We find that the effectiveness of environmental regulations is contingent on local banking competition in China. Specifically, firms located in cities with more concentrated banking markets are less likely to reduce their SO2 emissions or increase investment in abatement equipment when faced...

By examining the post-retirement outside board seats held by former CEOs of S&P 1500 firms, we find that CEOs' post-retirement outside board memberships are influenced by the tone and level of media coverage given to the CEOs' firms while the CEOs were “on the job.” These results provide...

Our study suggests that despite the enforcement of insider trading laws, there are still some investors trading on their private information. Using account-level information, we show that some retail investors seem to be informed about particular stocks. When they sell short these stocks, they...

In this paper, we consider the optimal selling strategy for an asset securitization originator (the issuer) when the potential buyers hold diverse beliefs. We find that the tranching process is beneficial to the issuer because it increases the total sale price. We also consider the optimal...

We argue that hedge funds more aggressively buy underpriced stocks when they can short and, as such, protect their stock purchases from industry fluctuations. We utilize the institutional feature in Hong Kong in virtue of which only stocks added to a special list can be shorted. Our first-stage...

The Public Offering Review Committee plays a significant role in China’s capital market, in which the individual determines whether the company can be listed or not, then affect the issuance quality. Most of the previous research take the ‘social connect’ as committee members’ personal...

We study the impact of short squeezes on the cost of short selling. Our identification of short squeezes builds on the stock price reversals following large one-day price increases. We find that the cost of short squeezes triggered by sudden price increases is economically meaningful and...

A turn-of-the-month effect in U.S. equity returns was initially identified by Lakonishok and Smidt (1988) using the DJIA for the period 1897-1986. According to the turn-of-the-month effect, equity returns over the interval beginning the last trading day of the month and ending three days later...

The increase in agricultural machinery input contribution rate has been the most significant structural change in the input factors of grain production in recent years. In this study, we constructed a threshold regression model and a spatial Durbin model to investigate the threshold effects and...