Academic Research on Adjunct Account

• The history of finance: an eyewitness account, Miller, M. H. (2000). The history of finance: an eyewitness account. Journal of Applied Corporate Finance, 13(2), 8-14. In this account of the evolution of finance theory, the father of modern finance uses the series of Nobel Prizes awarded finance scholars in the 1990s as the organizing principle for a discussion of the major developments of the past 50 years. Starting with Harry Markowitz's 1952 Journal of Finance paper on Portfolio Selection, which provided the meanvariance framework that underlies modern portfolio theory (and for which Markowitz received the Nobel Prize in 1990), the paper moves on to consider the Capital Asset Pricing Model, efficient market theory, and the M & M irrelevance propositions. In describing these advances, Miller's major emphasis falls on the tension between the two main streams in finance scholarship: (1) the Business School (or micro normative) approach, which focuses on investors attempts to maximize returns and corporate managers efforts to maximize shareholder value, while taking the prices of securities in the market as given; and (2) the Economics Department (or macro normative) approach, which assumes a world of micro optimizers and deduces from that assumption how the market prices actually evolve. 
• The integration of sector finance and national income accounts, Hst-Madsen, P. (1960). The integration of sector finance and national income accounts. Staff Papers, 7(3), 327-348.
• Flow of funds: an adjunct to income and balance sheet accounts in understanding the financial structure of the farming sector., Irwin, G. D., Lins, D. A., & Penson, J. B. (1970). Flow of funds: an adjunct to income and balance sheet accounts in understanding the financial structure of the farming sector. Agric. Finance Rev., 31, 11-26. US economic conditions developing for the seventies will stimulate strong theoretical and applied interest in questions related to flow-of-funds accounts. The potential use of flow-of -funds is demonstrated showing how these accounts are related to national income accounting and to the balance sheet of the farming sector. K. P. B. 
• International finance and growth in developing countries: what have we learned?, Obstfeld, M. (2009). International finance and growth in developing countries: what have we learned?. IMF staff papers, 56(1), 63-111. Despite an abundance of cross-sectional, panel, and event studies, there is strikingly little convincing documentation of direct positive impacts of financial opening on the economic welfare levels or growth rates of developing countries. The econometric difficulties are similar to those that bedevil the literature on trade openness and growth though, if anything, they are more severe in the context of international finance. There is also little systematic evidence that financial opening raises welfare indirectly by promoting collateral reforms of economic institutions or policies. At the same time, opening the financial account does appear to raise the frequency and severity of economic crises. Nonetheless, developing countries continue to move in the direction of further financial openness. A plausible explanation is that financial development is a concomitant of successful economic growth, and a growing financial sector in an economy open to trade cannot long be insulated from cross-border financial flows. This survey discusses the policy framework in which financial globalization is most likely to prove beneficial for developing countries. The reforms developing countries need to carry out to make their economies safe for international asset trade are the same reforms they need to carry out to curtail the power of entrenched economic interests and liberate the economy's productive potential. 
• Behavioral finance and investor governance, Cunningham, L. A. (2002). Behavioral finance and investor governance. Wash. & Lee L. Rev., 59, 767.