Innovation
Working Paper
The ?Ignored? Third Dimension of Corporate Governance
The separation of ownership and control has always been central in corporate governance debates. A large body of literature has sought to show that control-enhancing arrangements can deter investors. However, the experience of the last few years...Read more
Employment protection and investment opportunities
Even though firms? innovation efforts dwindle in reaction to weaker employment protection legislation (EPL), we show that the value of their investment opportunities actually increases. The reason is that weaker EPL discourages innovation efforts...Read more
Are Foreign Investors Locusts? The Long-Term Effects of Foreign Institutional Ownership
This paper challenges the view that foreign investors lead firms to adopt a short-term orientation and forgo long-term investment. Using a comprehensive sample of publicly listed firms in 30 countries over the 2001-2010 period, we find instead...Read more
Regulating Public Offerings of Truly New Securities: First Principles
The public offering of truly new securities involves purchases by investors in sufficient number and in small enough blocks that each purchaser’s shares can reasonably be expected to be freely tradable in a secondary market that did not exist...Read more
Bringing the AGM to the 21st Century: Blockchain and Smart Contracting Tech for Shareholder Involvement
The AGM is often considered to play an important role in direct shareholder monitoring of directors and corporate blockholders. However, its practical functioning suffers from large obstacles.
In this research we outline the AGM’s flaws...Read more
The Promise and Perils of Crowdfunding: Between Corporate Finance and Consumer Contracts
‘Crowdfunding’ — raising capital through large numbers of small contributions — is a burgeoning phenomenon, spurred by the internet’s capacity to reduce communication costs. Its still-evolving status is reflected in diversity of contracting...Read more
Fintech and the Financing of Entrepreneurs: From Crowdfunding to Marketplace Lending
For the last decade economists have been preoccupied with the decline in bank financing to small businesses and entrepreneurs. This effort has produced a better understanding of the obstacles to external financing. We examine the market and ...Read more
Creative Corporate Culture and Innovation
We define creative companies by means of the Competing Value Framework, and we identify them by means of textual analysis. We show that a creative corporate culture is an important driver of innovation, as measured by the number of patents a firm...Read more
Technology and Corporate Governance: Blockchain, Crypto, and Artificial Intelligence
Over recent decades, the on-going “digital revolution” has transformed many aspects of everyday life. Think of the increased power and shrinking size of personal computers and smartphones; the global expansion of the Internet and the new forms of...Read more
Financial Dependence and Innovation: The Case of Public versus Private Firms
In this paper, we examine the relation between innovation and a firm's financial dependence using a sample of privately-held and publicly-traded U.S. firms. We find that public firms in external finance dependent industries spend more on R&D...Read more
Corporate Takeovers and Economic Efficiency
I review recent takeover research which advances our understanding of ?who buys who? in the drive for productive efficiency. This research provides detailed information on text-based definitions of product market links between bidders and targets...Read more