Impact Of Retained Earnings On Share Price - Free Essay Example

Sample details Pages: 10 Words: 2858 Downloads: 5 Date added: 2017/06/26 Category Finance Essay Type Research paper Did you like this example? The objective of this research paper is to study the relationship between retained earnings and share price in the Pakistan stock market. For analysis, a sample of 40 listed companies was taken from Karachi stock market. In this research, variables data was taken from the period of 2005-2008. Don’t waste time! Our writers will create an original "Impact Of Retained Earnings On Share Price" essay for you Create order Simple Linear Regression technique was used to analyze the relationship between share price and retained earnings. A positive relation was found between retained earning and stock price. This paper supports the fact that retained earning is relevant in determining share price for a sample of firms listed in the Karachi Stock Exchange. As far as my knowledge is concerned, this paper is first to show that corporate earnings is a key driver of stock price change in the Pakistan. CHAPTER 1: INTRODUCTION Overview: Earnings and dividends occupied an important role in financial accounting research and finance. It is the most extensively accepted measure of firm performance. Attention was also given to earnings because it is commonly used in evaluating management performance. Perhaps the biggest reason for the attraction to earnings, though, lies with the notion that retained earnings serves as a predictor of future cash flows. Many theories have represented that the accrual earnings represents the best predictor and of future cash flows than the historical cash flows. A companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s existence depends on its ability to make positive cash flows, and research confirmed that share price directly related to an entityà ¢Ã¢â€š ¬Ã¢â€ž ¢s cash flow prediction. Thus, because earnings of the company are viewed as a key determinant of share price. Mary, Cram and Nelson (2001) found that the systematic ability of earnings can be improved when disaggregated into its major accrual components. One of the components was sales revenue, which unpredictably ignored in the literature as a predictor of share price. The degree of relationship of earnings and cash flow, sales with share price was a aim of this study. Empirical studies indicate that when share prices are related to the current dividends and retained earnings, higher dividends are associated with higher price earning ratio. Graham and Dood assert that the impact of dividend on price is four times that of retained earnings; moreover, the studies of Myron Gorden, David Durand and others indicate that dividend multiplier is several times the retained earning multiplier. A very recent study on this topic has been done by Friend and Puckett for USA they concluded that in general, there is little basis for the view that dividends have an impact on price which is several times that of retained earnings. A firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s ability to generate cash flow affects the value of its securities, so the ability to assess fu ture cash flow was important for the investment community, both shareholders and creditors. While shareholders may be concerned with the stream of cash flows to perpetuity, many creditors were concerned solely the short term cash generating ability of a company. Problem statement: To investigate the Impact of Retained Earnings, Dividends on Share Price. Hypothesis H1: There is a positive relationship between Retained Earnings and Share Prices. Outline of the Study: Next section 2 is Literature review, section 3, methodology and data collection, section 4 results and summary, section 5 conclusion remarks Definition Retained earnings refers to the portion of net income which is kept by the companies rather than distributed to its owners as dividends. CHAPTER: 2 LITERATURE REVIEW The study relates to examine the relationship of earning with share price. When conservative accounting practices are observed by firms, the quality of its earnings can be affected by the changes in the amount of its investments. Increase in investment decreases reported earnings and creates reserves. Dropping investment releases those reserves and earnings increase. If there is temporary change in investment then earnings are depressed or inflate temporarily, it means that investment is not a fine indicator of future earnings. This paper contributes to the research on how the quality of earnings is affected by accounting methods. We define the term to mean that reported earnings, before unusual items that are recognized on the income statement, is of good quality if it is a good sign of future earnings. Thus we consider good earnings to be sustainable earnings, as referred to in financial analysis (Mulford and Comiskey,1996). When an accounting treatment produces weak earnin gs, we consider those unsustainable earnings to be of poor quality. Changes in dividends informs the investors about the determination of past earnings changes. The determination of earnings is the extent to which an unpredicted change in earnings revises hope of future earnings for the periods in the same way as the unexpected change. This uncertainty about the of earnings is determined as later earnings announcements for following quarters provide additional information. Investors assessments of the persistence of past earnings can be revised by the change in dividends because the managers are unwilling to increase (decrease) dividends unless earnings increase (decrease) are determined. We examine whether investors recognize a change in dividends as a sign about the determination of past earnings changes by examining the statistical relation between the market reaction changes in dividends and recent past earnings changes. Healy and Palepus (1988) stated that dividend cha nges managerà ¢Ã¢â€š ¬Ã¢â€ž ¢s private information about future earnings changes. They found a positive relation between abnormal returns and following changes in earnings. Financial statement analysis advocates examining the accrual and cash basis components of current earnings for the purpose of predicting future earnings. The nature of the information contained in the cash basis and accrual and components of earnings and the degree to which this information is reflected in share prices. The results specify that earnings show attributable to the accrual component of earnings exhibits lower persistence than earnings show attributable to the cash basis component of earnings. The firms with comparatively high (low) levels of accruals experience negative (positive) future stock returns that are determined around future earnings announcements. Although there is unreliable evidence that stock prices respond positively to firms meeting expectations. We observe whether there is a mark et return to meeting current period earnings expectations, and whether any such return reflects the implications for following earnings of meeting expectations in the current period or shows a distinct market premium. It seems reasonable to say that there is a wide agreement that either favorable earnings or dividend announcements can persuade positive abnormal stock returns. The effect of earnings announcements on share price changes has been recognized by Ball and Brown, Foster, Watts and Rendleman et al. The effect of dividend announcement was first highlighted by Pettit. Miller and Scholes , in a study focused primarily on dividends and taxes as a result they found significant evidence of a dividend declaration effect. Figures of earnings can be manipulated by accounting practices, and so may be interpreted with uncertainty by the investment community (Kaplan and Roll ). Similarly, dividend declarations are only a crude way to communicate information to capital markets. While bo th dividend and earnings data have been shown to influence share performance that the capital market would be interested in the consistency by earnings and dividend announcements. This might show the way to a validation effect on share prices. Confirmation from a collection of studies shows that equity value is related to accounting earnings (e.g., Ball and Brown 1968; Barth et al. 1992). However, in more reasonable settings with market imperfections, accounting methods can provide complementary information about book value and earnings. Balance sheet information provides net worth of