157 10 3494 https://omeka.ibu.edu.ba/files/original/7323a93e2c7070a0965bd5c5cfb7c48a.pdf 1f4ba1c655d37622a98c535dc557cb31 PDF Text Text Journal of Economic and Social Studies Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis Gelengul Kocaslan Faculty of Economics Istanbul University Istanbul, Turkey kocaslan@istanbul.edu.tr Oguzhan Ozcelebi Faculty of Economics Istanbul University Istanbul, Turkey ogozc@istanbul.edu.tr Suna Mugan Ertugral Faculty of Economics Istanbul University Istanbul, Turkey mugan@istanbul.edu.tr Abstract: Statistics of Central Bank of the Republic of Turkey (CBRT) and World Bank (WB) imply that the foreign trade volume of Turkey with its major trade partners in the Balkans (Bulgaria, Greece and Romania) may have a positive effect on Turkey’s economy even under the circumstances of the recent financial crisis. In this respect, on the basis of Vector Error Correction (VEC) model, Granger causality analysis has been performed to make inferences about the consequences of a possible regional trade agreement of Turkey with Bulgaria, Greece and Romania on the real economic activity in Turkey. Thereby, it is aimed to determine whether it is reasonable for Turkey to make a regional trade agreement with Bulgaria, Greece and Romania. Empirical findings reveal that Turkish economy may benefit from a regional economic integration with these Balkan countries. Keywords: Regional Trade Agreements, Balkan Countries, Causality Analysis JEL Classification: F10, F14, F15. Article History Submitted: 11 Jun 2013 Resubmitted: 17 Sept. 2013 Accepted: 26 September 2013 25 �Gelengul Kocaslan, Oguzhan Ozcelebi, Suna Mugan Ertugral Introduction Economic growth and competitiveness depend on the realization of investments and gross fixed capital formation and accordingly increasing economic growth may lead to an expansion of international trade. Besides, historical and cultural connections promote trade relations. Turkey, as a Balkan country, has historical, cultural and political ties with other Balkan countries and economic relations have been growing especially after the collapse of the Eastern Bloc. As shown in Table 1, foreign trade volume of Turkey with its major trade partners (Bulgaria, Greece and Romania) in the Balkans has been increasing gradually from 1990. Thus, GDP of Turkey may be affected positively by the increasing foreign trade volume with Bulgaria, Greece and Romania. Table 1. Foreign Trade Volume of Turkey with Bulgaria, Greece and Romania (Million $) and GDP Growth Rates (%) Years Foreign Trade Volume of Turkey with Bulgaria Foreign Trade Volume of Turkey with Greece Foreign Trade Volume of Turkey with Romania GDP Growth Rate of Turkey (%) GDP Growth Rate of Bulgaria (%) GDP Growth Rate of Greece (%) GDP Growth Rate of Romania (%) 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 42 216 297 329 329 585 520 585 581 529 718 693 889 1.311 1.848 268 221 234 239 274 411 521 729 690 694 869 742 903 1.348 1.759 286 304 429 452 404 670 755 753 813 669 1.000 873 1.228 1.829 2.925 9,27 0,72 5,04 7,65 -4,67 7,88 7,38 7,58 2,31 -3,37 6,77 -5,70 6,16 5,27 9,36 -9,12 -8,45 -7,27 -1,48 1,82 2,86 -9,03 -1,65 4,86 1,96 5,70 4,20 4,70 5,50 6,70 0,00 3,10 0,70 -1,60 2,00 2,10 2,36 3,64 3,36 3,42 4,48 4,20 3,44 5,94 4,37 -5,60 -12,90 -8,84 1,51 3,97 7,16 4,01 -6,10 -4,79 -1,20 2,10 5,70 5,10 5,20 8,40 26 Journal of Economic and Social Studies �Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis 2005 2.369 1.851 4.069 8,40 6,40 2,28 2006 3.231 2.648 5.019 6,89 6,50 5,51 2007 4.012 3.213 6.757 4,67 6,40 3,54 2008 3.992 3.581 7.535 0,66 6,20 -0,21 2009 2.506 2.765 4.474 -4,83 -5,50 -3,14 2010 3.199 2.997 6.048 9,16 0,40 -4,94 2011 4.097 4.123 6.677 8,50 1,70 -7,10 Source: Central Bank of the Republic of Turkey and World Bank 4,17 7,90 6,00 9,43 -8,50 0,95 -0,37 In this study, we examine whether regional integration between Turkey and Balkan countries (Bulgaria, Greecei and Romania) may promote the real economic activity in Turkey, whereupon it is attempted to determine whether it is reasonable for Turkey to make a regional trade agreement with Bulgaria, Greece and Romania. Thus, we examined the causal relations among GDP of Turkey and foreign trade volume of Turkey with Bulgaria, Greece and Romania using Vector Error Correction (VEC) model framework. Theoretical Considerations and Previous Research Various researches have investigated the welfare implications of regional trade agreements and their impact on the global economy. Beginning with contributions by Viner (1950) and Meade (1955), regional integration arrangements have been widely studied in economic analysis. Viner (1950) concluded that regional integration might be predominantly trade diverting and therefore welfare reducing. Thus, regional integration arrangements have failed to yield universally applicable policies. However, economic theory says that a regional integration agreement can be structured in a way that creates gains for the member countries without harming any nonmembers (McMillan, 1993, p. 2). Viner (1950) also suggested that the theory of second best implying that reducing tariffs under a regional integration arrangement moving in the direction of Pareto optimality does not guarantee an improvement in welfare for individual countries or the world economy as a whole (DeRosa, 1998, p. 21). According to the economic theory, it is possible for regional agreements to avoid harm to outsiders while improving their own welfare. Chang-Winters (2002) found that preferential trade agreements reduced trade diversion and harmed nonmembers by reducing the prices of imports from nonmembers. It is denoted that the neoclassical Ricardian model is failed to provide an adequate empirical framework to explain the growth of open economies (Robinson, 1999, p. 10). 27 �Gelengul Kocaslan, Oguzhan Ozcelebi, Suna Mugan Ertugral Although regional trade agreements are questioned whether they increase welfare, research on regional trade agreements show that trade creation greatly exceeds trade diversion and increase welfare for all members. Regional trade integrations represent trade diversion by shifting production from an efficient nonmember country to a less efficient member country. According to the Kemp-Wan theorem; if a regional integration arrangement promotes exports from nonmember countries to the members, the welfare of nonmember countries and the world economy as a whole must improve (Robinson, 1999, p. 2). Any change in trade policy produces gainers and losers. Member countries’ welfare increase as new members join the regional trade agreement providing evidence that there are gains from expanding the regional trade agreements (Robinson, 1999, p. 15). Meade (1955) admitted the possibility of not only spillover effects of regional integration arrangements on non-member countries, but also feedback effects of international adjustments to the formation of regional integration arrangements on member countries themselves (De Rosa, 1998, p. 22). Empirical studies about foreign direct investment also demonstrated a positive incidence of regional integration on foreign direct investments (Montout-Zitouna, 2005, p. 2). In contrast to Viner (1950) and Meade (1955) who emphasized the association of gains from regional integration arrangements with scale economies, Corden (1972) set down that scale economies and market structure was not linked formally (De Rosa, 1998, p. 39). Bhagwati-Panagariya (1996) and Schiff (1996) concerned in the economic size of countries joining a regional integration arrangement and found that a small country is expected to gain more from joining a large regional integration arrangement than a small regional integration arrangement. Frankel, Stein-Wei (1995) concluded statistically significant results on the effects of economic size, distance and the existence of a regional trade agreement between partners on bilateral trade (Frankel, Stein-Wei, 1995, p. 73). Baldwin-Venables (1995) described the domino theory of regionalism suggesting that countries seek to join regional trade agreements because of the fear of exclusion (Robinson, 1999, p.1). Regionalism is expected to result in economic integration of neighboring countries; (Oman 1996, van Liemt 1998) adopted technology, politics, institutions and culture besides neighborhood defining integration. Neighbor countries whose relative resource endowments are highly complementary are expected to expand their trade relations significantly by forming a regional trading bloc in order to derive particularly large benefits (DeRosa, 1998, p. 34). 28 Journal of Economic and Social Studies �Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis Cairncross (1997) emphasized that the impetus from these driving forces is transmitted via reductions of transaction costs, in other words, via a decline of economic distance between the countries involved (BodenSoltwedel, 2010, p. 2). Bhagwati (2004) and Schulze-Ursprung (1999) provided evidence that these reductions of transaction costs are expected to change income level, employment and growth rates. However, transaction costs are difficult to determine because of their heterogeneity. The most concise concept of economic integration defines economic integration to be the inverse of transportation (Boden-Soltwedel, 2010, p. 2). Krugman (1993) considered natural trading blocs among neighbor countries and found that low transportation costs contribute to welfare gains when these countries in a regional trade agreement. Empirical Analysis For understanding the nature of any non-stationarity among the different series and improving longer term forecasting over a model, VEC models can be used. Within VEC model framework, Granger causality analysisiihas been performed for determining whether Turkey’s foreign trade volume with Bulgaria, Greece and Romania is useful in forecasting GDP of Turkey. Analysis is carried for the period from the first quarter of 1990, after liberalization of the capital account of Turkey in 1989to the fourth quarter of 2011. Data is on quarterly basis and following variables are used: the log of GDP for Turkeyiii; gdpttr , the log of foreign trade volume with Bulgaria, Greece and Romaniaiv; ftbulttr , ftgrettr and ftromttr . All series are in levels and derived from CBRT and OECD databases. Unit Root Tests for the Time Series For determining whether the variables used in the empirical exercise are stationary or not, we employ the most widely used unit root tests in the econometric literature namely the Augmented Dickey-Fuller (ADF). Since critical values of the test depend on the deterministic terms which have to be included, Pantula principle proposed by Pantula (1989) is followedv. Since all series included in the empirical analysis have a nonzero mean and a linear trend, unit root tests are implemented with constant and trend terms and for determination of the lag length of ADF test, Akaike Information Criteria (AIC) is employed. At the 1 percent significance level; all series in levels form are non-stationary, whereas all series are stationary in first-differences. All series are regarded as integrated of 29 �Gelengul Kocaslan, Oguzhan Ozcelebi, Suna Mugan Ertugral order 1; thus we explored the possibility of cointegration relationship among the series. Table 2. Augmented Dickey-Fuller Tests Variables ADF Test Statistic Number of Lagged Differences gdpttr (c, t) -2,68 1  gdpttr (c) -8,84 0 ftbulttr (c, t) -2,00 9  ftbulttr (c) -5,05 8 ftgrettr (c, t) -3,43 1  ftgrettr (c) -14,50 0 ftromttr (c, t) -2,02 8  ftromttr (c) -3,58 8 VEC Model The Concept The general framework of VEC model is based on a VAR( p) model with deterministic terms as represented below; yt  A1 yt 1  ...  