Kang, Qiang; Liu, Qiao; Qi, Rong - In: Journal of Financial Economics 96 (2010) 2, pp. 291-305
We assess the impact of the Sarbanes-Oxley Act of 2002 on corporate investment in an investment Euler equation framework. We allow a dummy for the passage of the Act to affect the rate at which managers discount future investment payoffs. Using generalized method of moments estimators, we find...