resources of the firm. These information are based mostly on historical market prices and is therefore mainly independent of the achievement with which the firm currently employs its resources. On the other hand earnings from the financial statement provide a measure of value which reflects that how much of the resources are being employed by the firm from this earnings. There is a relationship b etween insider trading and the information captured by annual earnings for a large sample of firms. Insider trading changes the annual unexpected earnings. Insider buying interactively confirms the positive information captured by unexpected positive earnings and this communication reduces the noise in unexpected earnings. The result with regard to the adverse information captured by the group with insider selling and negative unexpected earnings is similar but less prominent. The examination also suggests that insider buying and selling conveys information not fully captured by current earnings. From the Ball and Brown (1968) several studies have documented that unexpected changes in earnings are related with unexpected changes in firm. Their work recognize that market agents learn about earnings and valuation related events from many information sources throughout the year. The financial reports issued by companies are the output of a fairly complete measurement process which a lso involves some preventive recognition and valuation rules. Hence, annual accounting earnings, at the time of its declaration, may contain a summary of some of the information already communicated to the market by more timely non financial sources. Graham and Dood attempted to study the role of the factors which influence share prices of joint stock companies. One naturally feels that the price of the shares of a company at a point of time will be governed by its future growth potential and past earnings. The past earnings of the firm is measured by the dividends and the price will be determined by dividend payout. Future growth potential or the forthcoming earning of the firm is indicated by the current years retained earning; so, the price of the share at a point of time will be governed by the dividend and retained earnings of the firm. The studies indicate that when share prices are related to the retained earnings and current dividends, higher price earning ratio are associat ed with higher dividends. Graham and Dood assert that the impact of dividend declaration on share price is four times that of retained earnings. Several factors influence the fluctuations of share prices. Among them, corporate earnings stand greatest in the minds of speculators and investors. It is a common belief for many people that current earnings and prices of common stocks move in strongly related and that changes in current earnings largely explanation for the fluctuations of share prices. CHAPTER 3: RESEARCH METHODS Retianed earning has significant influence on the determination of share prices. To that degree investment in shares show to be growth oriented. Graham and DL Dood ;(1934);Scurity Analysis, USA. The analysis utilized Simple Linear Regression. The most basic test involved regressing the dependent variable Share Prices against the independent variables Retained Earnings. This provided a basic test of the relationship between Share Prices and Retained Earnings. The following regression was adopted: y=a+bx where y is the value of the dependent scale variable Share Prices b is the value of the coefficient, x is the value of the predictor Retained Earnings a Constant The expectation was that the Retained Earnings would be positively related to Share Prices. That is, increases in retained earnings the firm will be associated with an increase in the firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s stock price. By contrast, firms with relatively higher earnings volatility or h igher leverage will tend to display higher price volatility. DATA All the firms that were listed on the Karachi Stock Exchange from 2005 to 2008 have been taken for the research purpose. The annual data of these firms were taken from the various issues of à ¢Ã¢â€š ¬Ã…“Balance Sheet Analysisà ¢Ã¢â€š ¬? published by State Bank of Pakistan. Price data has been taken from the annual reports and other annual publications of Karachi Stock Exchange. Data of daily price were taken from the ZHV Securities Karachi. All of those firms taken into account which has no missing information of data of variable that was included in research. Sample size A sample of 38 companies of Textile Industry listed in Karachi stock exchange from the period of 200-2008. Research Model developed Y= a + bx SP= (constant) + RE Statistical Technique Simple Linear Regression was used. CHAPTER 4: RESULTS FINDINGS AND INTERPRETATION OF DATA ANOVAb Model Sum of Squares df Mean Square F Sig. 1 Regression 13595.856 1 13595.856 21.319 .000a Residual 95659.112 150 637.727 Total 109254.968 151 a. Predictors: (Constant), Retained Earnings b. Dependent Variable: Share Prices The ANOVA Table suggested that Retained Earnings explained significant amount of the variance in the Share Price. In above in model table p0.05 and therefore can concluded that the regression was statistically significant. F-statistic was a ratio of à ¢Ã¢â€š ¬Ã…“sample variancesà ¢Ã¢â€š ¬? the larger the F-ratio the more variability in the dependent variable in that case it 21.319 which quite larger F-ratio which shown that variation in share prices are largely by predictors. Model Summary Model R R Square Adjusted R Square Std. Error of the Estimate 1 .353a .124 .119 25.25327 a. Predictors: (Constant), Retained Earnings The capital à ¢Ã¢â€š ¬Ã…“Rà ¢Ã¢â€š ¬? in this table is coefficient of correlation which is .353 which shown that there was positive correlation between dependent and independent variables. The results of model summary suggested that 12.4% variation in dependent variable (Share Price) was due to the Independent variables (Retained Earnings) Adjusted R Square was a adjustment of R Square that adjusts for the number of explanatory conditions in a model. Unlike R Square, the adjusted R Square increases only if the new term improves the model more than would be predicted by chance. Adjusted R Square showed that variation in share price is 11.9% by predictors after adjusting the error terms. Coefficientsa Model Unstandardized Coefficients Standardized Coefficients t Sig. B Std. Error Beta 1 (Constant) 27.108 2.233 12.138 .000 Retained Earnings .073 .016 .353 4.617 .000 a. Dependent Variable: Share Prices Share Price=27.108+ 0.073(Retained Earnings). The constant was also significant since p=0.000 which showed that when all independent variables were zero than the value of the Share Price was 27.108. List of References Adam S. Koch and Amy X. Sun (2004); à ¢Ã¢â€š ¬Ã…“Dividend Changes and the Persistence of past Earnings Changesà ¢Ã¢â€š ¬?; The Journal of Finance, Vol. 59, pp. 2093-2116. Alex Kane, Young Ki Lee, Alan Marcus (1984); à ¢Ã¢â€š ¬Ã…“Earnings and Dividend Announcements: Is There a Corroboration Effectà ¢Ã¢â€š ¬? The Journal of Finance, Vol. 39, pp.1091-1099 Barbara A. Lougee and Carol A. Marquardt (2004); à ¢Ã¢â€š ¬Ã…“Earnings Informativeness and Strategic Disclosure, An Empirical Examination of Pro FormaEarningsà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 79, pp 769-795. Baruch Lev and Doron Nissim (2004); à ¢Ã¢â€š ¬?Taxable Income, Future Earnings, and Equity Valuesà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 79, pp. 1039-1074. Daniel W. Collins, Morton Pincus, Hong Xie (1999); à ¢Ã¢â€š ¬Ã…“Equity Valuation and Negative Earnings: The Role of Book Value of Equityà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 74, pp. 29-6. David C. Burgstahler and Ilia D. Dichev (1997 ); à ¢Ã¢â€š ¬Ã…“Earnings, Adaptation and Equity Valueà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 72, pp.187-215. James R. Frederickson and Jeffrey S. Miller (2004); à ¢Ã¢â€š ¬Ã…“The Effects of Pro Forma Earnings Disclosures on Analysts and Nonprofessional InvestorsEquity Valuation Judgmentsà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 79, pp. 667-686. Jeremy J. Siegel (1992); à ¢Ã¢â€š ¬Ã…“Equity Risk Premia, Corporate Profit Forecasts, and Investor Sentiment around the Stockà ¢Ã¢â€š ¬?; The Journal of Business, Vol. 65, pp. 557-570. Messod D. Beneish and Mark E. Vargus (2002); à ¢Ã¢â€š ¬Ã…“Insider Trading, Earnings Quality, and Accrual Mispricingà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 