Managers with and without Style: Evidence Using Exogenous Variation

• 成果类型: Article
• 署名作者: Fee, C. Edward; Hadlock, Charles J.; Pierce, Joshua R.
• 署名单位: Michigan State University; University of South Carolina System; University of South Carolina Columbia
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhs131
• 发表日期: 2013
• 页码: 567
• 关键词: ceo overconfidence; turnover; firm; performance; INVESTMENT; succession; leadership; FAMILY

摘要

In a large panel of Compustat firms, we find that firm policy changes after exogenous CEO departures do not display abnormally high levels of variability, casting doubt on the presence of idiosyncratic-style effects in policy choices. After endogenous CEO departures, we do detect abnormally large policy changes. These changes are larger when the firm is likely to draw from a deeper pool of replacement CEO candidates, suggesting the presence of causal-style effects that are anticipated by the board. Our evidence suggests that managerial styles are not transferred across employers and that standard F-tests are inappropriate for identifying style effects.