bluuebunny/crossref_metadata_2025 huggingface dataset:
VARIABLE AMPLITUDE LOADING OF SMALL FATIGUE CRACKS IN 6261‐T6 ALUMINIUM ALLOY
Authors: James M. N. , de los Rios E. R.
Published: April 2007

Abstract— Constant and variable amplitude (VA) loading fatigue studies were carried out on a 6261 aluminium alloy using cylindrical plain hour‐glass specimens. Crack growth was monitored via surface replication using cellulose acetate.

Crack growth results at constant amplitude loading show the typical intermittent high and low periods of growth rate associated with crack‐microstructure interactions. Acceleration in growth rate during an overload block depends on crack length and stress amplitude ratio. It appears to pass through a maximum at a crack length corresponding to the first microstructural barrier. Microstructural‐based modelling is therefore required for small fatigue cracks, rather than solely closure‐based modelling. The Navarro‐de los Rios model of short fatigue crack growth appears able to provide good indications of crack growth rates under VA block loading, and gives reasonable life predictions.

For short cracks (surface length < 80 μm) and a small overload ratio (6.7%), crack growth may show severe retardation during the overload block. This is ascribed to crack tip blunting being more important than the increase in stresses when closure is low. It appears from a Miner's rule type exercise, that VA block loading has its major effect on growth at a surface crack length of 20 μm. This means that the crack initiation period cannot be ignored in life prediction models for small fatigue cracks.
NUCLEATION OF INTERGRANULAR CRACKS DURING HIGH TEMPERATURE LOW CYCLE FATIGUE OF SUS316 STAINLESS STEEL
Authors: Nishino S. , Sakai W. , Yamada K.
Published: April 2007

Abstract—

Fundamental behaviour of intergranular cracking of SUS316 stainless steel which characterises the high temperature low cycle fatigue process has been studied with a special emphasis on the interaction between oxidation and a grain boundary sliding. Two types of specimens were prepared for fatigue experiment to extract a sole effect of surface oxidation on crack nucleation. One was heat‐treated in air and the other was in vacuum so that the specimens had the same history of heat treatment except oxidation to the surface. Results of fatigue tests of these specimens well explain the relationship between oxidation and surface cracking as follows. The morphology of the oxidised surface of the specimen subjected to low‐cycle fatigue at 700°C is quite different from that of the oxidised surface caused by simply holding at the same temperature in air for several hours with no applied stress. Localised oxidation along the grain boundary is a characteristic feature for the specimen fatigued at 700°C, while no localised oxidation was observed when the specimens were simply held at the same 700°C, i.e. with no fatigue loading. Accordingly, intergranular cracking in high temperature low cycle fatigue in air occurs when grain boundary sliding due to cyclic loading is accelerated by localised oxidation along the grain boundary.
OVERLOAD EFFECTS IN ENVIRONMENTAL HYDROGEN INDUCED FRACTURE
Authors: Gao H. , Yang X. , Cao W. , De Los Rios E. R.
Published: April 2007

Abstract—

A study has been made of the effect of short periods of overloading on the environmental hydrogen induced fracture (HIF) life of 0.42% C, 0.87% Cr, 0.2% Mo steel tested in a 0.5 mol/L H2SO4 solution under continuously hydrogen charging conditions. Experimental results showed that when the overloading was applied during the early or middle stage of the test, the HIF life was longer than that obtained at constant stress; however, if the overloading was applied during the later stages, a shortened HIF life was obtained. It is important to note that the processes of HIF (including hydrogen absorption, transportation and accumulation, crack initiation and propagation) depend not only on the electrochemical condition, but also on both stress‐strain state and stress history. In view of the above considerations, effects of plasticity induced closure, residual compression stress, dislocation shielding and overload damage, which control HIF life, are discussed.
INFLUENCE OF SHOT‐PEENING ON SHORT CRACK BEHAVIOUR IN A MEDIUM CARBON STEEL
Authors: Natkaniec‐Kocada D. , Kocada S. , Miller K. J.
Published: April 2007

Abstract—

The results of research into short fatigue crack behaviour in shot peened, medium carbon steel specimens under reversed torsion are presented. Characteristic features of short crack growth were established on the basis of optical and electron‐optical observations of the replicas and micro‐sections of the samples. Surface crack growth analysis, supported by plots of crack development, crack growth rate and crack length distributions against cycle ratio show that significantly slower crack growth and lower crack densities occur in shot peened specimens than in non‐treated samples. That results can be linked to the effect of grain distortion, the packing of laminar grains, a high dislocation density in the plastically deformed surface layer and the introduction of compressive residual stresses. A fractographic analysis of the fracture surfaces has assisted an understanding of the mechanisms of fracture in shot peened specimens.
FATIGUE OF A PARTICULATE REINFORCED ALUMINIUM METAL MATRIX COMPOSITE SUBJECTED TO AXIAL, TORSIONAL AND COMBINED AXIAL/TORSIONAL LOADING CONDITIONS
Authors: Lease K. B. , Stephens R. I. , Jiang Yan Yao , Kurath P.
Published: April 2007

