We study whether firms in the rain-sensitive sectors time their investments to generate value in response to extreme deviations in rainfall conditions. Using Indian monsoon data, we show that the market-based valuations of rain-sensitive firms significantly declines in the immediate aftermath of...

In this study, we examine the effect of the market for corporate control (MCC) on firm risk-taking exploiting the staggered enactment of country-level merger and acquisition (M&A) laws of thirty-four countries as a plausibly exogenous source of variation in MCC. Consistent with the theoretical...

We examine whether the extreme rainfall condition affects corporate borrowings. Based on the saliency argument, the findings show that extreme rain conditions induce expansion of corporate borrowing among rain-sensitive firms. We further document the heterogeneous treatment effect of this rain...

Distinguished societal recognition can influence the behaviour of corporate decision-makers to act responsibly. We exploit this unique sociological attribute of board members of UK firms and examine the impact of the titles of honour on firms’ environment, social, and governance (ESG)...

Negative ESG incidents and practices have gained traction in the recent past, severely damaging the firm's reputation and survival. Firms may adopt political investment strategies to mitigate the risks associated with these negative ESG incidents. Using corporate political contributions in the...

Using 19 emerging economies from 1990 to 2018, we find a positive effect of geopolitical risk on mergers and acquisition (M&A) deal frequency driven mainly by an increase in domestic M&A. We, however, find a negative effect of geopolitical risk on the M&A deal size, highlighting the deadweight...

Examining nineteen emerging economies from 1990 to 2018, we identify a positive effect of geopolitical risk on mergers and acquisition (M&A) deal frequency, driven mainly by an increase in domestic M&A. We, however, find a negative effect of geopolitical risk on the M&A deal size, highlighting...