Educational Institutions and Information Asymmetry Observation in UAE

Suri, Amjad Khan; Adnan, Johari Siregar

doi:10.4172/2375-4389.1000213

Cited by 2 publications

(3 citation statements)

References 11 publications

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“…The implication is that foundation principals need to clarify contracts with agents to obtain an equilibrium poll, such as the lemon problem model, to achieve organizational sustainability. The adverse selection problem stimulates contract ambiguity as a producer of agency conflict (McCaffrey, 2017;Suri & Adnan, 2016). As a result, only lemons works at IPHE and generates moral hazard when it comes to the foundation of IPHE.…”

Section: Outcome-based Contract To Prevent Moral Hazard and Adverse S...mentioning

confidence: 99%

“…Based on the previous study, adverse selection and moral hazard problems are produced by asymmetric information (Akerlof, 1970;Jensen & Meckling, 1976;Ross, 1977). When asymmetric information between universities as principals convey good quality signals by VMMT with agent acceptance, it can produce adverse selection (Suri & Adnan, 2016). As a result, a contract is needed when the principal cannot differentiate the agent's actions in serving the principal interests (Posthumus & Solms, 2008;Wiseman, 1999).…”

Section: Introductionmentioning

confidence: 99%

“…First, an adverse selection problem is produced when principals are inclined to an error in agent behaviour caused by VMMT misinformation. Therefore, there is no difference between bad and good quality agents (Suri & Adnan, 2016). The second is related to the contract relevance issue and moral hazard.…”

Section: Introductionmentioning

confidence: 99%

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Sustainability as cultural value in islamic private higher education

2023

KJSS

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The organizational sustainability is achieved when Islamic values are transformed into the corporate culture at IPHE (Islamic Private Higher Education). At the same time, it can reduce asymmetric information between foundations as principals with institute management as an agent. Our paper aims to determine the adverse selection and moral hazard from asymmetric information production in IPHE. Our primary data were conducted by nonparametric scale instruments from 6 IPHEs in East Java and analyzed using the Kolmogorov-Smirnov (K-S) test. This study indicated that; (1) asymmetric VMMT information between principals and agents resulted in an adverse selection problem, the assumption error the agent has a religious value; thus, it is not difficult to understand VMMT in IPHE based on spiritual matters; and (2) an outcome mechanism was found based on a contract to prevent asymmetric information. Nevertheless, a moral hazard problem was also found, i.e. when an agent as an economic human did an act that was not in the principal's interests when he did not receive an incentive reward in quality learning. In contrast, they act in the principal's interests when obtaining incentives of appropriations for research and community services.

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Section: Outcome-based Contract To Prevent Moral Hazard and Adverse S...mentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Sustainability as cultural value in islamic private higher education

2023

KJSS

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Institutional Micro Credit Determinants and Portfolio Quality of Investment Groups

Kalui

2020

ESJ

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Micro-credit plays a major role in development strategies. This is in view of its direct relationship to both poverty alleviation and improvement of the living standards. However, commercial banks are still largely absent in the provision of micro credit. This phenomenon may be attributed to credit policies associated with loans provided by the formal sector. Since many businesses in small and micro enterprise sector are largely poor and lack tangible assets that can be pledged as collateral in conventional lending, banks are unwilling to provide credit facilities to them. For this reason, The objectives of the study were to determine the effects of macroeconomic, group leverage, group capitalization and group characteristics on the portfolio quality of investment groups financed by the Sidian bank in Nairobi region The study adopted a descriptive survey research design since it establishes the relationship between the dependent and the independent variable. With the target population being all the 56 investment groups in the 9 branches under the Sidian bank within Nairobi region. The study used secondary data, which was obtained from the Sidian bank offices in each of the branches within Nairobi region. Data analysis was conducted using descriptive statistics including percentages, frequencies, means and standard deviation. In addition, inferential analysis was carried out using correlation analysis and multiple regression analysis. The study found that macroeconomic variables, group leverage level, group capitalization and group characteristics influences portfolio quality of investment groups financed by the Sidian bank in Kenya positively and significantly. The study concluded that group leverage level had the greatest influence on portfolio quality of investment groups financed by Sidian bank in Kenya followed by macroeconomic variables, group capitalization level and finally group characteristics had the least effect. The study recommends that the Sidian bank need to manage their portfolios, by understanding that not only the risk posed by each credit but also how the risks of individual loans and portfolios are interrelated. The study also advances as long as such banks have enough reserves to finance such investments. The study further recommends that regulatory authority (CBK) and other stake holders should create an enabling environment that removes all these inefficiencies to the policy concern of high cost of credit.

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Educational Institutions and Information Asymmetry Observation in UAE

Cited by 2 publications

References 11 publications

Sustainability as cultural value in islamic private higher education

Sustainability as cultural value in islamic private higher education

Institutional Micro Credit Determinants and Portfolio Quality of Investment Groups

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