Search results for: developing nations.
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 1436

Search results for: developing nations.

986 A Heuristic Based Conceptual Framework for Product Innovation

Authors: Amalia Suzianti

Abstract:

This research elaborates decision models for product innovation in the early phases, focusing on one of the most widely implemented method in marketing research: conjoint analysis and the related conjoint-based models with special focus on heuristics programming techniques for the development of optimal product innovation. The concept, potential, requirements and limitations of conjoint analysis and its conjoint-based heuristics successors are analysed and the development of conceptual framework of Genetic Algorithm (GA) as one of the most widely implemented heuristic methods for developing product innovations are discussed.

Keywords: Product Innovation, Conjoint Analysis, Heuristic Model, Genetic Algorithm

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985 A Fast Block-based Evolutional Algorithm for Combinatorial Problems

Authors: Huang, Wei-Hsiu Chang, Pei-Chann, Wang, Lien-Chun

Abstract:

The problems with high complexity had been the challenge in combinatorial problems. Due to the none-determined and polynomial characteristics, these problems usually face to unreasonable searching budget. Hence combinatorial optimizations attracted numerous researchers to develop better algorithms. In recent academic researches, most focus on developing to enhance the conventional evolutional algorithms and facilitate the local heuristics, such as VNS, 2-opt and 3-opt. Despite the performances of the introduction of the local strategies are significant, however, these improvement cannot improve the performance for solving the different problems. Therefore, this research proposes a meta-heuristic evolutional algorithm which can be applied to solve several types of problems. The performance validates BBEA has the ability to solve the problems even without the design of local strategies.

Keywords: Combinatorial problems, Artificial Chromosomes, Blocks Mining, Block Recombination

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984 Ontology for Semantic Enrichment of Radio Frequency Identification Systems

Authors: Haitham S. Hamza, Mohamed Maher, Shourok Alaa, Aya Khattab, Hadeal Ismail, Kamilia Hosny

Abstract:

Radio Frequency Identification (RFID) has become a key technology in the emerging concept of Internet of Things (IoT). Naturally, business applications would require the deployment of various RFID systems developed by different vendors that use different data formats and structures. This heterogeneity poses a challenge in developing real-life IoT systems with RFID, as integration is becoming very complex and challenging. Semantic integration is a key approach to deal with this challenge. To do so, ontology for RFID systems need to be developed in order to annotated semantically RFID systems, and hence, facilitate their integration. Accordingly, in this paper, we propose ontology for RFID systems. The proposed ontology can be used to semantically enrich RFID systems, and hence, improve their usage and reasoning.

Keywords: IoT, RFID, Semantic, sparql, Ontology.

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983 The Role of the Studs Configuration in the Structural Response of Composite Bridges

Authors: M. M. Mohammadi Dehnavi, A. De Angelis, M. R. Pecce

Abstract:

This paper deals with the role of studs in structural response for steel-concrete composite beams. A tri-linear slip-shear strength law is assumed according to literature and codes provisions for developing a finite element (FE) model of a case study of a composite deck. The variation of the strength and ductility of the connection is implemented in the numerical model carrying out nonlinear analyses. The results confirm the utility of the model to evaluate the importance of the studs capacity, ductility and strength, on the global response (ductility and strength) of the structures but also to analyse the trend of slip and shear at interface along the beams.

Keywords: Shear Load, slip, steel-concrete composite bridge, stud connectors.

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982 A Study of Classification Models to Predict Drill-Bit Breakage Using Degradation Signals

Authors: Bharatendra Rai

Abstract:

Cutting tools are widely used in manufacturing processes and drilling is the most commonly used machining process. Although drill-bits used in drilling may not be expensive, their breakage can cause damage to expensive work piece being drilled and at the same time has major impact on productivity. Predicting drill-bit breakage, therefore, is important in reducing cost and improving productivity. This study uses twenty features extracted from two degradation signals viz., thrust force and torque. The methodology used involves developing and comparing decision tree, random forest, and multinomial logistic regression models for classifying and predicting drill-bit breakage using degradation signals.

Keywords: Degradation signal, drill-bit breakage, random forest, multinomial logistic regression.

