In the presence of inflation, the standard Constant-Growth valuation model found throughout the finance literature is not valid in cases where a company either (1) makes no net new investments or (2) invests only in zero Net Present Value projects. If expected inflation is positive, the...

The authors document significant sales by the insiders of firms filing bankruptcy petitions prior to the filing date. They also find that selling is more intense for top executives and officers and that insiders in general systematically sell stock before prices fall and buy stock after prices...