77, pp. 755-791. Nicholas Molodovsky (1955); à ¢Ã¢â€š ¬Ã…“Stock Prices and Current Earningsà ¢Ã¢â€š ¬?; The Analysts Journal, Vol. 11, pp. 83-94. Paul A. Griffin (1976); à ¢Ã¢â€š ¬Ã…“Competitive Information in the Stock Market An Empirical Study of Earnings, Dividends and Analysts Forecastsà ¢Ã¢â€š ¬?; The Journal of Finance, Vol. 31, pp. 631-650. Richard G. Sloan (1996); à ¢Ã¢â€š ¬Ã…“Do Stock Prices Fully Reflect Information in Accruals and Cash Flows about Future Earningsà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 71, pp. 289-315. Ron Kasznik and Maureen F. McNichols (2002); à ¢Ã¢â€š ¬Ã…“Does Meeting Earnings Expectations Matter. Evidence from Analyst Forecast Revisions andShare Pricesà ¢Ã¢â€š ¬?; Journal of Accounting Research, Vol. 40, pp. 727-759. Stephen H. Penman and Theodore Sougiannis (1997); à ¢Ã¢â€š ¬Ã…“The Dividend Displacement Property and the Substitution of Anticipated Earnings for Dividends in Equity Valuationà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 72, pp. 1-21. Stephen H. Penman and Xiao-Jun Zhang (2002); à ¢Ã¢â€š ¬Ã…“Accounting Conservatism, the Quality of Earnings, and Stock Returnsà ¢Ã¢â€š ¬?; The Accounting Review, Vol. 77, pp. 237-264 Steven Allen and Ramachandran Ramanan (1995); à ¢Ã¢â€š ¬Ã…“In sider Trading, Earnings Changes, and Stock Pricesà ¢Ã¢â€š ¬?; Management Science, Vol. 41, pp. 653-668. S. C. Srivastava (1968); à ¢Ã¢â€š ¬Ã…“Share Prices, Dividends and Earningsà ¢Ã¢â€š ¬?; Economic and Political Weekly, Vol. 3, pp. M89+M91+M93-M95. Victor Niederhoffer and Patrick J. Regan (1972); à ¢Ã¢â€š ¬Ã…“Earnings Changes, Analysts Forecasts and Stock Pricesà ¢Ã¢â€š ¬?; Financial Analysts Journal, Vol. 28, pp. 65-71. William Kinney, David Burgstahler, and Roger Martin (2002); à ¢Ã¢â€š ¬Ã…“Earnings Surprise Materiality as Measured by Stock Returnsà ¢Ã¢â€š ¬?; Journal of Accounting Research, Vol. 40, pp. 1297-1329. Mulford, C., and E. Comiskey(1996); à ¢Ã¢â€š ¬Ã…“Financial Warningsà ¢Ã¢â€š ¬?; New York. Nissim, D., and S. Penman(2001); à ¢Ã¢â€š ¬Ã…“ Ratio analysis and equity valuation: From research to practiceà ¢Ã¢â€š ¬?; Review of Accounting Studies, Vol 6, pp. 109-154. Healy, Paul M., and Krishna G. Palepu (1988); à ¢Ã¢â€š ¬Ã…“ Earnin gs information conveyed by dividend initiations and omissionsà ¢Ã¢â€š ¬?; Journal of Financial Economics, Vol 21, pp. 149-175. R. Ball and P. Brown (1968); à ¢Ã¢â€š ¬Ã…“An Empirical Evaluation of Accounting Numbersà ¢Ã¢â€š ¬?; Journal of Accounting Research; Vol 6, pp. 159-78. G. Foster (1977); à ¢Ã¢â€š ¬Ã…“Quarterly Accounting Data: Time-Series Properties and Predictive Ability Resultsà ¢Ã¢â€š ¬? Accounting Review, Vol 52, pp. 1-20. R. Watts (1978): Systematic Abnormal Returns after Quarterly Earnings Announcements; Journal of Financial Economics, Vol 6, pp. 127-150. R. J. Rendleman, Jr., C. P. Jones, and H. A. Latane (1982); Empirical Anomalies Based on Unexpected Earnings and Importance of Risk Adjustment; Journal of Financial Economics, Vol 10, pp. 269-287. R. R. Pettit (1972); Dividend Announcement, Security Performance, and Capital Market Efficiency; Journal of Finance, Vol 27, pp. 993-1007. M. Miller and M. Scholes (1982); Dividend and Taxes: Empiri cal Evidence; Journal of Political Economy, Vol 90, pp. 1118-141. Benjamin Graham and D L Dood (1934); Security Analysis; New York. Mary E. Barth, Donald P. Cram and Karen K. NelsonSource (2001); à ¢Ã¢â€š ¬Ã…“Accruals and the Prediction of Future Cash Flowsà ¢Ã¢â€š ¬?; The Accounting Review, Vol 76, pp. 27-58.

Macbeth Human Nature Essay - 1134 Words

Shakespeare may be dead, but his ideas about human nature are timeless, and still very much alive today. Two of the richest ideas explored by Shakespeare in his play Macbeth revolve around the differing versions of reality and the pursuit of ambition through manipulation. These ideas are examined though the purposeful characterisation of the witches, King Duncan and Lady Macbeth. These themes are also highlighted in contemporary texts such as Mark Waters Mean Girls, Are you living an Insta lie? and Cameron Russel’s TED Talk Looks Aren’t Everything, which demonstrates that when it comes to the ability to manipulate and then substantiate actions through developing a version of the truth, it is done to best suit the individual’s purpose. As†¦show more content†¦However he turned out to be a traitor to which Duncan surmises, you cannot trust appearances. The reality portrayed by the former Thane to Duncan was different to his true nature. It is these contras ting versions of reality that ultimately leads to both Duncan’s and Macbeth’s demise. Similarly, the idea of an artificially constructed version of reality is also evident in the context of our time through social media. The YouTube video â€Å"Are you living an Insta lie?† explores how Instagram users post a different â€Å"version of reality†. Viewers on Instagram interpret the posts literally, without imagining what effort was made to edit the photo, providing only one version of reality. For example, the image of the girl laying on her bed with the quote â€Å"#woke up like this†, when taken literally, shows she woke up looking fresh and perfect. However, the video shows us that she washes her face, brushes her hair and applies make up, clearly revealing one message to the audience that is very different to her reality. The TED Talk ‘Looks aren’t everything, believe me, I’m a model’ by Cameron Russel also exposes the different versions of reality manipulated in the modelling industry. The juxtaposition of the image of the attractive young women posing in her bikini and Cameron’s explanation â€Å"this is the first time I ever wore a bikini, I was only a young girl further highlights the constructed reality we live in, in contemporary society. Through theShow MoreRelatedDefining Manhood Through Gender Stereotypes1183 Words   |  5 PagesStereotypes in Macbeth In The Tragedy of Macbeth, Shakespeare attempts to define manhood and explore the different perceptions held towards what it means to be a man. As William Liston notes in his essay, â€Å"Man appears more than 40 times, almost always with a conscious sense of defining the term—or rather, of defining a person by the term† (232). Lady Macbeth is used as a tool to not only convey this theme, but she instigates the plot as well. Without her consistent scorn and ridicule of Macbeth and hisRead MoreSexual Frustration as the Root of Evil Essay1222 Words   |  5 Pagespeople develop neuroses as a result of frustration. Freud’s essays on this topic postulate that sexual repression may result in aggressive behavior. These two elements emerge in the characters in Macbeth. In Freud’s book, Civilization and its discontents, he takes the premise even farther by correlating severe sexual frustration with the onset of psychoses. In regard to Macbeth, I believe that Macbeth and Lady Macbeth portray this spiral into psychosis as a result of theirRead More Supernatural in Shakespeares Macbeth - Purpose of the Witches940 Words   |  4 PagesThe Purpose of the Witches in Macbeth  Ã‚      One purpose for having the witches in Shakespeares play,   Macbeth, is to make a comparison between Macbeths conscious world and Macbeths unconscious, dream world. In this essay, I will touch upon Sigmund Freuds theories of dreams and the unconscious, and consider the nature of the witches and their relationship with Macbeth. I will also explore the relationship between witches and society, and conclude the essay by considering other roles of theRead MoreMacbeth essay conflicts772 Words   |  4 PagesMacbeth Essay The notorious Shakespearean play Macbeth illustrates a natural evil and greed for power present in the human race. Even in modern times, society relates to Macbeth as people are consistently striving for a higher rank and power. Sometimes, people are even prepared to get into difficult situations to achieve their goals, and this gives rise to conflicts. There are three main types of conflict present in the Macbeth play: man vs man, man vs nature, and man vs self. The most prominentRead MoreMacbeth English Ib-Hl Essay1229 Words   |  5 PagesENGLISH HL SHAKESPEARE- MACBETH ESSAY It is human nature to be intrigued by all things mystical and dangerous. We fear the unknown but seek it nonetheless out of greed. Most of Shakespeare’s works hold an element of the supernatural and the play Macbeth is no exception. In this play we see a contemporary morality that warns of the dangers of trafficking with instruments of darkness; the witches in the play prophesize of Macbeths