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981 Motion Detection Techniques Using Optical Flow

Authors: A. A. Shafie, Fadhlan Hafiz, M. H. Ali

Abstract:

Motion detection is very important in image processing. One way of detecting motion is using optical flow. Optical flow cannot be computed locally, since only one independent measurement is available from the image sequence at a point, while the flow velocity has two components. A second constraint is needed. The method used for finding the optical flow in this project is assuming that the apparent velocity of the brightness pattern varies smoothly almost everywhere in the image. This technique is later used in developing software for motion detection which has the capability to carry out four types of motion detection. The motion detection software presented in this project also can highlight motion region, count motion level as well as counting object numbers. Many objects such as vehicles and human from video streams can be recognized by applying optical flow technique.

Keywords: Background modeling, Motion detection, Optical flow, Velocity smoothness constant, motion trajectories.

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980 An Efficiency Measurement of E-Government Performance for United Nation Ranking Index

Authors: Yassine Jadi, Lin Jie

Abstract:

In order to serve the society in an electronic manner, many developing countries have launched tremendous e-government projects. The strategies of development and implementation e-government system have reached different levels, and to ensure consistency of development, the governments need to evaluate e-government performance. The United nation has design e-government development ranking index (EGDI) that rely on three indexes, Online service index (OSI), Telecommunication Infrastructure index (TII), and human capital index( HCI) which are not reflecting the interaction between a government and their citizens. Based on data envelopment analyses (DEA) technique, we are using E-participating index (EPI) as an output of government effort to evaluate the performance of e-government system. Therefore, the ranking index can be achieved in efficiency manner.

Keywords: E-government, DEA, efficiency measurement, EGDI.

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979 Comparing the Efficiency of Simpson’s 1/3 and 3/8 Rules for the Numerical Solution of First Order Volterra Integro-Differential Equations

Authors: N. M. Kamoh, D. G. Gyemang, M. C. Soomiyol

Abstract:

This paper compared the efficiency of Simpson’s 1/3 and 3/8 rules for the numerical solution of first order Volterra integro-differential equations. In developing the solution, collocation approximation method was adopted using the shifted Legendre polynomial as basis function. A block method approach is preferred to the predictor corrector method for being self-starting. Experimental results confirmed that the Simpson’s 3/8 rule is more efficient than the Simpson’s 1/3 rule.

Keywords: Collocation shifted Legendre polynomials, Simpson’s rule and Volterra integro-differential equations.

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978 Studying the Implementation of 5S System in Egyptian Garment Enterprises

Authors: K. M. Seddik

Abstract:

This paper explores the implementation of 5S elements in the Egyptian garment enterprises. The paper depended on a survey questionnaire (established from Summit Business Solutions, New York) and observations to collect data from the respondents. The observations are based on the on-site visits and interviews with the managers, supervisors and labors. The enterprises divided into three groups according to the nature activity. The first group of enterprises encompassed 49.52% of the total samples, the second and third group of enterprises represented 50.48% The results of this research indicated to the influence of the nature activity in implementing 5S systems and conclude that sustain is a difficult element which involve encourage workers for developing and practicing a highly discipline. In addition the results demonstrate that although the enterprises may achieve a higher executing of 5S elements but it may realize a low coherence in implementation.

Keywords: 5S elements, garment enterprises, implementation, lean manufacturing.

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977 Learning Human-Like Color Categorization through Interaction

Authors: Rinaldo Christian Tanumara, Ming Xie, Chi Kit Au

Abstract:

Human perceives color in categories, which may be identified using color name such as red, blue, etc. The categorization is unique for each human being. However despite the individual differences, the categorization is shared among members in society. This allows communication among them, especially when using color name. Sociable robot, to live coexist with human and become part of human society, must also have the shared color categorization, which can be achieved through learning. Many works have been done to enable computer, as brain of robot, to learn color categorization. Most of them rely on modeling of human color perception and mathematical complexities. Differently, in this work, the computer learns color categorization through interaction with humans. This work aims at developing the innate ability of the computer to learn the human-like color categorization. It focuses on the representation of color categorization and how it is built and developed without much mathematical complexity.

Keywords: Color categorization, color learning, machinelearning, color naming.

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976 GSM Based Smart Patient Monitoring System

Authors: Ayman M. Mansour

Abstract:

In this paper, we propose an intelligent system that is used for monitoring the health conditions of patients. Monitoring the health condition of patients is a complex problem that involves different medical units and requires continuous monitoring especially in rural areas because of inadequate number of available specialized physicians. The proposed system will improve patient care and drive costs down comparing to the existing system in Jordan. The proposed system will be the start point to faster and improve the communication between different units in the health system in Jordan. Connecting patients and their physicians beyond hospital doors regarding their geographical area is an important issue in developing the health system in Jordan. The ability of making medical decisions, the quality of medical is expected to be improved.

