Decomposing firm value

• 成果类型: Article
• 署名作者: Belo, Frederico; Gala, Vito D.; Salomao, Juliana; Vitorino, Maria Ana
• 署名单位: INSEAD Business School; Pacific Investment Management Company, LLC; University of Minnesota System; University of Minnesota Twin Cities; Centre for Economic Policy Research - UK; National Bureau of Economic Research
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2021.08.007
• 发表日期: 2022
• 页码: 619-639
• 关键词: Valuation; Neoclassical investment; structural estimation; Intangibles

摘要

What are the economic determinants of a firm's market value? We answer this question through the lens of a generalized neoclassical model of investment with quasi-fixed labor and three heterogeneous capital inputs. We estimate the structural model using firm-level data on US firms and find that, on average and depending on the industry, installed labor force accounts for 14-21% of firms' market value, physical capital accounts for 30-40%, knowledge capital accounts for 20-43%, and brand capital accounts for 6-25%. Our analysis provides direct empirical evidence for the importance of labor and intangible capital inputs for understanding firm value.