Ap yt  p  Dt  ut (1) where yt =(y 1t .…y Kt ) ' is a vector of endogenous variables with K elements, Ai is the parameter matrix. u t is an unobservable white noise process that has positive covariance matrix E( u t u t' )=Σ u (Lütkepohl, 2007, p. 88). Within the VAR model framework in (1), Equation (2) can be specified as a VEC model. yt  yt 1  1yt 1  ...   p 1yt  p 1  ut 30 (2) Journal of Economic and Social Studies �Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis In (2), yt does not contain stochastic trends by the assumption that all variables can be at most I (1) . Thus, the long-runpart yt 1 contains I (1) variables and it must be I (0) .  can be written as a product of ( K  r ) matrices  and  with rk( )  rk(  )  r ;    ' when rk()  r . By premultiplying yt 1   ' yt 1 ( ' )1 ' ,  ' yt 1 is obtained. Thus,  ' yt 1 is I (0) and contains co integrating relations.  is the co integrating rank of the system since r  rk() linearly independent co integrating relations exist among the components of yt .  is a co integration matrix, whereas the loading matrix  contains the weights attached to the co integrating relations in the individual equations of the model. Finally, i are referred as the short-run parameters (Lütkepohl, 2007, pp. 89-90). For the determination of whether or not the linear combination of these variables are I (0) , we employed the widely used in the literature Johansen co integration test - as represented below; (3) y t = Dt +x t where D t =  0 + 1 t is the deterministic part with a linear trend term and x has a VAR representation as in equation 2. If 1 =0, y t -  0 =x t and thus (3) has the VEC form (Lütkepohl, 2007, pp. 111-112). t p 1  y t =  (y t 1 -  0 )+   j y t  j  u t (4) j 1 Within the framework of (4), the pair of hypothesis below is tested to determine the co integrating rank of the system (JMulTi 4.23 Help System). H 0 =(r 0 ): rk (  ) =r 0 versus H 1 =(r 0 ): rk (  ) >r 0 r=0.……... K -1 (5) Table 3. Johansen Co integration Test 31 �Gelengul Kocaslan, Oguzhan Ozcelebi, Suna Mugan Ertugral Series: gdpttr , ftbulttr , ftgrettr , ftromttr No. of Included Lags (Levels): 9 %95 Critical %90 Critical Value Value 56,46 63,66 70,91 r 1 36,17 42,77 48,87 r2 16,84 25,73 30,67 Null Hypothesis Test Value r 0 Table 3 indicates that there exists one co integrating relation both among the variables ( gdpttr , ftbulttr , ftgrettr , ftromttr ). Thus, causality relations among these variables are investigated within VEC model framework for making inferences about the effects of foreign trade volume of Turkey with Balkan countries on GDP of Turkey. Granger-Causality Analysis Granger (1969) has introduced a causality concept that has become quite popular in the econometrics literature. Accordingly, y2t is to be causal for a time series variable y1t if the former helps to improve the forecasts of the latter. For testing this property, a bivariate VAR( p) process of the form below can be considered (Lütkepohl, 2007, p. 144-145).  y1t  p  2 11,i 12,i   y1,t i  u   CDt   1t      y      2t  i 1  21,i  22,i   y2,t i   u2 t  (6) The null hypothesis that y2t is not Granger-casual for y1t is tested by; 12,i  0, i  1, 2,..., p  1. (7) Accordingly, y2t is not Granger-causal for y1t if its lags do not appear in the y1t equation. Granger-causality can also be investigated in the framework of the VEC model (Lütkepohl, 2007, p. 146). 32 Journal of Economic and Social Studies �Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis p 1  y  11,i  y1t  '  1,t 1      y    y   2t   2,t 1  i 1  21,i  12,i   y1,t i  u  22,i   y2,t i  t (8) Equation (8) is equivalent to  12,i  0 (i  1,..., p  1) and the element in the upper right-hand corner of  ' is also zero. If r  1 ,  and  are (2 × 1) 1    1  2    1 2  2    1 1  . In this case, 12  0  2 1  2  2  needs to be checked besides  12,i  0 and there must be Granger-causality in at least one direction since  and  both have rank one (Lütkepohl, vectors and  '   2007, p. 146). On the other hand, y2t is said to be instantaneously causal for y1t if knowing the value of y2t in the forecast period helps to improve the forecasts of y1t . More precisely, y2t is said to be instantaneously noncausal for y1t if y1,t 1|t  y1,t 1|t  y2,t1 (9) where t is the set of all the relevant information in the universe and  denotes union. y2t is instantaneously causal for y1t , if and only if u1t and u2t are correlated (Lütkepohl, 2007, p. 146). 33 �Gelengul Kocaslan, Oguzhan Ozcelebi, Suna Mugan Ertugral Table 4. Granger Causality Tests tr tr tr tr Series: gdpt , ftbult , ftgret , ftromt No. of Included Lags (Levels): 10 H 0 : ftbulttr , ftgrettr and ftromttr do tr tr tr tr Series: gdpt , ftbult , ftgret , ftromt No. of Included Lags (Levels): 10 H 0 : No instantaneous causality between tr not Granger-cause gdpt ftbulttr , ftgrettr , ftromttr , gdpttr Test Statistic p-value- F Test Statistic p-value-  3,54 0,00 16,17 0,00 Optimal lag lengths of the model are determined by the AIC. In our empirical exercise tests for causality are based on the estimation of the VEC(10) model with the time series vector tr tr tr tr ' yt  ( gdpt , ftbult , ftgret , ftromt ) .Table 4 exposes that the two noncausality hypothesis can be rejected since the p-values of the tests are smaller than 0,05, both Granger-causal and instantaneous-causal relations among ftbulttr , ftgrettr , ftromttr , gdpttr is detected, revealing that increases in the foreign trade volume of Turkey with Bulgaria, Greece and Romania may lead to an expansion in the domestic real activity of Turkey, which in turn promote economic development. Conclusion Our findings reveal that making a regional trade agreement with Bulgaria, Greece and Romania may provide a strong competitive effect and increasing returns for Turkey. Besides, Turkey may benefit from spillover and feedback effects that may occur from a regional trade agreement with these countries. On the other hand, there may be limitations to signing the trade agreement among Bulgaria, Greece, Romania and Turkey since Greece is an existing member of the Euro area. However, there have been ongoing debates whether Greece should leave the Euro and return to the drachma. Thus, signing regional trade agreement with Bulgaria, Romania and Turkey may be an alternative to the Euro area and be advantageous for Greece. Since Greece has a relatively higher inflation rate than Bulgaria, Romania and Turkey; by signing a regional trade agreement, Greece may purchase goods from Bulgaria, Romania and Turkey at lower prices, which in turn have a positive impact on inflation. Furthermore, for overcoming the negative effects of the economic recession, Bulgaria, Greece and Romania may benefit from a possible regional trade 34 Journal of Economic and Social Studies �Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis agreement since increased competition may lead to the rationalization of production and the removal of inefficient duplication of plants and may cause firms to cut prices and expand their sales. References Baldwin, R. E. & Venables, A. J. (1995). Regional Economic Integration. In: Handbook of International Economics, Vol. III (eds. G. Grossman & K. Rogoff), Chapter 31. Amsterdam: Elsevier. Bhagwati, J.& Panagariya, A. (1996). Preferential trading areas and multilateralism strangers, friends or foes? In: The economics of preferential trade agreements, (eds. J. Bhagwati, A. Panagariya), 1-78. Washington, D.C.: The AEI Press. Bhagwati, J. (2004). In defense of globalization Oxford: Oxford University Press. Boden, C. K. & Soltwedel, R. (2010). European economic integration in econometric modelling – concepts, measures and illustration. Kiel Working Paper, No. 1661, 1-24. Cairncross, F. (1997). 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Greece is a member of the Euro area, however in the wake of the political and economic problems in Greece, there have been ongoing debates whether the country should leave the Euro and return to the drachma. ii For the details of the test, see (Granger, 1969, pp. 424–438) iiiGDP series are extracted from OECD’s database, expressed as indices and seasonally adjusted with base year 2005 = 100. iv Foreign trade volumes are obtained from CBRT’s database. v Accordingly, if a linear trend term is needed in the test for y , only a constant t i term should be used for , yt ’s test; if just a constant is necessary in the test for yt yt ’s test is carried out with no deterministic terms (Lütkepohl et al., 2007, pp. 54-55). 37 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 2394 Title A name given to the resource Is a Regional Trade Agreement with Balkan Countries Applicable for Turkey? A Time Series Analysis Author Author KOCASLAN, Gelengul OZCELEBI, Oguzhan Ertugral, Suna Mugan Abstract A summary of the resource. Statistics of Central Bank of the Republic of Turkey (CBRT) and World Bank (WB) imply that the foreign trade volume of Turkey with its major trade partners in the Balkans (Bulgaria, Greece and Romania) may have a positive effect on Turkey’s economy even under the circumstances of the recent financial crisis. In this respect, on the basis of Vector Error Correction (VEC) model, Granger causality analysis has been performed to make inferences about the consequences of a possible regional trade agreement of Turkey with Bulgaria, Greece and Romania on the real economic activity in Turkey. Thereby, it is aimed to determine whether it is reasonable for Turkey to make a regional trade agreement with Bulgaria, Greece and Romania. Empirical findings reveal that Turkish economy may benefit from a regional economic integration with these Balkan countries. Publisher An entity responsible for making the resource available International Burch University Date A point or period of time associated with an event in the lifecycle of the resource 2014-03-15 Keywords Keywords. Article PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/c5abe339f80c03e3c66ac29428e6cca7.docx f55b89f4a4ce9ff095ebf98c064bf196 https://omeka.ibu.edu.ba/files/original/2eb2af359acd77de0b661546f3ac80d3.pdf ef0c07005d5305569b8e5f1085034ad7 PDF Text Text Is Bodily Experience Shared by Different Cultures? Universality of Metaphors and Metonymies in English and Bosnian Language Jasmina Stuhli & Almir Mustafić Tuzla University/Tuzla, Bosnia and Herzegovina Key words: conceptual metaphor, conceptual metonymy, concept, universality, embodiement ABSTRACT With the introduction of the terms conceptual metaphor and metonymy, the