Li, Xin; Tong, Yan; Xu, Guoquan - In: China journal of accounting research : CJAR 15 (2022) 2, pp. 1-29
Using hand-collected data on purchases of D&O insurance by Chinese listed firms for the period from 2008 to 2019, we … empirically find that D&O insurance negatively associates with credit spreads. The negative relationship still holds after … conducting a series of robustness tests and is not driven by the eyeball effect. We also show that D&O insurance can reduce …