Optimal choice of contracting methods:: negotiated versus competitive underwritings revisited

• 成果类型: Article
• 署名作者: Logue, DE; Tiniç, SM
• 署名单位: Dartmouth College
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/S0304-405X(98)00061-0
• 发表日期: 1999
• 页码: 451-471
• 关键词: securities issues; competitive bidding

摘要

We use a previously unexploited data base, specifically debt offerings by AT&T and its subsidiaries in the period 1970-1974, to examine the relative costliness of competitive and negotiated offerings. A sample based on the experience of a single issuer allows us to minimize the influence of agency considerations and differential riskiness of the issuers. We find no systematic ex post cost difference, and we also find that negotiation was chosen during comparatively unsettled times. (C) 1999 Elsevier Science S.A. All rights reserved.