scope of cognitive linguistics has been considerably broadened and majority of linguists have set on to investigate the cognitive processes that structure our everyday language and thought. One such part of scientific investigation has been directed towards universality, i.e. the universality of conceptual metaphors and metonymies shared by different languages. Universality of conceptual metaphors and metonymies has been primarily tested on English and some other worldlyknown languages (Chinese, Japanese, German etc.). Never has such analysis been done with the Bosnian language. Analyzing English and Bosnian idioms with the lexical component hand, we shall show that these two distinct cultures share bodily experience, and that majority of conceptual metaphors, as well as conceptual metonymies are the same in both languages. Starting with some theoretical background on conceptual metaphors and metonymies, as well as the notions of embodiment and universality, our paper analyzes idiomatic expressions with the lexical element hand/ruka/šaka and shows the similarities and differences in various abstract concepts that can be referred to through the notion of HAND. Discussing various abstract concepts, we analyze cognitive mechanisms on which these concepts have been formed, and compare their interaction between the two languages. Our analysis shows that universal metaphors exist, and that even if there are differences between the two distant languages, such as English and Bosnian are, they can be found on a specific level of language analysis. � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1822 Title A name given to the resource Is Bodily Experience Shared by Different Cultures? Universality of Metaphors and Metonymies in English and Bosnian Language Author Author STUHLI, Jasmina MUSTAFIC, Almir Abstract A summary of the resource. Key words: conceptual metaphor, conceptual metonymy, concept, universality, embodiement ABSTRACT With the introduction of the terms conceptual metaphor and metonymy, the scope of cognitive linguistics has been considerably broadened and majority of linguists have set on to investigate the cognitive processes that structure our everyday language and thought. One such part of scientific investigation has been directed towards universality, i.e. the universality of conceptual metaphors and metonymies shared by different languages. Universality of conceptual metaphors and metonymies has been primarily tested on English and some other worldly-known languages (Chinese, Japanese, German etc.). Never has such analysis been done with the Bosnian language. Analyzing English and Bosnian idioms with the lexical component hand, we shall show that these two distinct cultures share bodily experience, and that majority of conceptual metaphors, as well as conceptual metonymies are the same in both languages. Starting with some theoretical background on conceptual metaphors and metonymies, as well as the notions of embodiment and universality, our paper analyzes idiomatic expressions with the lexical element hand/ruka/šaka and shows the similarities and differences in various abstract concepts that can be referred to through the notion of HAND. Discussing various abstract concepts, we analyze cognitive mechanisms on which these concepts have been formed, and compare their interaction between the two languages. Our analysis shows that universal metaphors exist, and that even if there are differences between the two distant languages, such as English and Bosnian are, they can be found on a specific level of language analysis. Publisher An entity responsible for making the resource available IBU Publishing Date A point or period of time associated with an event in the lifecycle of the resource 2013-05-03 Keywords Keywords. Article PeerReviewed Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 2763 Title A name given to the resource Is Bosnia and Herzegovina on a Sustainable Energy Development Path? Author Author HASOVIC, Zihnija GANIC, Ejup Abstract A summary of the resource. The energy sector is often credited for having major economic potential and being a driver of growth for Bosnia and Herzegovina (BiH). It has been proven that BiH possesses potential renewable energy sources, in particular hydro and biomass. However, the majority of energy production is conducted in outdated power plants and based on fossil fuels, resulting in environment pollution. In order to be energy sustainable, development of these processes should aim to reduce the environmental costs of energy production and use. The way in which BiH decides to use its major energy potentials will have significant implications for the future. This paper examines various aspects of sustainable development, starting from a review of development and energy intensity indicators. The current state of the electrical energy sector is not sustainable due to the lack of investment into energy plants in the past, unrealistic plans for investment, inadequate policies and incentives for energy efficiency, and a lack of consistent policy to support renewable energy use. In addition to these problems, a state energy policy is virtually nonexistent and the state utilizes lower quality coal in thermal plants. Without a change in energy policies and consumption behaviour, as well as an increase in new investment with adequate financing models, BiH may soon face problems with its energy supply. Keywords: sustainable energy development; energy intensity; energy efficiency; renewable energy sources; investments in energy. Publisher An entity responsible for making the resource available International Burch University Date A point or period of time associated with an event in the lifecycle of the resource 2014-06 Keywords Keywords. Article PeerReviewed Identifier An unambiguous reference to the resource within a given context ISSN 2233 - 0054 T Technology (General) https://omeka.ibu.edu.ba/files/original/3850527191a64d45124c47980c5c93d5.docx cb9ef40d30980fc8ca47afcec76abd2d https://omeka.ibu.edu.ba/files/original/d1f03d46e5604b9bf98a998522b53874.pdf 930d61a7e2670ab0b6e5b054002c32c5 PDF Text Text IS BOSNIA AND HERZEGOVINA ON A SUSTAINABLE ENERGY DEVELOPMENT PATH? Zihnija Hasovic Sarajevo School of Science and Technology, Sarajevo, Bosnia and Herzegovina zihnija.hasovic@stu.ssst.edu.ba Ejup Ganic Sarajevo School of Science and Technology, Sarajevo, Bosnia and Herzegovina ejup.ganic@ssst.edu.ba Keywords:sustainable energy development; energy intensity; energy efficiency; renewable energy sources; investments in energy. ABSTRACT The energy sector is often credited for having major economic potential and being a driver of growth for Bosnia and Herzegovina (BiH). It has been proven that BiH possesses potential renewable energy sources, in particular hydro and biomass. However, the majority of energy production is conducted in outdated power plants and based on fossil fuels, resulting in environment pollution. In order to be energy sustainable, development of these processes should aim to reduce the environmental costs of energy production and use. The way in which BiH decides to use its major energy potentials will have significant implications for the future. This paper examines various aspects of sustainable development, starting from a review of development and energy intensity indicators. The current state of the electrical energy sector is not sustainable due to the lack of investment into energy plants in the past, unrealistic plans for investment, inadequate policies and incentives for energy efficiency, and a lack of consistent policy to support renewable energy use. In addition to these problems, a state energy policy is virtually nonexistent and the state utilizes lower quality coal in thermal plants. Without a change in energy policies and consumption behaviour, as well as an increase in new investment with adequate financing models, BiH may soon face problems with its energy supply. � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 2055 Title A name given to the resource IS BOSNIA AND HERZEGOVINA ON A SUSTAINABLE ENERGY DEVELOPMENT PATH? Author Author HASOVIC, Zihnija GANIC, Ejup Abstract A summary of the resource. Keywords:sustainable energy development; energy intensity; energy efficiency; renewable energy sources; investments in energy. ABSTRACT The energy sector is often credited for having major economic potential and being a driver of growth for Bosnia and Herzegovina (BiH). It has been proven that BiH possesses potential renewable energy sources, in particular hydro and biomass. However, the majority of energy production is conducted in outdated power plants and based on fossil fuels, resulting in environment pollution. In order to be energy sustainable, development of these processes should aim to reduce the environmental costs of energy production and use. The way in which BiH decides to use its major energy potentials will have significant implications for the future. This paper examines various aspects of sustainable development, starting from a review of development and energy intensity indicators. The current state of the electrical energy sector is not sustainable due to the lack of investment into energy plants in the past, unrealistic plans for investment, inadequate policies and incentives for energy efficiency, and a lack of consistent policy to support renewable energy use. In addition to these problems, a state energy policy is virtually nonexistent and the state utilizes lower quality coal in thermal plants. Without a change in energy policies and consumption behaviour, as well as an increase in new investment with adequate financing models, BiH may soon face problems with its energy supply. Publisher An entity responsible for making the resource available International Burch University Date A point or period of time associated with an event in the lifecycle of the resource 2013-05-24 Keywords Keywords. Article PeerReviewed Identifier An unambiguous reference to the resource within a given context ISSN 2233-1565 https://omeka.ibu.edu.ba/files/original/256e1861ea445beb64760066f8b09963.docx 433dc1bf605e90d9d3fe63180e69df71 https://omeka.ibu.edu.ba/files/original/a349f6ce1f5336fdb5417fe39a72e3cc.pdf 33143c96d14df60acaf6557c9c4517dc PDF Text Text Is Interculturalism as a European Value? Christopher Brighton Krosno State College/ Krosno, Poland Key words: Integration, Values, Ethnicity, Socio-Cultural, Europe ABSTRACT For the past 50 years the increase of immigration in Western Europe has been viewed as a necessary part of the economic development of these nations. Migrant workers have provided cheap labour when most needed, keeping West European economies competitive in an increasingly global market. However, since the beginning of the current economic crisis the issue of immigration has become a central political feature. In 2011, the UK Prime Minister, David Cameron, attacked British Multiculturalism echoing comments made by Angela Merkel, the German Chancellor, in 2010. Concurrently, there has been a rise in the election success of nationalist parties in