Scientific Annals of Economics and Business <p><a data-target="crossmark"><strong>Call for papers</strong></a></p> <p><strong><a href="" target="_self"><span style="float: right; font-size: 20px; color: #600; border-bottom: 1px dotted #660000; animation: blinker 1s linear infinite;">Online Submission</span></a></strong></p> <p>On behalf of the editorial board of the<span class="apple-converted-space"> </span><em><strong>Scientific Annals of Economics and Business</strong></em>, we are pleased to inform you that <strong>we are continuously accepting manuscripts for the next issues</strong>.</p> <p>The Journal, founded in 1954, is <strong>published four times a year (</strong>in <strong>March, June, September</strong><strong>, and December)</strong><em>,</em> under the sponsorship of the Alexandru Ioan Cuza University of Iasi, the oldest higher education institution in Romania, a place of excellence and innovation in education and research established in 1860. Until 2015 the journal was published under the name <em>Analele ştiinţifice ale Universităţii "Al.I. Cuza" din Iaşi. Ştiinţe economice</em>.</p> <p class="Default"><strong>The journal is indexed by Clarivate Analytics (formerly Thomson Reuters) </strong><strong>Web of Science Core Collection – <a href=";Full=*SCIENTIFIC%20ANNALS%20OF%20ECONOMICS%20AND%20BUSINESS">Emerging Sources Citation Index</a>, </strong><strong><a href="">Scopus</a>, <a href="">EBSCO</a> and <a href="">EconLit</a> </strong>(The American Economic Association’s electronic bibliography), is fully available at the Research Papers in Economics (RePEc), Directory of Open Access Journals (<a href="">DOAJ</a>), <a href="">ERIH PLUS</a>, Central and Eastern European Online Library (<a href="">CEEOL</a>), and Scirus. In addition, the Journal is included in <a href="">Cabell's Directories</a>, Index Copernicus, Online Catalogue of the ZBW - German National Library of Economics (ECONIS), International Consortium for Advancement of Academic Publication (ICAAP), Electronic Journals Library, The Knowledge Base Social Sciences in Eastern Europe, Scientific Commons, The ZDB, Intute: Social Science (SOSIG - Social Science Information Gateway), New Jour, GESIS SocioGuide, Genamics Journalseek, Catalogo Italiano dei Periodici (ACNP), Google Scholar, and ResearchGate.</p> <p>Authors are invited to submit manuscripts to be reviewed for possible publication in the Journal. It publishes articles in all areas of economics, business and related disciplines. The paper must be an original unpublished work written in English (British or American) that is not currently under review by other journals.</p> <p><strong>There are no submission or publication costs for authors.</strong></p> <p>Manuscripts should follow the format <a href="">style</a> of the journal. The papers should not exceed 30 pages including figures and references, and an author is only allowed to publish one paper per issue. Detailed background information on the submission of papers and review process can be found in the <a href=""><em>Submission section</em></a>.</p> <p class="Default">The manuscripts are to be submitted electronically, via Journal’s <a href="">website</a>, which offers a fully <strong>online manuscript submission and tracking system</strong>. Following submission, the author(s) track and check the latest status of the article quite easily by the help of the system.</p> <p class="Default">Submitted manuscripts will receive an initial screening from the editorial board before entering the double-blind review process. The Journal maintains a rapid electronic submission, review and publication process. On average, the double-blind review process (from submission to first editor decision) takes around 12 weeks and from acceptance to appearance online around 2-4 weeks.</p> <p>Accepted papers will be available on the journal website soon after acceptance, in a special section, <em><a href="">Early Bird</a></em>. This “advance access” system enables us to publish papers online well ahead of their appearance in the printed journal. It also allows authors to obtain citations earlier, due to the use of 'Digital Object Identifier' (DOI).</p> <p><strong>Type of publication</strong>: scientific/academic; <strong><em>open access</em></strong>, <em><strong>peer-reviewed</strong></em> journal.