Abstract— The goals in this research were to analytically and experimentally investigate the fatigue behavior of a particulate reinforced metal matrix composite subjected to axial, torsional and combined axial/torsional loadings. A series of fully‐reversed uniaxial, torsional and combined axial/torsional fatigue tests were performed on a 6061/Al2O3/20p‐T6 metal matrix composite material. This research investigated the ability of the Fatemi‐Kurath and the Smith‐Watson‐Topper (SWT) damage parameters to correlate the experimentally obtained fatigue life data and also to represent the fatigue life using uniaxial strain‐life constants. The Fatemi‐Kurath damage parameter correlated the experimental fatigue data from all loading cases better than the SWT damage parameter. Using uniaxial strain‐life constants, both damage parameters predicted fairly reasonable fatigue life calculations for the intermediate fatigue lives (103 to 104 cycles to failure), while producing non‐conservative results for the shorter fatigue lives (< 103 cycles to failure).
MICROCRACK PROPAGATION AND MICROSTRUCTURAL PARAMETERS OF FATIGUE DAMAGE
Authors: Beretta S. , Clerici P.
Published: April 2007

Abstract— Modern approaches to microstructural analysis of fatigue in metallic materials consider the density and the total length per unit area of propagating surface microcracks as useful indicators of fatigue damage. Such parameters, when observed on a carbon steel studied in a previous paper, have a dispersion similar to that of fatigue life and they are linearly correlated with fatigue endurance.

The aim of this paper is to extend the research on fatigue damage in the already studied carbon steel and to examine the scatter of crack propagation rate together with the evolution of surface cracks during fatigue life. The final aim of this work is to study how these two factors are correlated with fatigue life distribution in order to evaluate the effectiveness of damage detection methods.
CRACK CLOSURE IN WELDMENTS
Authors: Hou C. Y. , Lawrence F. v.
Published: April 2007

Abstract—A Strip‐Yield Model for Notched Components (SYMNC) model which employs Newman's method of simulating crack closure and determining the effective stress‐intensity factor is used to predict the fatigue crack growth behavior of non‐stress relieved and stress relieved welded joints. Predictions of the SYMNC model compare favorably with experimental data at low stress amplitudes.
HOT SPOT STRESS APPROACH TO FATIGUE STRENGTH ANALYSIS OF WELDED COMPONENTS: FATIGUE TEST DATA FOR STEEL PLATE THICKNESSES UP TO 10 MM
Authors: Partanen T. , Niemi E.
Published: April 2007

Abstract— The use of the hot spot stress approach to the fatigue analysis of welded components is briefly described. Results are presented of fatigue tests on arc welded steel joints (C‐Mn and stainless), carried out at Lappeenranta University of Technology between 1980 and 1993, based on the hot spot approach. Based on experimentally‐measured hot spot strains, the fatigue capacities of around 100 specimens of C‐Mn steel joints, and 80 stainless steel joints, were found to be consistent. The fatigue class FAT 100, or in many cases FAT 112 or higher, can be used as the design hot spot fatigue strength for toe failure of welded joints of moderate thickness, i.e. up to 10 mm. A sharp transition at the fusion zone from the base metal to the weld was clearly shown to be detrimental, leading to a fatigue capacity below average. The log, value of the standard deviation of fatigue life, or the fatigue capacity (Δσ3N), was typically 0.13 within a series of C‐Mn joints. Statistical analysis of all test data concerning weld toe failure gave a standard deviation of 0.24. By considering all the specimens in one series, a mean fatigue strength of FAT 148, and a characteristic fatigue strength of FAT 107, were obtained.
THE EFFECT OF MISALIGNMENT ON THE FATIGUE STRENGTH OF WELDED CRUCIFORM JOINTS
Authors: Andrews R. M.
Published: April 2007

Abstract— The effect of axial misalignment on the fatigue strength of load‐carrying transverse cruciform welded joints was investigated using experimental and fracture mechanics methods. Where failure occurred by cracking from the weld toe, misalignment significantly reduced the fatigue strength. The reduction could be predicted using a nominal stress concentration factor (SCF). Misalignment had less effect where failure was due to cracking through the weld metal; an expression was deduced for the SCF in this case. For fracture mechanics assessments, an expression for an effective stress intensity factor using the SCF and stress intensity factors for aligned welds was shown to agree with the finite element (FE) results. Predictions of the effect of misalignment using the FE results agreed with experimental data. Misaligned transverse load‐carrying cruciform joints should be assessed for fatigue failure from the toe using the same SCF as for a butt weld with the same misalignment. For failure through the throat, an alternative expression for the SCF is recommended. Fracture mechanics assessments of misaligned joints should be carried out using an effective stress intensity factor derived from the SCF and stress intensity factors for aligned joints. These recommendations are now incorporated in British Standard PD 6493:1991.
ON THE APPLICABILITY OF THE MAGNETIC EMISSION TECHNIQUE FOR DETERMINING DUCTILE CRACK INITIATION IN IMPACT TESTS
Authors: Lenkey Gy. B. , Winkler S.
Published: April 2007

