Similar Search Results

Stock Market Returns, Corporate Governance and Capital Market Equilibrium

Parigi, Bruno; Pelizzon, Loriana; von Thadden, Ernst-Ludwig - C.E.P.R. Discussion Papers - 2015

This paper analyzes why corporate governance matters for stock returns if the stock market prices the underlying managerial agency problem correctly. Our theory assumes that strict corporate governance prevents managers from diverting cash flows, but reduces incentives for managerial effort. In...

Persistent link: https://www.econbiz.de/10011165663

Liquidity Constraints and Linkages with Multinationals

Javorcik, Beata; Spatareanu, Mariana - C.E.P.R. Discussion Papers - 2008

Using a unique data set from the Czech Republic for 1994-2003, this study examines the relationship between a firm’s liquidity constraints and its supply linkages with multinational corporations (MNCs). The empirical analysis indicates that Czech firms supplying MNCs are less credit...

Persistent link: https://www.econbiz.de/10005497887

Investment and Value: A Neoclassical Benchmark

Eberly, Janice; Rebelo, Sérgio; Vincent, Nicolas - C.E.P.R. Discussion Papers - 2008

Which investment model best fits firm-level data? To answer this question we estimate alternative models using Compustat data. Surprisingly, the two best-performing specifications are based on Hayashi's (1982) model. This model's foremost implication, that Q is a sufficient statistic for...

Persistent link: https://www.econbiz.de/10005791890

What Explains the Lagged Investment Effect?

Eberly, Janice; Rebelo, Sérgio; Vincent, Nicolas - C.E.P.R. Discussion Papers - 2011

The best predictor of current investment at the firm level is lagged investment. This lagged-investment effect is empirically more important than the cash-flow and Q effects combined. We show that the specification of investment adjustment costs proposed by Christiano, Eichenbaum and Evans...

Persistent link: https://www.econbiz.de/10008925713

How Exports Matter: Trade Patterns over Development Stages

Audretsch, David B; Sanders, Mark; Zhang, Lu - C.E.P.R. Discussion Papers - 2012

In this paper we first propose a proxy for the maturity of a country’s export bundle based on product life cycle theory …. Employing a conditional latent class model, we then examine the effect of maturity of countries’ exports on their economic … faster when they specialize in less mature products in an advanced country regime. The effect of maturity turns insignificant …

Persistent link: https://www.econbiz.de/10011083276

The Impact of Debt Levels and Debt Maturity on Inflation

Faraglia, Elisa; Marcet, Albert; Oikonomou, Rigas; … - C.E.P.R. Discussion Papers - 2012

average maturity of government debt. We analyse these relationships under two different institutional settings. In one case … given. We identify the main mechanisms through which inflation is affected by debt and debt maturity (a real balance effect … monetary and fiscal policy we find that the persistence and volatility of inflation depends on the sign, size and maturity …

Persistent link: https://www.econbiz.de/10011083281

The Bond Market: An Inflation-Targeter's Best Friend

Rose, Andrew K - C.E.P.R. Discussion Papers - 2014

This paper explores the relationship between inflation and the existence of a publicly-traded, long-maturity, nominal …

Persistent link: https://www.econbiz.de/10011084572

Basic Principles Of Asset Pricing Theory: Evidence From Large-Scale Experimental Financial Markets

Bossaerts, Peter; Plott, Charles - C.E.P.R. Discussion Papers - 2000

-markets model, and the Sharpe-Lintner-Mossin Capital Asset Pricing Model (CAPM). This framework enabled us to measure how far our … discovered swift convergence towards equilibrium prices of Arrow and Debreu's model or the CAPM. This discovery is significant … walk, in favour of stochastic convergence towards CAPM and Arrow-Debreu equilibrium. …

Persistent link: https://www.econbiz.de/10005662411

EMU and European Stock Market Integration

Hardouvelis, Gikas A; Malliaropoulos, Dimitrios; … - C.E.P.R. Discussion Papers - 1999

The paper examines whether or not the convergence process of European economies towards Economic and Monetary Union has led to increased integration of European stock markets. We estimate a conditional asset pricing model, which allows for a time-varying degree of integration that measures the...

Persistent link: https://www.econbiz.de/10005788933

Equilibrium of Real Financial Markets: Theory and Experimental Evidence

Bossaerts, Peter - C.E.P.R. Discussion Papers - 2004

than at (CAPM) equilibrium. Experimental evidence confirms the predictions conclusively. …

Persistent link: https://www.econbiz.de/10005792218