decrease the price of each outstanding share. Hence, there should be no significant effect on the value of the firm. A stock split does not change the revenue or assets of a company. So, stocksplit should cause no change in price other than the adjustment warranted by the split factor. There should also be no change in distribution of stock returns around exdates of stock splits. Exdate refers to the date on or after which a security is traded without a previously declared dividend or distribution. However, empirical evidence suggests that the market generally reacts favorably to stock splits. In different developed markets, for instance, UK and US, significant positive abnormal returns and increase in variance and volumes of trade have been documented around stock split announcements as well as exdates. The contradiction between theory, which expects no change in firm va lue consequent to stock splits, and the reality, with scores of evidence of significant market reaction, triggers the present study. In February 1981, the Indian ministry of finance issued a guideline that denomination of equity shares be fixed uniformly at Rs.10, and that the denomination of the then existing shares other than Rs.10 be converted into denomination of Rs.10. In another guideline in January 1983, the Indian government clarified that denomination of shares of Rs.100 need not be changed to denomination of Rs.10, i.e. shares of all companies were required to be in denominations of Rs.10 or Rs.100 only. Even so, several companies converted the denomination of shares of Rs.100 into that of Rs.10 on the grounds that it generated better liquidity, as also a higher value for the shares. However, in March 1999, the Securities and Exchange Board of India (SEBI) decided, with the objective of broadening the investors base, to dispense away with the requirement of standard denomination of Rs.100 or Rs.10 and gave freedom to companies to issue shares of any denomination but not below Re.1. Companies that had issued shares of the face value of Rs.10 or Rs.100 were also permitted to avail of this facility by consolidation or by splitting their existing shares. To reap benefits of splitting, a number of existing listed companies having denomination of Rs.100 or Rs.10 have split their stocks into different denominations, e.g., Re.1, Rs.2 or Rs.5, etc. These recent changes in the Indias regulatory environment offer a unique opportunity to gain further insight into the stock splits with reference to their effects on variables like stock prices, return, volatility, and trading volume. With the increased integration of international markets in general and a wave of liberalization and globalization, the importance of understanding these stock events has increased dramatically. Further, there a re different capital gains tax laws in India. Under these circumstances, splits may have different effects contrary to what has been reported in various literatures. Furthermore, compared to the worlds major stock exchanges, there are proportionally more small firms listed on Indian exchanges; consequently, many firms are thinly traded. Hence, these differences between Global and Indian markets necessitate studying split events in India. The results of the present study shows significantly positive cumulative abnormal returns on and the next trading day after split execution, following which there is a major decline in share prices which wipes out most of the gain of the execution period. The signaling hypothesis and the trading range hypothesis do not seem to provide any explanation for the significant CAR around execution date, while the liquidity hypothesis seems to contribute significantly towards the positive CAR occurring on and immediately after the execution. The small firm hypothesis also 6 shows weak explanatory power for the change in wealth. The post execution negative reaction is mostly explained by run up of stock prices preceding the execution, implying that the stock split has induced a revision of stocks fundamentals, probably bringing prices to a more fundamental level. 7 2. . Literature review There have been numerous researches on the effect of stock splits on different parameters of capital markets. Fama etal (1969) has been the pioneering study to examine the share price performance of splitting firms. Although the economic literature has not yet found a definitive explanation for either the abnormal returns observed around the announcement and execution dates, or the reasons why managers decide to split, different explanations, not necessarily mutually exclusive have been proposed. The more prominent hypotheses are the signaling hypothesis, the trading range hypothesis, the liquidity hypothesis and the neglected firm hypothesis. One such research paper advocates considering the three different market efficiencies (weak form, semistrong form, and strong form) that the investor can make an above normal return by relying on public information impounded in a stock split announcement. This study agrees that according to the semistrong form market efficiency, the stock split announcement do impact the company stock price. The study done by Desai, Jain (1997) elaborates more on longrun performance of common stock following stock splits announcement and hence concludes that the capital market doesnt fully react to the information conveyed in the stock split announcement. Considering the ignored studies of small