Abstract— The magnetic emission (ME) technique is used to determine the onset of crack propagation in brittle and ductile steels under dynamic loading. Brittle fracture is directly indicated by the ME signal; however the onset of stable crack propagation can usually not be seen in this signal. A new result is that the integrated ME signal, which is proportional to the magnetic field at the site where the probe is located, is capable of detecting this event. Critical values of the J‐integral derived with this method, in different test series, are compared with conventional R‐curve and stretch zone methods. The ME‐derived critical dynamic J‐integral data fit very well to the stretch zone results which describe physical crack initiation. It is therefore concluded that the easy‐to‐apply and low‐cost ME technique is capable of indicating material failure even with stable crack propagation and can therefore provide critical material parameters.
EFFECT OF BIAXIAL MEAN STRESS ON CYCLIC STRESS‐STRAIN RESPONSE AND BEHAVIOUR OF SHORT FATIGUE CRACKS IN A HIGH STRENGTH SPRING STEEL
Authors: Zhang W. , Akid R.
Published: April 2007

Abstract— Biaxial fatigue tests were conducted on a high strength spring steel using hour‐glass shaped smooth specimens. Four types of loading system were employed, i.e. (a) fully reversed cyclic torsion, (b) uniaxial push—pull, (c) fully reversed torsion with a superimposed axial static tension or compression stress, and (d) uniaxial push—pull with a superimposed static torque, to evaluate the effects of mean stress on the cyclic stress—strain response and short fatigue crack growth behaviour. Experimental results indicate that a biaxial mean stress has no apparent influence on the stress—strain response in torsion, however a superimposed tensile mean stress was detrimental to torsional fatigue strength. Similarly a superimposed static shear stress reduced the push—pull fatigue lifetime. A compressive mean stress was seen to be beneficial to torsion fatigue life. The role of mean stress on fatigue lifetime, under mixed mode loading, was investigated through experimental observations and theoretical analyses of short crack initiation and propagation. Using a plastic replication technique the effects of biaxial mean stress on both Stage I (mode II) and Stage II (mode I) short cracks were evaluated and analysed in detail. A two stage biaxial short fatigue crack growth model incorporating the influence of mean stress was subsequently developed and applied to correlate data of crack growth rate and fatigue life.
CRACK INITIATION MECHANISMS IN TORSIONAL FATIGUE
Authors: Doquet V.
Published: April 2007

Abstract— The development of fatigue damage in Co45Ni specimens during push—pull and reversed torsion tests, performed inside a scanning electron microscope, was observed and the different stress states compared. It appeared that transgranular crack initiation and development is delayed and intergranular crack initiation promoted under torsional loading. This was explained in terms of reduced surface distortion at the emergence of persistent slip bands (PSBs) and smaller compatibility stresses at the PSB‐matrix interfaces. The influence of the mechanical strength of grain boundaries on the difference between tensile and torsional fatigue lives is discussed.
MECHANISMS AND FATIGUE PERFORMANCE OF TWO STEELS IN CYCLIC TORSION WITH AXIAL STATIC TENSION/COMPRESSION
Authors: Zhang W. , Akid R.
Published: April 2007

Abstract— Fatigue tests conducted under fully reversed cyclic torsion, with and without superimposed axial static tension/compression loads, were carried out using hour‐glass smooth specimens in laboratory air. A high strength spring steel and a 316L stainless steel, were employed to evaluate the effects of mean stress on fatigue performance. Experimental test results show that a biaxial tensile/compressive mean stress had no influence on the cyclic stress‐strain response in both materials. However a biaxial tensile mean stress was found to be detrimental to fatigue life of the high strength spring steel but had no effect on the total fatigue life of 316L stainless steel. A compressive mean stress was found to be beneficial to the life of both steels. The fatigue behaviour of the two materials was investigated by experimental observations and the application of theoretical analyses of short crack growth behaviour. Based upon the analysis of surface acetate replicas it has been found that fatigue crack growth is material/stress‐state dependent. A biaxial tensile static stress promoted a change in the direction of the Stage I (mode II) crack from the longitudinal direction to a plane normal to the specimen axis in the high strength steel but not in the stainless steel. Consequently a different growth behaviour of Stage I (mode II) cracks was observed for the two materials. The effect of a biaxial mean stress on fatigue crack growth behaviour of the two materials is analysed and described in some detail.
CYCLIC FATIGUE OF Al2O3 AND Al2O3‐Al2TiO5 COMPOSITES IN DIRECT PUSH‐PULL
Authors: Bartolomé J. F. , Requena J. , Moya J. S. , Li M. , Guiu F.
Published: April 2007

Abstract— A reaction sintering route is developed to produce, “in situ”, composites of alumina‐aluminium titanate using alumina and titania as starting powders. Aluminium titanate, can be formed by a solid state reaction between Al2O3 and TiO2 at temperatures above the eutectoid temperature of 1280°C. These composites have different grain sizes of alumina matrix and a different quantity and distribution of aluminium titanate according to the heating cycle used.

