This paper investigates how a democratic environment affects corporate R&D investment around the world. Using a sample …&D expenditure and positively associated with R&D investment efficiency. These findings imply that a democratic environment helps … democracy on both corporate investment in R&D and investment efficiency are stronger when shareholders have strong legal …

This study investigates the relationship between corporate social performance (CSP) and investment inefficiency in the … responsible firms are more efficient in their investment. We further determine that the effect of CSP in reducing investment … improves investment efficiency in state-owned enterprises (SOEs). However, we do not find such evidence in non-SOEs. Our study …

Purpose The paper investigates the effect of corruption on corporate investment efficiency around the world. Design … related to investment efficiency. The robustness checks with different measures of corporate investment and alternative … literature. First, it shows that corruption environment is also a determinant of corporate investment efficiency. Second, legal …

This essay surveys the body of research that asks how the efficiency of corporate investment is influenced by problems … that the marginal return to investment in firm i is the same as the marginal return to investment in firm j ? Second, do … capital budgeting process get within-firm allocations right, so that the marginal return to investment in firm i ’s division A …

We develop a credit-risk model to study the informational role of investment in an economy susceptible to large … liquidity shocks. Firms' investment decisions carry information about their asset quality, thereby mitigating informational … frictions when firms enter bankruptcy. An increase in aggregate investment can reduce the informational value of investment …

Purpose: The purpose of this paper is to examine the impact of managerial optimism on corporate investment regarding … often overconfident an effort is made to highlight the effect of this psychological bias on managerial investment decision … – making. Design/methodology/approach: The research methodology is based on the approach that the investment-cash flow …

This study investigates the effects of board characteristics on R&D investment by utilizing a data set of electronics … firms listed on the Taiwan Stock Exchange Corporations. The empirical results indicate that R&D investment is negatively …&D investment is positive, but not significant. The findings provide one important managerial implication that firms competing on …

&D investment decisions. Furthermore, a supplementary test confirms that government ownership has also a positive impact on board … the role of state ownership in R&D investment in China, especially after the most recent wave of privatization, namely …

This paper investigates investment behavior across public and privately held firms using a novel firm-level dataset. We … invest more than their non-listed counterparts. In addition, their investment decisions are significantly more sensitive to … changes in investment opportunities, and they respond more aggressively. These results constitute evidence rejecting the …