Determination Authority of State Financial Loss in Criminal Acts of Corruption Post Constitutional Court Decision Number 25/Puu-Xiv/2016

The Constitutional Court (MK) issued Decision Number 25/PUU-XIV/2016 on January 25, 2017. This decision states clearly that the word "can" in Article 2 paragraph (1) and Article 3 of Law Number 31 Year 1999 jo. Law Number 20 of 2001 concerning the Eradication of Criminal Acts of Corruption (UU Tipikor) is unconstitutional and lacks legal force. With the elimination of the word "can," a person can only be said to have violated Article 2 paragraph (1) and Article 3 of the Anti-Corruption Law if the person's actions resulted in real state losses, or losses of the nature of actual loss, and not to accommodate state losses that are still potential, or potential losses.

Estimation of Maximum Potential Losses for Digital Banking Transaction Risks Using the Extreme Value-at-Risks Method

The application of industry 4.0 in banking presents many challenges, with several operational risks related to downtime and timeout services due to system failures. One of the operational risk management steps is to estimate the value of the maximum potential losses. The purpose of this study is to estimate the maximum potential losses for digital banking transaction risks. The method used for estimating risks is the EVaR method. There are several steps in this study. The first step is to resample the data using MEBoot. This process is a simulation of the operational risk loss data of digital banking. Next, the threshold value is determined to obtain the extreme data value. Then, a Kolmogorov–Smirnov test is conducted to fit the data with the GPD. Afterward, the GPD parameter is estimated. Then, EVaR is calculated using a portfolio approach to obtain a combination of risk values as maximum potential losses. The analysis results show that the maximum potential loss is IDR144,357,528,750.94. The research results imply that the banks need to pay attention to the maximum potential losses of digital financial transactions as a reference for risk management. Therefore, banks can anticipate the adequacy of reserve funds for these potential risks.

Pembuktian Potensi Kerugian dalam Gugatan terhadap Keputusan Tata Usaha Negara

Administrative court verdict number 04/G/2013/PTUN.YK. juncto 149/B/2013/PT.TUN.SBY., verdict number 18/G/2015/PTUN.YK. juncto 115/B/2016/PT.TUN.SBY. juncto 37 PK/TUN/2017, and verdict number 14/G/2017/PTUN.YK. juncto 205/B/2017/PT.TUN.SBY. were example that license (as the state administrative decision) issued by administrative officials as the object of lawsuit in administrative court, by the reason of potential loss, which normatively regulared by law number 9 of 2004 and its expansion in law number 30 of 2014. As known, principle of ‘negativa non sunt probanda’ state that facts that have not/not yet been proven cannot be proven, while it is opened by the regulation above, of course it will have implications for the procedure of evidence in court to arouse the confiction of judges and affordability of Article 53 of law number 9 of 2004 in a lawsuit with a potential loss reason. This research is an empirical legal research with statutory, conceptual, and case approaches. Subject of this research was administrative judges of Yogyakarta Administrative Court as primary data and analyzed qualitatively. The results showed that the judge could prove the potential loss as the basis of lawsuit by assessing the legal standing of plaintiff, whether plaintiff had an interest in the issuance of the state administrative decisions or not. Meanwhile, potential losses can be proven by means of a systematic interpretation between Article 53 of law number 9 of 2004 and Article 87 of law number 30 of 2014.

The Joint Effect of Presentation Format and Disclosure Balance on Investors’ Reactions to Sensitivity Disclosures of Hedging Instruments

Derivative-related risk disclosure has been a key issue in accounting regulation and research, and sensitivity analysis is the most popular form of quantitative derivative-related disclosure. In an experiment, we find that, relative to disclosing potential losses only, disclosing both potential gains and potential losses associated with hedged items and derivatives leads to favorable investor reactions when information about net risk after hedging is omitted from the disclosure, but not when net risk is shown. We further show that disclosing net risk in addition to hedged-item and derivative risks is as effective at lowering investors’ risk perceptions as disclosing potential gains. Finally, we demonstrate that disclosing net risk and disclosing potential gains affect investors’ judgments through different mechanisms. Our results have important implications for investors, managers, and regulators.

Estimation of the Influence of Compressed Hydrogen on the Mechanical Properties of Pipeline Steels

Consideration of the possibility of transporting compressed hydrogen through existing gas pipelines leads to the need to study the regularities of the effect of hydrogen on the mechanical properties of steels in relation to the conditions of their operation in pipelines (operating pressure range, stress state of the pipe metal, etc.). This article provides an overview of the types of influence of hydrogen on the mechanical properties of steels, including those used for the manufacture of pipelines. The effect of elastic and plastic deformations on the intensity of hydrogen saturation of steels and changes in their strength and plastic deformations is analyzed. An assessment of the potential losses of transported hydrogen through the pipeline wall as a result of diffusion has been made. The main issues that need to be solved for the development of a scientifically grounded conclusion on the possibility of using existing gas pipelines for the transportation of compressed hydrogen are outlined.