In the present work direct push‐pull tests under cyclic loads have been carried out with both monolithic alumina and alumina‐aluminium titanate composites. It has been found that all the samples show a decrease in tensile strength with the number of applied cycles of loading when plotted in graphical form but the slopes of these graphs for both Al2O3‐Al2TiO5 composites are lower than for the alumina specimens. The role of aluminium titanate and the alumina matrix grain size in fatigue crack growth resistance has been studied during push‐pull tests, where failure occurs by catastrophic propagation of small surface cracks after a very short regime of subcritical crack growth. These results have been compared with measurements of slow stable fatigue crack growth rates in Al2O3‐Al2TiO5 composites carried out elsewhere with pre‐notched specimens of the compact tension type. These latter tests provide information about the behaviour of significantly long cracks, i.e. cracks that are several millimetres long.
SOLVING TRANSIENT DYNAMIC CRACK PROBLEMS BY THE HYPERSINGULAR BOUNDARY ELEMENT METHOD
Authors: Gallego R. , Domínguez J.
Published: April 2007

Abstract— The subject of hypersingular boundary integral equations is a rapidly developing topic due to the advantages which this kind of formulation offers compared to the standard boundary integral method. The hypersingular formulation is particularly well suited for fracture mechanics problems, where there are important gradients of the stress field and singularities. This formulation for time domain antiplane problems has been recently addressed by the authors and in the present paper, the formulation for time domain plane problems is presented and applied for the first time. A mixed Boundary Element approach based on the standard integral equation and the hypersingular integral equation is developed. The mixed formulation allows for a very simple discretization of the problem, where no subregion is needed. Conforming quadratic elements are used for the crack and the external boundaries. The hypersingular integral equation is used for collocation points within the crack elements, while the standard integral representation is used for the external boundaries. Several examples with different crack geometries are studied to illustrate the possibilities of the method. The Stress Intensity Factor (S.I.F.) is very accurately computed from the crack tip opening displacements along the crack tip element. The results show that the proposed approach for S.I.F. evaluation is simple and produces accurate solutions.
STRESS DISTRIBUTIONS FOR V‐SHAPED NOTCHES UNDER TENSILE AND BENDING LOADS
Authors: Atzori B. , Lazzarin P. , Tovo R.
Published: April 2007

Abstract— An analytical solution has been proposed recently by the authors to describe, with a unified approach, the stress fields in the neighbourhood of sharp cracks, V‐shaped notches and re‐entrant corners in plates subjected to remote tensile loading. In the present paper, the above solution is revised and extended, by also determining the relevant displacement fields and the degree of accuracy of the solution for both the longitudinal and transverse stress fields. Afterwards, since the stress field depends on the type of loading, the circumferential principal stress component is modified to account for bending in fatigue life predictions, while the radial principal stress is almost negligible in this case. The analytical results are compared with finite element values obtained for different geometries loaded under tensile or bending conditions, as well as with other closed‐form solutions. The new expressions seem to give better stress estimates than the currently available approximate solutions, whether analytical or numerical, when the opening angle of the re‐entrant corner is equal to or greater than π/2. Hence they should represent a good starting point to describe stress distributions induced by stress raisers with large and well defined opening angles such as shafts with shoulder fillets, gears and weldments.
LOW CYCLE FATIGUE BEHAVIOUR OF STRUCTURAL STEEL MEMBERS AND CONNECTIONS
Authors: Ballio G. , Calado L. , Castiglioni C. A.
Published: April 2007

Abstract— An experimental study was carried out to investigate the low‐cycle fatigue behaviour of steel beam and beam‐column members, as well as of steel connections, with particular emphasis on beam‐to‐column joints. Several full‐scale specimens were tested, in a multi‐specimen testing program, using constant‐amplitude displacement histories, to develop a cumulative‐damage model. Variable amplitude tests were carried out in order to verify the validity of the proposed model.

It is shown that the S‐N curves given by codes for high‐cycle fatigue can be used to interpret the low‐cycle fatigue behaviour of steel members and connections. Miner's rule can be used, together with the previously defined S‐N curves and with a cycle counting method to define a unified cumulative damage model valid for both high and low cycle fatigue. A general failure criterion is proposed which considers the actual energy dissipation through plastic deformation.
PREDICTION OF FATIGUE FAILURE IN A CRANKSHAFT USING THE TECHNIQUE OF CRACK MODELLING
Authors: Taylor D. , Ciepalowicz A. J. , Rogers P. , Devlukia J.
Published: April 2007

Abstract— A new technique, known as crack modelling, is used here to predict fatigue failure in a crankshaft component. The technique uses a linear elastic finite element (FE) analysis to derive a stress intensity factor (K) for the component under load. The novel feature of the technique is that K is calculated without introducing a crack into a component; the stress field around the maximum stress point is examined and compared to that for a standard centre‐cracked plate. The fatigue limit for a crankshaft was successfully predicted, when compared to experimental data. The only material parameter required for this prediction was the threshold stress intensity range, ΔKth.
International Banking Facilities Revisited
Authors: Moffett Michael H. , Stonehill Arthur
Published: April 2007

