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We show that managerial overconfidence, which has been found to influence a number of corporate financial decisions, also affects corporate risk management. We find that managers increase their speculative activities using derivatives following speculative gains, while they do not reduce their...
Persistent link: https://www.econbiz.de/10009492399
This study focuses on the construction of identity concepts and values, in the process of developing managerial identities within a selected publically owned utility in South Africa. The methodology used is a multi-method case study approach which is conducted in the phenomenological,...
Persistent link: https://www.econbiz.de/10010237868
We show that managerial overconfidence, which has been found to influence a number of corporate financial decisions, also affects corporate risk management. We find that managers increase their speculative activities using derivatives following speculative gains, while they do not reduce their...
Persistent link: https://www.econbiz.de/10010281528
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remaining three quarters, the initial misstatement ndash; generally an overstatement ndash; reflects an optimistic bias that is … not necessarily intentional. Because of the bias, in subsequent periods these firms are more likely to be in a position in … bias. We find results consistent with overconfident executives, who are more likely to exhibit an optimistic bias, being …
Persistent link: https://www.econbiz.de/10009349654