Development from Birth †19 Years Essay

All children and young people develop at different rates, but the order which they advance in differs very little. Children’s development tends to progress from head to toe, inner to outer, from simple to complex and from general to specific. Each child’s physical, social, emotional, and intellectual and language development will be looked at through age stages. All of these categories are as important as each other and can each have a substantial impact on the child’s full adult potential. Physical development is the growth of movement skills in both fine and gross motor skills and development in hand to eye co-ordination. Each of these is inter-connected and therefore can all be of impact to one another. Social and emotional development is the process of forming relationships, learning social and cultural skills, caring for others, independency, decision making, building confidence and learning to handle emotions in a healthy way. Intellectual development refers to the understanding of information, lengthening attention span, the reasoning in daily experiences, developing memory, logical thinking and questioning. Language development is the understanding and gaining of language, developing vocabulary and b ody language. 0-6 Months: Physical development : At this stage a baby should be able to turn their head towards sound and movement, watch an adult’s face when feeding and smile at the faces and voices they find familiar. They should be able to hold their feet when lying on their back, look and reach for objects, hold and shake a rattle and put items in their mouths. Social and emotional development: At this age a baby will respond to adult’s voices and faces, prominently their mothers, possibly by smiling. They will concentrate on adults face during feeding and be extremely dependent in adults for reassurance and comfort, quieting when held and cuddled. Language development: At this age a child should make a variety of â€Å"happy† sounds, respond to music and sounds (this can be very calming) abd watch their carers face and try to copy their movements. 6-12 Months: Physical Development: During this period a child should be able to move from sitting with support to sitting alone, roll from their tummy to their back and begin to crawl or shuffle on their bottom. Pulling or pushing against an adults hand to reach a standing position, raise arms to be lifted, turn to look when their name has been called and to try and reach for food to put in their mouth. Social and Emotional Development: A child will enjoy the company of others and games such as peek-a-boo, shows affection to main carer but be shy towards strangers. Language Development: The babbling sound begins! A young child will make 4 or 5 different sounds at this step, show feelings by squealing or crying and laugh or chuckle to show their enjoyment. 1-2 Years Physical Development: A young toddler will begin to walk (with or with-out a push along toy), sit alone confidently, wave goodbye, feed themselves, point to what they want and to shake their head for â€Å"no†. Their thumb and first two fingers will be used to grip, crawl upstairs, stoop when picking an object from floor level, begin to show preference for one hand, build tower of few bricks and to begin to hold crayon in palm and to scribble on paper. Social and Emotional Development: Like to please adults and to perform in front of an audience, may become anxious or distressed when separated from known adults, may grow attached to a comfort object (such as blanket), can mostly be cooperative and be easily distracted from unwanted behaviour and can play alongside other children. Language Development: Move from using single words to putting them together as a phrase, they will understand key words used in sentences, in the second year children start to understand the use of conversation and begin to copy carers. Children’s understand outstrips their ability to express themselves however by two years they could be using from 30 up to 150 words. 2-3 Years Physical Development: Kneels to play, throw and kick a ball, builds larger brick towers, pour liquids and uses pencils to make marks and circular scribbles. Social and Emotional Development: Developing sense of own identity and wanting to do things for their selves, demanding of adults attention and being jealous of adults attention being shred, reluctant to share play things, acts impulsively, requiring needs to be met instantly, prone to burst of emotion tantrums, enjoys playing with adults or older child who will give attention, beginning to play with others of own age for short periods of time. Intellectual Development (0-3 Years) Beginning to realise others are separate beings from themselves, imitates others and tries out ways of behaving in play, becoming more confident but still needs adult reassurance Language Development: Put words together in a sentence and beginning to ask questions (What? Why? How? Who? Where?) can join in well known songs or verses and put actions to words (Row-Row-Row the boat) Could possibly be using several hundred words by 3rd birthday, can scribble and make marks on paper with a crayon. 3-4 Years Physical Development: Large Motor Skills; Jump with feet together, walk on tip toes Throw a ball with aim and walk up and down the stairs. Fine Motor Skills; painting, threading beads on a lace, gain control over food utensils, use scissors and hold pencil to draw house and or people. Social and Emotional Development: becoming more independent and self-motivated, feels more secure and able to cope with unfamiliar surroundings and adults for periods of time, becoming more cooperative with adults and likes to help. Sociable and friendly with others, plays with children and more able to share, beginning to consider the needs of others and to show concern for others. Intellectual Development: Understand two or three simple things to do at once (eg Get a glass of water, bring it to your brother and then take the glass back to the kitchen) Can sort objects by size and type (by colours, animals or shapes) Language Development: (3-4 years)Pitch and tone can begin to be used alongside present and past tense. Vocabulary will be extended to 1000-1500 words and marks made by crayons will become more controlled. (4-5 years) Grammar can become more accurate and questions more complex, understand that books are a source of pleasure and use pictures to help them follow the story. Language will be used to communicate a child’s ideas and they may begin to recognise their own name and a few frequently seen written words, a pencil will be able to be help more confidently and shapes can be copied to form some lettering. 5-7 Years Physical Develpoment: Large Motor Skills; Hops, kicks with aim, catch a ball, skips, rides bicycle, climb confidently. Fine Motor Skills; Haandels pencil with control, copy shapes and write some letters, sews stitches, threads needle, can do buttons and shoe laces. Social and Emotional Development: Makes friends but may need help in resolving disputes, developing understanding of rules but still finds turn-taking difficult. Enjoys helping others and taking responsibility, learns lots about the world and how it workd, ad about people and relationships, makes friends (often short term) and plays group games, needs structure and routing to feel safe, when behaviour is over the top they need limits to be set. Intellectual Development: Begin to understand about sameness and difference in various aspects of life, can begin to understand that differences can exist side by side. Can begin to see different perspectives on the same subject, for example the same amount of water can look different in different containers. Language Development: During this period the chid can speak fluently and be able to make up stories, handle books well, understand that text carries meaning and recognise and increasing number of letters linking them to sounds. 7-12 Years Physical Development: Large motor skills are met such as running, jumping, skipping, climbing, kicking and hitting balls however teams games are usually enjoyed by age 8. Social and Emotional Development: Become less dependent on close adults for support and therefore can cope with the wider environment along with enjoying being in groups of other children of similar age, usually influenced easily by peers. Developing understanding of what behaviour is expected in certain situations and what is unacceptable, a sense of fairness and justice. Gender identity is becoming more apparent and preferring to play with same sex friends. Wanting to fit in with peer group and wanting to form closer relationships from age of 8. Intellectual Development: Able to read to themselves and will take a active interest in certain subjects by age 9. Language Development: Will need help learning how to spell complex words, with help from adults and teacher’s vocabulary will grow when new words are introduced, speech becomes fluent and can describe complicated happenings. Reading out loud and knowing the difference tenses and grammar will also become noticeable. 12-19 Years (Adolescence) Physical Development: Adolescence is said to be the period between childhood and adulthood, this can start from as early as 11 years and up to 19 or 20 years. The rate of development during these times can differ significantly and are different for both genders. This can be a very difficult time for teenagers as being similar to your peers can be a huge pressure; developing early or late can single teenagers out from others and bring up many emotional factors. Boys: Adolescence for boys usually starts at 14 years which is later compared to girls, however at the end of puberty boys are usually bigger than girls. Sex characteristics at this age are developing; these include body hair, deepening of the voice, broadness and muscle growth. Testicular and scrotum growth begins in early – mid puberty, the penis growth starts a bit later but continues for a longer time period. Girls: Puberty for girls can be as early as 8 years although the average age is 13. Breast budding is traditionally the beginning of puberty around the age of 10, pubic hair will then begin to grow and become curlier. Depending on when puberty first begins for each young lady they may be physically mature by the age of 15 and close to her full adult height however her hips and breasts may still become fuller. Social and Emotional Development: The first emotional factors to come with puberty are usually self-consciousness of the teenager’s body changes and whether they are â€Å"normal† compared to their peers. Emotional maturity can feel a drastic change to the teenagers, feeling their childish needs with adult desires, desiring independence but needing guidance; this can be a very confusing time for the young adults. Feeling less importance on their parents approval and instead turning to their friends for group-acceptance and behaviour codes. Along with this new found independence comes new questioning of the world, community values, personal values, beliefs and views; these will then individually sculpt the identity of the young adult. During this time many teens form close friendships with their peers of their own gender and most also develop an intense interest in the opposite gender, away from the emotional security their family provides the teenagers are open to many different emotional situations including potential rejection. Intellectual Development: With physical and emotional maturity comes maturity of the mind and the individual’s words and actions. As the teenager’s freedon and independence grows the need for maturity grows with it. During adolescence young people increasingly take responsibility in their lives in areas such as finances, employment, relationships and accommodation. The process of acquiring full responsibility should be complete by adulthood however; the rate of development is dependent on the amount of guidance given, to helping the brain to make the connections between knowledge and practical application to daily life. Education will be another main factor, next to parents, to shaping these young adults; the education system with its teachers will assist in helping the young adults to understanding moral, social, economic and cultural codes that will form the foundation of their identity. Language Development: As confidence and knowledge of language grows teenagers tend to develop different forms of communication such as sarcasm, â€Å"slang† language, shortened â€Å"text† language and the skill of formal or informal debate. Being able to express themselves with more words and forms of communications is a result of their maturity.

