We investigate the impact of social capital on three facets of foreign high-tech companies' investment in China: where to invest, which ownership structure to implement, and how much to invest in R&D. We find local social capital in China is an important factor in these investment decisions....

We explore whether clawback provisions (i.e. Dodd-Frank and SOX) can mitigate agency problems by deterring the executives from manipulating earnings in an effort to boost their incentive compensation. We estimate the direct and indirect gains executives receive as a result of manipulating...

We study the effect of political connection (PC) on company value in an environment where low PC is due to better institutions and not confounded by favorable social/cultural factors. We find that in Singapore, the only country that fits this description, PC in general adds little to the value...

A two-stage stock-financed merger occurs when an acquiring firm first issues shares, and then engages in a cash acquisition shortly afterward. Such deals allow us to test two important hypotheses derived from decoupling: by clienteles via segmentation and by time. The acquirer's value is...

Committing financial fraud is a serious breach of business ethics. However, there are few large scale studies of financial fraud that involve ethical considerations. In this study, we investigate the pervasive financial scandals, which by the end of 2012 involved more than a third of the...

We investigate the role of social capital and cultural biases in investment by foreign high-tech firms in China. We find social capital of provinces in the host country, social capital of the foreign company's home country, and the cultural difference between the two countries are important...

Investment by foreign firms in a host country is a good setting to study the two concepts in social psychology: cultural biases among foreign companies, and social capital among regions in the host country. We choose to investigate investment by foreign high tech firms in China. We find both...

Corporate finance for the entrepreneurial firm is fundamentally different from that of the traditional firm. The standard problems and solutions to both investment and financing are reformulated in this paper. The formulation is intended to capture two distinguishing features of entrepreneurial...

The weight of individual charitable contribution in the total contribution has decreased significantly since 1979. The fraction of household income spent on cash contribution has also declined during the same period. We examine the factors behind these trends. We find that stock market return,...

We investigate the association between financial performance and CEO hiring source: internal promotion or external firm. This analysis includes all U.S. CEOs in established public firms from 1986 to 2005. The results show that in large firms, internal hires provide significantly higher median...