We examine the causal effects of the coronavirus disease 2019 (COVID-19) on air quality in the context of China. Using the lockdowns in different cities as exogenous shocks, our difference-in-differences (DID) estimations show that lockdown policies significantly reduced air pollution by 12% on...

This paper provides evidence on the positive impact of rank-and-file employees' relative wages on corporate innovation in terms of patent quantity and quality. This impact is reinforced in firms with a large proportion of skilled employees and a high R&D intensity, thereby confirming the...

We explore how institutional and individual investors respond to analyst recommendations. Using a unique account-level trading dataset from the China, we find that 1) institutions are significantly net buyers (net sellers) on “strong buy” and “buy” (“hold” and “sell”)...

This paper investigates the impact of higher education on corporate innovation. To establish causality, we exploit a policy-induced exogenous shock in the supply of Chinese college-educated labor starting in 2003. Using a difference-in-differences approach, we find that Chinese firms in skilled...

As a prominent determinant of future personal development, it has been well documented that years of schooling are largely influenced by family. However, few studies have explored the intergenerational impact of individuals' early experience on their offspring's educational attainment. Using the...

This study investigates the effect of enterprise digital transformation on stock price crash risk using a sample of Chinese listed companies during the period 2007–2020. We find that the digital transformation of enterprises can significantly reduce stock price crash risk, and shows a certain...

Although numerous studies have shown that information asymmetry is one of the essential reasons hindering corporate merger and acquisition (M&A) activities, little attention is paid on the impact of broadband infrastructure on corporate M&A form from an information asymmetry perspective. Using...

This study examines how the large and unexpected Chinese credit stimulus in 2008 affects firms’ labor decision. Using a large sample of industrial firms, we find that state-owned enterprises tend to hire more employment than their counterparts after the credit stimulus. Mechanism analysis...

This study examines the role of foreign institutional ownership in corporate social responsibility. Using the Shanghai-Hong Kong Stock Connect as a quasi-natural experiment, our difference-in-differences estimation shows that foreign institutional ownership drives firms’ CSR improvements....