Science and Shamanism

Just like Science, Shamanism started a very long time ago. As Shamanism is considered as archaic magico-religious phenomenon in which the shaman is the great master of ecstasy, Science is also known as an ancient part of life in which its masters are called Natural Philosophers and later are known as Scientists. There are many commonalities and similarities between Science and Shamanism. Shamanism without their knowing also incorporates scientific methods while performing and making potions from herbs. Same with Shamans, Scientist also perform tasks and experiments by using special tools.Both Shamanism and Science respond to society’s needs. A very good example is by healing. Scientist conduct experiments and tests to discover medicines that can cure illness just like shamans. Thus, we can say that Science and Shamanism somewhat are related to each other, but however there are still factors that keep them apart. First, Shamanism in terms of healing is not really accepted by we stern Science, why? Because both of them can heal certain patients their sources of healing are undoubtedly very different. Shamanism is a range of beliefs, rituals and practices regarding communication with the spiritual world.They heal people by mending souls. Shaman gains knowledge or power to heal an individual by entering the spiritual world or its dimension. The shaman may acquire many spirit guides in the spirit world, these guides direct the shaman in his/her travels. The spirits are always present in the Shaman though others only encounter one when there is a Shaman around. The Shaman heals by returning ‘lost' parts of the human soul from wherever they have gone to. The Shaman also cleanses excess negative energies which confuse or pollute the soul.Science on the other hand is a systematic enterprise of knowledge about nature and organizing and condensing that knowledge into testable laws and theories. These laws and theories are used by scientist to invent things and cure diseases by making medicines and vaccines. Scientists perform research toward a more comprehensive understanding of nature, including physical, mathematical and social realms. Since Science is a complex branch of understanding and has many fields of expertise, thus Scientist don’t call or rely on spirits but rather use scientific knowledge.Scientists study different fields of science to gain knowledge and use that knowledge to help people. This knowledge is used in biomedical research. Biomedical research is a research concerning medicines that cure people scientifically unlike shamans that use spirits in healing. This is another factor that sets shamanism apart from science. Another factor that sets Science and Shamanism apart is the basic implicit principle in Shamanism that there are two realities and that the perception of each depends upon one's state of consciousness.In this principle 2 realities are stated. The first is â€Å"OR† or â€Å"ordinary reality † in which those in the â€Å"ordinary state of consciousness† (OSC) are the ones that are involved in this. Scientists and ordinary people are considered to belong in this â€Å"OR†. On the other hand Shamans believe that they do have another kind of reality. They call this the â€Å"NOR† or non-ordinary reality in which those in the â€Å"shamanic state of consciousness† (SSC) are the only ones who can experience this. And lastly, people who believe that Science is more accurate never relied on Shamanism.Not only in medical purposes but also in anything that Science can prove and study. Thus, a boundary between people who believe in Science and the ones who have faith in Shamanism is made. Since Scientists study things very carefully before ordinary people deal with it, most of the western people believe that Shamanism is just a fiction. On the other hand the ones who believe in Shamanism also think the same way western people think. Because of th is line people who have their own beliefs never tried or tested both. A very great example is during ancient times.Since then Science never believed and accepted that spirits are real. Historical origins prove the attacks of the Church on such pioneering scientists as Galileo and Copernicus during the Renaissance and Reformation. Up to the present Scientist never believed spirits. One of the great scientists that never believed spirits is Einstein. He believed â€Å"spirits† or â€Å"souls† are otherwise anathema and not acceptable as part of the paradigm. This results to the limitation of the parameters of science by decreeing that certain prior phenomena cannot have existence.It also resulted to limitation of science whose Achilles heel is founded upon an unproven belief: the belief that spirits, including souls, cannot exists. Science has never disproven the theory of the existence of spirits. Thus, disproof of theory, or falsification, is a cornerstone of scientifi c method(cf. Popper). As long as the theory of spirits cannot be falsified by science the line between Shamanism and Science will never be gone. However this factors that separate Science and Shamanism apart can still be bridged.As we all know healing both in Science and in Shamanism do have processes. These processes can be studied by science which I think has the greater knowledge to prove things. Once Science has discovered the way shamans heal they can infer scientific methods on the way and methods Shamans perform their healing. Not only that, from what I’ve read like Science, Shamanism can also be studied. Studying Shamanism can be one of the bridges that can unite the two. Another way to bridge the two is by scientist not only studying the Shamans’ methods but also by performing and being one of them.Thus, Scientists can train ecstatically and traditionally for them to have a greater knowledge of how Shamans communicate with spirits. In this ways scientist can p erform trances that can make them one of the Shamans and be on the â€Å"shamanic state of consciousness†. These trances will also help them feel and experience how Shamans talk with what they call spirits and how Shamans experience the non-ordinary reality. Lastly, as Scientists engage and be part of shamanic society there they can prove or falsify if Shamanism is either true or just a fiction.In order to bridge these two Scientists who have more knowledge and grasp of experimenting must use themselves as experiment samples for them to achieve what they want. If they have proven that Shamanism can be true then maybe somehow they can make a way to connect the way Shamans perform their methods because they themselves are also Shamans. In this way scientific method will therefore be broader and can be used in Shamanism. Thus, Shamanism can be considered a branch of science.

Macbeth Essay Example | Topics and Well Written Essays - 1250 words

Macbeth - Essay Example When considering all of this, Hamlet’s contemplation and indecisiveness certainly seem justified. We are forced to think about death and the afterlife by the play. The actions of the play are forced by the death of Hamlet’s father and the ghost’s appearance, and Hamlet contemplates death and suicide throughout the play. Death plays a large part in the theme of uncertainty throughout the play. We have no idea what happens after we die, and so we can no idea as to what happens afterwards. Because we do not know what will happen, we do can not know if we are making the correct decision in regards to questions of suicide. Hamlet ponders this very question in his most famous soliloquy, â€Å"To be or not to be† (III.i.56-86). He comes to the conclusion that people would only deal with the pain and suffering of life precisely because the there is so much uncertainty in everything dealing with the afterlife. The ghost’s existence is another factor to consider when thinking about the afterlife. The ghost’s existence seems to confirm the existence of an afterlife in the world of the play, but it does not state what kid of afterlife actually exists. The ghost has apparently come to seek out vengeance for wrong doings from his life, but we have to consider that it might merely be an evil spirit that is just trying to create trouble. There are many cues throughout the play to suggest as much. Because we cannot know the nature of the afterlife until we are actually dead, we cannot know for certain what the intentions and goals of the ghost really were. The ghost simply adds to he uncertainties. Hamlet is certainly left with more of his fair share of questions to ask himself: â€Å"Was I deceived by the ghost? How am I to do the deed? When? Where? What will be the consequences of attempting it—success, my death, utter misunderstanding, mere mischief

To Build or Buy Essay Example | Topics and Well Written Essays - 1500 words

To Build or Buy - Essay Example In order to run a similar business and attract customers from the other already established stores, one needs tactics and strategies to succeed. One of the main strategies is to start the business and sell goods according to the market trends (Mooney, 2011). In the current world, many things change in the sporting arena, and individuals should take note of these, before deciding on the type of stock to have at the shop. A particular change is the popularity of certain games like football and rugby in the community. Some items from popular games will guarantee an individual better sale as compared to items that are associated with a different game. For instance, rugby and football (soccer) have many supporters as compared to the other games. This shows that there is a higher likelihood for a company or supporter to buy clothes and sporting equipment in bulk from the shop as compared to the other shops. However, it is equally important to stock the shop with all types of games clothing and equipment. To add to the above idea, there is also the need for one to look for buyers of the products at the shop manually (Mooney, 2011). To do this, one will need to draft letters and drop them in various schools requesting a chance to supply gaming clothing and equipment. ... Another good strategy for running the shop is to have a variety of good for the same product. This may help to convince a potential customer to buy any of the variety of the goods available in case the specific item he was looking for is not in stock. Having a shop stocked with a variety of goods also attracts customers. This is because they have a variety of choices to choose from according to their tastes and preferences. To add to this, it is important that the business is known in the society since it is a new venture. To do this, there is a need to carry out a campaign to enlighten individuals on its existence. This can be done through posters, radio announcements, promotions, and all other types of advertisements. Carrying out promotions and advertisements will be very essential in carrying out the advertisements as they involve the public as a whole. The promotions carried out by the business will create a good business image, which will enable the business to gain customers t rust and loyalty. The advertisements will also easily catch people’s attention thus resulting in increased sales at the business venture. As for this line of business, it is good for one to start a new business altogether instead of buying an already existing one. Essentially, an already existing business may have a bad history throughout its existence, which may work against business development and improved sales. Starting a new business allows one to start new links and customer connections with different people who have an interest in the business. One will then have the power to know how to deal with the different parties whether to strengthen the link between them or to weaken it. It will also

Capital Punishment Essay Example | Topics and Well Written Essays - 6000 words

Capital Punishment - Essay Example While this is just one way in which the disputants talk past each other in the capital punishment debate, this particular disagreement helps to explain other aspects of the capital punishment dispute. Proponents of capital punishment speak the language of local option and states' rights not only because this insulates the pro-capital punishment orientation of most state governments from federal review, but also because states and localities are the levels of government that usually hold power over ordinary criminal justice decisions. State legislatures, local prosecutors and judges, and the particular values of specific communities are supposed to shape criminal justice outcomes. National government and constitutional values have little direct influence on most punishment decisions. If the availability of death as a criminal punishment were a garden-variety choice of punishment option, state and local power over them would be consistent with an important American tradition. If on the other hand, one regards capital punishment as a fundamental moral and political question, the national government and constitutional values are the appropriate vehicles for decisions. The p... ed nations and even the importance that the proponents of the penalty attach to it are powerful evidence that the death penalty is an issue of transcendent importance, one that is principally moral and political. (Gary, 783-805) There are certain reservations from some corners of public discussions as regards to the unreliable evidences that caused capital punishment but consequently proved false. It is hard to believe how prosecutors can admit evidence from unreliable sources. In some cases witnesses have later recanted or disavowed their testimonies claiming that they had only made their statements under pressure or coercion from prosecution and law enforcement. These false testimonies proved to be the condemning evidence in many cases. Lastly, most of the people charged in capital cases ca nnot afford defense attorneys. The appointed defense counsels in several cases have exhibited incompetence. Some of them did not even look for or missed important evidence that proved the innocence of their clients. In other instances, defense lawyers failed to conduct adequate pretrial investigations, talk to possible witnesses, obtain relevant police reports, or seek pretrial investigative funds. Michael Mello, a renowned capital punishment defense attorney in Florida from 1981-1995, has said "there is today a desperate (albeit difficult to quantify) shortage of competent capital post-conviction defense lawyers" (David, 1037-48). The Supreme Court in the Furman decision ruled that the death penalty is unconstitutional because it is a "cruel and unusual" punishment. Some allusions to racial discrimination appeared in the opinions, but more evidence seems called for.  

