are the active investors? Evidence from Venture Capital Abstract: This paper examines the determinants and consequences of investor activism in venture capital. Using a hand-collected sample of European venture capital deals, it shows the importance of human capital. Venture capital firms with...

This paper examines the effect of trust in a micro-economic environment, where trust is clearly exogenous. Using a hand-collected data on European venture capital, we show that the Eurobarometer measure of trust among nations significantly affects investment decisions. This holds even after...

We develop a theory and empirical test of how the legal system affects the relationship between a venture investor and an entrepreneur. The theory uses a double moral hazard framework to show how optimal contracts and investor actions depend on the quality of the legal system. The empirical...

During the latter part of the 1990s the introduction of the euro, the dramatic increase in the supply of venture capital in most EU countries, and the creation of several new' equity markets targeted at innovative firms have dramatically transformed the financing prospects of European...

We study how public policy can contribute to increase the share of early stage and high-tech venture capital investments, thus helping the development of active venture capital markets. A simple extension of the seminal model by Holmstrom and Tirole (1997) provides a theoretical base for our...

The paper provides an overview of the financial history of the chemical industry since its inception in the latter half of the nineteenth century in four major countries: Britain, Germany, Japan, and the United States. The chemical industry is particularly intriguing from the point of view of...

In a Common Currency Area (CCA) the Common Central Bank sets a uniform rate of inflation across countries, taking into account the area's economic conditions. Suppose that countries in recession favor a more expansionary policy than countries in expansion, a conflict of interest between members...

Understanding the dynamics of the leverage ratio is at the heart of the empirical research about firms' capital structure, as they can be very different under alternative theoretical models. The pillars of almost all empirical applications are the maintained assumptions of poolability and...

This paper studies the resilience of inter-ethnic marriages in Italy through the lenses of marriage duration by means of survival and treatment-effect analyses. Our main findings are that inter-ethnic marriages have a significantly higher risk of separation even when we control for social and...

In this paper we estimate the dynamic relationship between resources used in R&D by some OECD countries and their innovation output as measured by patent applications. We first estimate a long-run cointegration relation using recently developed tests and panel estimation techniques. We find that...