Western Europe and opinion polls often place immigration as one of the main concerns of voters. In recent times the biggest issue is immigration from fellow EU nations as it is difficult to control the right of EU citizens to freedom of movement. Non-EU immigration can be capped and restricted by law, but recent patterns have led some Western governments to consider quota laws for migrant workers and even going as far as discussing the reintroduction of European borders and the renegotiation of the Schengen Agreement to prevent immigrants moving from one country to another once they have entered the European Union. At the same time, the EU is promoting greater acceptance and cross-cultural tolerance programmes in Eastern European states, such as Poland, Slovakia and the Czech Republic, with the aim of developing greater harmony between ethnic groups who live and have migrated to the region. On the one hand it would appear that the message from certain Western European countries is “No more immigration” while at the same time encouraging Eastern Europeans to be more tolerant and accepting of immigrants. The aim of this paper is to examine some of the historical aspects of European immigration and migration as well as examine the political comments being made at present. Most importantly, the paper will address the issue of whether or not the idea of a multicultural society is part of European values and why, after more than fifty years of successful cross-European immigration, this issue has suddenly become a central problem in most EU nations. � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1724 Title A name given to the resource Is Interculturalism as a European Value? Author Author BRIGHTON, Christopher Abstract A summary of the resource. Key words: Integration, Values, Ethnicity, Socio-Cultural, Europe ABSTRACT For the past 50 years the increase of immigration in Western Europe has been viewed as a necessary part of the economic development of these nations. Migrant workers have provided cheap labour when most needed, keeping West European economies competitive in an increasingly global market. However, since the beginning of the current economic crisis the issue of immigration has become a central political feature. In 2011, the UK Prime Minister, David Cameron, attacked British Multiculturalism echoing comments made by Angela Merkel, the German Chancellor, in 2010. Concurrently, there has been a rise in the election success of nationalist parties in Western Europe and opinion polls often place immigration as one of the main concerns of voters. In recent times the biggest issue is immigration from fellow EU nations as it is difficult to control the right of EU citizens to freedom of movement. Non-EU immigration can be capped and restricted by law, but recent patterns have led some Western governments to consider quota laws for migrant workers and even going as far as discussing the reintroduction of European borders and the renegotiation of the Schengen Agreement to prevent immigrants moving from one country to another once they have entered the European Union. At the same time, the EU is promoting greater acceptance and cross-cultural tolerance programmes in Eastern European states, such as Poland, Slovakia and the Czech Republic, with the aim of developing greater harmony between ethnic groups who live and have migrated to the region. On the one hand it would appear that the message from certain Western European countries is “No more immigration” while at the same time encouraging Eastern Europeans to be more tolerant and accepting of immigrants. The aim of this paper is to examine some of the historical aspects of European immigration and migration as well as examine the political comments being made at present. Most importantly, the paper will address the issue of whether or not the idea of a multicultural society is part of European values and why, after more than fifty years of successful cross-European immigration, this issue has suddenly become a central problem in most EU nations. Publisher An entity responsible for making the resource available IBU Publishing Date A point or period of time associated with an event in the lifecycle of the resource 2013-05-03 Keywords Keywords. Article PeerReviewed Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 910 Title A name given to the resource Is it possible to use "Introduction to Linguistics" by Pavle Tekavčić as a Manual for Teaching Romance Philology to the BCS-speaking Students? Author Author KneZeviC, Martina Abstract A summary of the resource. One of the biggest problems that arrises as a barrier to teaching Romance Philology at the BCS-speaking students is the lack of relevant literature in the languages of BCS or its difficult access. In this paper we investigate the manual “Introduction to Linguistics for Students of Italian” by Pavle Tekavčić. Our aim is to point out how the book is structured, which are the advantages and disadvantages of Tekavčić linguistic method, and how much can be useful to use this guide in the teaching of Romance Philology Date A point or period of time associated with an event in the lifecycle of the resource 2012-05 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics https://omeka.ibu.edu.ba/files/original/7c28e4d358464966519226d202e0fcd4.docx d6864237f59e31bf03d0e52cdc9502ba https://omeka.ibu.edu.ba/files/original/b3ef6091ef729a7585e03087da8bbbab.pdf 43816592251da538229dc8e593c5efed PDF Text Text Is my home (where) my language (is)? on Some Identity Aspects of the Croatian Emigrants Descendents Ranka Đurđević & Jelena Cvitanušić Tvico & Aida Korajac University of Zagreb/ Zagreb, Croatia Key words: identity, Croatian language, heritage language, Croatian emigrants, language biography method ABSTRACT Phenomena such are language and identity are often related. For instance, language is one of very important criterion for determining someone’s ethnicity so it is possible to talk about pervasion of ethnic identity and mother tongue. Reflections on language are often followed by ideas about its diffusion and by that fact state borders don’t have to be criterion of its spatial finiteness. Members of the Croatian minority language communities live in many countries (e.g. Italy, Austria, Hungary). Presence of Croatian language in those countries is, among other, a result of migrations in the past. People were emigrating from Croatia in several occasions towards different destinations in the world. Despite of a new and broader cultural milieu in distant countries, they kept part of their identity through the communication with their closest family members. Among many questions that Croatian emigrants were confronted with, it is believed that identity is one of the most complex. Many descendants of those emigrants were attending language courses in Croaticum – Centre for Croatian as a second and foreign language in Croatia. In their case Croatian language is their heritage language (Jelaska 2005: 27). The aim of this paper is description of what kind of images, attitudes and knowledge some Croatian emigrants descendants had when they came to the homeland of their ancestors and how Croatia and Croatian language look like through their newly gained perception. The data for this paper are reached by open-ended questionnaire, unstructured interview and biography method. Qualitative analysis of those data could serve as a model for the interpretation of how the descendants of Croatian emigrants see themselves, among other, through communication in languages that identify them. Language identity is field of interest of many disciplines (e.g. sociolinguistics, philosophy). In this paper reflections on language identity are gaining ground in glotodidactics experiences. � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1923 Title A name given to the resource Is my home (where) my language (is)? on Some Identity Aspects of the Croatian Emigrants Descendents Author Author DURDEVIC, Ranka CVITANUSIC, Jelena KORAJAC, Aida Abstract A summary of the resource. Key words: identity, Croatian language, heritage language, Croatian emigrants, language biography method ABSTRACT Phenomena such are language and identity are often related. For instance, language is one of very important criterion for determining someone’s ethnicity so it is possible to talk about pervasion of ethnic identity and mother tongue. Reflections on language are often followed by ideas about its diffusion and by that fact state borders don’t have to be criterion of its spatial finiteness. Members of the Croatian minority language communities live in many countries (e.g. Italy, Austria, Hungary). Presence of Croatian language in those countries is, among other, a result of migrations in the past. People were emigrating from Croatia in several occasions towards different destinations in the world. Despite of a new and broader cultural milieu in distant countries, they kept part of their identity through the communication with their closest family members. Among many questions that Croatian emigrants were confronted with, it is believed that identity is one of the most complex. Many descendants of those emigrants were attending language courses in Croaticum – Centre for Croatian as a second and foreign language in Croatia. In their case Croatian language is their heritage language (Jelaska 2005: 27). The aim of this paper is description of what kind of images, attitudes and knowledge some Croatian emigrants descendants had when they came to the homeland of their ancestors and how Croatia and Croatian language look like through their newly gained perception. The data for this paper are reached by open-ended questionnaire, unstructured interview and biography method. Qualitative analysis of those data could serve as a model for the interpretation of how the descendants of Croatian emigrants see themselves, among other, through communication in languages that identify them. Language identity is field of interest of many disciplines (e.g. sociolinguistics, philosophy). In this paper reflections on language identity are gaining ground in glotodidactics experiences. Publisher An entity responsible for making the resource available IBU Publishing Date A point or period of time associated with an event in the lifecycle of the resource 2013-05-03 Keywords Keywords. Article PeerReviewed Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 793 Title A name given to the resource Is Speed Detrimental to Culture - How do Students Simultaneously Interpret Culture-Bound Terms? Author Author Vančura, Alma Omazić, Marija Abstract A summary of the resource. This paper will present a study of culture-bound terms in simultaneous interpreting of trainee simultaneous interpreters by using a combination of Newmark's (1988), Vinay’s (qtd. in Klaić, 1992) and Ivir's (1998) grids of different procedures for culture-bound terms that translators/interpreters can use. This paper attempts to investigate the preferred procedures of student-interpreters working under significant time-constraints. It is a well-known fact that