Showing 1 - 5 of 5
Persistent link: https://www.econbiz.de/10005362831
Persistent link: https://www.econbiz.de/10005372522
Persistent link: https://www.econbiz.de/10005376785
We show theoretically that optimism can lead a risk-averse Chief Executive Officer (CEO) to choose the first-best investment level that maximizes shareholder value. Optimism below (above) the interior optimum leads the CEO to underinvest (overinvest). Hence, if boards of directors act in the...
Persistent link: https://www.econbiz.de/10009249879
Persistent link: https://www.econbiz.de/10005122050