Financial theory offers an array of explanations for corporate hedging. However, financial economists have not reached any definitive conclusions regarding whether corporations' hedging policies are consistent with theory. To examine this question, this study uses a database of the risk...

Using the introduction of Fox News as a natural experiment, we investigate whether partisanship in television news coverage influences corporate decisions. We find that, during the George W. Bush presidency, firms led by Republican-leaning managers headquartered in regions into which Fox was...