This study investigates the effects of' institutional ownership on the debt policy and managerial ownership of the firm. Earlier literature on the agency model of the firm widely recognizes that the use of managerial stock ownership and external debt play an important role in limiting agency...

We apply an option-pricing framework to the ex-dividend behavior of common stocks. The framework explains the observed behavior of positive returns on the ex-dividend day and predicts that ex-dividend day returns will be higher for firms with greater financial leverage. Empirical testing...

Can monetary policy influence long-term interest rates? Studies that have tackled this question using VARs generally find that monetary policy's influence on long-term interest rates is small and often statistically insignificant. Other studies, however, using a single-equation approach have...