A study is done on Net Asset Value (NAV) of equity REITs from 1993 to 2006. The value (growth) determination of REITs is investigated based on NAV per share as opposed to book value per share since the underlying value of the REITs assets (NAV) drives the trading decision. The NAV to Market ratio (NM) is evaluated as a risk measure when used in a Fama-French and Carhart model setting. We find this measure contributes only 0.10% to the REIT risk premium.

This study establishes a baseline for the mortgage industry's beliefs and attitudes about race, culture, and discrimination in mortgage banking and determines if these attitudes vary by race. Through survey research, the data reveals that race matters in the lending arena.

After discussing the pros and cons of floating rates, this paper addresses how countries might establish credibility whether their exchange rate is fixed or floating. Four of the most important factors contributing to stability are a sound banking system, responsible monetary and fiscal policies, an external lender of last resort, and increased disclosure of information. Although establishing a proper regulatory structure for the banking industry is vital¢ this takes time. In the interim, shortterm solutions such as capital controls must be considered to counter destabilizing capital inflows. This study examines data from the 1996 and 1997 Home Mortgage Disclosure Act (HMDA) to determine whether a difference exists in the lending behavior by race for prime and subprime lenders. The study's objectives are to determine mortgage denial rates by lender type and race of the applicant; to test whether denial rates are higher for blacks relative to whites for primes and subprimes; and to test whether there is a difference between prime-lender black denial rates versus subprime-lender black denial rates. The methodology includes data from the HMDA, ratio analysis, and hypotheses testing the difference between mean values. Using the t-test, subprime lenders denied loans to black and white applicants equally. However, prime lenders denied more loans to blacks than to whites. In 1996 and 1997, the Denial Disparity Index (DDI) for subprime lenders was significantly lower than primes. DDI measures the disparities in underwriting outcome by comparing the denial rate of blacks to whites. Test results also indicate that subprime-black DDI was lower than primeblack DDI. In summary, without controlling for predatory lending, the study reveals that subprimes treat black applicants more equally to white applicants than primes. Investment in Pollution Control and the Ratchet Effect with Emission Taxes SONER TUNAY Boston College--U.S.A.Economists have long advocated market-based systems (for example, emission charges and tradable discharge permits) as environmental policy tools, arguing that they equate marginal pollution reduction costs across all sources in the short run and encourage the development and adoption of improved pollution-control technologies in the long run. These arguments are based on the unrealistic assumption that markets are perfect. This paper examines the effectiveness of emission taxes in pollution control, taking into account asymmetric information and market concentration by modeling a two-period game between the Environmental Protection Agency (EPA) and a monopolist who is better informed about abatement technology.If the EPA believes that a firm has the capability to reduce future emissions substantially, it will impose a high tax rate on future emissions. On the contrary, if the EPA believes that the monopolist can reduce future emissions only at a very high cost, it will impose a low tax rate on future emissions. The EPA does not know the firm's technology, but it forms a belief about the firm's capabilit...

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