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This paper provides evidence for a causal effect of equity prices on corporate investment and employment. We use fire …. Firms whose stocks are most underpriced have considerably lower investment and employment than industry peers not subject to … financially constrained firms. market inefficiency ; fire sales ; mutual funds ; investment ; employment …
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On March 22, 2018, Trump proposed to impose tariffs on up to $50 billion of Chinese imports leading to a significant concern over the "Trade War" between the US and China. We evaluate the market responses to this event for firms in both countries, depending on their direct and indirect exposures...
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