Macroeconomic fluctuations such as interest rate and exchange rate can be considered sources of good or bad “luck” for corporate performance. Incentive effects of performance-based compensation for management may be weakened or biased by macroeconomic influences depending on the ability of...

We use a sample of 8163 venture-backed companies over three decades to test the competing hypotheses that levels and relative shares of IPO and Mamp;A exits are affected by market timing, versus pseudo market timing that reflects market conditions. We find evidence of pseudo market timing....