future as king, and Macbeth blinded by his hunger for power failsRead MoreExplore the Link Between Ambition and Evil in Lord of the Flies and Macbeth976 Words   |  4 PagesIn Golding’s’ wartime novel, human nature is put under the microscope by a Misanthropist, dead set on exposing Humanity for what it holds; Innate evil. Evil in what way you ask? In ambition. For in our world, Shakespeare’s, and Golding’s, Ambition truly is the source of all evil. In Macbeth, Shakespeare does well to disguise ambition as the true source of villainy, behind the faà §ade that is Lady Macbeth and the witches. Without ambition, there would never be any action, no good, no evil, would EveRead MoreAllegorical Elements In Macbeth Essay761 Words   |  4 PagesThe use of allegorical devices within Macbeth can also be used as a way of discussing internal political and ethical perspectives. Shakespeare condemns equivocation within the narrative, â€Å"Faith here’s an equivocator that could swear in both the scales against either scale who committed treason enough for Gods sake, yet could not equivocate to heaven† . This is probably in reference to the Jesuit, Henry Garnet a man who was tried and executed for his role in the Gunpowder Plot of 1605. Garnet publishedRead MoreMacbeth by William Shakespeare1293 Words   |  5 PagesThe play, â€Å"Macbeth† is one of William Shakespeare’s tragic plays written approximately in 1606. The play centres on Macbeth who is a general in King Duncan’s army. Upon returning from a successfu l battle, Macbeth is confronted by three witches who claim they know the future. The three witches tell Macbeth that he will be the future King. The events that occur after this encounter between Macbeth and the witches are what makes this play a tragedy. This essay will focus on the treatment of gender inRead More Destructive Ambition in Shakespeares Macbeth Essays1671 Words   |  7 PagesDestructive Ambition in Macbeth      Ã‚  Ã‚   William Shakespeares tragic play Macbeth presents the fizzled drive of an ambitious husband and wife. This essay is the story of their destructive ambition.    Fanny Kemble in Lady Macbeth refers to the ambition of Lady Macbeth:      [. . .] to have seen Banquos ghost at the banqueting table ... and persisted in her fierce mocking of her husbands terror would have been impossible to human nature. The hypothesis makes Lady Macbeth a monster, andRead MoreThe Struggle between Good and Evil; in Macbeth Essay1022 Words   |  5 PagesMacbeth is without a doubt a play about evil. The play revolves around the bad and wicked qualities in human nature, but Shakespeare also contrasts this evil with the power of good. In this essay I will explore the ways in which Shakespeare contrasted good and evil in Macbeth. These contradictions start in the very beginning of the play, with the witches. In line 12, the witches say, â€Å"Fair is foul and foul is fair.† This is interesting as they are suggesting good and evil as being one. The witches’

Presidents Elected Without Winning the Popular Vote

Five U.S. presidents have taken office without winning the popular vote. In other words, they did not receive a plurality regarding the popular vote. They were elected, instead, by the Electoral College—or in the case of John Quincy Adams, by the House of Representatives after a tie in the electoral votes. They were: Donald J. Trump, who lost by 2.9 million votes to Hillary Clinton in the  2016 election.George W. Bush,  who lost by 543,816 votes to Al Gore in the  2000 election.Benjamin Harrison,  who lost by 95,713 votes to  Grover Cleveland  in 1888.Rutherford B. Hayes, who lost by 264,292 votes to Samuel J. Tilden in 1876.John Quincy Adams,  who lost by 44,804 votes to  Andrew Jackson  in 1824. Popular vs. Electoral Votes Presidential elections in the United States are not popular vote contests. The writers of the Constitution configured the process so that only the members of the House of Representatives would be elected by popular vote. The Senators were to be selected by state legislatures, and the president would be selected by the Electoral College. The Seventeenth Amendment to the Constitution was ratified in 1913, making the election of senators to occur through popular vote. However, presidential elections still operate under the electoral system. The Electoral College is made up of representatives who are generally selected by the political parties at their state conventions. Most states except Nebraska and Maine follow a winner-take-all principle of electoral votes, meaning that whichever partys candidate wins a states popular vote for the presidency will win all of that states electoral votes. The minimum electoral votes a state can have is three, the sum of a states senators plus representatives: California has the most, with 55. The Twenty-Third Amendment gave the District of Columbia three electoral votes; it has neither senators nor representatives in Congress. Since states vary in population and many popular votes for different candidates can be quite close within an individual state, it makes sense that a candidate might win the popular vote across the entire United States but not win in the Electoral College. As a specific example, lets say the Electoral College is only made up of two states: Texas and Florida. Texas with its 38 votes goes entirely to a Republican candidate but the popular vote was very close, and the Democratic candidate was behind by a very small margin of only 10,000 votes. In the same year, Florida with its 29 votes goes entirely to the Democratic candidate, yet the margin for the Democratic win was much larger with the popular vote win by over 1 million votes This could result in a Republican win at the Electoral College even though when the votes between the two states are counted together, the Democrats won the popular vote. Calls for Reform In general, it is very rare for a president to win the popular vote yet lose the election. Although this has only happened five times in U.S. History, it has occurred twice in the current century. In 2016, Donald Trump lost the popular election by nearly 3 million votes, about 2% of the total votes cast. Discussion for reform of the Electoral College dates to the first years of the Constitution and has frequently been the topic of scholarly discussion. Defenders of the Electoral College argue that its violations of majority rule are an example of constitutional provisions that require super-majorities to take action. The Electoral College allows a minority to take an action—that is to select a president—and it is the only device of its kind in the Constitution. The primary way to change it is to amend the Constitution. Since the way states count votes can affect who wins and who loses, electoral reform is by its nature political: if a party is in power, the method used to get it there is not likely to be a target of change. Despite the current climate in that Democrats support change while Republicans do not, scholars believe that the situation is only temporarily one that swings towards one party or another: One proposal called the National Popular Vote Interstate Compact (NPVIC) is a sub-national reform to the Electoral College in which states agree to commit their electoral votes, as a unit, to the winner of the aggregate, national vote.  Sixteen states have signed on to date, some of which are Republican-controlled. One major purpose of the Electoral College was to balance the power of the electorate so that votes in states with small populations would not (always) be overpowered by larger-populated states. Bipartisan action is required to make its reformation possible. Sources and Further Reading Bugh, Gary, ed. Electoral College Reform: Challenges and Possibilities. London: Routledge, 2010.Burin, Eric, ed. Picking the President: Understanding the Electoral College. University of North Dakota Digital Press, 2018.Colomer, Josep M. The Strategy and History of Electoral System Choice. The Handbook of Electoral System Choice. Ed. Colomer, Josep M. London: Palgrave Macmillan UK, 2004. 3-78.Goldstein, Joshua H., and David A. Walker. The 2016 Presidential Election Popular-Electoral Vote Difference. Journal of Applied Business and Economics 19.9 (2017).Shaw, Daron R. The Methods Behind the Madness: Presidential Electoral College Strategies, 1988–1996. The Journal of Politics 61.4 (1999): 893-913.Virgin, Sheahan G. Competing Loyalties in Electoral Reform: An Analysis of the U.S. Electoral College. Electoral Studies 49 (2017): 38–48.

