Benz, Andreas; Demerjian, Peter R.; Hoang, Daniel; … - 2024 - This Version: November 14, 2023
We examine how division managers' human capital affects internal capital allocation using a hand-collected data set of … managers receive substantially larger capital allocations. This effect is robust to controlling for the possibility of … assortative matching and more pronounced for firms with better governance. We also find that the allocation of extra capital to …