language is embedded in the culture of the people and that it is primarily a cultural and social product (Troskot, 1992). Interpreters serve as mediators between languages, but since languages do not exist in a vacuum it is the interpreter’s task to convey not only the formal level of the message (lexical, grammatical, syntactic level), but semantic, aesthetic, and connotative levels as well. The corpus is composed of recorded interpreting sessions of 19 first-year graduate students interpreting speeches from the Speech Repository Portal during three months of training. The instances of culture-bound items and their interpretations were identified and analyzed with the aim of identifying the preferred strategies. The basic quality standards in interpreting are accuracy, adequacy, equivalence and successful communicative interaction (Pöchhacker, 2002). In the corpus we tried to gain information about equivalency (intended effect) of the source and target text, since accuracy does not necessarily imply adequacy and equivalence. The results show that the students mostly use naturalization/borrowing, literal translation and omission. The findings have implications for interpreter theory, practice, and training, but the insights may also be valuable for teaching English at primary, secondary and tertiary levels, when the linguistic and extralinguistic knowledge base (Gile, 2009), including cultural awareness, is being built. Date A point or period of time associated with an event in the lifecycle of the resource 2012-05 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics https://omeka.ibu.edu.ba/files/original/769e5b922e9a58bf14e298ba25b6b952.pdf 201c1637f61b598051dcbd6cb533e29a PDF Text Text 2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo Is the Interest Policy Responsible for the Global Financial Crises? Ġsmail ÖZSOY Prof. Dr., Department of Economics, Fatih University, Istanbul, Turkey iozsoy@fatih.edu.tr Aydın YABANLI MBA Student, Fatih University Continuous Education Center (FUSEM), Istanbul, Turkey aydinyabanli@tkbb.org.tr Abstract: Interest represents the allocation of an unearned and imaginary income, which is assumed to have been born out of the exchanges of derivatives on the basis of their nominal values. This is one of the main reasons for the recent financial bubble resulting in the global financial crisis in 2008. This paper first aims to define interest from the Islamic perspective in the light of the Koran and the Prophetic tradition. In addition to the interest of debt which is known by all, the prophet Mohammad taught the mankind another kind of interest, that is ‗interest of exchange‘ that appears in the exchanges of goods, different foreign currencies, and financial derivatives. Then, the paper primarily aims to examine the role and the place of interest mechanism in the crises, particularly in the 2008 Global Financial Crisis. Key words: 2008 Global Financial Crisis, Interest, Financial Bubble, Business Cycle. JEL Classification: D3, E4, E43 Introduction Interest policy is one of the most important reasons of business cycles, which is considered by many inherent in the market systems. We can rather say that business cycles are not inherent in a pure market systems but in the interest-based economic systems. With its uncertain outcomes, interest is one of the most important reasons of economic fluctuations. Intervention in the markets through interest policies distorts the markets‘ natural structure. In this paper we research if there is any effect of interest in the reasons of crisis. Shortly putting, interest can be defined from Islamic perspective as a measurable or noticeable imbalance or disproportionate in exchanges or loans for one party to the loss of the other. With its this nature, interest causes economic disparities between individuals, factors of production and even nations, resulting in considerable social and economic problems. These imbalances appear as bubbles and crises eventually in the financial markets when they can not be sustained. Though not expressed so far so clearly, interest based transactions are the most effectual reasons of the economic bubbles and their consequences in the form of crises. This is a reason for interest to be banned by all the religions and for its being criticized by most of the philosophers and scholars throughout history. Economy is required for social, administrative, political life and prosperity of people. Economy is to earn and sell, change or interchange; may be open or closed or else be interested in wealth movements. All of them could be expanded and explained by different directions. Person to person, people to people or nation to nation absolutely. A whole thought of economy deals with the size of experiences, traditions, nationally improvements, individually segments of life: a man in home leading the family, or a woman in a production counter supporting the incomes of her living or her family; no doubtful differences of economical approaches. How to understand economy? In a short expression: in the whole life of human body, not apart from the last crises originated from the United States have spread all around the world expectedly. It is known and relearned that principles of economy have to be overviewed. Whether it grew out of unchangeable standarts or not. If so, how to think the truth? An important item of economy, not far away from it, the ‗capital‘ has been discussed by the economists where to place it. In the mid lap of the economy, on top or bottom, the relations of capital has not only gone through 76 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo the gaps in terminology, but in social life also. Ideology has involved the economical and administrative views so as to carry society to a high level of existence. Islamic approach differs from capitalist and communist definitions. Liberalism or socialism, nationalism or conservatism or else have similar definitions in the overlook. It has been normally encountered from Islam that it objects interests which has came and acquired various shapes and qualifications. Ownership is defined in capitalism as individuals‘, in socialists as society‘, but Islam defines it that possession is Allah(cc)‘s, individuals are only the saver. This point of view attracts the rules in economy like the other social parts. Interest concept, which is rejected by Islam, triggers the flow of economy binding with a highly considerable elements programmed in the economical system. ‗Society man‘ differs from the ‗wolf man‘ by the way of helping the other. ‗Satiated is not of us when his neighbor is hungry‘ has been said by the Prophet when the conception of ‗laisses faire, laisses passer‘ has taken place years after this hadith with ‗man is wolf of the other‘ to spite. The money based capital and the goods based capital always has a potential of having interest in the movements, transactions such as a lender being under a cover while shaded by the borrower/debtors. The Prophet‘s hadith says : ‗Lending which provides beneficium is interest.‘ Financing and capital movements Capital markets, banks, various types of institutions like insurance companies, investment trusts, real estate investment trusts, factoring institutions,.. have all helped the flow of financial accumulation to the desired locations for years. Islam considers capital as an ‗accumulated labor‘. As a respect for this accumulated labor, even though it is not as fresh as a ready enterprise, Islam does not deny the right of the capital that causes increase in the outcome by being engaged in the production process. Capital (physical) PAST (barter FUTURE trend system) Capital (cash=money) trend various shapes of derivatives occurs …………………………………………………………… (money system) Processes may be subjected to interest. Figure 1: Capital status has been changing by the effect of trade and finance composition. What is interest? ‗Interest‘ can be defined from Islamic perspective as a measurable or noticeable imbalance or disproportionate in exchanges or loans for one party to the loss of the other. Interest‘ in the Islamic literature is ‗riba‘, which means excess, surplus and growth. From the Islamic perspective, interest is an actual or potential/prospective excess/surplus in one of the two items without any comparable and corresponding equivalent, which appears both in loans and exchanges of goods or currencies, and which causes harm to either of two parties.13 13 Ozsoy, Ismail (1995), Faiz, Islam Ansiklopedisi (Islamic Encyclopedia), Türkiye Diyanet Vakfı, XII-110-26. 77 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo Q1 money lender Q2 Always borrower Income and share deviation < or > Borrowed money Q2 > Q1 Regardless of his income + % interest Figure 2: Unearned and disproportional share qualification of interest in the debt interest mode. There are two kinds of interest. First, interest of debt/loan (riba al-dain), one that appears in debts, loans included, as a percentage or any fixed payment added to the principle. That is the most widespread, and the most debated, kind of interest known by all throughout the human history. Islam introduced the concept interest of exchange that occurs in the exchanges of goods and currencies on the spot (hand-to-hand) and/or forward (for a fixed term) basis. While the Koran deals with interest of debt, the Prophetic tradition (the hadith) predominantly deals with interest of exchange. The interest of exchange (riba al-bai‗) is also divided into two kinds; one is called interest of surplus (riba al-fadl) that appears as a quantitative surplus in one of the exchanged items of the same kind; 14 and one is called interest of delay or deferral (riba al-nasia) that appears in exchanges as a quantitative or potential surplus (value differentiation) when one of the items exchanged is delayed, except the exchange wherein one of the items is money.15 Thus, the concept interest in Islam is both different and more comprehensive than in other systems. So, the interest can be grouped as (even if cash or physical capital): 1-Debt interest 2-Exchange interest a-Time delay b-Surplus 14 As in the case when two measures of wheat is exchanged for three measures of wheat, even if it is due to the difference of quality. 15 As in the case when 1 tone of iron is sold for the same amount of iron on a deferral basis; let alone for a more amount of iron delayed. Here, interest arises as a potential and prospective value differentiation between two items due to the delayed delivery of one of the items. Time is a reason for this value differentiation between the present and future items exchanged; hence, it causes a potential excess in one of the items when compared to the other item. Because nobody knows in advance for whom and how much this potential surplus proves to be actual, Islam prohibited all the delayed sales in principle. 