How I Invented Writing Essay - 1316 Words

Writing is, at its core, a technology. It allows us to take our thoughts and arrange them spatially in the physical world. Living in a culture where this practice is an every day occurrence, the physical nature of writing fluidly becomes part of our consciousness. This is what the class project exposed for me. Having to â€Å"invent† a writing technology forced me to see the importance of being able to easily put down my thoughts and work with them visually. At this very moment I am transferring thoughts into lines, shaping, moving, juggling them around on the familiar square format of the page. This is a process I wanted to allow for with my own invented technology. The ability to work with your thoughts and shape†¦show more content†¦With this in mind I pruned a few straight branches off a wild grape vine near my apartment. As mainly a computer based writer, I was thinking in terms of font – all the letters of the alphabet could be crudely formed with straight lines. I pictured the blocky green on black letters of the first computers I had learned to type on. To this end I broke the grape branches into relatively even sections and arranged them on the kitchen table. A flat surface and these broken twigs were my basic writing technology. Obviously I would be limited by the amount of sticks I carried with me, and there would be little value in terms of permanence, but I could shape my thoughts! The act of actually writing something with my technology was extremely slow, and I came to the conclusion that a strong gust if wind would probably blow all my work away. There was a definite sense of physical work involved with this method of writing. Unlike using a computer or pen and paper, I was constantly aware of the act of writing with my sticks. More modern forms of writing were so easy and fluid that once you began you could focus completely on your thoughts. Working with the twigs, I had to pay constant attention to craft legible letters and keep words somewhat straight. There was no easy melding of the mental and physical worlds here. The physical labor of my stick script was perhaps closest to the act of typing. My first days on a computer wereShow MoreRelatedBenefits And Benefits Of Writing922 Words   |  4 PagesWriting and its Benefits The first phase in writing; invented spelling, is illustrated by Kelli, a first grader. Young children use invented spelling as a vehicle to express their thoughts. When exposed to various types of print, or writing; cereal boxes, signs, television, billboards, and any books that are read to them, the child will mimic the sounds they hear of the words they wish to write. The writings may appear as scribbles or unconventional writing to the viewer, but to the child it is meaningfulRead MoreTop Invention from China735 Words   |  3 Pagescontributions that the Ancient Chinese developed but the main four that I believe to be the most important are silk, paper, porcelain, and good old gun powder. The Chinese invented silk more than 2,100 years ago. The Chinese didn’t’ just invent silk; they mastered the technique of weaving the silk. Once silk was developed it was used to make fishing line, musical instruments, bow strings, luxury paper known as rag paper, robes and other garments. I believe silk to be one of the top four inventions made by theRead MoreSustainability And Discredit Arguments For Space Exploration1473 Words   |  6 PagesI am writing this paper to claim that space exploration is a huge waste of resources and we should focus our efforts on the sustainability of the Earth. I plan to explore the benefits of sustainability and discredit arguments for space exploration. Sustainability is the more realistic and feasible choice. A very popular argument for space exploration is to protect our Earth that we have managed to almost destroy, by finding another planet to retreat to. Many people believe the only option is toRead MoreMesopotamia And All Of Its Glory847 Words   |  4 PagesMesopotamia In this essay I am going to be talking about Mesopotamia and all of its glory. I will be covering a pretty large time frame from 2340 BCE to 539 BCE to tell you what you need to know about this great civilization. A few questions I will be answering will be why the Mesopotamia people chose this geographic region to be their home, what characteristics of this region allowed Mesopotamian civilizations to develop, and how the geographical characteristics impacted the structure of the societyRead MoreAncient Egypt s Technology And Construction1329 Words   |  6 Pages I chose Ancient Egypt’s technology/construction for my topic because I find the way that civilization evolves to be very interesting, especially when it comes to older civilizations. Egyptians did not have the resources we now have, so they had to discover new ways to evolve and the materials required to do so on their own. Since Egyptians did not have access to the internet, this process was much more difficult for them than it is for us. I also like how they could build structures with moreRead MoreTodayS Chinese Characters Were Officially Established1420 Words   |  6 Pagesscript, Small Seal script, Clerical script, and Standard script, which is used in present China, and before 20th century it took a long time around two thousand years to alternate Small Seal script to Clerical script. Chinese characters are originally invented by drawing the shape of real creatures and materials, therefore the scripts in the former stages are very complicated. They are Oracle-bone s cript because the letters were written, actually carved on bones of animals. But as they go up each stageRead MoreEssay on Why The Adventures of Huckleberry Finn Should Not Be Banned695 Words   |  3 Pagesclassic read. I do not believe the novel should be banned or sanitized because it is a part of American history whether it is good or bad, also we have no right to change someones writing simply because we do not like how it is written, Mark Twains writing should not be penalized because of the ideals of today. Sanitizing Huckleberry Finn would be ignoring Americas past and history. Revising the original version of the book is not staying true to the period in which Twain was writing. The languageRead MoreEssay on Society and Technological Change890 Words   |  4 Pages1. From the â€Å"Writing† sections of this module: The first writing, Cuneiform, developed in Mesopotamian cities around 3000BC. What â€Å"big problem† was writing created to solve? Writing really emerged separately in three regions independently of one another. Those regions are Central and South America, Mesopotamia, and Asia. It is generally accepted that writing (Cuneiform) came about in Mesopotamia as a means of documenting transactions and keeping track of merchandises. Lets say, one mark on a clayRead MoreEssay1115 Words   |  5 Pagesother issues related to the development of the country. Since I came to china for study, I got the opportunity to learn more about the success of china’s economic development as well as the negative externalities of the development and also the problem related to higher population. I have also learned about Chinese culture, language, the interesting dynasties (kingdoms) and the Chinese people’s way of life. However, the most interesting thing I learned about china was contribution from ancient ChineseRead MoreWhy Do We Fall? Essay921 Words   |  4 Pagesgoing to sound insane while writing this, I already kn ow it now. Today I had a lot of time to just sit and think, I didn’t go into work. So just bare with me with this. Why do we fall in love? Why is it that we pick one human and we are like â€Å"you, you are the human I want to be with†. Is it destiny? Are we meant to be with someone? What happens if we mess it up? But if destiny exists then is the future already there? Is past, present, and future all running at the same time? I watched this one episode

The Life and Work of Martin Luther Essay - 1531 Words

