We examine the response of investment to peers' stock prices. While the response to average peer-Q is typically … different measures of peer price informativeness can capture either positive or negative investment signals. Thus, the response …

this theory have not yet been directly tested. I investigate the relationship between derivative cash flows and investment …A crucial argument for motivating hedging is that it supports corporate investment when internal cash flows are … using hand-collected data from the oil and gas industry between 2000 and 2015. The data supports the theory. On average …

(3) active trading by common owners. Further, we find that the investment sensitivity to Tobin’s Q for commonly held …

We show empirically that firms' investment responds to innovations in stock prices of peer firms. This response is …

investment policies. As information aggregates in the market, these errors amplify and crowd out the information content of stock …

Stock prices reflect firm performance and aggregate investor information about investment opportunities. We show that … these dual roles are in tension: when prices are more informative about future investment, they are less effective at … allowing for ex-post inefficient investment can increase firm value. We show that standard empirical measures of price …