Does Family Control Matter? International Evidence from the 2008-2009 Financial Crisis

• 成果类型: Article
• 署名作者: Lins, Karl V.; Volpin, Paolo; Wagner, Hannes F.
• 署名单位: Utah System of Higher Education; University of Utah; University of London; London Business School; Bocconi University
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hht044
• 发表日期: 2013
• 页码: 2583
• 关键词: firm value; corporate governance; large shareholders; MANAGERIAL OWNERSHIP; Investor protection; EQUITY OWNERSHIP; business groups; performance; LAW; determinants

摘要

We study whether and how family control affects valuation and corporate decisions during the 2008-2009 financial crisis using a sample of more than 8,500 firms from 35 countries. We find that family-controlled firms underperform significantly, they cut investment more relative to other firms, and these investment cuts are associated with greater underperformance. Further, we find that within family groups liquidity shocks are passed on through investment cuts across the group. Our evidence is consistent with families taking actions to increase the likelihood that the firms under their control and their control benefits survive the crisis, at the expense of outside shareholders.