The creation of International Banking Facilities (IBFs) in 1981 was an attempt by U.S. banking regulators to allow U.S.‐based banks and their offshore customers to have access to the Euromarket in a U.S. political and legal jurisdiction, operating in a U.S. time zone. The expected benefits were as follows: 1. the cost of capital for U.S.‐based banks (both U.S. and foreign‐owned) and their offshore customers, particularly multinational firms, would be reduced due to lower political risk, no reserve requirements, and no Federal Deposit Insurance Corporation requirements; 2. Banks could potentially reduce their operating costs to die extent that IBFs replaced offshore shell branches; 3. Additional bank employment would be created in the U.S.; 4. although IBFs would not be subject to U.S. Federal taxes, a geographical shift of bank assets to the U.S. might create a higher Federal tax revenue due to a reduction in foreign tax credit claimed by the banks.

In retrospect the performance of IBFs has shown mixed results. With respect to cost of capital, the IBFs must have been cost effective because there has been an impressive growth in IBF assets and loans, coincident with a stagnation in the offshore bank shell branches. However, die largest benefit of this growdi has accrued to foreign‐owned IBFs. With respect to lower operating costs, the IBFs have not caused the offshore shell branches to close since they are needed to do business with U.S. residents. With respect to employment, bank employment in the U.S. has gone up marginally, although not nearly as much as originally predicted. The impact of IBFs on Federal tax revenues was not investigated in this study.

Public policy impacts of IBF operations have also been less than expected in that IBFs have not eliminated the need for offshore shell‐branches in the Caribbean, although they have significantly stifled growth in these financial centers. The entrance of the Japanese Offshore Market in December 1986 and the potential that other countries may enter the competition could well have long term negative impacts on the growth potential of U.S. IBFs.
International Tax Issues Surrounding Cross‐Border Security Investments, Including Implications of Recent Revisions of the U.S. Tax Code
Authors: Hammer Richard M. , Crawford Charles T.
Published: April 2007

This article demonstrates how international tax considerations can affect international security investments. The investor who ignores international tax factors puts himself at a disadvantage relative to those who are atuned to international tax developments. Similarly, financial managers interested in successfully raising funds in foreign capital markets would do well to examine the tax implications of their international security offerings from the target investor's viewpoint.
Eurocredit Pricing in Sovereign Lending
Authors: Sand Ole Christian , Mascarenhas Briance
Published: April 2007

Eurocredit pricing to sovereign borrowers was analyzed for the period leading up to the international debt crisis. The return variable measured both fees and spread, instead of spread alone. The importance in pricing of objective and subjective indicators of country‐risk, loan characteristics, and regional factors were examined. The analysis revealed a discrepancy between a perceptual measure and an objective measure of country‐risk. Eurocredit pricing was not positively related to loan size and maturity, commonly viewed as increasing risk, and may have also been influenced by regional and institutional factors.
Translation Exposure Hedging Post SFAS No. 52
Authors: Houston Carol Olson
Published: April 2007

Translation exposure hedging is frequently said to have begun after firms adopted SFAS No. 8 and assumed to have ceased–or at least decreased–after adoption of SFAS No. 52 due to different treatments of translation gains (losses). Based on proprietary data, this study presents evidence from a small sample of firms which would be predicted to cease hedging translation exposure, but of which the majority did not.

The study focuses on eighteen firms which exclude at least 50% and up to 100% of the translation gains (losses) from the income statement after adopting SFAS No. 52. Of those eighteen firms, only seven ceased hedging. The other eleven firms not only continued hedging translation exposure, but hedged translation exposure of only those subsidiaries whose translation gains (losses) are now excluded from the income statement.

Characteristics which might explain the different decision are investigated: proportion of assets which are nonmonetary; the proportion of net assets located abroad; the geographic dispersion of subsidiaries; and the estimated effect on the balance sheet and income statement of changing from the temporal method to the current rate method of translation.

Univariate test results indicate that the geographic dispersion of die foreign subsidiaries as well as the proportion of net assets located abroad differ significantly between firms which ceased hedging and those which continued hedging after adopting the standard. Weak evidence of differential effects of the change to the current rate method on individual firm income statements and of different composition of assets between the two groups also was found. Multivariate analysis, using a linear probability model as well as a randomization procedure, provided weak results corroborating the significance of the proportion of net foreign assets to consolidated assets in differentiating between firms which ceased hedging and those which continued.
Multinationality and Common Stock Offering Dilution
Authors: Tsetsekos George P.
Published: April 2007

This study examines the common stock offering dilution of multinational and domestic firms. Results provide evidence that the benefits of multinationality do not offset the negative information effect of perceived cash flow shortfalls at the announcement of security offerings. MNCs and purely domestic firms experience comparable negative valuation and offering dilution at the announcement of a common stock offering. These results are independent of size and performance differences between multinational and domestic firms at the announcement year.
Headquarter Reliance on Accounting Performance Measures in a Multinational Context
Authors: Hassel Lars
Published: April 2007

