In this study we experimentally test the impact compensation and wealth (whether given or earned) have on a player's decision to choose a risky investment on the behalf on another player. Using 580 observations from players at Harvard Business School's Computer Laboratory for Experimental...

Since 1966, researchers have examined financial distress prediction models to determine the usefulness of accounting information to lenders. These researchers primarily used legal bankruptcy as the response variable for economic financial distress, or included legal bankruptcy with other events...

Purpose – Recent bankruptcy research uses hazard models and extensive samples of companies. The large samples used have precluded the inclusion of a variable related to companies' loan default status in the models. With a sample limited to financially distressed companies, the authors aim to...