We examine the effect of agency cost on the relation between top executives' overconfidence and investment-cash flow … increased investment-cash flow sensitivity. However, this relation holds only for companies with state-owned entities as … investment-cash flow sensitivity holds only for companies that exhibit high agency cost. Our results therefore suggest that …

In this paper, we present a literature review and classification scheme for investment cash flow sensitivity under … findings. Literature on investment cash flow sensitivity under behavioral corporate finance isn't well developed. In fact, the … explanatory power and they can succeed to explain the dependence of corporate investment on the internal cash flow availability …

Investment cash flow sensitivity constitutes one important block of the corporate financial literature. While it is … the investment cash flow sensitivity among panel data of American industrial firms during 1999-2010. Using Q-model of … investment (Tobin, 1969), we construct and introduce a proxy of managerial optimism following Malmendier and Tate (2005a) to show …