</p> <p><strong>Publication frequency: </strong>four issues per year (March, June, September, and December)</p> <p><strong>Language</strong>: English<br />ISSN-L: 2501-1960 <br />ISSN: 2501-1960 (printed edition)<br />e-ISSN: 2501-3165 (online edition)</p> <p> <img style="float: left;" src="" alt="" /> <a title="SCImago Journal &amp; Country Rank" href=";tip=sid&amp;exact=no" target="_blank" rel="noopener"><img style="margin-left: 300px;" src="" alt="SCImago Journal &amp; Country Rank" border="0" /></a></p> <div style="height: 100px; width: 180px; margin-left: 110px; font-family: Arial, Verdana, helvetica, sans-serif; background-color: #ffffff; display: inline-block; margin-top: -100px;"> </div> <div style="height: 100px; width: 180px; font-family: Arial, Verdana, helvetica, sans-serif; background-color: #ffffff; display: inline-block;"> <div style="padding: 0px 16px;"> <div style="padding-top: 3px; line-height: 1;"> <div style="float: left; font-size: 28px;"><span id="citescoreVal" style="letter-spacing: -2px; display: inline-block; padding-top: 7px; line-height: .75;">1.0</span></div> <div style="float: left; font-size: 14px; padding-top: 3px; text-align: right;"><span id="citescoreYearVal" style="display: block;">2020</span> CiteScore</div> </div> <div style="clear: both;"> </div> <div style="padding-top: 3px;"> <div style="height: 4px; background-color: #dcdcdc;"> <div id="percentActBar" style="height: 4px; background-color: #007398;"> </div> </div> <div style="font-size: 11px;"><span id="citescorePerVal">50t</span>h percentile</div> </div> <div style="font-size: 12px; text-align: right;">Powered by <img style="width: 50px; height: 15px;" src="" alt="Scopus" /></div> </div> </div> <div style="clear: both;"> </div> Editura Universitatii „Alexandru Ioan Cuza” din Iasi / Alexandru Ioan Cuza University of Iasi Publishing House en-US Scientific Annals of Economics and Business 2501-1960 <p><strong>All accepted papers are published on an Open Access basis</strong>. </p> <p>The <strong>Open Access License</strong> is based on the Creative Commons license. </p> <p>The non-commercial use of the article will be governed by the <strong>Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License </strong>as currently displayed on <a href=""></a></p> <p>Under the Creative Commons Attribution-NonCommercial-NoDerivatives license, the author(s) and users are free to share (copy, distribute and transmit the contribution) under the following conditions:</p> <p>1. they must attribute the contribution in the manner specified by the author or licensor,</p> <p>2. they may not use this contribution for commercial purposes,</p> <p>3. they may not alter, transform, or build upon this work.</p> Exchange Rate Synchronization for a Set of Currencies from Different Monetary Areas <p>The degree of co-movement between currencies remains an important subject for international trade and monetary integration across countries. However, the economic literature has given limited answers about the directional relationships among currencies, and whether they have a leader or a driver. Using the Hodrick-Prescott filter and the wavelet methodology, this paper analyzes exchange rate synchronization for a set of twelve currencies belonging to different monetary areas covering the period between January 1980 and July 2020. The empirical results reveal that: i) the U.S. dollar still plays an essential role as a foreign exchange anchor; ii) the euro shows an out-of-phase relationship with the vast majority of currencies, including with the other European currencies; iii) the British pound seems to have departed significantly from the European single currency; iv) the Brazilian real leads the Chinese yuan for most of the sample, and both currencies record great dissimilarities with the other currencies; v) in the absence of short-term foreign exchange market frictions, average bilateral distances between currencies are smaller, and vi) during the international financial crisis, exchange rates became more synchronized.</p> Antonio Portugal Duarte Nuno Baetas da Silva Copyright (c) 2022 Antonio Portugal Duarte, Nuno Baetas da Silva 2022-06-27 2022-06-27 69 2 163 189 10.47743/saeb-2022-0013 Determinants of Advancement in Information Communication Technologies and its Prospect under the role of Aggregate and Disaggregate Globalization <p>Globalization has been witnessed to bring numerous benefits to the advancement in information communication technologies. However, to analyze this relationship mostly aggregate globalization and country-specific studies have been conducted, without considering the importance of disaggregate globalization for advancement in information communication technologies. Therefore, this article aims to examine the impact of aggregate and disaggregate globalization on the advancement of information and communication technologies (ICT) in the case of 87 developed and developing countries for 2000-2019. Panel least square and pairwise Dumitrescu-Hurlin