Viktor Koziuk

The purpose of this study was to explore the indirect and direct relationships of Big-5 and dark personality traits (i.e., extroversion, neuroticism, agreeableness, openness, conscientiousness, narcissism, Machiavellianism, psychopathy, sadism, and spitefulness) with job performance via perfectionism, stress, and social media addiction. A total of 514 private sector employees filled out a query sheet that included the assessment tools for the variables. Path analysis using a multiple mediation model indicated that neuroticism was negatively directly and indirectly related to job performance via stress and social media addiction. Machiavellianism and spitefulness were directly positively associated with job performance, and Machiavellianism-related higher social media addiction diminished the direct positive effect of Machiavellianism on job performance, indicating complex relationships. Furthermore, stress, social media addiction, and perfectionism were related to different personality traits positively and negatively. Findings of the present study suggest that an anti-social personality may promote higher job performance. However, job performance may be adversely affected by the adverse consequences relating to these traits. Professionals and firms that attempt to increase job performance should take anti-social personality traits and their complex effects on job performance into account.

Cryptocurrencies show tremendous growth by market capitalization, however Bitcoin cross-country holdings are still in question. The purpose of the paper is to show that inflation discontent with the rule of law failures can explain why residents of different countries are prone to cryptocurrency holdings. The level of financial development is also considered. A hypothesis is proposed for more complex and segmented motives of Bitcoin holdings, tested by the OLS method. Single- and multi-factor regressions with independent variables are used, which can validate cross-country Bitcoin holdings in terms of inflation discontent, quality of institutions and financial development. Regression results confirm the idea of more segmented motives to hold Bitcoins. First, the hedge against inflation motive is rooted in the institutional weakness of central banks, and the regression results show that inflation variables are the most significant. Second, the hedge against institutional risks of asset ownership motive, based on the lack of rule of law and the relevant variable, is best performing among other institutional variables. Third, it is wrong to neglect financial development. However, it only plays a role in interaction with better innovation performance, meaning that crypto investors try not only to diversify their portfolios, but also to profit from involving in a sector with promising technological perspectives. The main takeaway is that institutional factors help explain why people in countries with worsened inflation and institutional performance tend to hold a large fraction of Bitcoins in assets. Obviously, monetary and institutional fragility is underestimated in the general discussion about the nature of digital money.

The virtual nature of digital money is fueling the conflict between usability, functionality and trust in the digital form. Institutional trust drivers should move forward in understanding the nature of confidence in digital money. Do central banks digital money (CBDC – central bank digital currency) and private cryptocurrencies demonstrate the same or different trust patterns? The paper used the general regression method to discover the relationship between trust in different forms of digital money and selected variables that may generate this trust. Simple empirical tests were sufficient to find the fundamental importance of age as a confidence driver relevant to CBDC and cryptocurrencies. It is found that traditional factors associated with the inflation history and quality of monetary order (central banks independence and rule of law) do not play a role in the case of CBDC, but are important in the case of cryptocurrencies. Structural features (like FinTech development or social trust) that should support trust in digital money are not found to be important. Societies with larger fraction of younger generations demonstrate higher confidence in centralized and decentralized forms of digital money. This challenges the traditional approach to money and calls into question the future role of monetary stability institutions in the digital age. Digitalization is perceived as an improvement in welfare only when fiat money institutions become fragile. The efficiency and credibility of central banks are not a bonus to confidence in CBDC. This is a challenge for the institutional design of the future digital-based monetary order.

Type of the article: Research Article

Abstract
Central bank independence is widely recognized as a precondition for launching inflation targeting, but there is no empirical support for this. While actual independence of monetary institutions is key for the effective implementation of this monetary regime, formal reforms have been implemented extremely unevenly both over time and across countries. Legal origins may affect different institutional paths of central bank independence strengthening during the adoption of inflation targeting across countries. Applying a t-test, panel regression, and difference-in-difference based event-study analysis, we show a strong statistically significant distance between levels of central bank independence across Common Law and Civil Law countries with inflation targeting. Civil Law countries perform with higher central bank independence; they are more likely to strengthen it before inflation targeting launch and continue to reform the central bank’s legislation toward greater autonomy after the introduction of this monetary regime. These results confirm that Legal origins matter for central bank independence. More formally oriented Civil Law coexists with relevant legislation changes. While less formally oriented Common Law may not require changes in legislation to implement a monetary regime grounded on central bank independence, in essence. Such results help explain weak empirical arguments for strengthening central bank independence as a precondition for inflation targeting, given the structural heterogeneity of countries determined by legal tradition.