Brown, Jeffrey Robert; Dimmock, Stephen G.; Kang, Jun-Koo; … - National Bureau of Economic Research (NBER) - 2010
Endowment payouts have become an increasingly important component of universities' revenues in recent decades. We test two leading theories of endowment payouts: (1) universities smooth endowment payouts, or (2) universities use endowments as self-insurance against financial shocks. In contrast...