Leadership Issues in Ethical Perspective Assignment

Leadership Issues in Ethical Perspective - Assignment Example Different cultures around the world instill various adaptations of those values to the youth as they mature. Some societies place a higher emphasis on certain values than other cultures do (Barnes, 2007). The process of learning wrong from right remains the same through the application of rewards and consequences being associated to the choice. Advancements in travel have allowed people from different cultures around the world to converge and share ideas and values. Many businesses have entered the global market and experienced a plethora of value variations that international competition brings to the organizations. The contrast of prioritized values differs with each culture’s traditions. Exposure to another culture’s values may influence an individual’s beliefs and values and create the need for change or evolution of current opinions and ideals (Barnes, 2007). Learning in Action The idea of learning in action allow for the opportunity to take a look at person al values and decide how those values might fit into different scenarios. The first thing was to find out how personal values were perceived and the quality of each value. This was accomplished by taking a Pre-Self-Evaluation survey to determine strengths and weaknesses. A Post-Self-Evaluation allowed for comparisons between the perception at the beginning of the project and then again at the end. It was noted that some of the value areas had changed. Interviews were the next step in learning about ethical values and social responsibility. The themes that emerged once the analysis was complete allowed for different variations of attitudes and opinions to surface. A priority list of personal values was created with the pre and post evaluations. This list allowed for the comparison between the beginning of the project and the end results. The collection of articles dealing with ethical behavior in business allowed for even more analysis and comparisons to be accomplished. Pre and Post Self-Evaluation Survey When the learning in action assignment was given, the recorded answers for a Pre-Self-Evaluation Survey were carefully considered. Recording the answers for the magnitude of understanding and application of each ethical value would be important later on as the comparisons with a Post-Self-Evaluation could be implemented. The comparison of the two evaluations showed considerable differences as knowledge and practice was incorporated into the project. Some values remained the same and those were ones that could be continually worked on to show improvement in the future. Interviews When setting up the interviews, asking permission to record a person’s answers seem socially responsible. All participants agreed that as long as the answers remained anonymous, each person approved the inclusion of their answers in the final report. Three questions were asked, so during the analysis of the responses, all the answers for question one were combined and the same patter was maintained for questions two and three (see Appendix 5). Twenty individuals were asked to participate in the interview process. Five of them were close friends, five were classmates, five were professors, and five were co-workers. The themes, which emerged from question one were to watch others, follow one’

Christian Values of Truett Cathy, Founder and CEO of Chick-fil-A Term Paper

Christian Values of Truett Cathy, Founder and CEO of Chick-fil-A - Term Paper Example The paper begins with a brief discussion of Christian values in leadership and management, followed by a detailed discussion of Truett Cathy’s Christian values in his management and of Chick-fil-A Company. The paper concludes with a discussion of how Cathy’s Christian values and Christian based leadership of Chick-fil-A Company have influenced and shaped the operational and the organizational culture of Chick-fil-A Company. To Glorify God: According to the Bible, one of the main aims or goals of management and leadership is to glorify God and to love other people as we love ourselves (Mark 12: 29-31). For that reason, the Bible demands that Christian leaders should be guided by the need and the desire to glorify God in all their leadership and managerial responsibilities. For that reason, therefore, Jesus should be at the centre of all the activities and the decisions made by Christian leaders. Integrity: integrity is the second major core value of leadership and management that the Bible upholds. Integrity demands honesty and transparency in all the dealings of a Christian leader. In his teachings, St. Paul emphasised the need for Christian leaders to be honest and transparent, in all their dealings, before God and before other human beings (2 Corinth. 8: 19-21). This fact, therefore, shows that Christian leaders should be people of high moral integrity, and beyond reproach. Service: the Bible teaches that Christian leaders should view themselves as the servants of the people whom they service, and they should see their main responsibility as to serve other people. In his teachings, Jesus Christ taught that eve HE himself did not come to be served but to serve (Mark 10:45). This fact, therefore, shows that Christian leadership should be based on service to other people. Loyalty: According to the Bible, Christian leaders should be loyal to the organizations that they serve, the people that they serve, and even be loyal to

BIO Essay Example | Topics and Well Written Essays - 250 words - 3

BIO - Essay Example John Scopes’s role in the Scopes trial was that of the defendant, owing to the fact that he was the teacher who went against the Tennessee State’s law that prohibited teaching of evolution in schools, by openly doing it at the high school he was teaching science (PBS, n.p.). Clarence Darrow was the defense lawyer for the accused in the Scopes Trial, who defended the right of John Scopes to teach evolution and the Darwin theory in class (PBS, n.p.). He did not only defend Scopes fiercely, but also used it as a platform to engage his longtime rival in matters of religion, William Jennings Bryan (PBS, n.p.). William Jennings Bryan testified in the Scopes Trial as an expert in Biblical matters, but behind the scenes the testimony was meant to create a platform where he would engage Clarence Darrow on the subject of evolution, which Bryan was completely opposed to (PBS, n.p.). In the courtroom, their contest of ideas between the Biblical stand and the concept of evolution in science almost sparked a physical

Synthesis Essay Example | Topics and Well Written Essays - 1000 words - 2

Synthesis - Essay Example reporter with the Associated Press, David Crary, brings to focus the conflict of interest that is linked with advertising particularly in relation to healthy living in his article: Group Wants Shrek off Anti-Obesity Campaign. All these articles focus on the different effects of advertising on the population, especially the advertising that does not focus on its effects on the population. The degree of increase in wealth as well as impact on culture that the international companies have attained in the past two decades can be linked to one innocent notion that was established by the management theorists which maintained that for businesses to succeed, they are to create brands but not products (Klein, 1999). Before this time, the main focus of the manufacturers was to produce goods and at one point, it was argued that the reason why the economy of America had not made a recovery from the depression was because the nation no linger knew the importance of making things. This has led to an environment that is full of advertisements which are meant to market all kinds of products by different manufacturers with the aim of increasing their market bases and making as many people as possible know about their existence. Various companies use different forms of advertising including mounting televisions in schools which has been done by Channel one with conditions that all th e teachers should air and the students have to watch the satellite broadcast programs that are aired every day (Baker, 2011). These broadcasts are filled with commercials that have been sanctioned by the schools and the company that is lending the television sets to the schools claims to have an audience that is more than fifty times that of MTV. It rakes in profits from selling two minutes out of every twelve programming minutes to commercials as well as in call contests. Some of these commercials include those that involve Shrek as the spokesman for an anti-obesity campaign. The advertisements that

Project Controls Essay Example for Free

Project Controls Essay I have developed a proposal that would create a secure system within our organization. Below is the outline that should help prevent disaster recovery or in the case, backup our disaster recovery procedures. Duration Critical Task Sequencing The project will detail an array of critical task sequences including: * Pre-project Envisioning – Evaluation of HR database and corporate objectives, formulation of cost/benefit analysis, establishment of project scope and major milestones, securing of executive sponsorship and buy-in * Planning Structure – Project assembly, computing and testing environments, preliminary design, system array, and maintenance orientation * System deployment – Deployment of hardware and software systems, pilot test evaluations * Post-Implementation Review – Backup/restore maintenance, performance monitoring, system re-forecasting, establishment of ongoing infrastructure team Variance Baseline Achieving the desired outcome for the HR Resource Deployment will require a stringent and concentrated focus on maintaining adherence to the project timeline. Throughout this timeline, variance data will be closely observed and documented. Capturing variance data is an adamant goal for the project managers. Variance data will help to expose possible weaknesses of the planning process, and serve as priceless information for future endeavors. The means of collecting variance data will be comprised of the following: Delegation of variance targets. Prior to the project start, prime areas of variance will be decided upon for tracking. These areas will be closely monitored and documented. Targeted variances will form the baseline of the project, and will consist of measurements of quality, project milestones achieved, performance metrics,  and budget adherence. The success versus failure Planned versus actual. Variance data will be looked at according to what is planned as opposed to what the actual outcome will be. This will largely be focused on the proposed scheduling timeline and project cost expectancies. As the project advances, variance data will be tracked according to what deviates from the planned objectives. This data will be captured in real time in order to provide insight for future milestone proceedings. Estimates versus planned. This variance metric will focus on what was estimated for project details, such as schedule and cost, prior to the approved project plan. Such data will assist in greater accuracy of project planning, and will help to eliminate the guessing game. These variance metrics will be acquired through the collaboration between all stakeholders and resources. Maintaining high quality controls is a process that includes a lot of planning but when well maintains it builds the trust in the customers and eventually helps both organization businesses. As an organization maintains a high quality control one must know that there is also other aspects which is where being innovative and keeping a reasonable price adds to the equation. As many new customers are acquired a lot of the times this might be a direct result of on customer recommending another new customer. When this statement is true the new customer expects the same treatment and if not better. Therefore, one must stay innovative and open to new ideas and changes in order to fulfill the new customers’ needs. On-Going Evaluation and Status of Project There will be a definitive checklist for who will be responsible for the development and submission of projects reports. Evaluations will be performed on an as-we-go basis as to attempt to not miss anything important along the way. If there is anything that will be confidential or require a security clearance, these things will be handled by either the Project Manager or a member of management. Any projects that require the participation of stakeholders will be documented for future use and testing. All ongoing reports will also be given to all principal stakeholders along  the way. As each goal or milestone is met, it will be tested and retested for consistency to make sure what was done will stand the test of time (until the next project or upgrade). Method Used The Method that is used for determining whether the project has met its objectives is a survey. The survey can be done to figure if everything has been a success. Riordan employees will fill a survey out to give feedback on, if they are satisfied with the projects performance or not. Surveys can only provide estimates for the population, but cannot be a true measurements. You can measure surveys by the consistency of responses to questions about the project over a long amount of time period. REFERENCE Microsoft Office. Retrieved from http://office.microsoft.com/en-us/project-help/leading-practices-for-applying-variance-data-to-future-projects-HA010174487.aspx