firms, the paper examined firm portfolio of different sizes and more diversity in terms of industries. Taking a large sample of stock information for a period of 1976 – 91, the research paper concluded that the market does not incorporate the full effect of the stock split announcement in the month of announcement. It is evident that managers believe that stock split results in optimal trading price of a stock that attract small investors and hence enhances liquidity. Joshipura (2008) studied the price and liquidity effects associated with stock split surrounding its announcement and execution 8 dates in Indian stock exchanges. The results suggested that though there were some positive abnormal return associated surrounding announcement and execution dates of the stock split, but it reverses in just a few days after the event dates, and ultimately generates significant negative abnormal return in slightly longer postexecution window. It also found that there was a significant improvement seen in liquidity surrounding announcement and execution dates of stock split. Desai and Nimalendran (1998) examined the effect of the change in trading activity after stock splits on volatility and spread. The results of the study show that the increase in volatility cannot be attributed solely to microstructure biases arising from the bidask bounce and price discreteness. Even after correcting for these two biases, the study found a significant increase in volatility after the split. The study also found an increase in the number of trades after the split, and the increase in the biasadjus ted volatility was positively related to this increase in the number of trades. The study decomposed volatility into transient and permanent components and found that both components of volatility increase after the split. Attributing transient volatility to noise traders and permanent volatility to informed traders, the study suggested that trading by both types of traders increases after the split. Ikenberry, etal (1996) discusses that splits are used to move stock prices into a trading range to increase liquidity and that they are used by management as a signal of positive private information. The study found evidence that is consistent with the view that splits are typically used to realign stock prices to a normal trading range. The study also confirmed that splits convey favorable information, thereby validating the signaling hypothesis. It was found that market reaction was greater for small firms, low booktomarket firms and firms splitting to low share prices. The study also found an inverse relationship between the presplit run up and postsplit excess returns, suggesting that the results were not attributable to momentum. 9 There are various studies devoted to studying the effect of stock splits in specific geographies. Asquith, etal (1989) examined stock splits in the US market and found that stock splits do convey earnings information. The results indicated that firms split their shares after a significant increase in earnings. Before the stock split announcement, the market expects these earnings increases to be temporary. The split announcement leads investors to increase their expectations that the past earnings increases are permanent. The study also found that the markets reaction to the split announcement cannot be attributed to expectations of either future earnings increases or nearterm cash dividend increases. Elfakhani, etal (2003) examined the market behavior surrounding stock split announcements in the Canadian market for the 1977–1993 period and the effect of the 2year before compared to the 2year after the announcement. Using the event study methodology, the findings indicated tha t positive abnormal returns exist on both the announcement days (0,1) and the 11day period surrounding stock split announcements. The results also showed that following the split event, bidask spreads decrease, while both trading volume and the number of transactions increase thus suggesting that split events enhance liquidity. Further, the study observed that earnings grow in the 2year period following split events, thus implying that split events signal future performance of the firm. Wulff (2002) investigated market reaction to stock splits using a set of German firms and in line with the US findings, found significant positive abnormal returns around both the announcement and the execution day of German stock splits. The study also observed an increase in return variance and in liquidity after the exday. The study found that abnormal returns around the announcement day are not related to changes in liquidity, but (negatively) to firm size, thus lending support to the neglected f irm hypothesis. Despite noting a substantial increase in liquidity after the split, the study did not find support for the liquidity 10 hypothesis. Menendez, etal (2003) analyzed the motivations and valuation effects of stock splits in the Spanish market. The findings of the study suggest that splitting firms present a presplit stock price above the normal trading range, and that, after the split, the number of transactions and the average transaction size increase significantly. Moreover, positive abnormal returns are observed around the announcement dates and around the exdate. For the latter, however, these positive wealth effects are outweighed by the negative abnormal returns observed closely afterwards. The study found that