Arguably one of the most recognizable names in Church history, Martin Luther rattled the cages of the legalistic, heretical Roman Catholic authorities, and enabled the masses to encounter God in a more direct way from that point on. The New Westminster Dictionary of Spirituality describes him as, â€Å"â€Å"An Augustinian Eremite friar and theology professor at Wittenberg, who emerged as the principal guide and spokesman of the Protestant Reformation, giving his name to the strongest wing of that movement†¦ predominantly regarded as church leader, reformer and innovator.† Martin Luther’s life and theology have forever changed and shaped the way Christian’s view and value faith and works through his writing and hand in the reformation. On†¦show more content†¦While returning horseback to the university amidst a thunderstorm, lightning struck he ground very near Luther, and he was flung from his horse. In terror, he cried aloud making a promise to St. Anna that he would become a monk if he made it out of the storm alive. True to his word and to his father’s dismay, Martin Luther begrudgingly joined one of the most devout Augustinian monasteries in Erfurt on July 17, 1505 where he fully gave himself to the Christian disciplines of fasting, confession, and making pilgrimage out of his struggle to find peace with God. Concerned with the eternal fate of his own soul, Luther literally, through penance, and figuratively beat himself up. It was not until Luther came under the mentorship of Johan von Staupitz, a superior to Luther in the Augustinian order, which Luther understood that true repentance did not take in the physical, self-harm of the outer body but rather a change of heart. Staupitz encouraged L uther to pursue an academic career and in 1507 was ordained as a priest. In 1508 Luther started teaching theology at the University of Wittenburg where he, himself, attained a number of degrees. He earned a Bachelor’s degree in Biblical Studies, a Bachelor’s degree in Sentences by Peter Lombard, and finally on October 19, 1512, he finally earned a Doctor of Theology degree. Under the pressure of academic study, Martin wasShow MoreRelatedThe Life And Work Of Martin Luther1529 Words   |  7 PagesMartin Luther experienced true faith and a true mystical experience for the first time when he got stuck in a thunderstorm. Fearing for his life he begged St. Anne that if she took care of him he would become a monk. Luther’s journey began towards the life of God. The path he took, led him through moments of realization and confusion. Martin Luther questioned the church and re-evaluated baptism; yet, he re-enforced the importance of the Eucharist, kept his faith in God and believed every child ofRead MoreEssay Life and Work of Martin Luther King Jr.2061 Words   |  9 PagesMartin Luther King Jr. was a civil rights activist from the 1950’s to 1968 with a strong religious background. A strong advocator for all minorities, King did all in his power to end barriers of community; poverty, racism and militarism. The principle he focused more on, however, was racism. King defined racism as prejudice, apartheid, ethnic conflict, anti-Semitism, sexism, colonialism, homophobia, ageism, or discrimination against disabled groups and stereotypes. Later turning his efforts toRead MoreMartin Luther And The Catholic1550 Words   |  7 Pagestransformation, but Martin Luther is one of the more significant figures. This paper is about how Martin Luther, a catholic German Monk, played a substantial role in influencing the religion of that time and initiated the Protestant Reformation. Martin Luther affected the Catholic Church, which was the major religion in Europe at the time, with his deep-seated beliefs on indulgences and how you can find your own salvation without aid of the Catholic Church or the Pope. After Martin Luther was tried atRead MoreMartin Luther s Life Changing Life1604 Words   |  7 PagesMartin Luther Kjerstine Martin HIST 101-04F May 1, 2016 Thu-ba-lump. A single horse’s hooves hit against the dirt as he runs down the road. Thu-ba-lump. Thunder claps overhead. Thu-ba-lump. Lightning pierces the ground, startling the horse and throwing the rider from it. On his knees, frightened for his life, he calls out into the storm, â€Å"Help me, St. Anne! I will become a monk! (Christian History Magazine Staff, 2000)† While no one knows exactly what happened on this day, it was quiteRead MoreThe 95 Theses By Martin Luther982 Words   |  4 PagesFor this essay, I chose the 95 Theses by Martin Luther as my primary source. This primary source is a historical document that cause major uproars throughout Europe. The 95 Theses were written by Martin Luther in October of 1517. The 95 Theses were ninety-five statements written by Martin Luther in opposition to the Roman Catholic Church. They challenged the common practices of the Catholic Church, including indulgences and the authority of the pope. The 95 Theses sparked a theological debate thatRead MoreMartin Luther King Jr. What Was The Point Of Segregation711 Words   |  3 Pagesdays of August 1963, Martin Luther king Jr did a march down a Washington D.C street that was very important to the united states to stop most legalized segregation. This was the point of discrimination that Martin Luther King Jr has faced. Background: This is part of the march on washington for jobs and freedom. The march is to help make segregation illegal. Segregation was a law made during jim crow laws times when he thought that blacks didn’t deserve to go to school or work with white men andRead MoreMartin Luther: a Brief History/Impact on Western Civiliation791 Words   |  4 PagesMartin Luther: A Brief History/Impact on Western Civiliation Martin Luther was a man with a purpose. Born in 1483 in Eisleben, Martin Luther was a German Monk who started one of the greatest religious revolutions in the history of the Western world. Before discussing the impact of his revolution on the modern world, we must first establish some background information about the man and the Roman Catholic Church. Martin Luther lived a tough childhood where he did not enjoy the customary joys thatRead MoreMartin Luther And The Christian Church992 Words   |  4 PagesMartin Luther was an Augustinian monk who believed the grace of God alone would justify fall humans. Luther one day translated the Bible into German unknowingly beginning the start of a radical religious revolution. Luther wanted to reform the Christian church of abuses. He wanted to return the church to its roots of Christianity and take away moderation. Luther believed in the reading of scriptures and finding the truth from within them. Robert Kolb believed, â€Å"Luther was filled with the dynamismRead MoreThe Protestant Reformation And The Reformation871 Words   |  4 Pagesbeen teaching. Some famous reformers are John Calvin and Martin Luther. However, Martin Luther-- to some--- is named the most successful and influential reformer of the 16th century. Martin Luther was tremendously effective and influential due to how re sourceful he was, and his teachings spread across Europe swiftly. Martin Luther was born in Eisleben, Saxony which is located in Germany on November 10, 1483 (â€Å"Martin Luther- Biography†). Luther was born into humble living, with his parents were peasantsRead MoreMartin Luther : A Father Of The Protestant Reformation1462 Words   |  6 PagesMartin Luther: A Father of the Protestant Reformation During the 16th century, many people began to question the doctrine and practices of the Catholic Church. The church was selling indulgences (forgiveness) to release people from their debt of sin. The higher positions held in the church were being sold to those who would pay the most money. The clergy’s greed and thirst after money essentially divided the church between the peasants and clergy. One man disagreed with the actions of the Catholic

A Capital Asset Pricing Model with Time-Varying Covariances

Question: Describe about A Capital Asset Pricing Model with Time-Varying Covariances? Answer: A business corporation can raise finance by two methods. The first method is by equity financing and the second is by debt financing. Either of these methods has their own set of advantage and disadvantage. Equity is like selling a part of the corporation to the investors while the second method involves taking a debt from creditors and paying back some interest over a period of time. The credit holders enjoys higher status in the companies as the corporation is liable to pay interests to them, in case of equity a dividend payment is considered to be a discretionary expense. If a company has taken up debt financing then they are said to be leveraged. In business financial leverage is referred as an amount which is taken up to finance various kinds of operations in the company. The credit holders enjoys higher status in the companies as the corporation is liable to pay interests to them, in case of equity a dividend payment is considered to be a discretionary expense. Companies should decompose there ROE (Return on Equity) to see what is the actual status of the company. This analysis is referred as DuPont Analysis and it is used to measure operating, asset efficiency and the financial leverage. ROE = Profit Margin (Profit/Sales) * Total Asset Turnover (Sales/Assets) * Equity Multiplier (Assets/Equity) This analysis can give a fair idea of how leverage is generating returns for the company and good be used for goo decision making in the business. Financial leverage is something which most of the business put good time discussing. It is a very good thing for the