Underpricing in Turkey: a Comparison of the IPO Methods

Underpricing in Turkey: a Comparison of the IPO Methods Abstract This paper addresses the question of what kind of selling and underwriting procedure might be preferred for controlling the amount and volatility of underpricing in the Istanbul Stock Exchange (ISE). Using 1993-2005 firm and issue data, we compare the three substantially different IPO methods available in the ISE. One is very similar to the book building mechanism used in the U.S., another is the fixed price offer, and the third one is the sale through the stock exchange method. The empirical analysis reveals significant first day underpricing of 7.01% in fixed price offer, 11.47% in book building mechanism, and 15.68% in sale through the stock exchange method. Finally, we also show that fixed price offers can better control the impact of market information on underpricing than sale through the stock exchange method. 1. Introduction Extensive amount of research from a variety of different markets have documented the presence of first-day underpricing upon the listing of initial public offerings. The evidence is well documented by Loughran, Ritter, and Rydqvist (1994) and Ritter1 (1998), (2003) in many developed and emerging markets. In developed markets, in the absence of restrictions on intra-day price movements, first-day underpricing is observed in broad price bands. However, in emerging markets, in the presence of daily volatility limits, first-day underpricing is observed in narrow price bands. In contrast to the daily price limits, significant positive short run returns are observed in a number of emerging markets and substantial amount of money is â€Å"left on the table by issuers. Besides empirical evidence, most of the theoretical models explaining IPO underpricing are grouped under four broad headings by Ljungqvist (2005), these are (i) information asymmetry between the investors, the issuing firm an d the underwriter, these models assume that one of these parties knows more than the others, (ii) institutional reasons, institutional theories focus on three features of the marketplace: litigation, banks price stabilizing activities once trading starts, and taxes, (iii) control considerations, control theories argue that underpricing helps shape the shareholder base so as to reduce intervention by outside investors once the company is public, (iv) behavioral approaches, behavioral theories assume either the presence of irrational investors who bid up the price of IPO shares beyond true value, or that issuers suffer from behavioral biases causing them to put insufficient pressure on the underwriting banks to have underpricing reduced. These theoretical models almost always end with the conclusion that the average IPO is undervalued at the offer price, where the initial investors, in most cases, benefit from possessing information by receiving allocations of shares in IPOs and earn the largest first-day returns. The expectations of issuing firms, investors and underwriters in IPO pricing are considerably different. In an offering, the issuer generally wants to receive the highest possible price to maximize cash flows to the firm. Investors like to purchase shares at a deep discount so that they can realize positive returns *Baskent University, Faculty of Economics and Administrative Sciences, Baglica Kampusu, Ankara, 06530, Turkey, + 90 (312) 234 10 10 /1728, [emailprotected] 1 Ritter (1998), (2003) provides an update on the compilation of Loughran, Ritter, and Rydqvist (1994) in a short investment period. Underwriters, acting as an intermediary between investors and issuing firms, suffer from a dilemma, if an underwriter determines IPO prices too low, where the foreseen amount of money left on the table will be huge, the issuing firm may withdraw or switch to another underwriter. On the other hand, if an underwriter determines IPO prices relatively high, investors will hesitate to buy new issues, which would result in low commissions and an unwanted effort in aftermarket stabilization activities. Underwriters, however, have an incentive to underprice the shares to ensure that they can sell the offering, and, unsurprisingly, there is extensive evidence that IPOs are, on average, underpriced. Hence, pricing of stocks in IPOs may be the most critical stage of the IPO process. More recently, the literature on IPOs, both theoretical and empirical, focuses on the efficiency mechanisms of the following methods for pricing initial public offerings. At the center of this literature, book building, auctions and fixed price offers differ mainly in price-discovery and share allocation process. Book Building in which the underwriters do road shows and take non-binding orders from Auctions in which the company sets a price range to be used as a non-restrictive guideline for investors, than accepts bids, each specifying a number of shares and a price the investor is willing to pay for them, finally, the market-clearing price set by the investors approximates the real price the shares will command in the market. Fixed Price Offer in which the issue price is set first and than orders are taken from investors who typically pay in advance for part or all of the shares that are ordered. Sale through the Stock Exchange in which the sale is initially conducted in the primary market of the stock exchange by a designated underwriter. Those investors who buy the shares in the primary market must wait until the shares trade in the secondary market in order to sell their shares. The price designated at the time of registration with the securities exchange commissions is set as the opening price. Hybrid Offerings in which the underwriters combine the preceding IPO methods, and design auction/fixed price, auction/book building and book building/fixed price hybrids. For most hybrids, the most common combination is the book building/fixed price offer, where the underwriter uses the book building method to set the price and allocate shares to institutional and foreign investors, and retain the fixed price offer to the domestic retail investors who do not participate in the price-setting process. This paper addresses the question of what kind of selling and underwriting procedure might be preferred for controlling the amount and volatility of underpricing in the Istanbul Stock Exchange (ISE). In this regard, we first compare the three IPO methods available in Turkey. One is very similar to the book building mechanism used in the U.S., another is the fixed price offer, and the third one is the sale through the stock exchange method. Then, we estimate a binary probit on the issuers choice between fixed price offer and sale through the stock exchange method, however, because of the declining importance of the book building mechanism in Turkey, we excluded the book build IPO sample from our binary probit estimations. Finally, we determine the factors that are expected to have an effect on the IPO returns. Our results indicate that, the comparison of the two mechanisms yield that for certain values, namely first day underpricing, IPO amount and fractions of equity sold, fixed pric e offer outperforms the sale through the stock exchange method. To the best of our knowledge, this is the first empirical study on the comparison between fixed price offer and sale through the stock exchange method in the IPO literature. The uniqueness of the data and the availability of the sale through the stock exchange method in the ISE make it possible to conduct a study on the comparison between these two methods. The remaining part of this paper is organized in six sections. In the next section, we provide a comparison of the theoretical and empirical research conducted on IPO methods across many countries around the world. In section 3, we describe the three important Turkish IPO market selling procedures. In section 4, we describe the data and the methodology we used in our empirical tests. Section 5 documents the relationship between market conditions and underpricing of IPOs in different time series and the last section concludes. 2. Comparison of the IPO methods in the literature: Theory and Evidence The efficiency of the IPO methods has been the subject of an academic research over a decade, both empirical studies and theoretical models have tried to explain the advantages of one method over another. The argument that is often made in favor of IPO methods is often empirical as well as theoretical. Researchers studying on the efficiency of the IPO methods try to answer the most challenging question, â€Å"Which one of the IPO mechanism is the most efficient?2. However, according to our comprehensive literature research, both empirical studies and theoretical models listed in Table have some mixed answers. 1. Book Building vs. Fixed Price Offer and/or Auctions Comparison of the IPO methods in the literature goes back to Benveniste and Spindt3 (1988), (1989) and Spatt and Srivastava (1991), they suggest that the American bookbuilding procedure is efficient since it encourages investors to reveal their beliefs about the issues value at a cost of initial underpricing. Book building allows investors to collect information about the value of the stock and price the issue more accurately. To compensate the investors who reveal information, underwriter will favor them when allocating shares. However, fixed price mechanism does not utilize any information about realized buyer valuationsin setting the issue price and is generally inefficient. Loughran, Ritter and Rydqvist (1994) present the first international evidence on the short-run and long-run performance of companies going public in many stock markets around the world. They document that the fixed price method is associated with greater underpricing because of the greater probability of the issue failing and the increased uncertainty associated with the longer time delay between offer and issuance time. Chowdhry and Sherman (1996) point out that two features of fixed price offers tend to lead to greater underpricing, relative to the book building method. The first one is the length of the bidding process, as the time gap between the offer and first day market price widens â€Å"price information leakage occurs, the second one is the common requirement that investors pay in advance for their entire order. Benveniste and Busaba (1997), extend Welchs4 (1992), model of information cascades in investment decisions and present a theoretical comparison of the fixed-price and book-building mechanisms. They exhibit that issuers with a greater concern for risk will prefer a fixed-price offer, because book- building might generate higher expected proceeds, and exclusively provides an opportunity to sell additional shares at full value but it also exposes them to higher risk. Ritter (1998) demonstrates that countries that use bookbuilding typically have less underpricing than countries using f ixed-price offerings, more underpricing under fixed-price offering procedures can be attributed to informational cascades. However, Loughran, Ritter and Rydqvist (1994) and Ritter (1998) point out that IPOs with discretionary allocation (Fixed Price Offering and Book-building) are underpriced more than those with non-discretionary allocation (Offer for sale and Auctions), especially in Auctions. Under discretionary allocation, the first day price increase averaged 37% in fixed price offerings, 12% in book building. Under non-discretionary allocation, the first day price increase averaged of 27% in Offer for sale and 9% in Auctions. 2 In terms of controlling the amout and volatility of underpricing, share allocation and pricing. 3 The literature on underpricing in initial public offerings goes back to Logue (1973), Ibbotson (1975), Chalk and Peavy (1987), Miller and Reilly (1987), Ritter (1984), Rock (1986), Allen and Faulhaber (1989), Benveniste and Spindt (1988, 1989), Grinblatt an d Hwang (1989), and Welch (1989). However, the mechanism by which initial issues are sold has largely been ignored until Benveniste and Spindt (1988), (1989). 4 Welch (1992) focuses on the fixed-price procedure used in some non-US countries, and shows that this procedure can cause informational cascades: investors who observe the investment choice made by previous investors can update their beliefs about the value of the issued shares. Sherman (2000), (2002) shows that fixed price offer, can lead to higher underpricing than book building. Contrary to the fixed price offer and the auction method, in book building underwriters discriminate investors in the allocation of shares to establish long-run relationship with intermediates. Book building gives the underwriter greater flexibility in designing a solution that reflects the individual issuers preferences. By controlling investor access to IPO shares, book building controls both the winners curse problem that affects discriminatory auctions and the free rider problem that affects uniform price auctions. Book building also reduces uncertainty for both issuers and investors. In a study that covers 47 countries, Sherman (2002) has found that in all countries in which the bookbuilding mechanism has been introduced, pre-existing auction systems have decreased in popularity or disappeared altogether. Ljungqvist, Jenkinson and Wilhelm (2000) use a unique dataset containing information on 2,051 initial public offerings in 61 stock markets around the world, during the period of 1992-1999. The authors examine the relative direct and indirect costs of offerings carried out by book building and fixed-price methods. They find that, the direct costs of book building are typically twice as large as direct costs for fixed-price offers. Compared to fixed price offerings, book building efforts though more expensive produce far less underpricing. Nevertheless, fixed price offering is still an extremely common method that is not likely to be abandoned by the underwriters completely. Compared to book building efforts, fixed price offering is an efficient, low cost way to distribute shares to retail investors, avoiding the high fixed costs of road shows. Aorsio, Giudici and Paleari (2000), Guidici and Paleari (2001) present an empirical study conducted on the Milan Stock Exchange companies bet ween 1985 and 1999. Authors distinguish between fixed- price offers and open-price offers with bookbuilding and find different underpricing levels and statistically significant determinants. They state that if the offering is preceded by book building, the underpricing is significantly lower (8.32 % vs. 28.33% in fixed-price offerings), this method allows the issuing parties to collect information from the institutions and to signal good news or bad news to retailers through the revision of the prospectus price range. Therefore, the cost of raising private information is reduced and the requested underpricing is lower. The evolution of the placing procedure, from fixed price to book building, has considerably improved the efficiency of Italian IPO market. Biais and Faugeron-Crouzet (2002) analyze and compare the performance of book building, fixed price offering, uniform price auction, internet-based Open IPO mechanism, and an auction like mechanism called the Mise en Vente in France. Conclusions emerging from their analysis are; Fixed price offerings lead to inefficient pricing and winners curse. Dutch auctions can also lead to inefficiencies, to the extent that they are conductive to tacit collusions by investors. The book building and an auction like mechanism Mise en Vente can lead to optimal information elicitation and price discovery. Chahine (2002) investigates the relationship between underpricing and the investors interest prior to and after the IPO day on 305 French issues. Empirical results show that book-built issues have a lower underpricing, on median, but a higher variance level, than the auction-like and fixed-price offerings. Despite the high initial underpricing of some book-built issues, book-building procedure appears to better control the information