Headquarter (HQ) reliance on accounting performance measures (APMs) is studied in a European multinational organization. European MNCs typically manage their foreign operations as a portfolio of relatively independent national businesses (Bartlett and Goshal, 1989). In line with previous work on APMs in a limited country setting (Govindarajan, 1984; Brownell, 1987), the HQ relies less on APMs in monitoring domestic units that face environmental instability. However, in the case of geographically dispersed foreign subsidiaries, the HQ emphasizes APMs more when dynamism increases. The financial control pattern towards foreign subsidiaries is similar to Egelhof s (1988) findings in a broad sample of MNCs. This contrasting result is consistent with the greater cost and difficulty of using information‐intensive alternatives to APMs for units that are geographically and culturally distant from the HQ. There is no indication that tight APM‐based management would have a negative impact on work conditions of managers facing instability, but foreign managers find it more difficult to accept the evaluative framework if high reliance is placed on APMs when their environment is dynamic.
The Use of Forward Contracts for Hedging Currency Risk
Authors: Fung Hung‐Gay , Leung Wai K.
Published: April 2007

This paper derives an optimal rule for hedging currency risk in a general utility framework. Ex ante hedging performance of the forward markets is examined using the optimal hedge ratio derived from the utility model and an optimal rule derived from another model (excess return per unit risk) suggested in the hedging literature. Results of this study indicate a naive (one‐to‐one) hedge performs similarly to the optimal hedge ratios under either model. An implication of this study is that financial managers of multinational firms should simply follow a one‐to‐one rule when hedging foreign exchange risk in the forward markets.
Cash Position, Credit Risk and Hedging
Authors: Boyle Glenn W.
Published: April 2007

In choosing between forward and spot hedging, cash constrained and/or high credit risk firms are more likely to hedge foreign currency transactions forward than firms of greater quality. This arises because the cost of the levered component of a spot hedge is greater than the cost of the unlevered component and this premium increases with higher credit risk. For given cash and credit characteristics, importers are more (less) likely to hedge forward than exporters if transactions costs in the home security market are less (more) than the corresponding costs in the foreign security market.
Foreign Currency Translation Under Two Cases‐Integrated and Isolated Economies
Authors: Goldberg Stephen R. , Godwin Joseph H.
Published: April 2007

Beaver and Wolfson (1982 BW) identify economic interpretability and symmetry as desirable properties for financial statement translation. They then analyze translation methods with respect to these properties assuming perfect and complete markets between and within both countries (referred to, here, as the integrated economies case).

This study extends BW's analysis by examining isolated economies characterized by perfect and complete internal markets and a random relationship between prices and exchange rates. In BW's integrated economies case, inflation differentials drive exchange rate changes. No exchange risk exists, although monetary assets are exposed to the risk of unexpected inflation. Isolated economies expose monetary and nonmonetary items to both exchange and inflation risk.

In both cases, economic interpretability and symmetry can be achieved only by current value accounting translated at current exchange rates. In the integrated economies case, symmetry alone is achieved through current value accounting translated by current exchange rates for monetary items and historical costs translated by historical rates for nonmonetary items. In the isolated economies case, symmetry alone is achieved through current value accounting for monetary items and historical cost for non‐monetary items, all translated at the current rate. In both cases, including translation gains or losses in income is a condition for these results.

This extension of BW demonstrates (1) the translation rate required for symmetry depends upon the assumed relationship between prices and exchange rates, (2) a well‐defined economic scenario exists where historical cost accounting using current rate translation results in symmetry, and (3) the results depend on including translation gains and losses in income.
Home Country Taxation and the Theory of International Production
Authors: Weisfelder Christine J.
Published: April 2007

This paper addresses the taxation of foreign source income from the perspective of a multinational firm. It demonstrates how differences in home country fiscal regimes of multinational firms can lead to variations in the cost of transferring cash resources across the borders of national jurisdictions. In the framework of international production theory, it shows how the home country fiscal regime can be a source of ownership advantage when the firm creates an appropriate network of assets, liabilities and equity. Taxation is the link between some financial decisions to the theory of international production. Observations are taken from the tax calculations of three hypothetical multinational firms.
International Portfolio Diversification and the Magnitude of the Market Timer's Penalty
Authors: Butler Kirt C. , Domian Dale L. , Simonds Richard R.
Published: April 2007

Market timers without timing skill suffer a penalty relative to buy‐and‐hold investors in the form of higher portfolio risk. With transactions costs, timers suffer lower expected returns as well. We derive the magnitude of this penalty for a timer randomly switching funds between two or more risky assets. Assuming costless trades, a U.S.‐based timer randomly switching between U.S. and Japanese national stock funds can expect to face a 26.2% higher standard deviation than a comparable buy‐and‐hold investor at the same level of expected return. A timer randomly switching between a globally diversified equity portfolio and U.S. T‐bills faces a 50.3% higher standard deviation of return than a comparable buy‐and‐hold investor.
The Effect of Exchange Rate Changes on Geographic Segment Earnings of U.S.‐Based Multinationals
Authors: Johnson Carol Bauman
Published: April 2007