78 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo A new approach FED or the other Creditors Q3 Q1 Q +% interest +% interest +% interest +% interest +% interest a main debt Q2 +% interest b debt interest home owners c exchange interest Mortgage lenders = causing the bubbles (virtual balloon) exchange interest Investment Bankers = Other creditors and investors = 1-The symetrical value of debt is same: the house (a physical wealth having potential to lose in value or come into value by demand/supply conditions. But the mortgage prices are always getting fat unconsidering the house prices as described virtual increase in value. 2-While Q < Q1 < Q2 < Q3, the house prices are open to be affected by the supply and demand principle which is in hands of Allah(cc) 3-Physically the same house, but valuably + / - value of it can be changed by the market tendency. Demand/Supply conditions. 4-Nobody really knows that what he will earn tomorrow. Surely Allah is Knower(of everything). Koran-Lokman 31:31. So, tomorrow is indetermined. a) Home owners borrow money from lenders to buy a house, for this reason a debt certificate called mortgage having a benefit of mortgage claim is arranged between the parties. In terms of a fixed +percentage of a surplus/excess is paid to the lender and this means for the term delay which the home owner has been obliged to pay deferral payment for the debt. b) - c) show that exchange interest occurs between the parties which can be observed that no real income take place, but a virtual income supplied from a debt of selling mortgages representing only a liability/receivable certificate. d) The money and borrowing and lending process lived between FED / Creditors and the lender-banker-investors are subjected to debt interest which causes bubbled Figure 3: Interest steps in the mortgage cycle which cause unearned income and disproportional share. The 2008 crisis has experienced the Vatican at a highly position not suffering the wrong approach by saying ‗make Islamic banking (interest-free banking). This unexpected warning and offer attracted the attentions to a very interesting and important call and offer because it came from the Vatican, the center of the Catholic world, which is the most radical branch of the Christian World. The daily ―L‘Osservatore Romano‖, the semi-official newspaper of the Vatican, offered the system of ―interest-free banking‖ as the way out from the crisis. The article in the newspaper stated, ―The ethic principles on which Islamic banking is based facilitate trust and cash flow.‖ The offer that came from a completely unexpected address caused remarkable reactions especially in Europe. As a matter of fact, Financial Times, one of the most prestigious economy newspapers in the world, quoted that article and interpreted on it. The analysis that the newspaper did was more interesting: “The Vatican rarely makes a statement about economic issues. That the Vatican recommends the Islamic finance system gives enough clues about the dimensions of the global financial system.” Praising the Islamic finance system, the Financial Times advised banks to take Muslims as models during crises in the future. It emphasized that the Islamic finance system could help form new rules in the Western finance world.16 Fortune is not in hands of human The importance of term or time derives from the possibility that the value balance, which is established between the two items by the parties –seller and buyer-, may shift and be destroyed in the forward sales, and value 16 Participation Banks Association of Turkey (2010), Participation Banks 2009, p.28. 79 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo differentiation/disparity/inequality may take place between the two exchanged goods. Some of the significant causes of this value differentiation and inequality can be listed as follow: Instability of the market conditions, -that is, rises and falls in the money and commodity markets-, the loss of opportunity of the creditor because of their deprivation of using their money or commodity during the term, and the unexpected increase of the burden on the debtor because of the sudden and unpredictable value changes in the borrowed money or commodity in question. Therefore today‘s 100 units of commodity (or money) may turn to a value of 110 and or 90 units tomorrow. With these properties, term or time is the most important cause of uncertainty and, hence, of conflict. So term/time is the main reason of interest in the forward (delayed-deferred) sales. So, it is doubtless to say that the the causes of crises lived in 2008 was resulted from the exchange interest. Interest chain is designed and established on the groups: Home Owners: Prime and sub-prime groups who are debtors to the mortgage lenders. Mortgage Brokers: Finds houses and arrange communication between mortgages lenders and home owners by having a commission. Mortgage Lenders: Lending home owners by using mortgages. Investment Bankers (Wall Street): Buy mortgages from lenders by a maturity date with a surplus agreed between them. Investors and Creditors: They are the group of pension funds, mutual funds, insurance companies,…which buy mortgages from investment bankers by a maturity date so as to earn more and more then FED has offered (%1). Some of the Creditors come from Japan, China, Middle-East,..17 The house prices are always going on they experienced, so the expectations are mixed with their ambitions of earning more and more with no limit of increase. But one thing has not been taken into considering: Open Market and Supply-Demand Relations Principle Business cycles appear as a self-correction, self-defense, and self-stabilization mechanisms of the markets. In fact, supply and demand functions are in the hands of Allah(cc) that nobody can plays roles on his own. At first, when house prices were going up, bankers were buying the mortgages from the lenders, however open markets self correction has been forgotten. With its famously important instrument: money. Time value and location value Does money have a time value? Money is not a commodity to sell, it is a measure tool for measuring the goods and for comparing them. Criticized the term ‗time value of money‘, it is a unit of value/measure not a commodity itself to be transferred with a surplus to another. price (p) Quantity represents commodity, price represents money. S1 At first, b 0 is the balanced price of Supply (S0) and Demand (D). When the cash demand changes to a term as a forward paid demand, S0 the supply side goes to S1. In that case new price goes up to P 1 and the demand is accepting the price the new price P 1. So, the new balance is b 1 which shows the balance of payments P1 in installments sale. The difference of P 1 and P 0 is the term difference value of the good. This is a normal activity of an open market economy. So, the Islamic perspective confirms this open market truth. If any placement considering the money (money capital) in place of commodity (physical capital)., it is observed that there would be b1 b0 P0 D X1 X0 quantity (X) imbalance, injurious, disproportional share between the Demand and Supply. Because, price represents money and commodity quantitiy represent the same money. So, money which is a measure not a commodity itself has been sold as a commodity, inthat case corruptions, harm and diseases are expected afterwards clearly. And it is visible that P1 and P0 difference shows interest sourced from unreal income. Figure 4: An open market reality: interest or profit, supply and demand functions in cash and forward sale; 17 http://www.crisisofcredit.com/ , access May 9th, 2010. 80 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo Steps of crises while living blind to interest – Papered economy Money is a cash capital which exists for supplying the deficiency of man like a blood in body. When it is used as a commodity as in the place of a physical capital, then it refers to be a wealthy object. However, it has been a calibration instrument to measure and value the thing as a mirror in front of the objects as it has no value itself. In another word, it shows values of things when you measure them by this device and label them by prices. As in the graph it is clearly observed that while the y axis shows this prices, the x axis shows the quantity of the goods and the P0 and P1 difference is paid for the term difference called ‗term value‘. This term value represents: a-Time value: It depends on the value when a commodity has been prepared ready to be used today for a consumer which he could not reach at least saving money for years. b-Location value: It depends on the value of transportation and servicing a commodity ready for the customer to reach easily in his attainable close area. When the price is in one side, the other side is represented by money, then it corrupts the truth that money only measures what you measure with it. So, Money is anything that is generally accepted as payment for goods and services and repayment of debts. The main functions of money are distinguished as: -a medium of exchange, -a unit of account, -a store of value, and occasionally, -a standard of deferred payment.18 Injustice occurs such as between people, like placing or labeling a thing in spite of its genesis. So, when you place money instead of the quantity referring the commodity, you will see P1 and P0 difference represents the interest. Not a valid and legal value in the Islamic perspective money is not a commodity. The mortgages in the crisis represented money, debt and it has been always sold like a commodity step by step without considering its realities. The interest is lived in the crises imbalancing the reality locations of the instruments. These imbalances appear as bubbles and crises eventually in the financial markets when they can not be sustained. The getting fat or let say expanding values in the paper prices are far away from the realities. In papered economy, the goods are the hopes, not manufacturing any real commodity, benefit, service or else. Selling dream of expectations without calculation of future prices + or -. Forever increasing value is the base by showing one of the reasons like inflation. But in fact it can not be clearly defined that a relationship between the interest and inflation. Interest is used for the future planning contrary to the inflation which shows the past. But it could be said that interest causes harm to the financials and the real economy as the other harms it gives. An interest realized inordinarily: exchange interest ‗Interest of exchange‘ appears in the exchanges of goods, different foreign currencies, and financial derivatives also. In the crisis mortgages have been sold step by step from lender to banker to investors. Velocity of money collapsed all around the financial system as a commodity which has been bought and sold instead of velocity of utilities represented by producing wealth, manufacturing goods or servicing a real benefit. In fact, interest represents the allocation of an unearned and imaginary income, which is assumed to have been born out of the exchanges of derivatives on the basis of their nominal values. In the crisis the principle of demand and supply has worked again. The supply increase in the market and the prices of houses go down. The home owners paying $300,000 asked themselves that why they have been paying more in spite of the price $90,000 on that day. When the payments turn into houses at first there was not any problem for banks, but after the others have come, lots of houses have been in the market waiting to be sold, the prices decreased and the problems enlarged. For sale and for saken houses which the mortgage lenders, the investment bankers and the investors possess, have become valueless. The banks also having lots of debts for that borrowed from the other creditors, have valueless 18 http://en.wikipedia.org/wiki/Money ,Wikipedia, access May 10th, 2010. 