gathering from investors participating in the offering, and to be a more efficient pricing system than the auction-like procedure. Paney (2004) examines the initial returns, characteristics of issuers and long run performance of Indian IPOs on a sample of 84 Indian IPOs between 1999 and 2002. In terms of initial returns or underpricing, Paney (2004) finds that fixed price offering yields higher initial returns on average, as compared to book building. In terms of issuer characteristics, Paney (2004) finds that fixed price offering are used by issuers of fering large proportion of their capital by raising a small amount of money. In contrast, book building is opted for by issuers, offering small portion of their stocks and mobilizing larger sums of money. Kutsuna and Smith (2004) present an empirical study conducted on the Japanese IPOs between 1995 and 1999. Using a sample of 163 book-built and 321 auctioned IPOs by JASDAQ companies, authors document that average total issue cost, measured as a percent of aftermarket price, was significantly higher in the book-building regime than in the earlier auction regime. However, when results are weighted by issue size, the estimated aggregate costs of auctioning and book building are similar. This outcome favors book building over auctions for two reasons. First, auction-method estimates do not reflect opportunity costs related to underinvestment. Second, issue cost estimates ignore other benefits of the more-accurate pricing that book building affords. Anand (2005) examines the differences between book building and Dutch-auction, and shows that the bookbuilding method of offering securities is superior to the Dutch-auction IPOs. Stated by Anand (2005), while the Dutch-auction may seem to lea d to efficient price discovery based on investor demand, recent transactions suggest that price discovery is not always accurate and that, indeed, underpricing occurs even in the Dutch auction. Further, even if the Dutch auction is more fair than the bookbuilt process in terms of allocating securities, the Dutch auction can lead to less capital market efficiency overall and can therefore be questioned as a basis for promoting this type of offering. Jagannathan and Shermans (2005) research on the efficiency of IPO mechanism show that hybrid bookbuildings5, unlike auctions, have proved effective in many different countries, cultures, time periods, and market conditions. Jagannathan and Sherman (2005) propose a new IPO mechanism that could overcome the problems with standard auctions. A method that retains the advantages of bookbuilding, while modifying it to increase transparency. Although not a direct comparison between book building, auctions and fixed-price offers, Cornelli and Gol dreich6 (2001), (2003) examine a unique data set of international book building allocations and find that the underwriter favors both regular investors and investors that supply information on the value of the issue. Degeorge, Derrien and Womack (2005) have presented empirical evidence from Frances IPO market that underwriters employing the bookbuilding process implicitly committed to providing more favorable coverage to the companies they took public in the aftermarket. Authors find convincing empirical evidence that in addition to placing the IPO shares with investors, underwriters employing book-building implicitly commit to providing more favorable coverage to the companies they take public in the aftermarket. Specifically, analysts, affiliated with the lead underwriter of the offering, issue more favorable recommendations for recent book-built IPOs than for auctioned offerings. 2.2. Fixed Price Offer vs. Book Building and/or Auctions The pricing of Initial Public Offerings (IPOs) in the short-run has been analyzed by several theoretical and empirical studies referring to the major international stock markets. Extensive research has revealed that the fixed-price offering all over the world suffer from IPO underpricing especially in these major markets. However, studies conducted by Busaba and Cheng (2001), Bierbaum and Grimm (2003), Chemmanur and Liu (2003), Hsu and Hung (2005) present some evidence on the efficiency of fixed price offering over book building and auctions. Busaba and Cheng (2001) show that the bookbuilding process elicits much information from informed traders at the IPO stage by promising larger allocation of valuable stocks to investors who truthfully reveal their information, and therefore reduce the impact that such informed traders have in the after- 5 In the hybrid bookbuilding offers, all retail investors are allowed to place orders in a public offer tranche, and all have an equal chance of getting shares. The prices, however, are set by professional investors who are given incentives to attend the road show. Jenkinson and Jones (2004), cast some doubts about the findings of Cornelli and Goldreich (2001) upon the extent of information production during the bookbuilding period. market trading. In contrast, the fixed price method, that does not elicits such private information at the IPO stage, enables informed traders to use such information in the after-market at the expense of the uninformed traders. In this regard, if the underwriter building a book can not successfully target a subset of the informed investors, a simple fixed price strategy that involves allocating the issue to retail investors produces higher proceeds on average. The comparatively high adverse selection problems associated with the fixed-price method will spill over from the IPO stage to the after-market. This in turn means that liquidity will be relatively more important for IPOs carried out via a fixed- price method than via bookbuilding. Authors show that, compared with a fixed-price offering, the bookbuilding process elicits more information from informed traders at the IPO stage, and therefore reduce adverse selection problems in the after-market trading. However, by the same toke n bookbuilding may require larger informational rents to be paid at the IPO stage. This suggests that underpricing should be larger for IPOs carried out via bookbuilding than via a fixed-price method. Bierbaum and Grimm (2003) compare the fixed price and the uniform auction in a game theoretic framework. The comparison of the two mechanisms yields that for certain parameter values, namely a low variance of the asset and, at the same time, a sufficiently high probability of low demand, fixed price method outperforms the auction in terms of revenue. Moreover, the revenue in the fixed price mechanism is typically less volatile than the revenue in the auction. Chemmanur and Liu (2003) model the effect of costly information production on issuers choice of a fixed-price offer or a uniform-price auction with exogenous entry of bidders. Their model predicts that IPO auctions will exhibit a significantly lower mean and variance of underpricing compared to fixed- price offerings. This is due to the fact that the offering price in an IPO auction aggregates the information produced by outsiders to a significant degree, so that this offering price is greater for higher intrinsic-value firms and lower for lower intrinsic-value firms in IPO auctions than in fixed- price offerings. At the same time, there is less information production in IPO auctions compared to fixed-price offerings where the offering price is set by insiders to induce the optimal degree of information production, so that a lower amount of information is reflected in the opening price of the shares listed in the stock market. Thus, Chemmanur and Liu (2003) demonstrated that, in many situations, firms will prefer to go public using fixed-price offerings rather than IPO auctions in equilibrium, since such offerings allow the firm to induce the optimal extent of information production. Hsu and Hung (2005) present an empirical study conducted on the Taiwanese companies between 1996 and 2000. Using a sample of 280 pure fixed-price offers and 84 hybrid auctioned, authors find that, Taiwanese hybrid auctions are associated with less under-pricing and with a lower variance of under-pricing than versus the pure fixed-price offers, but these differences are not statistically different. On the other hand, we find that the market index returns prior to the IPO pricing date have a strong influence on the under-pricing of Taiwanese IPO auctions and of the pure fixed-price offers. Authors provide empirical evidence of how Taiwanese issuers make the choice of IPO method. Taiwanese issuers that float large IPOs, or which have a pricing conflict with underwriters, will likely use a hybrid auction to distribute shares. On the other hand, when the relative risk level of IPO auctions to fixed-price offers has increased, the issuers will likely avoid an IPO auction. Empirical evidenc e also explains why Taiwanese IPO auctions have lost market share to fixed-price offers. Further results reveal that Taiwanese IPO auctions are not associated with less under-pricing and with a lower variance of under-pricing, nor are they better at incorporating recent market information into the IPO price than the pure fixed-price offers. Authors examination on issuers choice of hybrid auctions or fixed-price offers indicates that Taiwanese issuers condition their choice of IPO method not only on firm characteristics, but also on IPO size and on market conditions. This is why Taiwanese issuers prefer a pure fixed-price offer to a hybrid auction are based on market volatility and the pricing conflict. In doing so, under a volatile market where Taiwanese hybrid auctions have become much riskier relative to the pure fixed-price offers, issuers will prefer a pure fixed-price offer to a hybrid auction, resulting in a lower popularity of Taiwanese hybrid auctions. As listed in Table 1, Fixed Price Offering seems to be the less favorable method comparing to Book building and Auction Methods. It is a fact that, the worldwide introduction of book building method during the 90s has promoted efficiency in the major equity markets. However, Sherman (2002) states that stock markets listing few IPOs each year, fixed price offering is still be the optimal method. 2.3. Auctions vs. Book Building and/or Fixed Price Offer Using a sample of 108 French firms marketed on the Second Marchà © between 1984 and 1991, Leleux and Paliard (1995) show that initial returns are significantly higher for firms issuing through the fixed- price procedure than for firms using auction-like procedures. Leleux and Paliard (1995) state that the auction mechanism is associated with less underpricing and thus more efficient, since this procedure is able to incorporate more information from recent market momentum into the pricing of the IPO. Beierlein (2000) compares the book-bu ilding method to two commonly used auction mechanisms, the discriminatory price auction and the uniform price auction in terms of underpricing and the long run performance of IPOs relative to the market. Using data from Japan, Israel and the U.S., author finds evidence that the U.S. book building is less efficient than the auction mechanisms are. Specifically, underpricing is significantly higher in the U.S. than it is in Japan or Israel and bookbuilding appears to incorporate less demand information into the offer price than the auction mechanisms do. Bennouri and Falconieri (2001) suggest that auction mechanisms are the optimal way to sell new shares because auction procedures are more informationally efficient than bookbuilding. Assuming ex ante uncertainty about the firm true value, then auction mechanisms are able to elicit and incorporate more information from the market as well as from investors into the pricing of IPOs. Draho (2001) suggests that underpricing in bookbuilt IPOs is due to the uncertainty about the price on the secondary market rather than about the firm value, as most of the literature assume. Nonetheless, his results indicate auction-like mechanisms as the most efficient ones, since they are open to all investors who are moreover required to submit price-quantity bids. McDonald (2001) examines the efficiency mechanisms of the sealed-bid uniform-price auctions over book building method in a theoretical framework and concludes that the uniform-price auction, due to its generalized Vickrey auction properties, is indeed an efficient auction mechanism especially for the sale of IPOs over the Internet. Biais, Bossaert, and Rochet, (2002) study the optimal IPO mechanism by which the seller can extract private information to maximize the expected net IPO proceeds. They find that the optimal mechanism they characterize is similar to auction-like IPO procedures used in the U.K. and in France. Kaneko and Pettway (2003) examine the Japanese initial returns before and after the introduction of book building, and find that underpricing in book building method is significantly higher than auctions, especially during hot markets. Results suggest that the move from auction-priced to underwriter-priced IPOs using book building in Japan has significantly reduced the wealth of issuing companies while increasing the wealth of underwriter-selected investors. Derrien and Womack (2003), use the French IPO data for the 1992-1998 period and compare the three underwriting/selling mechanisms available on the French market. One is very similar to the book building mechanism used in the United States. Another is a fixed price procedure. The third one is an auction-like procedure. Authors show that the auction procedure is better than the others at controlling underpricing in general as well as the variance of underpricing of the issued shares in â€Å"hot versus â€Å"cold markets. Fixed price offering method is indeed inefficient and leads to greater underpricing compared to IPOs sold through book-building and auctions. However, the main empirical comparison in this paper is between the two main procedures auction and book building. Authors find evidence that during hot markets auctioning is associated with less underpricing than book building. They attribute the result to the auction methods ability to incorporate more information about recent market performance into the offer price. This result provides empirical support for the theoretical work by Biais, Bossaerts, and Rochet (2002) who suggests the auction procedure is optimal. In line with the evidence of Derrien and Womack (2003) that an auction procedure is more efficient in incorporating recent market momentum in the offer price compared to fixed price procedure, Vandemaele (2003) uses the French IPO data for the 1984-1995 period and points out the factors that may influence issue procedure choice. Results indicate that, firms facing relatively high valuation uncertainty are high likely to opt for an auction-like procedure and the likelihood of opting for an auction increases as the investment bank reputation associated with the issue decreases. Although not a direct comparison between auctions, book building and fixed-price offers, studies in Pettway and Kanekos (1996) examination on Japanese auctions, Kandel, Sarig and Wohls, (1999) examination on Israeli auctions, and Liu, Wei and Liaws (2003) examination on Taiwanese auctions seem to suggest that IPO auctions lead to less under-pricing. Biais and Faugeron-Crouzet (2001) show that a uniform price auction can prevent tacit collusion among bidders and can truthfully elicit information from investors in much the same way as book building. Bulow and Klemperer (1998) also show that it can be optimal in an auction to set a price at which there is excess demand. 2.4. Research on IPOs in the Istanbul Stock Exchange (ISE) Firms in Turkey may offer their shares to the public through, book building, fixed price offer and sale through the stock exchange method, however, they are mainly underwritten and sold using the fixed- price offering method; a method which is very common world w ide is becoming much less common, particularly for more active markets. Recent empirical studies, focused mainly on the initial returns and under pricing, condu

