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作者：Roberts, Michael R.; Sufi, Amir
作者单位：University of Pennsylvania; University of Chicago; National Bureau of Economic Research
摘要：We show that incentive conflicts between firms and their creditors have a large impact on corporate debt policy. Net debt issuing activity experiences a sharp and persistent decline following debt covenant violations, when creditors use their acceleration and termination rights to increase interest rates and reduce the availability of credit. The effect of creditor actions on debt policy is strongest when the borrower's alternative sources of finance are costly. In addition, despite the less f...
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作者：Axelson, Ulf; Stroemberg, Per; Weisbach, Michael S.
作者单位：Stockholm School of Economics; National Bureau of Economic Research; University System of Ohio; Ohio State University
摘要：Private equity funds are important to the economy, yet there is little analysis explaining their financial structure. In our model the financial structure minimizes agency conflicts between fund managers and investors. Relative to financing each deal separately, raising a fund where the manager receives a fraction of aggregate excess returns reduces incentives to make bad investments. Efficiency is further improved by requiring funds to also use deal-by-deal debt financing, which becomes unava...
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作者：Masulis, Ronald W.; Wang, Cong; Xie, Fei
作者单位：Vanderbilt University; Chinese University of Hong Kong; George Mason University
摘要：Using a sample of U.S. dual-class companies, we examine how divergence between insider voting and cash flow rights affects managerial extraction of private benefits of control. We find that as this divergence widens, corporate cash holdings are worth less to outside shareholders, CEOs receive higher compensation, managers make shareholder value-destroying acquisitions more often, and capital expenditures contribute less to shareholder value. These findings support the agency hypothesis that ma...
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作者：Ljungqvist, Alexander; Malloy, Christopher; Marston, Felicia
作者单位：New York University; Harvard University; University of Virginia
摘要：We document widespread changes to the historical I/B/E/S analyst stock recommendations database. Across seven I/B/E/S downloads, obtained between 2000 and 2007, we find that between 6,580 (1.6%) and 97,582 (21.7%) of matched observations are different from one download to the next. The changes include alterations of recommendations, additions and deletions of records, and removal of analyst names. These changes are nonrandom, clustering by analyst reputation, broker size and status, and recomm...
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作者：Stein, Jeremy C.
作者单位：Harvard University; National Bureau of Economic Research
摘要：Stock-market trading is increasingly dominated by sophisticated professionals, as opposed to individual investors. Will this trend ultimately lead to greater market efficiency ? I consider two complicating factors. The first is crowding-the fact that, for a wide range of unanchored strategies, an arbitrageur cannot know how many of his peers are simultaneously entering the same trade. The second is leverage-when an arbitrageur chooses a privately optimal leverage ratio, he may create a fire-sa...
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作者：Babenko, Ilona; Tserlukevich, Yuri
作者单位：Hong Kong University of Science & Technology
摘要：Employees tend to exercise stock options when corporate taxable income is high, shifting corporate tax deductions to years with higher tax rates. If firms paid employees the same dollar value in wages instead of stock options, the average annual tax bill for large U.S. companies would increase by $12.6 million, or 9.8%. These direct tax benefits of options increase in the convexity of the tax function. In addition, profitable firms can realize indirect tax benefits because stock options increa...
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作者：Kumar, Alok
作者单位：University of Texas System; University of Texas Austin
摘要：This study shows that the propensity to gamble and investment decisions are correlated. At the aggregate level, individual investors prefer stocks with lottery features, and like lottery demand, the demand for lottery-type stocks increases during economic downturns. In the cross-section, socioeconomic factors that induce greater expenditure in lotteries are associated with greater investment in lottery-type stocks. Further, lottery investment levels are higher in regions with favorable lottery...
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作者：Livdan, Dmitry; Sapriza, Horacio; Zhang, Lu
作者单位：University of California System; University of California Berkeley; University of Michigan System; University of Michigan; National Bureau of Economic Research
摘要：We study the effect of financial constraints on risk and expected returns by extending the investment-based asset pricing framework to incorporate retained earnings, debt, costly equity, and collateral constraints on debt capacity. Quantitative results show that more financially constrained firms are riskier and earn higher expected stock returns than less financially constrained firms. Intuitively, by preventing firms from financing all desired investments, collateral constraints restrict the...
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作者：Pastor, Lubos; Stambaugh, Robert F.
作者单位：University of Chicago; National Bureau of Economic Research; University of Pennsylvania
摘要：We develop a framework for estimating expected returns-a predictive system-that allows predictors to be imperfectly correlated with the conditional expected return. When predictors are imperfect, the estimated expected return depends on past returns in a manner that hinges on the correlation between unexpected returns and innovations in expected returns. We find empirically that prior beliefs about this correlation, which is most likely negative, substantially affect estimates of expected retu...
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作者：Gillan, Stuart L.; Hartzell, Jay C.; Parrino, Robert
作者单位：Texas Tech University System; Texas Tech University; University of Texas System; University of Texas Austin
摘要：We report evidence on the determinants of whether the relationship between a firm and its Chief Executive Officer (CEO) is governed by an explicit (written) or an implicit agreement. We find that fewer than half of the CEOs of S&P 500 firms have comprehensive explicit employment agreements. Consistent with contracting theory, explicit agreements are more likely to be observed and are likely to have a longer duration in situations in which the sustainability of the relationship is less certain ...
