Rodrik [JIE 1996] argues for coordinated government policy when emerging countries are stuck in a low wage equilibrium because of a coordination failure. Because the return to intermediate output is markedly below that realised when a minimum threshold number of varieties must produced in...

Through a comparison of serial and once bankrupt firms over the period 1970-1996, those factors that lead to a successful reorganization are examined. It is found that serial bankrupt firms generally fail to restructure their top management around the time of their initial reorganization while...

Contrary to the concerns of the Council of Institutional Investors and other shareholder activists, it is reported that the incidence of multiple board memberships appointments by corporate directors is low, with only 4% of the sample holding three or more seats. It is found that directors in...

The changing nature of initial public offering (IPO) underpricing is examined using a sample of 513 IPOs launched in the UK from 1993 to 2001. It is found that the mean UK underpricing is initially less than that in the USA, reverses itself in the mid-1990s, returns to a lower level during the...

Studies by LaPorta et al. (2000, 2002) show that the strong protection of investor rights encourage the development of capital markets and are associated with higher levels of firm valuation as measured by Tobin's Q. Related research finds that well-developed capital markets produce higher rates...

In this paper we examine the length of political tenure in Canadian federally elected parliamentary governments since 1867. Using data on tenure length, we categorize the distribution of governing tenures in terms of a hazard function--the probability that an election will arise in each year,...

The paper addresses whether or not the exchange rate or some other dimension of the external side of the economy should form an integral part of the monetary rule for a small open economy (SOE) in which the central bank faces data deficiencies. Under a number of information scenarios, the...

A sample of cash-only acquisitions of Nasdaq targets during 1973-1999 is examined. It is found that the mean (median) percentage premia declines from 74% (65%) during the 1970s to 47% (42%) in the 1990s. Consistent with recent research on the value reduction associated with diversification, it...

Myers and Majluf (1984) argue that informational asymmetry between managers and investors can explain the negative stock returns around the announcement of new equity. Using analyst following and consensus as proxies for information asymmetry, we observe that announcement period returns are...

Our study examines the nature of industrial and global diversification for a sample of more than 12 000 firms across 35 emerging and developed countries during the period 1991-2006. Consistent with previous studies, we find that industrial diversification, either alone or combined with global...