Three Theories of Choice and Their Psychology of Losses

Loss aversion has long been regarded as a fundamental psychological regularity, yet evidence has accumulated to challenge this conclusion. We review three theories of how people make decisions under risk and, as a consequence, value potential losses: expected-utility theory, prospect theory, and risk-sensitivity theory. These theories, which stem from different behavioral disciplines, differ in how they conceptualize value and thus differ in their assumptions about the degree to which value is dependent on state and context; ultimately, they differ in the extent to which they see loss aversion as a stable individual trait or as a response to particular circumstances. We highlight points of confusion that have at least partly fueled the debate on the reality of loss aversion and discuss four sources of conflicting views: confusion of loss aversion with risk aversion, conceptualization of loss aversion as a trait or as state dependent, conceptualization of loss aversion as context dependent or independent, and the attention–aversion gap—the observation that people invest more attentional resources when evaluating losses than when evaluating gains, even when their choices do not reveal loss aversion.

Climate Change Adaptation in Agriculture: The Case of Small Southern Mediterranean Country

In this study, we examined the effect of climate change on the incomes of farmers in a southern Mediterranean country. We proposed that crop insurance could be potentially used as a means to adapt to climate change. Using panel data for Tunisian regions, we were able to highlight the important effects of climate change on crops yields by considering two scenarios of the Representative Concentration Pathways, namely RCP 4.5 and RCP 8.5. In the long term (i.e., in 2050 and 2100), we expect increasingly frequent heat waves to occur, leading to a rise in droughts for all regions of Tunisia. We therefore recommend that farmers seek to insure themselves against the risks of drought and flood to their crops, because we feel this may be an attractive device for compensating them for any potential losses of income.

Comparison of the Health Cost of Organic and Conventional Vegetable Cultivation in Getasan Sub-district, Semarang, Indonesia

Environmental damage will disrupt the ecosystem to support life. Unsustainable agriculture can be a source of environmental degradation. Conventional agriculture may have an effect on the environment, thus the participation of various parties in sustainable agriculture is needed. Organic agriculture is developed as an environmentally friendly agricultural cultivation with many benefits. Compared to the attention on occupational health, safety and environmental problems, economic motives receive less attention. This study aims to calculate the costs arising from the health impacts of vegetable cultivation. There were 314 respondents interviewed in this study. There were significant differences in the sickness complaints felt by respondents; organic farmer groups have the potential to incur health costs of Rp. 30,333.33, while the conventional group is higher, with a cost of Rp. 103.303.57 (US$ 7.38). Organic farming has a better impact because it uses natural ingredients and is not bad for health. The potential losses arising from health cases also show a high and significant number (p <0.001).

Effects of incentive framing on performance and effort: evidence from a medically framed experiment

We study the effects on performance of incentives framed as gains or losses, as well as the effort channels through which individuals increase performance. We also explore potential spill-over effects on a non-incentivised activity. Subjects participated in a medically framed real-effort task under one of the three contracts, varying the type of performance incentive received: (1) no incentive; (2) incentive framed as a gain; or (3) incentive framed as a loss. We find that performance improved similarly with incentives framed as losses or gains. However, individuals increase performance differently under the two frames: potential losses increase participants’ performance through a greater attention (fewer mistakes), while bonuses increase the time spent on the rewarded activity. There is no spill-over effect, either negative or positive, on the non-incentivised activity. We discuss the meaning and implications of our results for the design of performance contracts.

Bioherbicidal Potential of the Essential Oils from Mediterranean Lamiaceae for Weed Control in Organic Farming

In all farming systems, weeds are the most expensive pest to manage, accounting for 30% of potential losses. In organic farming, the problem may be further amplified by restrictions on herbicides, thus making weeds the main problem faced by organic farmers in the field. In this sense, much research is focusing on the allelopathic potential of plants as an ecological weed control tool. Many plant species can release allelopathic compounds with high phytotoxicity that can be used in weed control. Species belonging to the Lamiaceae family have been studied widely for this purpose, and their essential oils (EOs) appear to be promising bioherbicides. However, there are still many challenges for their development. Considering these aspects, a review of the bioherbicidal effect of EOs from Mediterranean Lamiaceae could help identify the most effective ones and the challenges for their actual development.