securities mispricing. The managerial biases approach studies the direct effects of managers' biases and nonstandard preferences …

In this study, we empirically test “quiet life hypothesis,” which predicts that managers who are subject to weak … behaviors and the results indicate that entrenched managers who are insulated from disciplinary power of stock market avoid … making difficult decisions such as large investments and business restructures. However, when managers are closely monitored …

document that investors recognize this skill and reward it by investing more capital with skilled managers. Higher skilled … managers are paid more and there is a strong positive correlation between current managerial compensation and future …

We show that economic conditions when managers enter the labor market have long-run effects on their career paths and … managerial styles. Managers who began their careers during recessions become CEOs more quickly, but at smaller firms. They also … environment is important to the formation and selection of managers …

We empirically analyze the nature of returns to scale in active mutual fund management. We find strong evidence of … avoid econometric biases are insignificant. We also find that the active management industry has become more skilled over …

management and governance that deserves the attention of researchers …

I analyze skill's role in active management under general equilibrium with many assets and costly trading. More …-skilled managers produce larger expected total investment profits, and their portfolio weights correlate more highly with assets …' future returns. Becoming more skilled, however, can reduce a manager's expected profit if enough other managers also become …

Corporate managers who own a majority of the common stock in their company or who represent another firm owning such an … interest appear to be less constrained than managers of diffusely held firms, yet their power to harm minority shareholders …. Finally, there is little evidence that new organizational mechanisms have evolved to constrain managers who own large blocks …

, and market opportunities. This know-how can be reallocated across countries as managers acquire control of factors of …