81 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo mortgages and the chain, money flow did not work. The financial system is frozen. And bankruptcy has been occurred. 19 Crisis paces The name of the crisis is defined as: sub-prime mortgages, collateralized debt obligations, frozen credit markets, credit default swaps.20 But in fact it is clearly seen in the operations the exchange interest caused virtual bubbles in the balance sheets of the mentioned investors. Rates confliction – winners and losers - Bubble income Higher rates causes happiness to lender while the lower rates pleasing the borrower. The confliction lives in interest transactions for years as stock exchanges live in the opposite direction. When the rates get higher, subjected company‘s worker, the holder, the owner, the broker,..all of them get happy. In the crisis, all the lenders, bankers, investors have been nourished by the virtual income of mortgages. No real income, no real production, no real assets. Only a debt flow has been observed in the economy. Transferring the mortgages misleaded the owners as if they worked in a real based production or service. It is clearly that interest based transactions are the most effectual reasons of the economic bubbles and their consequences in the form of crises. Consuming without producing – National wealth - Earn more than adding, disproportional share When any default and bankruptcy occurs, the damage make all the people affected by the decreasing value: as higher prices, unemployment, worthless economy,..etc. Papers have been lived in hand for a few period lenders, bankers, investors,.. What is observed that is produced? Nothing. In this way, the volume of finance is getting higher and GDP is multiplied in terms of nothing referring finance transaction (derivated actions) general balancing Asset side Liability side general balancing Figure 5 : Simple structure of mortgage holder‘s balance sheet to follow up his assets and liabilities. Mortgages (the mortgage bonds) are sold by installments and they carried out returns in terms of time as tried to be described. But the balances are broken. What was the real reason, what caused the crisis, interest role was played how? ‗To be lawful, any profit or benefit should be linked to the performance of a real asset and to its risk.‘ Interest causes an unreal asset, at least unreal values. Banking system ready for high level of debt: where to go 19 20 http://www.crisisofcredit.com/ , access May 9th, 2010 http://www.crisisofcredit.com/ , access May 9th, 2010 82 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo Selling a sum of money with a higher return, we see in all the crediting values let say in the leverage system. Investment bankers used Leverage system to become rich ―increase in debt as term/maturity date is extended‖ as is generally understood today. 21 Leverage is borrowing money to amplify the outcome of a deal. Interest of debt which is known by all, the banks borrow multiples of the real money amount. The debt interest is worked in this operation. And the balloon is swelled. Investor stay living on lots of funds willing to make an action to earn more. Having high returns than the FED and others, mortgages has a potential advantage of income as they have seen. Then a chain is established between the lenders – bankers – investors. The mortgages are sold from the beginning step of lenders to the investors with a different rates of interests bound to their risk groups. Safer mortgages have lower interest, risky ones have higher. The bankers made the mortgages into three slices : safe, okay and risky. The commissions paid to the investors, %4 for safe mortgages, %7 for Okay, and %10 for the risky ones. The system is called CDO Colateral Debt Obligations. With a small fee insurance has been established. After that rating agencies are called to rate these three groups of mortgages, high commissions have been given to risky mortgages which have been used in and sold to other risk takers.22 Happy chain is working good at the beginning. The broker, the lender, the banker and the investors earned till the default of payments began. After some of them failed to pay, having mortgages in hands caused the losses of money, thousands of mortgages which were in the hands of investors, bankers and lenders became worthless. Risks in crediting, why is the liabilities bloomed, the balance It is easy to pay to lender. Thousands of mortgages are in their hands. The banks get money and pay back his loans and earns lots of money. The investors are very pleased to have more than %1. The investors wanted more. The banks turned to lenders and they to brokers. And they saw that no home owners lasted for getting mortgages to sell. When the home owner has been default to pay, the lender gets the house for the reason of mortgages. So, there has been no worries about it and the prices are labeled to get higher prices everytime. Lenders added risks to new mortgages in order to sell more and get more money and the corruption is seen in the balance sheets. Using Leverage System which have eased banks to get credits from investors in terms of 1 / 100 loans, they have reached high amounts of money. 23 Liability is that they are the obligor and compansate it by the mortgages on the asset side. Mortgages are the assets having high returns than the FED and others. But in any default position and result at first cash are used for the liabilities, or the mortages are turned to cash and it is spent for the liabilities, if any inadequate position then equity is decreased for balance, and at the end a frozen market is seen as in the crisis. 21 Hamood, Sami H. A. (1976), Tatweer al-A‘mal al- Masrifiyye bima Yattafiqu wa al-Shareeah al-Islamiyye, Kahire, p. 104. 22 http://www.crisisofcredit.com/, access May 9th, 2010. 23 http://www.crisisofcredit.com/, access May 9th, 2010. 83 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo home owners 2 1 mortgage lender's balance sheet 250 250 200 200 150 150 100 100 50 50 0 2-Home owner is indebted to the mortgage lender by the mortgages. 0 cash mortgages liabilities 4 equity investment banker's balance sheet 3 250 250 200 200 150 A 150 D 100 100 50 1-Mortgage is given to the lender and the assets are increased while the liability side is used in the place of the home owner. C B 50 an unreal income took place in the asset which causes a real liability. 3-mortgage lender sells the mortgage to the investment banker with a % increased forward sale. Liabilities increased while the assets increased by mortgages 4-Mortgages flew through the next station (other creditors and investors) 0 0 cash liabilities mortgages flow through the next address called 'investors' like pension funds, mutual funds equity indebted to the lender by installments by owning the mortgage. When the mortgages debtors(home owners) fail to pay, it is compansated by the equity(B). Equity is decreased, then is supported by cash ( c ) When the damage goes on, lastly the liabilities are affected and decreased. And inability to pay begins and bankruptcies are unavoidable. The mortagages causes virtual income, the liabilities causes a real expense. At the end the expenses are spent. But no income flows in the budget. The gaps are charged to cash at first, reason of insufficieny then from equity, at last the liabilities and mortgages, but they become worthless and bankruptcy. Figure 6 : Mortgage cycle: Exchange interest in the financial structure. Unchangable experiences and facts Doing the job good The risk is added by: no down payment, no proof of income, no other documents.,..etc. Instead of responsible ones , less responsible ones called sub-prime mortgages. Myopic and uncontrolled lending and furious of money caused wastefulness, as a matter of fact some analysists explains the reasons by the ethical principles also. Avoiding interests Since all of the interest-based transactions have the characteristics of harming either of the parties, payer or receiver, any kind of extra payment above the principal is considered as interest/riba and clearly prohibited by the Koran, regardless of its being ‗simple‘ or ‗compound interest‘, or its being named ‗rent‘, ‗profit‘, ‗return‘, ‗revenue‘, or its being called with different terms in any language. Islam attached a great importance to the term ‗right‘ and its protection. Thus, it prohibited interest identifying it with injustice and wrongfulness. 84 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo Money is the mirror of a commodity Money Houses Future is not controllable and conducted by human. Money represent houses So the commodity prices are bound to the market price. Price decrease Wealth decrease Figure 7: Money factor in the open market: mortgage example Table 1: Measures taken by Countries against Crisis24 What are arranged after the crisis disease? a- National wealth is engaged for these guarantees BANK RESPONSIBILITIES COUNT RIES America Japan Europe Region Germany France Italy England a) Giving full guarantee or increasing the guarantee for deposit accounts x x x x x BANK ASSETS b)Guarantee e)Ringfor or c)Capital fencing purchasing d)Nationalization injection bad the debts of assets banks x x x x x x x x x x x x x f)Planning of purchasing toxic assets x OTHER g) Funding private bonds x x h)Funding financial stocks based on assets i)Limiting or banning shortselling x x x x x x x x x x x x x b- Guaranteeing the virtual growth produced by banks c- Capital is used for the gaps of faults instead of investments required by people. d- Contrary to the focusing on the main activities fulfilled by the government e- The false results of the operations are charged to all people. f- National wealths are harmed. g- Unplanned expenses in spite of planned investments h- Ġn fact this is contrary to the virtual certificate (mortgage) based assets to be funded. i- This is binded to leverage system that was used with ambitions to be rich which is called leverage. After the crisis USA is shrinked by $500billion with a GDP growth rate of %-2,9 while China grew $400billion with a GDP growth rate of %8,7. So, the gap between these two countries decreased by nearly $1trillion.25 It is noticed that the countries that lived interests causing virtual balloons and fatting in the GDP has 24 25 Participation Banks Association of Turkey (2010), Participation Banks 2009, p.8, OECD General Outlook 2009 http://www.dunya.com/abd-ekonomisi-son-6-yilin-en-hizli-buyume-rakamini-gordu_79589_haber.html , access 10/05/2010 85 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo imagined as if a growth has been in their economy. However, unreal growth in the their economies shrinked the GDP as usual. The Prophet in his hadith said ‗The results of the interest transactions is always poverty‘. The table IMF published as seen below points out that the countries which lives this virtual bubbled economy by derivatives and by exchange interests, have been much more affected from the global crisis. Prouding of an unreal grew economy has abandon its place to a shrunk GDP and bankruptcy after a time. While China has a successful outlook, the other ones , especially USA, Germany has lowered their national incomes in mentioned crisis periods. G20 Countries Global Heat Map 2008 Sep. Oct. Nov. Dec. Jan. Feb. Western Hemisphere USA Canada Mexico Brazil Argentina Asia Pacific Japan Australia Korea China Indonesia India Europe Germany France Italy England Turkey Russia Africa S. Africa Table 2: G20 Countries Global Heat Map26 Mar. 2009 Apr. May Jun. Jul. Aug. Sep. Legend: Dark orange: Contraction at a increasing rate Yellow: Contraction at a moderating rate Light green: Moving sideways Light blue: Expansion but level below trend Blue: Expansion and level at or above trend White: Data not available Conclusion The crediting are as in the case that sub-prime is a disadvantage, but in any case the supply and demand principle does not give permission to arrange the future prices. When his friends asked him to www.dtm.gov.tr/dtmadmin/upload/IHR/PazaraGirisDb/abd_pazara_giris.doc , access 10/05/2010 http://www.steelorbis.com.tr/celik-haberleri/guncel-haberler/cinin-2009-yili-gsyihsi-3354-trilyon-rmb-509202.htm , access 10/05/2010 26 Participation Banks Association of Turkey (2010), Participation Banks 2009, p.9, IMF G-20 Global Economic Prospects and Principles for Policy Exit 86 �2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo arrange the prices as some requirements got expense, the Prophet said ‗The arrangements of prices are in hands of Allah(cc), so I can not interfere the right to this rule.‘ The principle of demand and supply could have been lived as follows with the same results of cheaper priced of the houses in the crisis. a) More houses could have been instituted. b) On the other hand, the value of dollars could have been revaluated, c) A war could have made the price down, then the prices would have gone down. While the quest for “the way out from the crisis” accelerated in 2009, an international conference held in Jakarta, the capital city of Indonesia, indicates what level the point of view regarding interest-free banking has reached. During the conference, the answer given by Michael Saleh Gassner, one of the prominent experts on the system of interest-free banking to the question, ―Is it a utopia to prevent the financial crisis by the Islamic banking system?”, was a historical one: “Not entirely. According to the rules of Islamic banking, it is forbidden to earn interest on money, just this prohibition avoided crises in a sustainable manner in conclusion.” (Peter Philipp, Deutsche Welle, Jakarta, 17.03.2009) Indeed, as it is stated in the article by Philipp, the fact that Islamic banking does not allow foreign exchange speculation, hedge funds and transfer of credits as it happened in the mortgage crisis in the USA functions like a safety valve during crises. 27 In the steps of mortgages journey from the home owners to the investor, the debt interest and the exchange interest have lived clearly by virtual income in the place of a real one. Non existent income is placed in their assets by the mortgages they have sold them to the others. And the other ones have sold them to another. The chain went on in this way. They all expent and after seeing the prices fell down and made a losing their activities, there has bankruptcies have been experienced and the nation got poor. As a result of this research we have been certainly sure that the interest is the main reason of the crisis. We have followed up the exchange interest in mortgages which have caused unearned and disproportional share in incomes in the mortgage sale cycles, not only between bankers and lenders, but bankers and the other investors as well. On the other hand it is obvious that debt interest has been lived between FED, Creditors from Europe, Middle East, and the bankers. This crisis experienced the interests‘ high bad effects in national incomes, harms individuals by earning virtual income and spending real wealths. While China and Argentia have been living away from the bad effects to their GDP, the others, i.e. USA, Germany, Japan, France have been lost their strength of GDP and highly bad affected from the crisis. However Turkey has been using conventional banking with interest-free banking, there has not any mortgages crise has been observed. Turkey has less mortgage crediting than USA, but the main point is that Turkey has not sold the mortgages in terms of money which was unearned and had to be waited for the collection date. References Hamood, Sami H. A. (1976), Tatweer al-A‘mal al- Masrifiyye bima Yattafiqu wa al-Shareeah al- Islamiyye, Kahire. http://www.crisisofcredit.com/ http://www.dunya.com/ http://www.wikipedia.org/ Özsoy, Ġsmail (1993), Faiz ve Problemleri, Nil Yayınları, Ġzmir. Özsoy, Ġsmail (1995), ―Faiz‖, Islam Ansiklopedisi (Islamic Encyclopedia), Turkiye Diyanet Vakfı, XII-110-26. Participation Banks Association of Turkey (2010), Participation Banks 2009, Ġstanbul. 27 Participation Banks Association of Turkey (2010), Participation Banks 2009, p.29. 87 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 181 Title A name given to the resource Is the Interest Policy Responsible for the Global Financial Crises? Author Author ÖZSOY, İsmail YABANLI, Aydın Abstract A summary of the resource. Interest represents the allocation of an unearned and imaginary income, which is assumed to have been born out of the exchanges of derivatives on the basis of their nominal values. This is one of the main reasons for the recent financial bubble resulting in the global financial crisis in 2008. This paper first aims to define interest from the Islamic perspective in the light of the Koran and the Prophetic tradition. In addition to the interest of debt which is known by all, the prophet Mohammad taught the mankind another kind of interest, that is ‗interest of exchange‘ that appears in the exchanges of goods, different foreign currencies, and financial derivatives. Then, the paper primarily aims to examine the role and the place of interest mechanism in the crises, particularly in the 2008 Global Financial Crisis. Date A point or period of time associated with an event in the lifecycle of the resource 2010-06 Keywords Keywords. Conference or Workshop Item PeerReviewed HB Economic Theory https://omeka.ibu.edu.ba/files/original/3a5af11ea5d84f16e026499231a34fba.docx b61a79be56e47c277456c8758fd3ad8e https://omeka.ibu.edu.ba/files/original/399fdfc9a562d4d9128dab828f2c8f32.pdf 32b75e85a08e5c61098084ef046d09c2 PDF Text Text Is the Trend of Using Apostrophe's to Form the Plural's of Noun's in English of Concern to Professor's of Writing? Barbara J. Brunner Penn State Dickinson School of Law / State College, PA USA Key words: English, apostrophes, plural, pedagogy, evolution ABSTRACT Using an apostrophe to form the plural of a noun in American English, according to traditional rules of grammar, is normally incorrect. Nonetheless, over the past few decades, it has become popular to do so, particularly in writing that is intended to be read by the public, such as signage and advertisements (e.g., "Appetizer's"). This usage is also becoming common among student writers in academic contexts, partially because of the broad influence of the public usage error, and partially because so little traditional grammar is taught in most American high schools. Consequently, the addition of apostrophes where they do not belong in standard written English is widespread and is an example of modern language orthography in rapid evolution. Coupled with a simultaneous trend to eliminate apostrophes where standard English demands them, the misuse of an apostrophe to form plurals has become an "issue" in classrooms such as mine (i.e., in legal writing courses for American law students), where we are training students to perform in a professional field where tradition dies hard. My presentation will quickly review the rules of pluralization of nouns in English, will provide many examples of the trends to eliminate or add apostrophes incorrectly in different contexts, and will discuss whether professors of writing in English - whether teaching native speakers or ESL students - should "rally" to prevent the trend from progressing further or whether this evolution is harmless and should be allowed to run its course, even in highly traditional professional contexts. � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 2068 Title A name given to the resource Is the Trend of Using Apostrophe's to Form the Plural's of Noun's in English of Concern to Professor's of Writing? Author Author BRUNNER, Barbara J. Abstract A summary of the resource. Key words: English, apostrophes, plural, pedagogy, evolution ABSTRACT Using an apostrophe to form the plural of a noun in American English, according to traditional rules of grammar, is normally incorrect. Nonetheless, over the past few decades, it has become popular to do so, particularly in writing that is intended to be read by the public, such as signage and advertisements (e.g., "Appetizer's"). This usage is also becoming common among student writers in academic contexts, partially because of the broad influence of the public usage error, and partially because so little traditional grammar is taught in most American high schools. Consequently, the addition of apostrophes where they do not belong in standard written English is widespread and is an example of modern language orthography in rapid evolution. Coupled with a simultaneous trend to eliminate apostrophes where standard English demands them, the misuse of an apostrophe to form plurals has become an "issue" in classrooms such as mine (i.e., in legal writing courses for American law students), where we are training students to perform in a professional field where tradition dies hard. My presentation will quickly review the rules of pluralization of nouns in English, will provide many examples of the trends to eliminate or add apostrophes incorrectly in different contexts, and will discuss whether professors of writing in English - whether teaching native speakers or ESL students - should "rally" to prevent the trend from progressing further or whether this evolution is harmless and should be allowed to run its course, even in highly traditional professional contexts. Publisher An entity responsible for making the resource available IBU Publishing Date A point or period of time associated with an event in the lifecycle of the resource 2013-05-03 Keywords Keywords. Article PeerReviewed