Research has shown that firms with overconfident chief executive officers (CEOs) tend to overinvest and are exposed to high risks due to unrealistically optimistic estimates of their firms’ future performance. This study finds evidence that overconfident CEOs also affect suppliers’ risk...

In this paper, we examine whether and why the Uniform Trade Secrets Act (UTSA) affects the financing costs of innovative firms. Using the UTSA as an exogenous shock, we find that innovative firms are charged significantly lower loan spreads after the release of the UTSA, while non-innovative...

We hypothesize that when managers do not exercise their options, they signal valuable private information. Accordingly, we construct a proxy to capture managers’ private information from their in-the-money vested options unexercised (VOU) and find a positive relation with subsequent operating...