Keywords: GSM, SMS, Patient, Monitoring system, Fuzzy Logic, Multi-agent system.

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975 The Impact of Trade Liberalization on Current Account Deficit: The Turkish Case

Authors: E. Selçuk, Z. Karaçor, P. Yardımcı

Abstract:

Trade liberalization and its effects on the economies of developing countries have been investigated by many different studies, and some of them have focused on its impact on the current account balance. Turkey, as being one of the countries, which has liberalized its foreign trade in the 1980s, also needs to be studied in terms of the impact of liberalization on current account deficits. Therefore, the aim of this study is to find out whether trade liberalization has affected Turkey’s trade and current account balances. In order to determine this, yearly data of Turkey from 1980 to 2013 is used. As liberalization dummy, the year 1989, which was set for Turkey, is selected. Structural break test and model estimation results show that trade liberalization has a negative impact on trade balance but do not have a significant impact on the current account balance.

Keywords: Budget deficit, current account, liberalization, Turkish economy.

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974 Rheological Modeling for Production of High Quality Polymeric

Authors: H.Hosseini, A.A. Azemati

Abstract:

The fundamental defect inherent to the thermoforming technology is wall-thickness variation of the products due to inadequate thermal processing during production of polymer. A nonlinear viscoelastic rheological model is implemented for developing the process model. This model describes deformation process of a sheet in thermoforming process. Because of relaxation pause after plug-assist stage and also implementation of two stage thermoforming process have minor wall-thickness variation and consequently better mechanical properties of polymeric articles. For model validation, a comparative analysis of the theoretical and experimental data is presented.

Keywords: High-quality polymeric article, Thermal Processing, Rheological model, Minor wall-thickness variation.

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973 Improving Listening Comprehension for EFL Pre-Intermediate Students through a Blended Learning Strategy

Authors: Heba Mustafa Abdullah

Abstract:

The research aimed at examining the effect of using a suggested blended learning (BL) strategy on developing EFL pre- intermediate students. The study adopted the quasi-experimental design. The sample of the research consisted of a group of 26 EFL pre- intermediate students. Tools of the study included a listening comprehension checklist and a pre-post listening comprehension test. Results were discussed in relation to several factors that affected the language learning process. Finally, the research provided beneficial contributions in relation to manipulating BL strategy with respect to language learning process in general and oral language learning in particular.

Keywords: Blended learning, English as a foreign language, listening comprehension, oral language instruction.

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972 Comparison of the Use of Vaccines or Drugs against Parasitic Diseases

Authors: H. Al-Khalaifa, A. Al-Nasser

Abstract:

The viewpoint towards the use of drugs or vaccines against avian parasitic diseases is one of the most striking challenges in avian medical parasitology. This includes many difficulties associated with drug resistance and in developing prophylactic vaccines. In many instances, the potential success of a vaccination in controlling parasitic diseases in poultry is well-documented. However, some medical, technical and financial limitations are still paramount. On the other hand, chemotherapy is not very well-recommended due to a number of medical limitations. But in the absence of an effective vaccine, drugs are used against parasitic diseases. This paper sheds light on some the advantages and disadvantages of using vaccination and drugs in controlling parasitic diseases in poultry species. The usage of chemotherapeutic drugs is discussed with some examples. Then, more light will be shed on using vaccines as a potentially effective and promising control tool.

Keywords: Drugs, parasitology, poultry, vaccines.

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971 Effective Self-Preservation of Methane Hydrate Particles in Crude Oils

Authors: A. S. Stoporev, A. Yu. Manakov

Abstract:

In this work we investigated the behavior of methane hydrates dispersed in crude oils from different fields at temperatures below 0°C. In case of crude oil emulsion the size of water droplets is in the range of 50e100"m. The size of hydrate particles formed from droplets is the same. The self-preservation is not expected in this field. However, the self-preservation of hydrates with the size of particles 24±18"m (electron microscopy data) in suspensions is observed. Similar results were obtained for four different kinds of crude oil and model system such as asphaltenes, resins and wax in ndecane. This result can allow developing effective methods to prevent the formation and elimination of gas-hydrate plugs in pipelines under low temperature conditions (e. g. in Eastern Siberia). There is a prospective to use experiment results for working out the technology of associated petroleum gas recovery.