Parents Taking Control Of Their Childrens Education :: essays research papers

Never before in the United States have parents been so disgruntled about their children's education. The main reason behind this massive disruption is that public schools are not living up to parent's standards. Therefore, parents are taking their children's educations and futures into their own hands, and doing so quite efficiently. Many parents are turning to ["an alternative"] means of educating known as home schooling. Home schooling is simply ["education of school- aged children at home rather than at school."] Parents are choosing home schooling over public because public schools are not meeting their children's academic, individual, and handicap needs. First, parents are choosing home schooling over public schooling because public schools are not meeting student's academic needs. [Parents expect their children will learn to read, write, and acquire basic math skills by the time they graduate.] However, public schools throughout the United States are failing to teach these basic achedemic skills. Recent studies show that [" Of the 2.4 million who graduate, as many as 25% cannot read or write at the eighth grade level or "functionally literate," level, according to some estimates."] This is a tragic statistic for a nation claiming to be so developed. There are more opportunities to education in the United States than any other country in the world, yet evidence shows that the United States ranks [" at the bottom of 19 industrial nations in reading, writing, and arithmetic."] In addition, students are ranking lower than ever on Academic Achievement Tests (ACT). Children who attend public schools rank in the [" 50th percentile."] whereas, home schooled children [" typically score at the 65th to 80th percentile...."] To add to these statistics, [" in December 1989, the education press reported the amazing news that children schooled at home seemed to be five or even ten years ahead of their formally trained peers in their ability to think."] These statistics prove that home schooled children are doing better in math, science, reading and writing, compared to children attending public schools. Secondly, parents are choosing home schooling over public schooling because public schools are no longer taking student's individual needs into consideration. Since students are taught lessons based on an academic calendar year, they are expected to be able to complete specific tasks by the end of that year. When students fail to meet these expectations they are required to repeat the same grade the following school year.