liquidity, or the optimal trading range hypotheses prevailed over other hypotheses as an explanation for stock splits in the Spanish market. The findings of the study suggest the main reason behind a stock split and for the positive market reaction around the stock split announcements is a higher share price than the normal trading range. The reduction of this higher price seems to attract s mall investors and thus significant increases in the number of transactions and reductions in the trading volume per transaction after the split are observed, without there being any significant variation in the volume of shares traded. This adjustment of the firms stock price to a normal trading range is valued positively by investors. Most of these studies are concentrated mainly around market reaction at the announcement date. In a study on the UK equity market, specifically concentrating on the exsplit date, Staikouras etal, (2009) has documented positive abnormal returns on and around the exsplit date which are partially predictable using the publicly available information prior to the exsplit date. The study also observed a persistent increase in the post split volatility of the stocks in the UK equity market with this increase being better explained by the daily trading volume. This is in contrast to the US findings where the daily number of trades was found to better capture the increase in volatility. 11 In this study, the market response to stock splits is investigated with the dataset from an emerging country – India, which is distanced from the west in terms of geographical location, economic development, institutional and legal framework. Not much is available in the Indian context with a focus on the exsplit date, so far, except for the commendable work by Mishra (2007), which documents negative effect on price and return of stocks following splits. The study also reports a positive effect on volatility and trading volume following the split events. The present paper tries to provide a few additional insights on the issue and therefore, differs from Mishras (2007) study in the following ways. Firstly, an attempt is made to explain the significant cumulative abnormal returns around the split execution dates with the help of regression analysis. Secondly, the independent variables cover issues like small firm hypothesis, price run up, deviation of price from market average, which are unexplored in his paper. Thirdly, the data set of the present study covers the period post Mishras study, i.e., from 2006 to March 2009. HHHHyyyyppppooootttthhhheeeesssseeees s ffffoooorrrrmmmmuuuullllaaaattttiiiioooon n TTTThhhhe e ssssiiiiggggnnnnaaaalllliiiinnnng g hhhhyyyyppppooootttthhhheeeessssiiiis s The signaling hypothesis proposes that, in a scenario of asymmetric information between managers and investors, managers may use stock splits to signal positive information to the market about the firms future expectations. The presence of positive abnormal returns around the stock split announcement that is found in many empirical studies provides evidence for the signaling hypothesis. 12 Trading range hypothesis According to the optimal trading range hypothesis, stock splits are used as tools to realign the share price to a desired price range so that it is more affordable for small investors to buy round lots of shares. If the presplit share price is at a high level, then a stock split is justified for improving the marketability of the shares. Empirical findings suggesting an increase in the daily number of transactions after the split do not reject this optimal range hypothesis. TTTThhhhe e lllliiiiqqqquuuuiiiiddddiiiitttty y hhhhyyyyppppooootttthhhheeeessssiiiis s The managements motivation to bring the share price to an optimal trading range arises from the desire to improve liquidity. According to literature there is an observed increase in trading volume during the postsplit period, and hence provide support for the liquidity hypothesis of stock splits. Staikouras etal, (2009) in their study of the UK equity market document a strong and positive relationship between the measures of trading activity and the returns volatility over the preand postsplit horizons. SSSSmmmmaaaalllll l ffffiiiirrrrm m hhhhyyyyppppooootttthhhheeeessssiiiis s Small firm or neglected firm hypothesis suggests that since the smaller firms have fewer announcements published in the financial press, the split announcement is expected to create greater market interest than it would be in case of larger firms. So, small firms may have an incentive to adopt the stock splits to grab more attention. Based on the discussion above, we can lay down the objectives of this study. The study proposes to, using data from the Indian stock market, examine the presence of positive abnormal returns over the stock split 13 period and, if found to be true, to study whether the returns can be explained using any of the hypotheses mentioned above. We formulate the following hypotheses: HHHH1111: There is no significant abnormal return around the exsplit date. HHHH2222: If H1 rejected, returns are identical for all firms in sample. HHHH3333: and H2 the abnormal observed around event window [1,+1] can be attributed to publicly available information based on one or more of theoretical hypotheses above. HHHH4444: If H3 is true, a similar explanation can be made using this data for different time horizons around the exdate. An event study framework is employed to test the above hypotheses. An OLS regression model is used for determining the factors for the occurrence of abnormal returns across the event window. 