How does the stock market affect inventory decisions? The efficient markets view is that low stock price means poor fundamentals, a higher cost of capital, and lower inventory. Normatively, firms should obtain their cost of capital from an efficient markets model of stock prices. My study is...

Private equity funds of funds (FOFs) have become big business. Today, FOFs form 14% of new money raised. I test six explanations for the rise of FOFs. First, I find that FOFs do not generally deliver superior returns. They do, however, do well enough for the limited partners (LPs) that hire...

We posit a theory that runs counter to how conventional wisdom thinks about analyst bias, that it is the result of distorted incentives by quot;the systemquot; - especially upstream factors like the analysts' employers. We suggest that analysts are also heavily influenced by what investors...