Shahram Amini, Andrew MacKinlay, Johan Sulaeman, and Chishen Wei ♦ We show that the decision to go public is influenced by spatial variation in the supply of equity financing. We measure the amount of capital of equity investors in each…
Guillaume Vuillemey ♦ I show that home ownership decisions across countries and individuals are shaped by a cultural heritage from agriculture. For centuries, dominant assets in preindustrial economies were either land or cattle. Consequently, the type of farming prevailing locally…
Patrick Augustin, Linxiao Francis Cong, Alexandre Corhay, and Michael Weber ♦ We develop a capital structure model in which firms have a differential flexibility in adjusting output prices to shocks. Inflexible-price firms have lower profits and higher cash-flow volatility, leading…
Anup Agrawal, Binay K. Adhikari, and Bina Sharma ♦ We exploit US states’ staggered adoption of Universal Demand (UD) laws to study how the risk of shareholder lawsuits affects insider trading. UD laws, which make it harder for shareholders to…
Travis Chow, Allen H. Huang, Kai Wai Hui, and Terry Shevlin ♦ We investigate whether judges’ political ideology affects corporate tax behaviors. We find firms engaging in less aggressive tax planning when Circuit Court judges are more liberal. Cross-sectionally, the…
Anup Agrawal and Yuree Lim ♦ Under Title II of JOBS Act, firms can sell private placement securities to the public via general solicitation (GS) or privately (non-GS). We find that equity offerings under GS tend to be riskier than…
