A finite horizon model of bankruptcy is developed. The role of a perfect capital market is discussed. Both additive and multiplicative Knightian uncertainty are analyzed. Low revenue increases the probability of bankruptcy because it reduces the expectation of future revenues if not bankrupt....

Financial press reports claim that Internet stock message boards can move markets. We study the effect of more than 1.5 million messages posted on Yahoo! Finance and Raging Bull about the 45 companies in the Dow Jones Industrial Average and the Dow Jones Internet Index. Bullishness is measured...

This paper examines the inventories of publicly traded American manufacturing companies between 1981 and 2000. The median of inventory holding periods were reduced from 96 days to 81 days. The average rate of inventory reduction is about 2% per year. The greatest reduction was found for...