their actual investment spending. Our empirical work is based on panel data for 193 Canadian firms. For the firms most … likely to be affected by Free Cash Flow agency problems, investment behavior appears to be guided by discount rates that are …

benefits of diversification which causes a higher investment by the controlling shareholder in his asset and a lower investment …

We analyze the voting behavior of a board of directors that has to approve (or reject) an investment proposal with …

Is real investment fully determined by fundamentals or is it sometimes affected by stock market misvaluation? We … introduce three new tests that: measure the reaction of investment to sales shocks for firms that may be overvalued; use Fama … misvaluation into standard investment equations to estimate the quantitative effect of misvaluation on investment. Overall, the …

firms in making their investment decisions.We use a revealed preference approach that relies on the pattern of investment … spending – combined with investment theory – to estimate the discount rates used by managers. The standard story predicts that … firms with high stock prices and good investment opportunities should have discount rates that do not differ systematically …

data and triple-difference estimators, we find that this dividend tax cut affects allocation of corporate investment. Cash …-constrained firms increase investment after the dividend tax cut relative to cash-rich firms. Reallocation is stronger among closely … and by higher dividends in cash-rich firms after the tax cut. The heterogeneous investment responses imply that the …

business literature to analyze Chinese firms’ fast-growing and aggressive outward foreign direct investment (OFDI). In …