Keywords: Gas hydrate, Gas liberation, Self-preservation, Water-in-oil emulsion.

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970 Comparative Exergy Analysis of Vapor Compression Refrigeration System Using Alternative Refrigerants

Authors: Gulshan Sachdeva, Vaibhav Jain

Abstract:

In present paper, the performance of various alternative refrigerants is compared to find the substitute of R22, the widely used hydrochlorofluorocarbon refrigerant in developing countries. These include the environmentally friendly hydrofluorocarbon (HFC) refrigerants such as R134A, R410A, R407C and M20. In the present study, a steady state thermodynamic model (includes both first and second law analysis) which simulates the working of an actual vapor-compression system is developed. The model predicts the performance of system with alternative refrigerants. Considering the recent trends of replacement of ozone depleting refrigerants and improvement in system efficiency, R407C is found to be potential candidate to replace R22 refrigerant in the present study.

Keywords: Refrigeration, compression system, performance study, modeling, R407C.

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969 Identification of Nonlinear Systems Structured by Hammerstein-Wiener Model

Authors: A. Brouri, F. Giri, A. Mkhida, F. Z. Chaoui, A. Elkarkri, M. L. Chhibat

Abstract:

Standard Hammerstein-Wiener models consist of a linear subsystem sandwiched by two memoryless nonlinearities. The problem of identifying Hammerstein-Wiener systems is addressed in the presence of linear subsystem of structure totally unknown and polynomial input and output nonlinearities. Presently, the system nonlinearities are allowed to be noninvertible. The system identification problem is dealt by developing a two-stage frequency identification method. First, the parameters of system nonlinearities are identified. In the second stage, a frequency approach is designed to estimate the linear subsystem frequency gain. All involved estimators are proved to be consistent.

Keywords: Nonlinear system identification, Hammerstein systems, Wiener systems, frequency identification.

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968 Impact of Normative Institutional Factors on Sustainability Reporting

Authors: L. Dagilienė

Abstract:

The article explores the impact of normative institutional factors on the development of sustainability reporting. The vast majority of research in the scientific literature focuses on mandatory institutional factors, i.e. how public institutions and market regulators affect sustainability reporting. Meanwhile, there is lack of empirical data for the impact of normative institutional factors. The effect of normative factors in this paper is based on the role of non-governmental organizations (NGO) and institutional theory. The case of Global Compact Local Network in the developing country was examined. The research results revealed that in the absence of regulated factors, companies were not active with regard to social disclosures; they presented non-systemized social information of a descriptive nature. Only 10% of sustainability reports were prepared using the GRI methodology. None of the reports were assured by third parties.

Keywords: Institutional theory, normative, sustainability reporting.

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967 Social Business Models: When Profits and Impacts Are Not at Odds

Authors: Elisa Pautasso, Matteo Castagno, Michele Osella

Abstract:

In the last decade the emergence of new social needs as an effect of the economic crisis has stimulated the flourishing of business endeavours characterised by explicit social goals. Social start-ups, social enterprises or Corporate Social Responsibility operations carried out by traditional companies are quintessential examples in this regard. This paper analyses these kinds of initiatives in order to discover the main characteristics of social business models and to provide insights to social entrepreneurs for developing or improving their strategies. The research is conducted through the integration of literature review and case study analysis and, thanks to the recognition of the importance of both profits and social impacts as the key success factors for a social business model, proposes a framework for identifying indicators suitable for measuring the social impacts generated.

Keywords: Business model, case study, impacts, social business.

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966 Miniature Fast Steering Mirrors for Space Optical Communication on NanoSats and CubeSats

Authors: Sylvain Chardon, Timotéo Payre, Hugo Grardel, Yann Quentel, Mathieu Thomachot, Gérald Aigouy, Frank Claeyssen

Abstract:

