• Euro-zone equity returns: country versus industry effects 

      Eiling, Esther; Gerard, Bruno; Roon, Frans A. de (Journal article; Peer reviewed, 2012)
      This paper investigates whether Euro-zone equity returns are driven by country or industry effects over the 1990 to 2008 period. Using a style analysis approach, we find that before the introduction of the Euro country ...
    • How important are risk-taking incentives in executive compensation? 

      Dittmann, Ingolf; Yu, Ko-Chia; Zhang, Danielle (Journal article; Peer reviewed, 2017)
      We consider a model in which shareholders provide a risk-averse CEO with risk-taking incentives in addition to effort incentives. We show that the optimal contract protects the CEO from losses for bad outcomes and is convex ...
    • Information Sharing and Information Acquisition in Credit Markets 

      Karapetyan, Artashes; Stacescu, Bogdan (Journal article; Peer reviewed, 2014)
      We examine the effect of information sharing via credit bureaus or credit registers on banks’ incentives to collect information about their borrowers. Information asymmetries have been identified as an important source ...
    • The leverage-profitability puzzle resurrected 

      Eckbo, B. Espen; Kisser, Michael (Journal article; Peer reviewed, 2020)
      With zero capital structure rebalancing costs, dynamic trade-off theory predicts that firms stay at their leverage targets with more profitable firms staying at higher leverage. This prediction is rejected by the robustly ...
    • The leverage-profitability puzzle resurrected 

      Eckbo, B. Espen; Kisser, Michael (Journal article; Peer reviewed, 2020)
      With zero capital structure rebalancing costs, dynamic trade-off theory predicts that firms stay at their leverage targets with more profitable firms staying at higher leverage. This prediction is rejected by the robustly ...
    • Shareholder conflicts and dividends 

      Berzins, Janis; Bøhren, Øyvind; Stacescu, Bogdan (Journal article; Peer reviewed, 2018)
      We examine how dividend policy is used to mitigate potential conflicts of interest between majority and minority shareholders in private Norwegian firms. The average payout is 50% higher if the majority shareholder’s equity ...
    • Social capital and the viability of stakeholder-oriented firms: Evidence from savings banks 

      Østergaard, Charlotte; Schindele, Ibolya; Vale, Bent (Journal article; Peer reviewed, 2016)
      We show that social capital improves the viability of stakeholder-oriented rms operating in competitive markets. Studying exits from the population of Norwegian savings banks after deregulations, we nd that banks located ...
    • The world business cycle and expected returns 

      Cooper, Ilan; Priestley, Richard (Journal article; Peer reviewed, 2013)
      We study the predictability of stock returns using a pure macroeconomic mea- sure of the world business cycle, namely the world's capital to output ratio. This variable tracks variation in expected stock returns in a ...
    • Tradeoff Theory and Leverage Dynamics of High-Frequency Debt Issuers 

      Eckbo, B. Espen; Kisser, Michael (Journal article; Peer reviewed, 2020)
      We test whether high-frequency net-debt issuers (HFIs)—public industrial companies with relatively low issuance costs and high debt-financing benefits—manage leverage toward long-run targets. Our answer is they do not: (1) ...
    • Wages and Human Capital in Finance: International Evidence, 1970-2011 

      Boustanifar, Hamid; Grant, Everett; Reshef, Ariell (Journal article; Peer reviewed, 2018)
      We study the allocation and compensation of human capital in the finance industry in a set of developed economies in 1970–2011. Finance relative wages generally increase—but not in all countries, and to varying degrees. ...