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This paper investigates whether investment spending of firms is sensitive to the availability of internal funds. Imperfect capital markets create a hierarchy for the different sources of funds such that investment and financial decisions are not independent. The relation between corporate...
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We argue that CEOs have different attitudes toward the firm's stakeholders and that these differences in attitudes affect the firm's decision making. We hypothesize that these differences stem from differences in political ideology: Liberal CEOs, as compared to their conservative...
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