With the increasing digitalization of society, access to data has become vital and strategic for individuals and nations. In this context, the number of satellite constellation projects is growing drastically worldwide and is a next-generation challenge of the New Space industry. So far, existing satellite constellations have been using radio frequencies (RF) for satellite-to-ground communications, inter-satellite communications, and feeder link communication. However, RF has several limitations, such as limited bandwidth and low protection level. To address these limitations, space optical communication will be the new trend, addressing both very high-speed and secured encrypted communication. Fast Steering Mirrors (FSM) are key components used in optical communication as well as space imagery and for a large field of functions such as Point Ahead Mechanisms (PAM), Raster Scanning, Beam Steering Mirrors (BSM), Fine Pointing Mechanisms (FPM) and Line of Sight stabilization (LOS). The main challenges of space FSM development for optical communication are to propose both a technology and a supply chain relevant for high quantities New Space approach, which requires secured connectivity for high-speed internet, Earth planet observation and monitoring, and mobility applications. CTEC proposes a mini-FSM technology offering a stroke of +/-6 mrad and a resonant frequency of 1700 Hz, with a mass of 50 g. This FSM mechanism is a good candidate for giant constellations and all applications on board NanoSats and CubeSats, featuring a very high level of miniaturization and optimized for New Space high quantities cost efficiency. The use of piezo actuators offers a high resonance frequency for optimal control, with almost zero power consumption in step and stay pointing, and with very high-reliability figures > 0,995 demonstrated over years of recurrent manufacturing for Optronics applications at CTEC.

Keywords: Fast steering mirror, feeder link, line of sight stabilization, optical communication, pointing ahead mechanism, raster scan.

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965 Bioprocess Optimization Based On Relevance Vector Regression Models and Evolutionary Programming Technique

Authors: R. Simutis, V. Galvanauskas, D. Levisauskas, J. Repsyte

Abstract:

This paper proposes a bioprocess optimization procedure based on Relevance Vector Regression models and evolutionary programming technique. Relevance Vector Regression scheme allows developing a compact and stable data-based process model avoiding time-consuming modeling expenses. The model building and process optimization procedure could be done in a half-automated way and repeated after every new cultivation run. The proposed technique was tested in a simulated mammalian cell cultivation process. The obtained results are promising and could be attractive for optimization of industrial bioprocesses.

Keywords: Bioprocess optimization, Evolutionary programming, Relevance Vector Regression.

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964 Adaptive Dynamic Time Warping for Variable Structure Pattern Recognition

Authors: S. V. Yendiyarov

Abstract:

Pattern discovery from time series is of fundamental importance. Particularly, when information about the structure of a pattern is not complete, an algorithm to discover specific patterns or shapes automatically from the time series data is necessary. The dynamic time warping is a technique that allows local flexibility in aligning time series. Because of this, it is widely used in many fields such as science, medicine, industry, finance and others. However, a major problem of the dynamic time warping is that it is not able to work with structural changes of a pattern. This problem arises when the structure is influenced by noise, which is a common thing in practice for almost every application. This paper addresses this problem by means of developing a novel technique called adaptive dynamic time warping.

Keywords: Pattern recognition, optimal control, quadratic programming, dynamic programming, dynamic time warping, sintering control.

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963 Developing Research Involving Different Species: Opportunities and Empirical Foundations

Authors: A. V. Varfolomeeva, N. S. Tkachenko, A. G. Tishchenko

Abstract:

In this study, we addressed the problem of weak validity, implausible results, and inaccurate reporting in psychological research on different species. The theoretical basis of the study was the systems-evolutionary approach (SEA). We assumed that the root of the problem is the values and attitudes of the researchers (in particular anthropomorphism and anthropocentrism). The first aim of the study was the formulation of a research design that avoids this problem. Based on a literature review, we concluded that such design, amongst other things, should include methodics with playful components. The second aim was to conduct a series of studies on the differences in the formation of instrumental skill in rats raised and housed in different environments. As a result, we revealed that there are contradictions between some of the statements of SEA, so that it is not possible to choose one of the alternative hypotheses. We suggested that in order to get out of this problem, it is necessary to modify these provisions by aligning them with the attitude of multicentrism.

Keywords: epistemological attitudes, experimental design, validity, psychological structure, learning

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962 Developing a Simple and an Accurate Formula for the Conduction Angle of a Single Phase Rectifier with RL Load

Authors: S. Ali Al-Mawsawi, Fadhel A. Albasri

Abstract:

The paper presents a simple and an accurate formula that has been developed for the conduction angle (δ) of a single phase half-wave or full-wave controlled rectifier with RL load. This formula can be also used for calculating the conduction angle (δ) in case of A.C. voltage regulator with inductive load under discontinuous current mode. The simulation results shows that the conduction angle calculated from the developed formula agree very well with that obtained from the exact solution arrived from the iterative method. Applying the developed formula can reduce the computational time and reduce the time for manual classroom calculation. In addition, the proposed formula is attractive for real time implementations.

Keywords: Conduction Angle, Firing Angle, Excitation Angle, Load Angle.