This study examines the ability of exchange rate changes to aid in the explanation and prediction of the geographic segment earnings of U.S.‐based multinational corporations. In order to evaluate the potential usefulness of geographic segment earnings disclosures, it is important to understand the effect that currency changes should be expected to have on these earnings. Two types of exchange rate effects are examined. These include the mechanical translation effects of an exchange rate change, as well as the operating effects. A sample of geographic segment earnings disclosures is developed for two geographic locations (Canada and Europe) and six industries in which adequate country‐industry specific subsamples can be identified. Because the factors that impact exchange rate exposure tend to depend on country, industry, or both, provision is made for country, industry, and country‐industry specific sensitivity to currency changes. Regressions and nonparametric analyses are performed to determine whether exchange rate changes can help explain the geographic segment earnings within these samples. Results indicate that the accounting‐based translation effect that is typically modeled as the impact of exchange rate changes on earnings does not adequately capture the effect of exchange rate changes on segment earnings. Operating effects of past and current exchange rate changes do help explain earnings for geographic segments located in Europe and in four industries. Prediction models which are country or country‐industry specific are able to outperform a random‐walk prediction of geographic segment earnings in some circumstances.
The Predictive Ability of Geographic Segment Information at the Country, Continent, and Consolidated Levels
Authors: Herrmann Don
Published: April 2007

This study examines whether geographic information disclosed at an increasingly disaggregated level (specifically, consolidated vs. continent vs. country) results in increased predictive ability of company operations (specifically, sales, gross profit, and earnings). Multinational corporations (MNCs) are formed using a simulated merger approach by combining the annual operating results of six individual firms, one from each of six countries. This approach makes it possible to compare the forecasting accuracy of data disclosed at the country, continent, and consolidated levels, not possible using current geographic segment disclosures. Previous studies using year‐ahead forecast models implicitly assume the predictive factors included in the models are significant in forecasting operating results. Using regression forecast models, this study tests whether the predictive factors included in the models are effective in forecasting operating results by examining the direction, size, and significance of the regression coefficient estimates. The coefficients provide evidence that exchange rate changes, inflation, and real GNP growth are useful in forecasting annual sales and gross profit. Whereas, at least for this sample and this time period, exchange rate changes, inflation, and real GNP growth are not significant variables in forecasting annual earnings. The results indicate that the accuracy of forecasts increase as sales and gross profit are disclosed at a more disaggregated geographic level. The hypothesized relationship between consolidated, continent, and country levels, while holding strongly under perfect foresight, holds to a lesser extent using forecasts of exchange rates, inflation, and real GNP.
Reviews
Authors: Clark Colin
Published: April 2007

National Income and Outlay By Colin Clark, MA.

The Expenditure and Revenue of Local Authorities By Sir Gwilym Gibbon, C.B.

Administrative Management in the Government of the United States

Moscow in the Making By Sir E. D. Simon, Lady Simon, W. A. Robson J. Jewkes.

Letters and Essays on Current Imperial and International Problems, 1935–6 By Arthur Berriedale Keith.

Social Stability and Economic Change Leadership in a Free Society. By T. N. Whitehead.

The British Civil Servant
BOOK REVIEWS
Authors: Briggs Asa , Chester T. E. , Chester T. E. , Waterfield A. P. , Headicar B. M. , Keith‐Lucas B. , Keith‐Lucas B.
Published: April 2007

Book Reviews in This Article:

Charitable Effort in Liverpool in the Nineteenth Century By Margaret B. Simey.

The British Coal Industry By H. Townshend‐Rose.

Electricity Supply in Great Britain By Sir Henry Self and Elizabeth M. Watson.

Professional People By Roy Lewis and Angus Maude.

The Public Librarian By Alice I. Bryan.

Problems of Local Government.

The Structure of Local Government By W. Eric Jackson.

Efficiency in the Nationalised Industries By Sir Hubert Houldsworth, Henry Jones, Lord Latham, and Lord Citrine. Foreword by Herbert Morrison.
Writing Inside the Kaleidoscope: Re‐Representing Victorian Women Public Figures
Authors: ISRAEL KALI A. K.
Published: April 2007

‘The myths that crystallize in the literary imagination are the buried lives of women whose lives are themselves further emboldened by these same myths.’1
“Ngaitana (I will circumcise myself)”: The Gender and Generational Politics of the 1956 Ban on Clitoridectomy in Meru, Kenya
Authors: THOMAS LYNN M.
Published: April 2007

Those of the iron‐wedge knife (ciorunya), stay at the side, you.

Do not abuse those of the razor blade (ciokaembe), you.

A circumcised girl without water on the stomach when guarded by the Government.