panel causality tests have been used for empirical analysis. We have divided our empirical analysis into six models, i.e. aggregate globalization model for whole sample countries, disaggregate globalization model for whole sample countries, aggregate globalization model for developed countries, disaggregate globalization model for developed countries, aggregate globalization model for developing countries, and disaggregate globalization model for developing countries. Our estimated outcomes of the aggregate globalization model for the whole sample countries and developing countries show that globalization has a positive and significant impact on the advancement of information and communication technology. Our outcomes show that economic globalization, social globalization, political globalization, and availability of physical capital have a positive and significant impact on the advancement of ICT in developing countries. In the case of developed countries, aggregate globalization, political globalization, and social globalization reduce the advancement of ICT, whereas the availability of physical capital and economic globalization are raising the advancement of ICT. The results of the causality test show that all the variables have a causal relationship with each other except some variables of developed countries in the disaggregate globalization model. Our outcomes recommend that developing countries should promote aggregate and disaggregate globalization to achieve the desired level of ICT.</p> Marc Audi Amjad Ali Razan Al-Masri Copyright (c) 2022 Marc Audi, Amjad Ali, Razan Al-Masri 2022-06-27 2022-06-27 69 2 191 215 10.47743/saeb-2022-0009 The Influence of Critical Audit Matters in the US on the Informativeness of Investors <p>In 2017, the PCAOB announced its new audit standard, AS 3101. One requirement is reporting critical audit matters (CAMs), starting June 30, 2019, for large accelerated filers. Using US data of CAM, we investigate whether the reporting of CAMs is informative for investors using a difference-in-differences approach and we use as proxies for investors’ informativeness, absolute abnormal returns and abnormal trading volume. Our motivation is to assess the relevance and the effectiveness of a new regulation aiming to improve audit quality. Overall, our findings provide some indications that the first-time implementation of CAMs might lead to investors avoiding those companies presumably because of uncertainty about the information being released. We also investigate the content of the CAM paragraph and do not find that the number, categories, or firm-specific/industry-common CAMs are value-relevant for investors. The results of this study provide insight into the new US auditor standard and the value-relevance of CAMs for investors. We suggest that standard setters should aim to improve the auditor report to make it more informational. Overall, our paper provides some evidence on the implementation and communicative value of the new CAM reporting, suggesting that CAMs are not informative for investors. We argue that this is the case potentially due to the additional information from CAMs which leads to complex information or information overload making investors less reluctant to invest on the companies with a significant number of CAMs reported.</p> Emil Spaargaren Alexandros Sikalidis Georgios Georgakopoulos Chris Grose Copyright (c) 2022 Emil Spaargaren, Alexandros Sikalidis, Georgios Georgakopoulos, Chris Grose 2022-06-27 2022-06-27 69 2 217 251 10.47743/saeb-2022-0017 Drivers of Sustainable Entrepreneurial Intentions in the Case of Serbian Students <p>The present research aims to establish the antecedents of sustainable entrepreneurial intention, having as reference theoretical framework the model of entrepreneurial event and the model of planned behavior, integrated and adapted to the context of sustainable entrepreneurship.</p> <p>At the level of investigated population, consisting of 150 students from two Serbian universities, the empirical results emphasized that: personality traits and environmental values are significant and direct predictors of behavioral characteristics; entrepreneurial education and behavioral characteristics have an indirect influence on sustainable entrepreneurial intention being mediated by the desire and feasibility of sustainable entrepreneurship perceived by respondents.</p> <p>As theoretical utility of the research, the current study is among the few that tried to integrate and expand two competing models in order to establish the antecedents of sustainable entrepreneurial intent. The research model adopted variables specific for the two models and integrated personality traits, environmental values and entrepreneurial education in order to establish direct and indirect determinants of sustainable entrepreneurial intention.