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961 Temporary Housing Respond to Disasters in Developing Countries- Case Study: Iran-Ardabil and Lorestan Province Earthquakes

Authors: Farzaneh Hadafi, Alireza Fallahi

Abstract:

Natural Disasters have always occurred through earth life. As human life developed on earth, he faced with different disasters. Since disasters would destroy his living areas and ruin his life, he learned how to respond and overcome to these matters. Nowadays, in the era of industrialized world and informatics, the man kind seeks for stages and classification of pre and post disaster process in order to identify a framework in these circumstances. Because too many parameters complicate these frameworks and proceedings, it seems that this goal has not been properly established yet and the only resource is guidelines of UNDRO (1982) [1]. This paper will discuss about temporary housing as one of an approved stage in disaster management field and investigate the affects of disapproval or dismissal of this at two earthquakes which took place in Iran.

Keywords: Temporary Housing, Temporary Sheltering, DisasterManagement, Iran

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960 Tool for Helping Rural Woman Giving Birth

Authors: Bernadus Kristyanto, Luciana T Dewi, Rustamaji

Abstract:

Giving birth is a natural process and most women have to go through it. Gynecologist or Midwife usually uses the leg holder to position the cervix in the stitching process. In some part of rural areas in Indonesia, the labor process normally being done at homes by calling in a midwife or gynecologist. The facilities for this kind of labor process is not yet sufficient, as the use of leg holder supposedly on the obstetric bed. The reality is that it is impossible to bring in the obstetric bed to the patient-s house at the time they call for giving birth or the time when the stitching of the cervix need to be done. This research is redesigning the leg holder through Biomechanics and ergonomic approaches to obtain the optimal design which is suitable to the user of a developing country such as Indonesia.

Keywords: Giving birth, Leg holder, Re-design product, Biomechanics and ergonomic approaches

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959 Towards an Understanding of how Information Technology Enables Innovation – The Innovators- Perceptions

Authors: R. Nootjarat, W. Chantatub, P. Chongstitvatana

Abstract:

This research attempts to explore gaps in Information Systems (IS) and innovation literatures by developing a model of Information Technology (IT) capability in enabling innovation. The research was conducted by using semi-structured interview with six innovators in business consulting, financial, healthcare and academic organizations. The interview results suggest four elements of ITenabled innovation capability which are information (ability to capture ideas and knowledge), connectivity (ability to bridge geographical boundary and mobilize human resources), communication (ability to attain and engage relationships between human resources) and transformation (ability to change the functions and process integrations) in defining IT-enabled innovation platform. The results also suggests innovators- roles and IT capability.

Keywords: Innovation Platform, IT Capability, Innovators, Innovation Delivery

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958 Investigation on Novel Based Metaheuristic Algorithms for Combinatorial Optimization Problems in Ad Hoc Networks

Authors: C. Rajan, N. Shanthi, C. Rasi Priya, K. Geetha

Abstract:

Routing in MANET is extremely challenging because of MANETs dynamic features, its limited bandwidth, frequent topology changes caused by node mobility and power energy consumption. In order to efficiently transmit data to destinations, the applicable routing algorithms must be implemented in mobile ad-hoc networks. Thus we can increase the efficiency of the routing by satisfying the Quality of Service (QoS) parameters by developing routing algorithms for MANETs. The algorithms that are inspired by the principles of natural biological evolution and distributed collective behavior of social colonies have shown excellence in dealing with complex optimization problems and are becoming more popular. This paper presents a survey on few meta-heuristic algorithms and naturally-inspired algorithms.

Keywords: Ant colony optimization, genetic algorithm, Naturally-inspired algorithms and particle swarm optimization.

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957 A New Measure of Herding Behavior: Derivation and Implications

Authors: Amina Amirat, Abdelfettah Bouri

Abstract:

If price and quantity are the fundamental building blocks of any theory of market interactions, the importance of trading volume in understanding the behavior of financial markets is clear. However, while many economic models of financial markets have been developed to explain the behavior of prices -predictability, variability, and information content- far less attention has been devoted to explaining the behavior of trading volume. In this article, we hope to expand our understanding of trading volume by developing a new measure of herding behavior based on a cross sectional dispersion of volumes betas. We apply our measure to the Toronto stock exchange using monthly data from January 2000 to December 2002. Our findings show that the herd phenomenon consists of three essential components: stationary herding, intentional herding and the feedback herding.

Keywords: Herding behavior, market return, trading volume.

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