Do related markets reflect new information simultaneously? For high-yield bonds, a large abnormal price decline in a corporation's most liquid bond over a month is followed by an average abnormal stock price decline of −1.42%. This effect is larger for stocks that have increased in value and...

Periodic antitrust attacks on corporations may have influenced stock prices. For the period 1904 to 1944, each antitrust case filed is associated with a 0.5 to 1.9 percent drop of the Dow and each unexpected case with even larger drops. Other aspects of antitrust besides actual filings may help...

A firm can make investments in tangible and intangible capital by buying components in the market and assembling them itself, or it can buy assembled components, by purchasing another firm or a portion of its assets. This approach is consistent with the theory of the firm, especially the...