</p> <p>At practical level, the validation of the research model emphasizes the utility of stimulating youth’ sustainable entrepreneurial intention and applicability for future academic research endeavors. In order to stimulate sustainable entrepreneurial intentions, the validated research model indicates to governmental and university decision makers the need to implement programs promoting environmental values and integrating sustainability into the entrepreneurial education of youth.</p> Renata Nițu-Antonie Emőke-Szidónia Feder Kristina Stamenovic Copyright (c) 2022 Renata Nițu-Antonie, Emőke-Szidónia FEDER, Kristina Stamenovic 2022-06-27 2022-06-27 69 2 253 272 10.47743/saeb-2022-0011 Is Economic Freedom a Moderator of the Relationship Between Bank Capital and Profitability? <p>The study uses the GMM and panel OLS framework on the data of the US banks over the period ‎from 2002 to 2019 to reveal the moderating role of economic freedom on the ‎relationship between bank capital and ‎profitability. The overall findings show that ‎economic freedom and bank capital positively influence ‎banks' profitability. The results reveal that economic freedom positively (negatively) moderates the relationship between risk-based (traditional) capital ratio. Furthermore, the results also find heterogeneity in the relationship across different market conditions (before and after crisis) and bank characteristics (well or undercapitalized, high and low liquid banks). The results ‎remain robust for ‎alternative methodology and proxies. The heterogeneity of findings has ‎implications for ‎policymakers in banking for the improvement of the financial system.</p> Faisal Abbas Shoaib Ali Copyright (c) 2022 Faisal Abbas, Shoaib Ali 2022-06-27 2022-06-27 69 2 273 292 10.47743/saeb-2022-0016 An Assessment of Institutional Improvements in Romania and Bulgaria Following EU Accession <p>The purpose of this paper is to analyse to what extent accession to the European Union affected the quality of institutions in Romania and Bulgaria. In order to measure these effects, indicators of perceived corruption have been built based on data from the Life in Transition surveys I, II, III, conducted by the European Bank of Reconstruction and Development. Under the specifications of a difference-in-differences methodology, evidence of a reduction in small acts of corruption has been discovered for both countries, with larger effects in Bulgaria. In regards to high level corruption, Romania proved to be successful in tackling this dimension nine years after the accession, while for Bulgaria the evidence suggests an unfavourable deterioration over time.</p> Dragos Dinca Copyright (c) 2022 Dragos Dinca 2022-06-27 2022-06-27 69 2 293 316 10.47743/saeb-2022-0015 Asymmetric Information and Agency Cost of Financial Leverage and Corporate Investments: Evidence from Emerging South-East European Countries <p>In this paper, we investigated the impact of financial leverage on investment decisions on a sample of 811 firms from ten emerging South-Eastern European countries (Bosnia and Herzegovina, Bulgaria, Montenegro, Croatia, Greece, Romania, North Macedonia, Slovenia, Serbia and Turkey). We apply a panel regression model involving investment ratio as a dependent variable, leverage as independent variable, and control for several firm characteristics that closely determines the corporate investments. The results of the analysis show that leverage is negatively related to investment in the companies in SEE. But only long term debt has a stronger negative impact on investment for firms with low growth opportunities than for firms with high growth opportunities. These findings show supportive evidence of agency theories of corporate leverage, especially with the debt overhang theory, but did not give strong validation that leverage has a disciplining role for firms with low growth opportunities in SEE emerging markets. In addition to leverage, we found that corporate investments in the SEE countries decrease significantly with tangibility and the company size. Corporate investments in the SEE countries increase significantly with cash flow, sales, non-debt tax shield and profitability. Overall, the results slightly defer with those from the research on the case of developed markets.</p> Aleksandar Naumoski Sasho Arsov Violeta Cvetkoska Copyright (c) 2022 Aleksandar Naumoski, Sasho Arsov, Violeta Cvetkoska 2022-06-27 2022-06-27 69 2 317 342 10.47743/saeb-2022-0010