Instrumental Rationality and the Instrumental Doctrine :: Philosophy Philosophical Papers

Instrumental Rationality and the Instrumental Doctrine ABSTRACT: In opposition to the instrumental doctrine of rationality, I argue that the rationality of the end served by a strategy is a necessary condition of the rationality of the strategy itself: means to ends cannot be rational unless the ends are rational. First, I explore cases-involving ‘proximate’ ends (that is, ends whose achievement is instrumental to the pursuit of some more fundamental end) — where even instrumentalists must concede that the rationality of a strategy presupposes the rationality of the end it serves. Second, I draw attention to the counter-intuitive consequences — in cases involving ‘non-proximate’ ends — of substituting (allegedly more manageable) questions about de facto ends for questions about the rationality of ends. Third, I argue-against Nozick — that it is a mistake to suppose that the only question dividing instrumentalists from non-instrumentalists is whether the instrumental doctrine needs sup plementation. Finally, I try to show that questions about the rationality of ends need not be viewed as impossibly daunting. According to the instrumental doctrine of rationality in the version relevant to the argument of this paper, an action (decision, policy, strategy, etc.) is rational provided it is an effective and economical means to the achievement of some de facto objective. If we formulate the instrumentalist position in terms of the familiar doctrine of the practical syllogism, the crucial thesis is that the action which forms the conclusion of the syllogism is rational provided (1) the major premise identifies a de facto objective of the agent's, and (2) the minor premise shows the action to be an effective and economical means to the achievement of that objective. The typical noninstrumentalist position, by contrast, would be that for the action in the conclusion to be one it is rational for the agent to perform, it must serve an objective it is rational for the agent to pursue: the major premise must identify a rational objective of some sort, not simply an objective the agent happens to have . I. The Instrumental Doctrine and "Proximate" Ends One way of denting the instrumentalist position is to explore cases where the action said to be rational is an effective and economical means of enabling the agent to achieve an end he or she is pursuing only because its achievement is (held to be) indispensable to effective pursuit of some more fundamental objective. These are cases where the agent is pursuing (what we might call) a "proximate" end, an end which is thought to be worth pursuing only because its achievement is a means to effective pursuit of a more basic end.

The Scarlet Letter :: essays research papers

The Scarlet Letter The major characters go through many changes due to all of the events that have taken place, but the torture they have to live and die with is all within themselves. Hester Prynn has always been strong, but being isolated from society and raising a child who constantly punishes her for her love affair makes her grow stronger and tougher. Chillingworth, who once was a caring man who loved Hester, shows his darkest side when he sets out to destroy the soul of an already weak man. Dimmesdale becomes weaker when he finds he can't purify his soul from the sin he has committed. The major character changes come from within and are controlled by the characters. Once her jail time had been served, the worst of Hester's punishment had only begun. She had confessed and had no guilt to live with, but society had completely shut her out. Also, aside from the embroidered scarlet letter she had to wear, she also had to live with her child who was a daily reminder of her sin. In order to survive her daily pain, Hester grows stronger and blocks out a lot of her emotions. It is noticed that the tougher she got inside, the tougher her appearance becomes and the more plain she dressed. Once she meet with Dimmesdale in the forest, she told him of Chillingworth, which shows she had grown strong enough to not let him hold her down. When she gained that strength, her beauty was expressed by: Her sex, her youth, and the whole richness of her beauty, came back from what men call the irrevocable past. Chillingworth had not been able to harm Hester because of her inner strength. At the end of the book, she is the only one who has survived emotionally. Chillingworth wanted a woman who would love him, but when that failed, he found a new love. His new passion became the destruction of the man who took Hester away from him. He tells Hester of his plans when he says: I shall seek this man…There is a sympathy that will make me conscious of him. I shall see him tremble. I shall feel myself shudder, suddenly and unawares. Sooner or later, he must needs be mine! When Chillingworth moved in with Dimmesdale and controlled his every day life, his whole life was based around Dimmesdale's destruction. Since Dimmesdale had not yet confessed his sin to the town, Chillingworth was succeeding in his plan to destroy Dimmesdale's soul easily.

Philosophy- Locke Hume and Kafka Essay

1. Explain how Locke and Hume view personal identity, or the â€Å"Self†. How do you see Kafka’s â€Å"Metamorphosis† as exemplifying these philosophical themes? You may choose Locke or Hume or both, or argue why you see neither of their theories as showing up in Kafka’s work. Locke’s theory of personal identity does not rely on substance to explain personal identity. Locke’s theory is person one at time two is the same person as person two at time one if and only if person one and person two are both persons and person one can remember at time two (his doing) what person two did or felt or what have you at time one. Hume’s theory of the self-held that the self is nothing but a bundle of experiences or perceptions linked by the relations of causation and resemblance; or, more accurately, that the empirically warranted idea of the self is just the idea of such a bundle. In â€Å"Metamorphosis† Kafka takes on Locke’s view of the self. Kafka illustrates that Gregor Samsa is the same person as he was when he was human even though he has changed into a bug. Kafka does this by showing that Gregor still has the same thoughts, memories, and tries to continue the same routine even though he has become a bug. Gregor stills tries to wake up and catch the train for work, he still knows how his sister, parents, and boss will act, and he still has the same feelings and emotions towards his life and the people who are in it. All of these explain go along with Locke’s view of the self verses Hume’s theory.

Inherent Risk Essay

Inherent risk Computerizing risk Non-routine transactions (Beasley 2010, p268) ‘Transactions that are unusual for the client are more likely than routine transactions to be incorrectly recorded, because of the client often lacks experience in recording them. ’ Why it is risk: Santos use a series of computerizing or IT technology to support their business for increase market competition. IT technology has been used for trade ordering systems between customs and Santos. Customers can order or purchase goods online. Therefore, non-routine transactions might occur if customers not familiar with the computerizing system. What’s more, Computerizing system would always make the same mistake, if the system has not designed properly. Thus, It might also contain some misstatement of transactions or increase opportunities that the transaction record incorrectly, such as , some of sales transactions might record in ‘other income’ due to computerizing system design mistake. Misstatement of sales account would lead to estimate wrong actual profit at the end of financial year, thus it contain risks to estimate wrong also affect the Evidence: Make sure that the computerizing system had been designed properly; review the computerizing system to identify whether there are some mistakes. Investigate sales account and other income account, identify whether every transaction has been recorded correctly. Management risk Factors related to fraudulent financial reporting and misappropriation of assets (ASA 240 incentives/pressures) Adverse relationship between the entity and employees with access to cash or other assets susceptible to the theft may motivate those employees to misappropriate those assets, for xample: promotions, compensation, or other rewards inconsistent with expectations. Management and weaknesses in internal control may be present when misstatement due to either fraudulent financial reporting or misappropriation. Why it is risk (ASA240 ) Asset misstatement or been record incorrectly due to motivation that theft could benefit from it. Weak management of internal environment would lead to fraud or misst atement happened by personal motivation.

Corporate Strategy and Foreign Direct Investment in Developing Countries Such as India Essay