14 3333. . DDDDaaaatttta a aaaannnnd d MMMMeeeetttthhhhooooddddoooollllooooggggy y 3333.1 DDDDaaaatttta a CCCCoooolllllllleeeeccccttttiiiioooon n The basic sample is comprised of all Bombay Stock Exchange (BSE) equity stocks that have split between January 2006 and March 2009. The National Stock Exchange website was used to download list of stocks that have undergone a stock split in this period. There were a total of 151 stock splits during the period. All financial data series for these stocks like daily closing adjusted prices, market capitalization, trading volume and market indices were downloaded from Thomson DataStream. The following criteria have been applied to include a company in the sample. i) The stock price data is available for 260 days prior to the exsplit date. ii) Data for 260 days are available for the postsplit period. iii) Where a stock has split more than once in the sample period, the first exsplit date was considered. iv) Other required financial information is available. After filtering on the basis of the above criteria, the number of firms on which the analysis could be carried out was 99. 3333.2 DDDDaaaatttta a AAAAnnnnaaaallllyyyyssssiiiis s Table 1A Table 1B below show summary statistics of the sample stocks used for this study. There is an even distribution of stock splits in each year of the sample period indicating normal stock split activity in the Indian equity market 15 for the given period. However, analysis on a monthly basis reveals that August, September and October are the most active months for stock splits, possibly indicating a preference by firms to execute the split around that time. More than 40 percent of the firms in the sample have the stock split in this period. 5:1 split is the most common split ratio (57 firms) in the sample followed by 10:1 and 2:1 split ratios. For the 4:1, 6:1 and 5:2 split ratios, there is only one stock in the sample period. Therefore, summary statistics for these stocks were not calculated as any observations made would be a result of a very firm specific performance and not a general conclusion. The average price for the 2:1, 5:1 and 10:1 split sizes are Rs. 229.99, Rs. 192.30 and Rs. 215.27 respectively. No conclusive relation between the stock price and the split ratio can be inferred from the maximum and minimum values shown below. The average marketcap for the 2:1, 5:1 and 10:1 split sizes are Rs. 13068.56 million, Rs. 57129.56 million and Rs. 87126 million respectively. The average market capitalization is observed to increase with higher split ratio possibly indicating that the largecap stocks are the ones that usually opt for the higher split ratio. 16 TTTTaaaabbbblllle e 1111AAAA: : SSSSttttoooocccck k SSSSpppplllliiiit t ssssaaaammmmpppplllle e ddddiiiissssttttrrrriiiibbbbuuuuttttiiiioooon n TTTTaaaabbbblllle e 1111BBBB: : SSSSttttoooocccck k SSSSpppplllliiiit t ssssuuuummmmmmmmaaaarrrry y ssssttttaaaattttiiiissssttttiiiiccccs s 17 3333.3 MMMMeeeetttthhhhooooddddoooollllooooggggy y EEEEvvvveeeennnnt t bbbbaaaasssseeeed d ssssttttuuuuddddy y Event studies start with hypothesis about how a particular event affects the value of a firm. The hypothesis that the value of the company has changed will be translated in the stock showing an abnormal return. Coupled with the notion that the information is readily impounded into prices, the concept of abnormal returns (or performance) is the central key of event study methods. How does a particular event affect the value of a company? We must be careful because at any time we observe a mixture of market wide factors and a bunch of other firm events. To correctly measure the impact of a particular event we need to control for those unrelated factors. The selection of the benchmark to use or the model to measure normal returns is therefore central to conduct an event study. The empirical model can be stated as follows: when an event occurs, market participants revise their beliefs causing a shift in the firms return generati ng process. For a given security, in non event periods, Rt = xt B + et while in event periods, Rt = xtB + FG + et Rt is the return of the security in period t, xt is a vector of independent variables (for example the return of the market portfolio) in period t, B is a vector of parameters, such as the security beta, F is a row vector of firm characteristics influencing the impact of the event on the return process. G is a vector of parameters measuring the influence of F on the impact of 18 the event and et is a mean zero disturbance term possibly differing in event and non event periods. Hypotheses usually centre on the parameters that measure the influence of the event (G) and most of the times F is set to unity. The null hypothesis is that such an event has no impact on the return generating process. Event study methods are the econometric techniques used to estimate and draw inferences about the impact of an event in a particular period or over several periods. The most common approach involves three steps: (1) Compute the parameters in the estimation period; (2) Compute the forecast errors (and obtain variance/covariance information) for a period or over an event window; aggregate across firms and infer about the average effect; (3) Regress crosssectional abnormal