Emerging Markets

Working Paper

01 May 2006

How Does Law Affect Finance? An Examination of Equity Tunneling in Bulgaria

We model and test the mechanisms through which securities law affects tunneling and tunneling affects firm valuation. In 2002, Bulgaria adopted securities law changes which limit two forms of equity tunneling – dilutive equity...

Vladimir Atanasov | Bernard Black | Conrad Ciccotello | Stanley Gyoshev
01 July 2011

What Matters and for Which Firms for Corporate Governance in Emerging Markets? Evidence from Brazil (and Other BRIK Countries)

A central issue in corporate governance research is the extent to which “good” governance practices are universal (one size mostly fits all) or instead depend on country and firm characteristics. We report evidence that supports...

Bernard Black | Antonio Gledson de Carvalho | Érica Gorga
01 October 2005

'Lending by Example': Direct and Indirect Effects of Foreign Banks in Emerging Markets

Using a novel dataset that allows us to trace the bank relationships of a sample of mostly unlisted firms, we explore which borrowers are able to benefit from foreign bank presence in emerging markets. Our results suggest that the limits...

Mariassunta Giannetti | Steven Ongena
27 August 2018

Which Aspects of Corporate Governance Do and Do Not Matter in Emerging Markets

Well-constructed, country-specific “corporate governance indices” can predict higher firm values in emerging markets. However, there is little credible research on which aspects of governance drive that overall...

Bernard Black | Antonio Gledson de Carvalho | Vikramaditya Khanna | Woochan Kim | Burcin Yurtoglu
01 May 2014

The Diffusion of Corporate Governance to Emerging Markets: Evaluating Two Dimensions of Investor Heterogeneity

This paper investigates whether foreign institutional investors in emerging markets can enhance shareholder value. We pay special attention to two dimensions of investor heterogeneity: whether an investor declares itself as...

Woochan Kim | Taeyoon Sung | Shang-Jin Wei
02 November 2017

The Externalities of Corruption: Evidence from Entrepreneurial Firms in China

Exploiting China’s anti-corruption campaign, we show that following a decrease in corruption, firm performance improves. Small and young firms benefit more. We identify the channels through which corruption hampers firm...

Mariassunta Giannetti | Guanmin Liao | Jiaxing You | Xiaoyun Yu
01 March 2014

Methods for Multicountry Studies of Corporate Governance (and Evidence from the BRIKT Countries)

We discuss empirical challenges in multicountry studies of the effects of firm-level corporate governance on firm value, focusing on emerging markets. We assess the severe data, “construct validity,” and endogeneity issues in...

Bernard Black | Antonio Gledson de Carvalho | Vikramaditya Khanna | Woochan Kim | Burcin Yurtoglu