company when market conditions are in favour, business is growing, surplus cash is rolling but can be dangerous if not managed well and during the times when the business is down. Excess leveraging and falling asset pricing where the prime reason for Subprime crisis in 2008. This kind of analysis can help the company in the long run to build strong reputation, understand the dynamics on which the business is working and also get a clear breakup of ROE. The credit holders enjoys higher status in the companies as the corporation is liable to pay interests to them, in case of equity a dividend payment is considered to b e a discretionary expense. The financial leverage will provide estimates of leverage, operating efficiency can be measured with asset use efficiency while operating performance can be measured by the profit generation vis-vis sale. One preference of obligation is that intrigue paid to banks is duty deductible simply like whatever other cost. This is on the grounds that hobby is viewed as an expense of working together. Not at all like interest, profits paid to stockholders are not assess deductible so paying profits is more extravagant than paying hobby. Nonetheless, paying profits sends signs to the business sector about the organization's benefit. Financial leverage is something which most of the business put good time discussing. It is a very good thing for the company when market conditions are in favour, business is growing, surplus cash is rolling but can be dangerous if not managed well and during the times when the business is down. 2 The target of the firm ought to be coordinated towards the augmentation of the estimation of the firm the capital structure, or normal, choice ought to be analyzed from the perspective of its effect on the estimation of the firm. On the off chance that the estimation of the firm can be influenced by capital structure or financing choice a firm might want to have a capital structure which augments the business sector estimation of the firm. The capital structure choice can influence the estimation of the firm either by changing the normal profit or the expense of capital or both. On the off chance that normal influences the expense of capital and the estimation of the firm, an ideal capital structure would be gotten at that blend of obligation and value that amplifies the aggregate estimation of the firm (estimation of shares in addition to estimation of obligation) or minimizes the weighted normal expense of capital. For a superior comprehension of the relationship between budgetary normal and the estimation of the firm, presumptions, highlights and ramifications of the capital structure speculations are given beneath. The presence of an ideal capital structure is not acknowledged by all. There exist two compelling perspectives and a center position. David Durand distinguished the two compelling perspectives the Net pay and net working methodologies. a) Net wage Approach (Nl): Under the net wage (Nl) approach, the expense of obligation and expense of value are thought to be free of the capital structure. The weighted normal expense of capital decreases and the aggregate estimation of the firm ascent with expanded utilization of normal. b) Net Operating pay Approach (NOI): Under the net working pay (NOI) approach, the expense of value is accepted to increment straightly with normal. Accordingly, the weighted normal expense of capital stays steady and the aggregate of the firm likewise stays consistent as normal changed. In this manner, if the Nl methodology is substantial, normal is a huge variable and financing choices have a vital impact on the estimation of the firm, then again, if the NOI methodology is right, then the financing choice ought not be of more noteworthy concern to the budgetary director, as it doesn't make a difference in the valuation of the firm. Conventional perspective: The conventional perspective is a tradeoff between the net pay methodology and the net working methodology. As per this view, the estimation of the firm can be expanded or the expense, of capital can be diminished by the prudent blend of obligation and value capital. This methodology obviously suggests that the expense of capital declines inside the sensible furthest reaches of obligation and afterward increments with normal. Hence an ideal capital structure exists and happens when the expense of capital is least or the estimation of the firm is most extreme. The expense of capital decays with influence on the grounds that obligation capital is jaunty than value capital inside sensible, or adequate, utmost of obligation. The weighted normal expense of capital will diminish with the utilization of obligation. 3 Obligation financing for the most part takes the type of bank advances, rotating lines of credit and even utilization of Mastercards. Notwithstanding the lender, premium charges on the sum acquired is the way banks win benefits. Conversely, cash raised through value financing isn't reimbursed. Rather, speculators will contribute cash or property in return for an offer of proprietorship in your business - which implies they will partake in benefits the business produces. Regardless of needing to reimburse the cash raised through obligation financing, the guideline point of interest of this kind of financing game plan is that you don't surrender any control over the business - importance you won't need to counsel with financial specialists before deciding. Another profit of obligation financing is that the reimbursement terms are unsurprising, which considers more exact planning and arranging, and also maintenance of a bigger rate of benefits. Case in point, on the off chance that you get cash from a bank that obliges a regularly scheduled installment of $1,000 more than three years, you can be certain that if benefits surge amid the reimbursement period, the bank won't come requesting a bigger regularly scheduled installment. This isn't the situation with value financing. Speculators by and large need a bit of the upside in return for the danger they take. Consequently, they may oblige an altered rate of the benefits every year, the measure of which, is unusual. Since the interest that accumulates on obligation can be duty deductible, the genuine expense of the acquiring is not exactly the expressed rate of hobby. To deduct enthusiasm on obligation financing as a customary cost of doing business, the fundamental advance cash must be utilized for business purposes. Moreover, you must be lawfully subject for reimbursing the obligation, a real lender borrower relationship must exist between you, or the business, and the moneylender. The leaser must have a genuine desire of being reimbursed. Exercises that oblige enthusiasm to be promoted, or deducted in a later expense year, incorporate the generation of genuine property, unmistakable individual property that has a devaluation class life of 20 years or more, substantial individual property that takes over two years to create and substantial individual property that takes over one year to deliver and has an expected creation expense of more than $1 million. For instance, in case you're in the development business and acquire $1.2 million to buy arrive on which you will manufacture a home for resale, all intrigue that collects up until the house is sold must be promoted. As it were, you'll regard the gathered enthusiasm as an expense of building the home, which expands your assessment premise in it. In the year the house is sold, the higher premise lessens the assessable increase - which viably has the same duty sparing impact as an interest reasoning. References: Bollerslev, T., Engle, R. F., Wooldridge, J. M. (1988). A capital asset pricing model with time-varying covariances.The Journal of Political Economy, 116-131 Campbell, J. Y., Lo, A. W. C., MacKinlay, A. C. (1997).The econometrics of financial markets(Vol. 2). Princeton, NJ: princeton University press Connor, G. (1984). A unified beta pricing theory.Journal of Economic Theory,34(1), 13-31 Fama, E. F., French, K. R. (1993). Common risk factors in the returns on stocks and bonds.Journal of financial economics,33(1), 3-56 Fama, E. F., French, K. R. (2004). The capital asset pricing model: Theory and evidence.Journal of Economic Perspectives,18, 25-46 Huberman, G. (1982). A simple approach to arbitrage pricing theory.Journal of Economic Theory,28(1), 183-191 Litzenberger, R. H., Ramaswamy, K. (1979). The effect of personal taxes and dividends on capital asset prices: Theory and empirical evidence.Journal of financial economics,7(2), 163-195 Reinganum, M. R. (1981). Misspecification of capital asset pricing: Empirical anomalies based on earnings' yields and market values.Journal of financial Economics,9(1), 19-46 Roll, R. (1977). A critique of the asset pricing theory's tests Part I: On past and potential testability of the theory.Journal of financial economics,4(2), 129-176 Ross, S. A. (1976). The arbitrage theory of capital asset pricing.Journal of economic theory,13(3), 341-360 Shefrin, H., Statman, M. (1994). Behavioral capital asset pricing theory.Journal of financial and Quantitative Analysis,29(03), 323-349

