We show that managerial career experiences have significant explanatory power for corporate investment decisions. We use the setting of economic conditions changed from Central Planning to Market Economy, which is an exogenous shock to managerial characteristic, as a natural experiment to test...

This paper examines whether government intervention plays an important role in determining corporate investment allocations and efficiency in China. We find that the government tends to intervene to promote corporate investment in fixed assets, equity in other state owned enterprises, and...

This study examines how the relationships between local governments and local enterprises moderate the effect of targeted monetary policies through different action-propagating mechanisms. First, we investigate the impact of monetary policies on enterprise investment in areas with different...

We examine the impact of CEOs’ early-life and career experiences on corporate investment efficiency in the Chinese economy. We identify two extraordinary events that are likely to underpin the formative experiences of CEOs, comprising of the economic reforms which commenced in 1978, and prior...

This study examines how macroeconomic performance competition is related to the investment allocation at firm level. We use different GDP competitions as proxies of dynamic macroeconomic condition. We find that the effect of GDP competition on fixed assets investment is significantly positive....