Mortgage managers lack the organizational strategies to evolve after the 2008 economic decline of the U.S. and the global economy. The significance in the lack of organizational strategies threaten the U.S. and global communities with challenges in defaults for homeowners, performance and profits for the mortgage industry that jeopardize solvent economies. The purpose of this qualitative single case study was to explore the strategies mortgage loan managers use to avoid mortgage crises and maintain profitability. The conceptual framework for this study was the social audit theory. The participants of the study were 7 mortgage managers, in the North-Eastern region of the U.S. Data were collected using semistructured interviews as the primary source, and as the secondary source data from public files, press releases, archives, public databases, and the company website. Using methodological triangulation, data, were analyzed and the following 5 themes emerged: adherence to government regulations, training strategies, credit history strategies, work history strategies and income-to- debt-ratio strategies. The potential implications for positive social change include increasing the success rate of lending for mortgage managers, which in return could create profit for mortgage firms, generate employment opportunities, increase the government tax revenues, and contribute to the growth of the U.S economy.

This thesis is an investigation into the foundations of reasoning with default rules as presented by Reiter in his seminal 1980 article: `A Logic for Default Reasoning'. In being such, it opens up with a critical appraisal of the logical underpinnings of Reiter's presentation of the main elements of reasoning with default rules. More precisely, following Reiter's presentation, it discusses the concept of a default rule in comparison with that of a rule of inference, the concept of an extension in comparison with that of a theory, and the concept of `being a consequence of' for reasoning with default rules. Contrary to the commonly perceived view, the argument put forth is that such a context does not provide sensible logical foundation for reasoning with default rules. As a result, this thesis argues for an alternative interpretation to what is captured by default rules, what is captured by extensions, and what `being a consequence of' for reasoning with default rules amounts to. In particular, it proposes to treat default rules as premiss-like objects standing for assertions made tentatively, to treat extensions as interpretation structures of a syntactical kind, and to bring the concept of `being a consequence of' for reasoning with default rules into the foreground by formulating a suitable notion of an entailment relation and its ensuing logical system. Accounting for the fact that in any logical system it is important to have at hand mechanisms for formulating proofs and for structuring large theories, this thesis presents a tableaux based proof calculus for reasoning with default rules and it explores some mappings notions related to the structuring of default presentations, i.e., presentations in the context of reasoning with default rules. / Thesis / Doctor of Philosophy (PhD) / This thesis is an investigation into the foundations of reasoning with default rules as presented by Reiter in his seminal 1980 article: `A Logic for Default Reasoning'. A first very general problem definition for this Ph.D. thesis is raised by the following question: Can reasoning with default rules, as presented in Reiter's seminal 1980 article: `A Logic for Default Reasoning', be understood as a logic for non-monotonic reasoning? This thesis presents a rationale for the formulation of such a question and a possible answer for it. On the more technical side, this thesis presents a proof calculus for a particular formulation of a logic for reasoning with default rules, as well as some mapping concepts for structuring presentations defined on this logic.

Yes / Digital inclusion research has been critically important in drawing an understanding of how policies, society, organisations, and information technologies can all come together within a national environment that aspires to be a digital nation. This research aims to examine the factors influencing e-Inclusion in the UK within a digital-by-default policy for government services. This study is pursued through combining the Decomposed Theory of Planned Behaviour (DTPB) with Use and Gratification Theory (U&G) and conducting a self-administered survey targeting 510 Internet users to study the level of citizens engagement with e-government services in the UK. By incorporating gratification, trust, risk and external factors (i.e. self-efficacy, accessibility, availability, affordability) within DTPB, the proposed model of e-Inclusion used in the paper demonstrates a considerable explanatory and predictive power and offers a frame of reference to study the acceptance and usage of e-government within a national context where nearly all government transactions are digital-by-default. The findings revealed six dimensions as key inhibitors for e-Inclusion, namely: demographic, economic, social, cultural, political, and infrastructural.

O objetivo deste trabalho é desenvolver uma estratégia de hedge dinâmico de um swap FtD com n nomes, para n maior ou igual a dois. A estratégia deve eliminar os riscos de mercado e de default, incluindo o risco de correlação. Neste sentido, a escolha do instrumento de hedge é fundamental. A rolagem contínua de CDS é um instrumento de hedge que além de proteger contra os riscos envolvidos no contrato em questão, a estratégia gera recurso necessário e suficiente para que no instante do primeiro default, o vendedor do swap FtD cumpra com as obrigações dos contratos e não tenha perdas com os (n-1) CDSs correspondentes aos nomes que sobreviveram e foram utilizados no hedge. / The objetive of this work is to develop a dynamic hedging of first-to-default swap with n underlying names. The strategy should eliminate market risk and default risk, including correlation risk. In this sense, the hedge instrument choice is essencial. The continuous resettling strategy os CDS is a hedge instrument against risks in the contract and moreover it will generate necessary and sufficient income to hedger fulfill all contracts obligations and doesn\'t have losses with the (n-1) CDSs associates with the names that have survival and were used in the hedging.

O objetivo deste trabalho é desenvolver uma estratégia de hedge dinâmico de um swap FtD com n nomes, para n maior ou igual a dois. A estratégia deve eliminar os riscos de mercado e de default, incluindo o risco de correlação. Neste sentido, a escolha do instrumento de hedge é fundamental. A rolagem contínua de CDS é um instrumento de hedge que além de proteger contra os riscos envolvidos no contrato em questão, a estratégia gera recurso necessário e suficiente para que no instante do primeiro default, o vendedor do swap FtD cumpra com as obrigações dos contratos e não tenha perdas com os (n-1) CDSs correspondentes aos nomes que sobreviveram e foram utilizados no hedge. / The objetive of this work is to develop a dynamic hedging of first-to-default swap with n underlying names. The strategy should eliminate market risk and default risk, including correlation risk. In this sense, the hedge instrument choice is essencial. The continuous resettling strategy os CDS is a hedge instrument against risks in the contract and moreover it will generate necessary and sufficient income to hedger fulfill all contracts obligations and doesn\'t have losses with the (n-1) CDSs associates with the names that have survival and were used in the hedging.

