monitor markets continuously. We study how limit order markets absorb transient liquidity shocks, which occur when a …

the acquiring firm increases, the interests of managers are more closely aligned with those of shareholders, reducing the … firm. Examining mergers that occurred during 1985 to 1991, we find evidence of such a nonmonotonic relationship between the …

Is greater trading liquidity good or bad for corporate governance? We address this question both theoretically and … information concerns her own plans for taking an active role in governance. We show that an increase in the liquidity of the firm …'s stock increases the likelihood of the large investor 'taking the Wall Street walk.' Thus, higher liquidity is harmful for …

important in curbing these private benefits. A high degree of statutory protection of minority shareholders and high degree of …

underperforming firm as being motivated by a portfolio-wide liquidity shock. This reduces the manager's effort incentives and weakens …

We examine a sample of 12,023 acquisitions by public firms from 1980 to 2001. Shareholders of these firms lost a total … of $218 billion when acquisitions were announced. Though shareholders lose throughout our sample period, losses … associated with acquisition announcements after 1997 are dramatic. Small firms gain from acquisitions, so that shareholders of …

This paper describes and considers explanations for changes in corporate governance and merger activity in the United … States since 1980. Corporate governance in the 1980s was dominated by intense merger activity distinguished by the prevalence … of leveraged buyouts (LBOs) and hostility. After a brief decline in the early 1990s, substantial merger activity resumed …

change: internally precipitated management turnover, hostile takeover, and friendly takeover. We find that firms experiencing … is also weaker evidence that hostile takeover targets underperform their industry peers. We interpret this evidence as … relative to industry, but that an external challenge in the form of a hostile takeover is often required when the whole …

poison pills and control share statutes are reliably associated with higher takeover premiums for selling shareholders, both … unconditionally and conditional on a successful takeover, and we provide updated event-study evidence for the three-quarters of all …