returns on relevant features of the stock supposed to influence the impact of the event. In this study, the event is the split execution date, defined as day 0. The event splits the sample into two sets – the presplit period and the postsplit period. The presplit period considered in this study is a period of 260 days prior to the event date (260 days to 1 day) and the postsplit period is the period of 260 days after the event date (+1 day to +260 days). This leads to a total period of 521 trading days data for each stock (including the split date) centered around the event date for that stock. In essence, all stocks are aligned according to their event timeline. The estimation window is the 220 day period from 260 to 41 trading days. A similar event based alignment of data was performed for the other financial data namely market capitalization, market index and trading volume. In this study, the benchmark index chosen for running the regression for the market model is the BSE 100 index. The index price was also aligned according to the split date for each stock t o obtain comparable market 19 return at and around the event date. The Brown and Warner (1985) methodology is applied to test for the significance of abnormal returns. Regressions to estimate the parameters of the market model The standard single index asset pricing model is used to estimate the market parameters ( ÃŽ ² and c). The market model used to estimate the parameters is given as below: Ri = ÃŽ ²Rm + c where Ri – expected return of stock i Rm – market return c constant of regression

Teaching an Applied Critical Thinking Course: How Applied Can We Get? E

Teaching an Applied Critical Thinking Course: How Applied Can We Get? ABSTRACT: Encouraging students to apply classroom knowledge in their personal, everyday life is a major problem confronting many teachers of critical thinking. For example, while a student might recognize an ad hominem argument in a classroom exercise, it is quite another thing for him or her to avoid the same in interpersonal relations, say with parents, siblings, and peers. One approach to this problem is the creation of interaction software to which students can turn for input on the rationality of their own thinking. Students can then speak to computers rather than instructors about their private lives without having to share confidential information with any other human being, yet still receive relevant feedback. I discuss software technology that actually performs this function. The software in question is an interactive, artificial intelligence program that checks beliefs for faulty thinking ("fallacies"), including inductive and deductive errors. The system "scans" student es says for possible fallacies; asks questions at relevant junctions; provides individualized feedback on fallacies committed; provides summaries of fallacies found; diagnoses thinking problems; issues recommendations; and provides other pertinent information. The current movement in "applied philosophy" has helped to re-awaken the Socratic notion that philosophy is a way of living and not merely an academic pursuit. The crux of this movement has been that philosophical theories and methods can make valuable contributions to practical life problems. One very visible area of applied philosophy has been that of ethics. Thus, applied ethics today includes applications of philosoph... ... of fallacy commission in each of the five groups of fallacies addressed in the course. In a sample of about 150 community college students, the mean total score on the PLAI pre-test was 132.543, whereas the total mean score on the post-test was 113.647 indicating a overall improvement (across all five fallacy categories) of 18.896. CONCLUSION While, at this juncture, more data needs to be collected and its significance evaluated, there is reason to think that instructors of critical thinking can, with the assistance of computer technology such as that summarized above, effectively narrow the gap between classroom and students' "external" world. Without undue invasions of students' privacy, instructors can oversee and assess their students efforts in applying critical thinking to personal living. And they can do this without ever having to leave the classroom!

Alter Your Native Land Essay -- American Culture Cultural Essays

Alter Your Native Land. - Stiff Little Fingers, â€Å"Alternative Ulster,† 1979 By definition, a counterculture possesses values and mores that are in opposition to those of an established society. When one hears the word â€Å"counterculture,† it may prompt images of hippies, punks, demonstrators, or underground political movements – in other words, a group of people (usually young) with a purpose, who are trying to make a change or say something meaningful about the larger culture in which they live. In addition to demonstrations, music, or simply lifestyle choices, this kind of action may be taken in writing. Hunter S. Thompson and Kurt Vonnegut prove this point in Fear and Loathing in Las Vegas and Breakfast of Champions respectively, despite using differing styles, by asking rather contentious questions about American culture. A question raised by Fear and Loathing deals with the typical American ideal: What has become of it? Thompson’s book addresses the question in the very title, â€Å"A Savage Journey to the Heart of the America Dream.