Over the past decade, numerous engineered credit events and cases of market participants manipulating bond prices to influence Credit Default Swap (CDS) auction payouts have occurred. These cases have become increasingly common, and the CFTC has stated they may constitute market manipulation and undermine not only the CDS market but also the credit derivative and default markets. Although there is a plethora of news and media coverage on publicized cases, there is no previous empirical research on evidence of these practices. This paper is motivated by the desire to determine if there is indirect evidence of bond price manipulation around default and of market participants’ attempts to favorably move CDS’s underlying bond prices to achieve more profitable positions around default and emerging from CDS auctions. The analysis is performed by analyzing the effect of a bonds’ inclusion in CDS auctions on bond return volatility around the time of default while controlling for credit risk, illiquidity, firm fundamentals, and other bond-level controls. I find that bond return volatility around default is much higher as a result of a bond’s inclusion in a CDS auction, which serves as indirect evidence of bond price manipulation around default as market participants strive for more profitable CDS auction outcomes and possibly of manufactured credit events. Consistent with previous literature, I also find that bond illiquidity significantly impacts bond return volatility. My results are robust to propensity score matching, implementing double-robust estimators, and controlling for any time-varying cross-sectionally-invariant fluctuations in bond return volatility.

This paper seeks to fill a gap in the literature regarding the consequences of banning ‘naked’ Credit Default Swaps (CDS). In particular, I use the European Union’s Ban on ‘naked” Sovereign CDS as an event study to evaluate the impact that banning such derivative products has on the price discovery process in the credit markets. Using both Granger Causality tests and a Vector Error Correction Model, I find that before November 1, 2012, CDS are the clear price leader in the credit markets. However, since the official date the regulation was put into effect, CDS’ price leadership was eroded. Moreover, after the ban, CDS and Bond Yield Spreads are no longer cointegrated in the long run, suggesting that different pricing mechanisms now exist between the two securities

Individuals with Parkinson’s disease (PD) often show cognitive impairments in addition to motor symptoms, with the majority of PD patients converting to dementia as the disease progresses. The changes in the microstructural integrity of key nodes in resting state networks (RSNs) could be a good indicator of the cognitive effects of PD on brain regions as it progresses to dementia. To assess the association between cognitive effects and microstructural change, the microstructural integrity of the regions of interest (ROIs) in 4 resting state networks (RSN), specifically the default mode network (DMN), based on DTI were obtained in three separate groups of patients with PD. One group of patients (PD-N) were cognitively normal, while the second group of patients (PD-MCI) reflect the transitional phase of mild cognitive impairment prior to dementia, and the third group of patients (PD-D) possessed a clear diagnosis of dementia. A comparison group of healthy controls (HC) were included, matched across the three patient groups. The PD-D group showed worse microstructural integrity for the majority of the ROIs across the 4 networks. The loss of structural integrity in the PD-MCI group was more selective, with some ROIs showing similar changes to PD-D, and others showing similar changes to the PD-N group. The PD-N group fail to show any changes in the structural integrity of any ROIs, relative to HC. For future study, a combined structural / functional study should be performed to examine if there are similar changes across both measures.

Using an extensive cross-section of US corporate CDS this paper offers an economic understanding of implied loss given default (LGD) and jumps in default risk. We formulate and underpin empirical stylized facts about CDS spreads, which are then reproduced in our affine intensity-based jump-diffusion model. Implied LGD is well identified, with obligors possessing substantial tangible assets expected to recover more. Sudden increases in the default risk of investment-grade obligors are higher relative to speculative grade. The probability of structural migration to default is low for investment-grade and heavily regulated obligors because investors fear distress rather through rare but devastating events. (authors' abstract)

The thesis sheds light on key policy issues emerging from the recent Global Financial Crisis. The first chapter studies whether expansionary monetary policy contributes to bank risk-taking, in the case of Asia. I rely on panel data analysis covering 432 banks in 9 Asian countries over the year 2000-2011. The ratio of risky assets to total assets serves as a risk-taking indicator. The results support the existence of the bank risk-taking channel, which is more pronounced for banks listed on the stock market. I also report new findings with respect to how banks take more risk following monetary expansion. Importantly, evidence of excessive leverage is not found. The second chapter constructs a model for analyzing bank risk-taking. I embed firm heterogeneity, endogenous default risk and capital adequacy regulation into both RBC and NK DSGE models. A subset of the firms can partially default on their loans obligation but subject to non-pecuniary default penalty. With those financial frictions in place, I find that standard macroeconomic shocks can induce banks to engage in higher risk-taking. The chapter then explores the effectiveness of several macro-prudential tools in mitigating risk-taking. I find countercyclical capital buffers and risky to total asset ratio targeting to be effective. The third chapter emphasises the spillover effects of shocks originating in the housing and financial market on the real economy. I embed endogenous mortgage default into a New Keynesian model that features housing and the banking sector. The latter faces capital regulation. We study two key shocks, namely shocks to the variance of idiosyncratic housing shock and shocks to the penalty on capital regulation. Both are instrumental in causing a surge in mortgage default and loans risk premium, which constrains bank lending activity. The chapter later introduces three macroprudential measures to explore whether they improve economic stability and welfare.