臺大管理論叢 NTU Management Review VOL.30 NO.1

ethics on the relationship between corruption and economic growth. The results show that corruption influences the economic growth of developed and emerging countries differently. For developed countries, the “sand the wheels” viewpoint is supported; however, for emerging countries, the “grease the wheels” viewpoint is supported. Similarly, the results show that business ethics influence the economic growth of developed and emerging countries differently. Business ethics have a positive influence on the economic growth of developed countries, and a negative influence on the economic growth of emerging countries. Moreover, the results conclude that business ethics can reduce the negative impact of corruption on the economic growth of developed countries, and reduce the positive influence of corruption on the economic growth of emerging countries. Another article by Chan, Chen, Ke, and Huang investigates profits and losses of different types of participants in Taiwan’s warrant market. Empirically, the authors show that the winners of Taiwan’s warrant market are warrants issuers, market makers, brokers, and the government, while the losers are individual investors. The losses of warrant holders are caused by the time value decay of warrants, and thus the main buyers, individual investors, become the losers. Individual investors suffer greater losses when trading out-of-the-money warrants and American warrants. They also have greater losses in the trading of warrants with a low issue price, and warrants whose underling asset has higher volatility or a lower market value. Furthermore, the results show that high spreads significantly increase the transaction costs of warrant holders, which will raise the losses of individual investors. To promote the trading fairness and development of Taiwan’s warrants market, authors suggest that the regulators: (1) strengthen the market-making mechanism of warrants, (2) periodically evaluate the performance of warrant issuers, and (3) implement the short-selling mechanism of warrants under complete supporting policies. Hsiou-Wei Lin David Ming-Huang Chiang San-Lin Chung