† His horrific tale of a gonzo journalist living in a perpetual drug and alcohol-induced haze may at first seem to be only a â€Å"drug book,† but one is able to get much more out of the narrative by taking the time to study it more closely – namely, a statement about the American Dream. After wading through several chapters that describe an assortment of trips brought on by an array of drugs, we find our antagonists getting directions to the American Dream from a taco stand waitress on the outskirts of Vegas. Apparently, the American Dream is now â€Å"a mental joint, where all the dopers hang out.† A dubious, black building has come to represent what formerly stood for opportunity, independence, and free... ...y presenting us with numerous new ways in which to examine American culture, Vonnegut enables us to question everything from common figures of speech to approaches to homosexuality. He may have done this with the hope of preventing the blind acceptance of our society’s norms. Countercultural authors, whether speaking through a haze of narcotics or as if speaking to a child, can play a strong role in establishing new ideologies within a society. Fear and Loathing in Las Vegas and Breakfast of Champions are compelling examples of this, and Thompson and Vonnegut walk into touchy territory while presenting their themes. If one wishes to find an alternative to prevailing modes of thinking, it is important to look upon work such as theirs and discover the answers to their questions about our culture. As the Stiff Little Fingers say, â€Å"Grab it and change it, it’s yours.†

Character Analysis of Elisa Allen in The Chrysanthemums by Steinbeck Es

Many readers who analyze Steinbeck's short story, "The Chrysanthemums", feel Elisa's flowers represent her repressed sexuality, and her anger and resentment towards men. Some even push the symbolism of the flowers, and Elisa's masculine actions, to suggest she is unable to establish a true relationship between herself and another. Her masculine traits and her chrysanthemums are enough to fulfill her entirely. This essay will discuss an opposing viewpoint. Instead, it will argue that Elisa's chrysanthemums, and her masculine qualities are natural manifestations of a male dominated world. Pertinent examples from "The Chrysanthemums" will be given in an attempt to illustrate that Elisa's character qualities, and gardening skills, are the survival traits she's adopted in order to survive, and keep her femininity and vulnerability in a man's world. The first evidence that supports this conclusion is the behavior which occurs between Elisa and her husband, Henry. There is a "deeply rooted dysfunction between Henry and Elisa, [which is] a lack of real communication" (Palmerino, 1). They are "successful" farmers, but it is Henry who tends the economic production. The opening sets up a character contrast which runs throughout the piece by showing Henry selling thirty head of beef, while Elisa grows "beautiful" chrysanthemums. The contrast is that of the differences between a masculine and a feminine perspective of each other. This shows a limiting of Elisa from a man's point-of-view. Henry tells Elisa that she has a way with growing things, but he feels she is only contributing in an aesthetic way. In other words, Elisa is made to feel that her contribution isn't as worthy as a man's even though the insult is hidden ... ... real love, she may be able to find fulfillment in her flowers more than she ever has. They can be released into the male world and survive, beautiful and strong, though fragile, just as she has. The chrysanthemums are not Elisa's frustration, they are her hope in a world she sees without hope. Therefore, when the tinker simply drops the flowers on the side of the road, the symbolic weight of the chrysanthemums must be considered. Higdon states that "the crucial question remains whether or not Elisa has been destroyed" (Higdon, 668). The reader can see how the flowers represent mostly a positive symbol of growth and life. Elisa may not have anywhere to turn for real understanding, since men are not able to explore her inner-qualities, but it is better that she grows flowers than shutting off her own emotions and feelings and using others like the men around her.

Sive

Sive – The abuse of power Power and the abuse of power is a central theme in Sive. The text examines the way in which empowerment can corrupt certain individuals and become a destructive factor in families and in relationships. Mena uses her powers of persuasion and her position in the family unit to satisfy her own ends and ambitions. Mena’s attitude to Sive’s education is one of begrudgery and resentment. Mena abuses her position in the family. She is empowered by her man who is easily manipulated and overcome.Mike Glavin does not have the ability to thwart the wills of his respected wife. A further abuse of her power can be seen in each text in the way Mena try’s to break up a positive relationship. Mena keeps Sive a prisoner in the house and lies to her concerning Liam Scuab’s feelings about her proposed marriage. What we observe here is a woman who seeks to control and manipulate a young person in order to suit her own agenda. The text provides a serious and devastating example of woman abusing psychological power by revealing secrets about fathers to control and influence Sive.She believes that she has succeeded and enjoys a temporary triumph. Thomasheen Rua is another example of an individual who holds tremendous power and sway over the