Cherry Orchard Symbolism Essay Example For Students

Cherry Orchard Symbolism Essay We dont see things as they are. We see them as we are. This quoteby Anais Nin expresses an essential point of view for this discussion about thesymbolic meaning of inanimate objects, since it is our personality and ourmemories, which determine our character and meaning. Our feelings towardscertain objects are individual, as everyone associates different things in adifferent manner. Insofar, we see them as we are, since they canmirror our past, pains, hopes and our ideals. Thus they become more than just anobject, but a symbol for a certain part of someones feelings and life. This isalso the case in The Cherry Orchard: objects as the nursery room,the bookcase and the cherry orchard take on their own symbolic life. They allshare one thing in common: each one reveals something of the characterspersonalities, feelings and ideals. These inanimate objects are a reflection ofthe characters inner states of being. The meaning of these inanimate objectsare changing analogously with the charact ers change of mood, perspective andstate of mind. Thus one gets the impression that the objects are more likepersons, since it is only the characters life, which makes and keeps themalive. The nursery room may be for an outstanding person without any implicitsignificance, but for Lopakhin and Liuba it is a symbol for their childhood,background and past. The nursery room reminds Lopakhin of his origins. It makeshim aware that he is just a peasent (p.334); no matter how rich hehas become or how elegant he might be dressed, his social background stillremains visible for other people. After all, one cant make a silk purseout of a sows ear(p.334), as his origins will be for good a part of hisidentity. For Liuba the nursery room symbolizes her innocentchildhood (p.347). Being in this room, in which she used to sleepwhen she was little (p.336) seems to bring her back to feel a part of thatsecure, carefree life and makes her feel little again(p.336). Thebookcase has the same effect on her; all her troubles seem to be far away andshe feels pure happiness (p.342). Gayevs relationship to thebookcase is less personal, as he doesnt associate a particular personal memorywith it. He considers it rather as an object, which has its own personality;hence, though it is an inanimate object, true, but still ? a bookcase(p.345)! The way he sees it is reminiscent of a hero, as it has foralready hundred years devoted itself to the highest ideals of goodness andjustice (p.345) and has never deceived anyone. Being constantly andunshakably true to its principles, it was a source, from which severalgenerations of their family(p.345) have drawn courage and hope in abetter future(p.345). In the course of time a lot of things have changed:some people are dead, Gayev and Liuba got adolescent, and the estate is probablygoing to be sold. However, the bookcase not being subject to any rules orchanges, thus becomes for Gayev a symbol of consistency and security. Thecentral symbol of The Cherry O rchard, as the title might suggest, isthe cherry orchard itself. The cherry orchard does not only represent aninanimate object, but it is the center of the characters world. Their livescould be divided into the era before the cherry orchard was sold(p.301) and into the era after it. With this change the symbolic meaning of thecherry orchard before and after the sale also changes. The cherry orchardbefore the sale plays a part in each of the characters past; but it seemsforemost to be part of Liubas mind, through which the cherry orchard takes onhis own symbolic life, as its symbolic meaning changes with the changes in hermind. She cant conceive to live without the cherry orchard (p.375),as almost her whole past and memories are connected to it. Looking at it seemsto revive the memories of her happy childhood (p.347) and makes timestand still, as if nothing has changed(p.347) in her life. In thosedays her attitude towards life was innocent and bold (p.375), as shewasnt yet able to fo resee or expect anything dreadful(p.375). Shefelt like the cherry orchard, after the dark, stormy autumn and the coldwinter, young and joyous again (p.347); but now, she seems to havelost this power of vision (p.375) and her naive view of life. Thatsmight be the reason for her to see the cherry orchard in such an illusory light. .ub171764f556e8a5321bff3206acbc014 , .ub171764f556e8a5321bff3206acbc014 .postImageUrl , .ub171764f556e8a5321bff3206acbc014 .centered-text-area { min-height: 80px; position: relative; } .ub171764f556e8a5321bff3206acbc014 , .ub171764f556e8a5321bff3206acbc014:hover , .ub171764f556e8a5321bff3206acbc014:visited , .ub171764f556e8a5321bff3206acbc014:active { border:0!important; } .ub171764f556e8a5321bff3206acbc014 .clearfix:after { content: ""; display: table; clear: both; } .ub171764f556e8a5321bff3206acbc014 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ub171764f556e8a5321bff3206acbc014:active , .ub171764f556e8a5321bff3206acbc014:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ub171764f556e8a5321bff3206acbc014 .centered-text-area { width: 100%; position: relative ; } .ub171764f556e8a5321bff3206acbc014 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ub171764f556e8a5321bff3206acbc014 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ub171764f556e8a5321bff3206acbc014 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ub171764f556e8a5321bff3206acbc014:hover .ctaButton { background-color: #34495E!important; } .ub171764f556e8a5321bff3206acbc014 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ub171764f556e8a5321bff3206acbc014 .ub171764f556e8a5321bff3206acbc014-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ub171764f556e8a5321bff3206acbc014:after { content: ""; display: block; clear: both; } READ: Plea Bargaining Essay It had become a refugee place, where she hides to escape from reality, herproblems (p.375) and sins (p.359). The cherry orchardfor her embodies a kind of paradise, into which her unhappy past does notenter, but only her happy past. She doesnt want to let go the cherry orchard,because she doesnt want to let go her happy past. As long as the cherryorchard exists, her childhood feelings seem to continue to still exist for real. To sale the cherry orchard would mean to erase that beloved part of her life andthus sell her (p.347), too. However, the irony is that she escapes from herunhappy past to a place just like the cherry orchard, which magic only livesthrough the past itself. In as much as the cherry orchard represents a kind ofGarden Eden for her, it at the same time also is a burden (p.348),which rests on her shoulders. As long as she continues to stick to the orchard,she wont forget her past (p.349) and wont thus be able to create anew future. To begin to live in the present, one must first atone for hispast and be finished with it (p.368). Unlike t Liuba, her daughter, Ania,already reached that conclusion and is willing to leave (p.368) thisburden behind her; her love (p.367) for the cherry orchard hasvanished, as it is part of her past life and has therefore nothing to do anylonger with her present and future. The cherry orchard after the sale thusbecomes a symbol for renewal and a new beginning for the life of each characterin the play: Lopakhin purchasing the estate got able to get rid of his origins. Gay with life and wealth (p.344), he has freed himself from beingonly the grandson and son of serfs, who used to work on this estate. Now he hasbecome the owner of that place and with the cutting down of the cherry orchard,he is going to leave his past and origins behind him, creating a newliving world (p.384). Also Liubas burden (p.348) of the pastseems now to have become lighter; her nerves are better (p.391) andshe is going to leave for Paris, since she might have recognized that itsfinished long ago that there is no turning back(p.375). Gayev hasfinally calmed down (p.391), too and is going to be an employee of abank. Varia is going to leave for a new job, and Ania and Trofimov are gladlystepping towards their new life (p.391). Also the rest of thecharacters have to start a new life in a new place. When they leave therewont be a soul in this place (p.397) anymore. Maybe not in this place,thats true, but for sure in another place, since there are in the worldmany, many wonderful places (p.367/368), on which one canplant a new orchard (p.385).