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作者：He, Zhiguo; Li, Si; Wei, Bin; Yu, Jianfeng
作者单位：University of Chicago; Wilfrid Laurier University; Tsinghua University; Federal Reserve System - USA; University of Minnesota System; University of Minnesota Twin Cities
摘要：Uncertainty has qualitatively different implications than risk in studying executive incentives. We study the interplay between profitability uncertainty and moral hazard, where profitability is multiplicative with managerial effort. Investors who face greater uncertainty desire faster learning, and consequently offer higher managerial incentives to induce higher effort from the manager. In contrast to the standard negative risk-incentive trade-off, this learning-by-doing effect generates a po...
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作者：Aragon, George; Liang, Bing; Park, Hyuna
作者单位：Arizona State University; Arizona State University-Tempe; University of Massachusetts System; University of Massachusetts Amherst; Minnesota State Colleges & Universities; Minnesota State University Mankato
摘要：Contrary to offshore hedge funds, U.S.-domiciled (onshore) funds are subject to strict marketing prohibitions, accredited investor requirements, a limited number of investors, and taxable accounts. We exploit these differences to test predictions about organizational design, investment strategy, capital flows, and fund performance. We find that onshore funds are associated with greater share restrictions, more liquid assets, and a reduced sensitivity of capital flows to superior past performan...
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作者：Charness, Gary; Masclet, David; Villeval, Marie Claire
作者单位：University of California System; University of California Santa Barbara; Universite de Rennes; Centre National de la Recherche Scientifique (CNRS); Ecole Normale Superieure de Lyon (ENS de LYON); Universite Claude Bernard Lyon 1; Universite Jean Monnet; Universite Lyon 2; IZA Institute Labor Economics
摘要：Unethical behavior within organizations is not rare. We investigate experimentally the role of status-seeking behavior in sabotage and cheating activities aiming at improving one's performance ranking in a flat-wage environment. We find that average effort is higher when individuals are informed about their relative performance. However, ranking feedback also favors disreputable behavior. Some individuals do not hesitate to incur a cost to improve their rank by sabotaging others' work or by in...
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作者：Knittel, Christopher R.; Stango, Victor
作者单位：Massachusetts Institute of Technology (MIT); National Bureau of Economic Research; University of California System; University of California Davis
摘要：We estimate the stock market effects of the Tiger Woods scandal on his sponsors and sponsors' competitors. In the 10-15 trading days after the onset of the scandal, the full portfolio of sponsors lost more than 2% of market value, with losses concentrated among the core three sponsors: Electronic Arts, Nike, and PepsiCo (Gatorade). Sponsors' day-by-day losses correlate strongly with Google search intensity regarding the endorsement-related impact of the scandal, as well as with qualitative ind...
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作者：Xiang, Yi; Soberman, David
作者单位：China Europe International Business School; University of Toronto
摘要：The objective of this paper is to better understand the factors that competitive news providers consider to design or deliver news programmes. The focus is broadcast news where, in any programming time period, a viewer watches (or consumes) one programme. We assume that each viewer is interested in a limited set of topics and that her utility only comes from the most interesting news she observes. The key questions we address are as follows: (a) Should firms adopt designs that facilitate the d...
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作者：Iancu, Dan A.; Trichakis, Nikolaos
作者单位：Stanford University; Harvard University
摘要：This paper formalizes and adapts the well-known concept of Pareto efficiency in the context of the popular robust optimization (RO) methodology for linear optimization problems. We argue that the classical RO paradigm need not produce solutions that possess the associated property of Pareto optimality, and we illustrate via examples how this could lead to inefficiencies and suboptimal performance in practice. We provide a basic theoretical characterization of Pareto robustly optimal (PRO) solu...
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作者：Arlotto, Alessandro; Chick, Stephen E.; Gans, Noah
作者单位：Duke University; INSEAD Business School; University of Pennsylvania
摘要：We study the hiring and retention of heterogeneous workers who learn over time. We show that the problem can be analyzed as an infinite-armed bandit with switching costs, and we apply results from Bergemann and Valimaki [Bergemann D, Valimaki J (2001) Stationary multi-choice bandit problems. J. Econom. Dynam. Control 25(10): 1585-1594] to characterize the optimal hiring and retention policy. For problems with Gaussian data, we develop approximations that allow the efficient implementation of t...
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作者：Vitorino, Maria Ana
作者单位：University of Minnesota System; University of Minnesota Twin Cities
摘要：This paper brings structural modeling to the literature on financial research in marketing. I propose a dynamic investment-based model to understand the impact of advertising expenditures on stock returns and firm value. In addition, by interpreting advertising expenditures as an investment in brand capital, the approach in this paper provides a novel way to measure brand equity grounded in economic theory. Using the Euler equations from the firm's maximization problem, I derive closed-form ex...
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作者：Frank, Douglas H.
作者单位：Allegheny College; INSEAD Business School
摘要：This paper investigates how institutions governing the employment relationship influence firms' adaptation to environmental changes. After the Berlin Wall fell, migration from East Germany accounted for an abrupt increase in the supply of a key resource-labor-in the West. I study responses to this disruption among firms in the economically important machinery and equipment industry. I find that western firms adapted to migration by increasing employment unless they were affiliated with a works...
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作者：Brown, Nerissa C.; Wei, Kelsey D.; Wermers, Russ
作者单位：University System of Georgia; Georgia State University; University of Texas System; University of Texas Dallas; University System of Maryland; University of Maryland College Park
摘要：This paper documents that mutual funds herd (trade together) into stocks with consensus sell-side analyst upgrades, and herd out of stocks with consensus downgrades. This influence of analyst recommendation changes on fund herding is stronger for downgrades, and among managers with greater career concerns. These findings indicate that career-concerned managers are incentivized to follow analyst information, and that managers have a greater tendency to herd on negative stock information, given ...
