Now showing items 11-19 of 19
Board to Death: How Busy Directors Could Cause the Next Financial Crisis
(2017-07)
This article argues that the directors of the United States’ largest financial institutions are too busy to execute their governance roles effectively. Most financial institution directors serve on the board of at least ...
Corporate Tax Havens and Transparency
(2016-06)
In hand-collected subsidiary data on 17,331 publicly listed firms from 52 countries, we identify expropriation-related motives for establishing tax haven subsidiaries. First, Tax Information Exchange Agreements (TIEAs) ...
Linking Cross-Sectional and Aggregate Expected Returns
(2015-02)
We propose a one-state-variable ICAPM which rationalizes a large set of stock return anomalies, including size, value, and momentum. Differential covariance with news about future market discount rates drives observed ...
Who Sold During the Crash of 2008-9? Evidence from Tax-Return Data on Daily Sales of Stock
(2016-04)
We examine individual stock sales from 2008 to 2009 using population tax return data. The share of sales by the top 0.1 percent of income recipients and other top income groups rose sharply following the Lehman Brothers ...
The Strategic Under-Reporting of Bank Risk
(2016-09)
We show that banks significantly under-report the risk in their trading book when they have lower equity capital. Specifically, a decrease in a bank's equity capital results in substantially more violations of its self-reported ...
Agency Costs and Strategic Speculation in the U.S. Stock Market
(2016-11)
This study shows theoretically and empirically that a firm's agency problems may affect its stock liquidity. We postulate that less uncertainty about suboptimal managerial effort may enhance liquidity provision -- by ...
Manipulative Games of Gifts by Corporate Executives
(2016-02)
Executives use a variety of manipulative games to maximize the value of their gifts, including backdating, spring-loading, bullet-dodging and insider information. We find that executives exploit a legal loophole to backdate ...
Access to Credit and Stock Market Participation
(2015-11)
We exploit staggered removals of interstate banking restrictions to identify the causal effect of access to credit on households’ stock market participation and asset allocation. Using micro data on retail brokerage accounts ...
Ending Executive Manipulations of Incentive Compensation
(2016-02)
In this article, we analyze whether the manipulation of stock options still continues to
this day. Our evidence shows that executives continue to employ a variety of manipulative devices to increase their compensation, ...