A circumcised girl without water on the stomach when guarded by the Government.1
Writing the History of Irish Women
Authors: LUDDY MARIA
Published: April 2007

Joanna Bourke, Husbandry to Housewifery: Women, Economic Change, and Housework in Ireland 1890‐1914

Margaret Ward (ed.) In Their Own Voice: Women and Irish Nationalism

Mary O'Dowd and Sabine Wichert (eds) Chattel, Servant or Citizen: Women's Status in Church, State and Society

Joan Hoff and Moureen Coulter (eds) Irish Women's Voices Past and Present
Prediction of Entrepreneurial Success: The Development of a Rating Scale for Entrepreneurial Characteristics
Authors: Altink Wieby M. M. , Born Marise Ph.
Published: April 2007

Predicting entrepreneurial success is a complex task, which is performed more or less daily by consultants for small business firms. In this study, the development of an entrepreneurial rating scale designed to assist consultants in assessing the behavioural characteristics of starting entrepreneurs is reported. A model was formulated that incorporates two features of the prediction of entrepeneurial success: (a) entrepreneurial characteristics as well as aspects of the future job (present in the entrepreneurial plan) are appraised, (b) advising is part of the prediction issue, e.g. certain aspects of the entrepreneurial plan may be modified. The model is a variant of‘adaptive selection’, and is partly operationalized in the rating scale for entrepreneurial characteristics. Three studies were conducted with regard to the first feature: judgements on the relevance of situational and behavioural characteristics were obtained from several samples of consultants (N= 38, 23 and 48), and a sample of starting entrepreneurs (N= 61) was rated on behavioural characteristics. The findings indicate that consultants have a common opinion about the behavioural requirements for starting entrepreneurs and that some of these requirements covary with situational characteristics (i.e. general business features). Implications of these findings are discussed in relation to the possible design of a validation study.
The Construct Validity of Assessment Centre Performance Dimensions
Authors: Kauffman James R. , Jex Steve M. , Love Kevin G. , Libkuman Terry M.
Published: April 2007

Evidence regarding the construct validity of assessment centre performance dimensions is reviewed. The evidence strongly suggests that variance in ratings tends to reflect exercises more than individual performance dimensions, thus calling into question the construct validity and utility of these dimensions. A number of biases in the assessment centre process, as well as more general rating biases are noted that may be responsible for these pervasive exercise effects. Suggestions are made for enhancing the construct validity of performance dimensions.
Criterion Shaped Behaviour: Pitfalls of Performance Appraisal
Authors: Downing Leslie L.
Published: April 2007

Behavioural consequences of performance appraisal, of students, teachers, and schools, or of workers, managers, and offices, are analyzed in terms of a newly proposed theory of Criterion Shaped Behaviour (CSB). Unstated assumptions of advocates for the extensive use of performance appraisal, using performance‐based rewards and punishments, are scrutinized, and many are found to be insupportable. CSB Theory predicts that numerous behavioural effects, not all of which are desirable, will be shaped by the use of rewards and punishments made contingent upon criterion measure scores. Using cognitive expectancy theories of learning and performance, in conjunction with traditional measurement theory, it anticipates the types of behaviour change likely to result from imposition of different performance appraisal systems, and suggests alternatives less likely to result in undesirable effects.
The Use of Selection Criteria for Campus Interviews
Authors: Werbel James D. , Looney Steven
Published: April 2007

This paper explores two research questions. What is the relative importance of academic criteria, work experience, demographic characteristics, and extracurricular activities on the decision to select applicants for job interviews in a college placement setting? Second, does the relative importance of criteria change across job types? Using a sample of 19 recruiters who screened applicants for campus interviews at a large state university, the study found that academic criteria were the most important screening criteria. However, there was great variance in the use of criteria across 19 recruiters. Job type accounted for some of this variance in relation to both academic criteria and demographic criteria.
Equity in Staff Selection: Managerial Attitudes and Practices
Authors: Hede Andrew , Dingsdag Don
Published: April 2007

A survey of 486 managers was designed to examine how well employment equity is being implemented in Australian public and private sector organizations. Respondents were asked to report on the procedures they themselves used in their most recent staff selection. The findings on the incidence of the various selection techniques generally confirmed those of previous studies, specifically that the interview is the single most common technique. Although the large majority of managers professed pro‐equity attitudes, most also displayed a belief in gender stereotypes and almost half misunderstood the requirements of affirmative action in Australia. Most selection decisions appear to have been based on merit‐related factors, but a surprisingly high proportion of managers admitted to potentially discriminatory practices. Factors such as age, good looks and the absence of physical disability were rated as having been important in more than a third of selection decisions. Also, factors such as gender, marital status, race and colour influenced some managers in job selection. However, such discriminatory factors appear to have been less important in the public sector and in larger organizations which would have had more exposure to equity and affirmative action programs.
Development of a Situation‐Response Inventory for Managerial Selection
Authors: Born Marise Ph.
Published: April 2007

The development is reported of an SR‐inventory of achievement‐related behaviour for the purpose of managerial selection. SR‐inventories stem from interactional personality psychology. As the design of an SR‐inventory is two‐facetted, Cronbach et al.'s generalizability theory forms a suitable framework to investigate it. Using data of 404 Dutch respondents — mostly applicants — several generalizability analyses have been performed to conclude under which circumstances the inventory can be a useful tool. Furthermore, confirmatory factor analysis has been used to substantiate the suggested SR‐structure of the instrument. The relationship with other personality factors has been investigated to classify the instrument in the domain of personality assessment.