Nam Nguyen, Alejandro Rivera, and Harold H. Zhang ♦ We demonstrate that investment income taxes incentivize capital allocation to the eco-friendly green sector away from the non-eco-friendly brown sector in a stylized economy. This tax reduces the arrival intensity of…
Paul Glasserman, Fulin Li, and Harry Mamaysky ♦ The speed of stock price reaction to news exhibits substantial time variation. Higher risk-bearing capacity of financial intermediaries, lower passive ownership of stocks, and more informative news increase price responses to contemporaneous…
B. Espen Eckbo and Markus Lithell ♦ Stock-market effectiveness in attracting and retaining firms under public ownership depends not only on stand-alone firms’ net listing benefits but also on gains from merging with a public acquirer. Using a novel merger-adjusted listing count,…
Yunzhi Hu and Hanzhe Zhang ♦ How should the lender of last resort provide liquidity to banks during periods of financial distress? During the 2008-2010 crisis, banks avoided borrowing from the Fed’s long-standing discount window, but actively participated in its…
Ronald W. Masulis, Cong Wang, Fei Xie, and Shuran Zhang ♦ An unintended consequence of recent governance reforms in the U.S. is firms’ greater reliance on older director candidates, resulting in noticeable board aging. We investigate this phenomenon’s implications for…
Kayla M. Freeman ♦ I find overlapping institutional ownership (OIO) in a customer and supplier increases the duration of their supply chain relationship. Results are stronger when vertical holdup is more severe. A quasi-natural experiment around mergers of financial institutions…
