Li, Qiang; Liu, Hao; Zeng, Yong - In: Journal of management science and engineering 7 (2022) 2, pp. 197-212
The size effect can be attributed to the relative importance of growth options versus assets-in-place in total assets. By incorporating the changing trend of growth options over firm lifecycle into the dynamic investment model developed by Berk et al. (1999), this paper demonstrates that the...