Foreign direct investment (FDI), in its simplest term, is when a company from one country makes an investment into building a facility in another country, or when investments are made in order to acquire a certain stake in enterprises operating outside the economy and country of the investor. FDI plays an extraordinary role for firms wanting to operate and compete in a global business. It can provide a firm with new markets to penetrate, cheaper production facilities, access to new technologies, skills, and financing. For a host country or the foreign firm receiving the investment, it can provide many opportunities that are necessary for economic growth and development. FDI can also come in many different forms, such as direct acquisition of a foreign firm, setting up a facility in a foreign country, or investing in joint ventures and/or strategic alliances with local and foreign firms (Kim & Kim, 2006). In the past decade, due to a dramatic change in the way businesses are conducted, combined with loosening of governments’ regulations on foreign investments, FDI has increased dramatically on a global scale. When companies make decisions regarding FDI, this process require the efficient allocation of funds to investment opportunities, which often require large amounts of money that will hopefully bring greater returns to its investors. With foreign investments being far riskier than domestic investments, the effective and efficient use of funds is critical for the future performance of a multinational company. Multinational companies that engage in FDI provide a range of potential benefits that extend to the actual investors as well as the host country that is receiving the investment which are quite apparent. An example within many of these advantages include, increased profits for the industry or the firm due to lower costs of resources abroad, and increase in jobs provided in the host country. However, despite the positive arguments for FDIs there are still also many reasons how or why these type of investments can prove to be harmful. Domestic firms may consider these investments as unfair competition because the home-market is losing jobs that are instead being set-up abroad. Also, the host country may feel that they are losing their national identity due to foreign cultures and influences being imposed on them. Despite the many benefits that FDIs have provided both companies and host-countries, it is still unsure that such activities will not extend harmful effects to either participant due to the various reasons mentioned above. A reasonable outline for investments should be set-out in order to allow investors reap the benefits of their investments, while simultaneously contributing positively towards the growth and development of the host-country. The following sections of this report will attempt to analyze FDI effects on developing countries, the means available for companies to invest in foreign markets, mergers and acquisitions, and other issues related to the field of foreign direct investment. Foreign Direct Investment in Developing Countries Foreign direct investments initiated by MNCs occur primarily because in most cases these type of activities aim to fulfill all MNC’s primary objective; to maximize shareholder value (stock price) by â€Å"taking-on† various value-adding activities or investments. As such they are considered as being major contributors to economic growth for developing countries. A host country will usually want to attract foreign investors in order to acquire additional resources such as capital, new technologies, knowledge, as well as increased job opportunities for its population. Over the past decade globalization has increased dramatically, which has also sparked increasing flows of FDI in developing countries as governments begin to ease up on their regulations. According to publications from the Institute for International Economics, FDI in developing countries, and countries who are in a transition phase of their economy (i. e. China) grew dramatically during 1990-1998, from $24 billion per annum to approximately $120 billion per annum. Mentioned in the previous section, FDI in theory, as well as in practice, has proved to offer several gains to developing host countries who accept MNC’s investment efforts. From these gains, the major ones that are usually more specific to developing host countries include the transfer of technology that couldn’t otherwise be acquired through investments or trade, development of human capital through employee training, and gains in profits resulting from corporate tax revenues in the host country (Loungani and Razin, 2001). The fact is that the impact of FDI in a certain country may vary from one country to another country, therefore the degree of FDI impact really depends on the government policies and regulations that are set forth in order to either attract or deter FDI inflows. Therefore, we could concur that government policymakers have the most important role when it comes to FDI decisions. They should be aware of the different methods that could be used to promote FDI and how each of these means would affect the development and growth of the local economy. Often, policymakers seem to rush into FDI liberalization policies without considering the pros and cons of such actions. However, as the South East Asian economies have well proven to the rest of the world, if FDI can be used strategically, it can be an extremely useful tool for emerging economies and developing countries. FDI in India India’s recent liberalization of its foreign investment regulations has generated strong interest by foreign investors, turning India into one of the fastest growing destinations for global FDI. Foreign firms are setting up joint ventures in several of India’s fastest growing sectors such as telecommunications, computers software, financial services, tourism, etc. According to a global survey conducted by KPMG International on corporate investment plans in June 2008, India is expected to experience the largest overall growth in its share FDI, and will most likely become a haven for investments within the manufacturing industries. It’s true that India is becoming one of the most favored investment destinations for many developed countries as well as countries whose economies are in a transition phase. The following diagram shows how GDP per capita growth, trade volumes, and FDI inflows have surged over the years 2001-2006. Within the past few years, Japanese firms are increasingly purchasing various amounts of equity ventures in Indian firms, particularly within the automobile, electronics, and IT sectors. FDI is now recognized as one of the most important drivers of economic growth for India, and as such, the Indian government is making all efforts to attract and facilitate FDI and investment from foreign investors. India’s liberalization efforts have not only removed national barriers towards foreign investments, but have also made the process of investment activities much easier by establishing various measures. According to India Business Directory (IBD, 1999-2009), some of these implemented measures include: †¢Loosening of foreign exchange controls in order to promote greater tradebetween India and other countries †¢Companies now have significant amount of freedom to raise funds from foreign markets in order to invest and expand their foreign operations in India †¢Trade between countries is subject to fewer trade restrictions; i. . decreasing tariff levels †¢Foreign investors can pass on earnings from Indian operations with relative ease As India and its industries continue to develop and expand, more and more investors are attracted to its market with hopes of experiencing great returns. The possibilities of foreign investment in India seem endless with the combination of incentives and benefits that the Indian government offers to foreign investors. Some of these incentives include tax exemptions due to the various tax treaties that India has with 40 other countries, as well as investment incentives offered by the Indian government and the state (IBD, 1999-2009). One of the major reasons why India has attracted vast amounts of FDI in recent years is due to its FDI policies. According to the Embassy of India website (2009), FDI up to 100 percent is allowed under the â€Å"automatic route† in all sectors and activities except for those that are otherwise stated. Some of these sectors that don’t permit full ownership by the foreign investor include such items that require special licensing; i. e. alcoholic drinks, cigarettes and tobacco products, electronic aerospace and defense equipment, explosives, and hazardous chemicals. There are also other sectors of the economy that are prohibited from receiving ANY form of FDI, which include atomic energy, railway transport, ammunition and defense equipment, and mineral oils. However, most of the sectors fall under the â€Å"automatic route† for FDI, which basically implies that FDI can take place without the approval of the central government.

Maceda and Recto Law Essay

These two laws are relevant and are very often the issue of many court cases. Both laws govern the sale of property by installments. The Recto Law, which forms part of the Civil Code, covers installment sales of personal property while the Maceda Law governs installment sales of real property. The Recto Law The Recto Law comprises Articles 1484 to 1486 of the Civil Code. It was added to the Civil Code to prevent abuses in the foreclosure of chattel mortgages, such as when mortgagee-creditors foreclosed mortgaged property, bought them at a low price (on purpose,) then prosecuted the mortgagor-debtors to recover the deficiencies. In the event a buyer of personal property defaults by failing to pay two or more of the agreed installments, the seller can do any of the following: 1.) Demand that the buyer pay (a.k.a. specific performance) 2.) Cancel or rescind the sale 3.) Foreclose the mortgage on the property bought (if there ever was a chattel mortgage) Regarding no. 3, this happens when a person takes a loan to buy something and he mortgages the thing he bought to ensure the creditor that he will pay the loan. Remember: If you choose one remedy, you can’t choose the others. These remedies, believe it or not, are also available to the buyer. You also can’t use all or any of them at the same time. The Recto Law also won’t apply to a straight sale (i.e. a sale where there is a downpayment and the balance is payable in the future in a single payment only.) The seller can also assign his credit to another person, making that person the new creditor. If the buyer refuses to surrender the items to the seller, he becomes a perverse buyer-mortgagor. When that happens, the seller can recover expenses and attorney’s fees. The Recto Law also covers leases with the option to purchase. The Maceda Law The Maceda Law, RA 6552, is the real estate equivalent of the Recto Law. Like the Recto Law, it also covers financing of sales of real property (which is why mortgages also come in.) It doesn’t apply,however, to the following sales: 1.) Industrial lots 2.) Commercial buildings and lots 3.) Lands under the CARP Law Depending on when the buyer defaults, there are two (2) possible scenarios: if the buyer paid at least two (2) years’ installments and if the buyer paid less than 2 years’ installments. If the buyer paid less than 2 years’ installments and defaults, he is given a grace period of sixty (60) days starting from the date of his last installment to resume paying. This period can be increased by the seller. If after the grace period the buyer still can’t pay, the seller must make a notarial demand to cancel the sale. The cancellation becomes effective thirty (30) days after the buyer was notified. So it’s possible that the buyer could be notified two months after the 60-day period and then the 30-day period will begin. If the buyer paid at least two years’ installments, the buyer can pay the unpaid balance without interest. The grace period is computed at one (1) month per year of installment payments. It also begins from the time the buyer paid his last installment. The grace period can be used only once every five (5) years of the sales contract’s life -including its extensions. So it’s possible to have a grace period of a year if the buyer had been  paying his installments faithfully for 12 years. Once the buyer chooses to use the grace period, he can’t get it again until another five years are over. If the seller wants to cancel the sale, he has to refund the buyer of 50% of the actual payments. If the buyer paid more than five years’ installments another 5% for every year is to be added to the refund, but only up to 90% of the total payments made. The payments mentioned here include the downpayment, options and deposits. The refund is made in this way: if the buyer paid more 2 to 5 years’ installments, he can get back 50% of the cash surrender value. If he paid for more than 5 years, he can get the 50% plus 5% per year up to 90%. The buyer is also allowed to make advanced payments, or even the full price, without interest. He can also assign his rights to another person, making that person the new buyer, but he can only do that with a notarial deed of sale assignment. The Maceda Law cannot be used by a real estate developer (see here.) It also cannot be used by the highest bidder in foreclosure proceedings. REPUBLIC ACT NO. 6552 REALTY INSTALLMENT BUYER PROTECTION ACT AN ACT TO PROVIDE PROTECTION TO BUYERS OF REAL ESTATE ON INSTALLMENT PAYMENTS Section 1. This Act shall be known as the â€Å"Realty Installment Buyer Act.† Sec. 2. It is hereby declared a public policy to protect buyers of real estate on installment payments against onerous and oppressive conditions. Sec. 3. In all transactions or contracts involving the sale or financing of real estate on installment payments, including residential condominium apartments but excluding industrial lots, commercial buildings and sales to tenants under Republic Act Numbered Thirty-eight hundred forty-four, as amended by Republic Act Numbered Sixty-three hundred eighty-nine, where the buyer has paid at least two years of installments, the buyer is entitled to the following rights in case he defaults in the payment of succeeding installments: (a) To pay, without additional interest, the unpaid  installments due within the total grace period earned by him which is hereby fixed at the rate of one month grace period for every one year of installment payments made: Provided, That this right shall be exercised by the buyer only once in every five years of the life of the contract and its extensions, if any. (b) If the contract is cancelled, the seller shall refund to the buyer the cash surrender value of the payments on the property equivalent to fifty per cent of the total payments made, and, after five years of installments, an additional five per cent every year but not to exceed ninety per cent of the total payments made: Provided, That the actual cancellation of the contract shall take place after thirty days from receipt by the buyer of the notice of cancellation or the demand for rescission of the contract by a notarial act and upon full payment of the cash surrender value to the buyer. Down payments, deposits or options on the contract shall be included in the computation of the total number of installment payments made. Sec. 4. In case where less than two years of installments were paid, the seller shall give the buyer a grace period of not less than sixty days from the date the installment became due. If the buyer fails to pay the installments due at the expiration of the grace period, the seller may cancel the contract after thirty days from receipt by the buyer of the notice of cancellation or the demand for rescission of the contract by a notarial act. Sec.   5. Under Section 3 and 4, the buyer shall have the right to sell his rights or assign the same to another person or to reinstate the contract by updating the account during the grace period and before actual cancellation of the contract. The deed of sale or assignment shall be done by notarial act. Sec.  6. The buyer shall have the right to pay in advance any installment or the full unpaid balance of the purchase price any time without interest and to have such full payment of the purchase price annotated in the certificate of title covering the property. Sec. 7. Any stipulation in any contract hereafter entered into contrary to the provisions of Sections 3, 4, 5 and 6, shall be null and void. Sec. 8. If any provision of this Act is held invalid or unconstitutional, no other provision shall be affected thereby. Sec. 9. This Act shall take effect upon its approval. Approved: August 26, 1972 Source: http://www.foreclosurephilippines.com/2011/04/maceda-law-full-text-ra-6552.html#ixzz2WU4VzLe8