live of others. He has a nasty streak and exploit others for his on ends. Thomasheen’s threats to Nanna engage in abuse and personal insults, which gives him an over-arching sense of his own power a sadistic streak can be observed in Thomasheen. The former enjoys talking about the County Home to terrify Nanna.Mena’s controlling manipulative behaviour has a destructive effect on the family relationships and creates a toxic atmosphere in the household. Mena has strong abjections to Sive getting an education. Mena is more motivated by jealousy and spite. On the opening of the play, â€Å"Out working with a farmer you should be instead of getting your head filled with high not ions†. Her resentment is palpable when she complains about how she has to work herself to â€Å" the marrow of the bones to give you schooling†. At this point of the play Mena does not have power to prevent Sive attending school.This power comes later when she is considering the possibility of marrying Sive off to Sean Dota. Mena uses her power over Mike Glavin to convince him that Sive should abandon her education. She asks him contemptuously if he is â€Å"forgetting the money† they will get if they manage to marry Sive to Sean Dota and wonders if â€Å" There is a soft bone somewhere in your head man†. Mike’s comment that â€Å"Sive is young with a brain by her† is ignored while Mena goes on to play on his fears that Liam Scuab is meeting Sive secretly.She exploits the hatred Mike has for Liam by deciding that Sive will not go to school again but remain under Mena’s supervision in the house â€Å" there’s one easy way to sto p that sort of thing and that is to move Sive into the west room where I can keep my eye on her and her only mean of coming and going will be through our bedroom†. Having manipulated Mike later flings Sive’s schoolbag across the room and shouts at her that there â€Å"will be no more school for you†. Using her power over both Mike and Sive Mena succeeds with her plan. Mike has no option but to comply and inform the nuns that Sive will not be attending school again.In this text we see women abusing their power over weaker men to satisfy their own selfish plans. Mena manages to separate Sive from Liam Scuab. Mena keeps Sive a prisoner in her own home. She lied to Liam Scuab as to Sive’s whereabouts she attacks him even threatening him with a knife screaming â€Å" I’ll open you! I’ll open you if you vex me more† Twisting the truth of Liam’s intentions in an effort to finally break Sive’s spirit she tells her that Liam calle d to the house to wish her well in her marriage and that he was â€Å" going away to foreign places†.Mena has no respect for the grief her actions cause others and thinks only of herself. A key scene in Sive depicts a revelation concerning the identity of Sive’s father. Mena previously uses secret information to manipulate and gain a powerful advantage over Sive. When Sive says to Mena that she doesn’t want to marry Sean Dota Mena manipulates the situation by telling Sive that her â€Å"was never a father, he had no name, you have no name† Sive is shocked and is left speechless. There’s some truth to Mena’s story but so much of what Mena says is twisted.If Sive feels the same shame as her mother because she is â€Å"a bye-child, a common bye-child a bastard† Mena will succeed in breaking her down making her compliant. Thomasheen Rua is another example of an person who misuses the power of persuasion for self-gain. He’s the cent re of a battle to ensure the Sive marries Sean Dota and he thrives on bulling and abusing those who put forward any obstacle in his desired end. Thomasheen thinks he is hard done by â€Å"making love between people I spend my days and no thanks for it†. He is capable of welding power through sarcastic comments .Thomasheen abuses and threatens Nanna who has to defend Sive. He callously tells her that she is â€Å"a lone woman with you husband feeding worms in his trench. You have terrible gumption with no one left to back you† he engages in threats by referring to the â€Å" the county home staring you in the face†. At that time many old people lived in fear of ending their days in such a place. His words have the desired effect as Nanna seems to withdraw from the attack. He has no hesitation in encouraging Mena to assert her power over Sive by threatening her with violence if she refuses to marry Sean Dota â€Å"isn’t she a bye-child.Tell her you will be ll-rag her through the parish if she goes against you. Tell her you will hunt the oul’ woman into the county home†. Later he turns on Mike mocking his naivety concerning the love letter from Liam Scuab â€Å" it comes to me that you are the greatest lump of a fool, of an eejit in the seven parishes†. Humiliation is his trump card â€Å" if you ever get out of the bog there is an asylum for lunatics where you could put down a bit of time without doing yourself any harm†.Sive chooses death as her only method of refusing to obey those who like to control her. Sive thinking that Liam has left her and that her position is hopeless escapes from her tormentors by drowning herself in a bog-hole. Sive disempowers her tomentors by committing suicide in the bog rather than agreeing to marry Sean Dota. This character chooses death to make a stand against those who abuse power for their own private often fully acknowledged reasons. Her suicide brings the play to a poig nant close and illustrates the destruction caused by a greedy abuse of power