-
作者：Ehling, Paul; Heyerdahl-Larsen, Christian
作者单位：BI Norwegian Business School; University of London; London Business School
摘要：Correlations of equity returns have varied substantially over time and remain a source of continuing policy debate. This paper studies stock market correlations in an equilibrium model with heterogeneous risk aversion. In the model, preference heterogeneity causes variations in the volatility of aggregate risk aversion from good to bad states. At times of high volatility in aggregate risk aversion, which is a common factor in returns, we see high correlations. The model matches average industr...
-
作者：Lejarraga, Tomas; Muller-Trede, Johannes
作者单位：Max Planck Society; University of California System; University of California San Diego
摘要：How do teams make joint decisions under risk when some team members learn about a prospect from description and others learn from experience? In a series of experiments, we find that two-person teams composed of one participant who learns from description and a second participant who learns from experience arrive at shared decisions via mutual concessions. In doing so, they attenuate individual biases, such as the overweighting and underweighting of the probability of rare events. The social i...
-
作者：Helwege, Jean; Huang, Jing-Zhi; Wang, Yuan
作者单位：University of California System; University of California Riverside; Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; Concordia University - Canada
摘要：This paper investigates the impact of debt covenant protection on the cross section of equity returns with a firm-level covenant index and four subindices. We find that firms withweaker covenant protection ( lower covenant index levels) earn significantly higher risk-adjusted equity returns than do those firms with greater covenant protection. These results are stronger for covenant indices that are related to investments, subsequent financing, and event risk. The difference between high and l...
-
作者：Kecskes, Ambrus; Michaely, Roni; Womack, Kent L.
作者单位：York University - Canada; Cornell University; University of Toronto
摘要：Sell-side analysts change their stock recommendations when their valuations differ from the market's. These valuation differences can arise from either differences in earnings estimates or the nonearnings components of valuation methodologies. We find that recommendation changes motivated by earnings estimate revisions have a greater initial price reaction than the same recommendation changes without earnings estimate revisions: about +1.3% (2.8%) greater for upgrades (downgrades). Nevertheles...
-
作者：Li, Zhepeng; Fang, Xiao; Bai, Xue; Sheng, Olivia R. Liu
作者单位：York University - Canada; University of Delaware; University of Connecticut; Utah System of Higher Education; University of Utah
摘要：Link recommendation, which suggests links to connect currently unlinked users, is a key functionality offered by major online social networks. Salient examples of link recommendation include People You May Know on Facebook and LinkedIn as well as You May Know on Google+. The main stakeholders of an online social network include users (e.g., Facebook users) who use the network to socialize with other users and an operator (e.g., Facebook Inc.) that establishes and operates the network for its o...
-
作者：Liebscher, Roberto; Maehlmann, Thomas
摘要：Theory predicts that individual investor's incentives to uncover new information about asset values are low if asset prices are efficient. This, in turn, implies that heterogeneity in investment manager skill, if present, should be most clearly visible among managers that focus on asset classes with less informationally efficient prices. We investigate this argument using a large sample of syndicated bank loan portfolios managed by collateralized loan obligation (CLO) managers. Using a CLO's e...
-
作者：Zhang, Ting; Gino, Francesca; Norton, Michael I.
作者单位：Columbia University; Harvard University
摘要：Contrary to the tendency of mediators to defuse negative emotions between adversaries by treating them kindly, we demonstrate the surprising effectiveness of hostile mediators in resolving conflict. Hostile mediators generate greater willingness to reach agreements between adversaries (Experiment 1). Consequently, negotiators interacting with hostile mediators are better able to reach agreements in incentive-compatible negotiations than those interacting with nice mediators (Experiment 2). By ...
-
作者：Bansal, Naresh; Joseph, Kissan; Ma, Minghui; Wintoki, M. Babajide
作者单位：Saint Louis University; University of Kansas; University of North Carolina; Appalachian State University
摘要：Despite growing interest in various facets of the position of chief marketing officer (CMO), there is very little research on CMO compensation. Accordingly, we set out to investigate the determinants of CMO compensation and its effect on firm performance. Employing the lens of agency theory, we hypothesize that the CMO's marginal productivity will positively impact the amount of total compensation as well as the extent of performance-based compensation in the CMO's compensation contract. Moreo...
-
作者：Boleslavsky, Raphael; Cotton, Christopher S.; Gurnani, Haresh
作者单位：University of Miami; Queens University - Canada; Wake Forest University
摘要：We incorporate product demonstrations into a game theoretic model of price competition. Demonstrations may include product samples, trials, return policies, online review platforms, or any other means by which a firm allows consumers to learn about their value for a new product. In our model, demonstrations help individual consumers to learn whether they prefer an innovative product over an established alternative. The innovative firm controls demonstration informativeness. When the innovative...
-
作者：Krupka, Erin L.; Leider, Stephen; Jiang, Ming
作者单位：University of Michigan System; University of Michigan; IZA Institute Labor Economics; University of Michigan System; University of Michigan; Shanghai Jiao Tong University
摘要：Using coordination games, we elicit social norms directly for two different games where either an agreement to take the first best action has been reached or where no such agreement exists. We combine the norms data with separately measured choice data to predict changes in behavior. We demonstrate that including social norms as a utility component significantly improves predictive performance. Then we compare social norms to guilt aversion and lying aversion. We estimate that honoring an agre...
