Peer Effects in Financial Investment of Board-interlocked Firms: An Information Sharing Perspective
Author
Abstract
Suggested Citation
DOI: 10.1016/j.eap.2023.10.027
Download full text from publisher
As the access to this document is restricted, you may want to search for a different version of it.
References listed on IDEAS
- Art Durnev & Claudine Mangen, 2009. "Corporate Investments: Learning from Restatements," Journal of Accounting Research, Wiley Blackwell, vol. 47(3), pages 679-720, June.
- Liu, Guanchun & Hu, May & Cheng, Chen, 2021. "The information transfer effects of political connections on mitigating policy uncertainty: Evidence from China," Journal of Corporate Finance, Elsevier, vol. 67(C).
- James G. March, 1991. "Exploration and Exploitation in Organizational Learning," Organization Science, INFORMS, vol. 2(1), pages 71-87, February.
- Mark T. Leary & Michael R. Roberts, 2014. "Do Peer Firms Affect Corporate Financial Policy?," Journal of Finance, American Finance Association, vol. 69(1), pages 139-178, February.
- Kelly Shue, 2013. "Executive Networks and Firm Policies: Evidence from the Random Assignment of MBA Peers," The Review of Financial Studies, Society for Financial Studies, vol. 26(6), pages 1401-1442.
- Bramoullé, Yann & Djebbari, Habiba & Fortin, Bernard, 2009.
"Identification of peer effects through social networks,"
Journal of Econometrics, Elsevier, vol. 150(1), pages 41-55, May.
- Bramoullé, Yann & Djebbari, Habiba & Fortin, Bernard, 2007. "Identification of Peer Effects through Social Networks," IZA Discussion Papers 2652, Institute of Labor Economics (IZA).
- Yann Bramoullé & Habiba Djebbari & Bernard Fortin, 2007. "Identification of Peer Effects through Social Networks," Cahiers de recherche 0705, CIRPEE.
- Demir, FIrat, 2009. "Financial liberalization, private investment and portfolio choice: Financialization of real sectors in emerging markets," Journal of Development Economics, Elsevier, vol. 88(2), pages 314-324, March.
- Jing, Wei & Zhang, Xueyong, 2021. "Online social networks and corporate investment similarity," Journal of Corporate Finance, Elsevier, vol. 68(C).
- Zhang, Chengsi & Zheng, Ning, 2020. "Monetary policy and financial investments of nonfinancial firms: New evidence from China," China Economic Review, Elsevier, vol. 60(C).
- Chuluun, Tuugi & Prevost, Andrew & Upadhyay, Arun, 2017. "Firm network structure and innovation," Journal of Corporate Finance, Elsevier, vol. 44(C), pages 193-214.
- Adhikari, Binay K. & Agrawal, Anup, 2018. "Peer influence on payout policies," Journal of Corporate Finance, Elsevier, vol. 48(C), pages 615-637.
- Grieser, William & Hadlock, Charles & LeSage, James & Zekhnini, Morad, 2022. "Network effects in corporate financial policies," Journal of Financial Economics, Elsevier, vol. 144(1), pages 247-272.
- Grennan, Jillian, 2019. "Dividend payments as a response to peer influence," Journal of Financial Economics, Elsevier, vol. 131(3), pages 549-570.
- Renneboog, Luc & Zhao, Yang, 2014.
"Director networks and takeovers,"
Journal of Corporate Finance, Elsevier, vol. 28(C), pages 218-234.
- Renneboog, L.D.R. & Zhao, Y., 2013. "Director Networks and Takeovers," Discussion Paper 2013-056, Tilburg University, Center for Economic Research.
- Renneboog, L.D.R. & Zhao, Y., 2014. "Director networks and takeovers," Other publications TiSEM b25bfaae-9d29-49cb-99ee-4, Tilburg University, School of Economics and Management.
- Renneboog, L.D.R. & Zhao, Y., 2013. "Director Networks and Takeovers," Other publications TiSEM 04ccf531-c446-4257-97e7-4, Tilburg University, School of Economics and Management.
- Nandy, Monomita & Lodh, Suman & Kaur, Jaskaran & Wang, Jin, 2020. "Impact of directors' networks on corporate social responsibility: A cross country study," International Review of Financial Analysis, Elsevier, vol. 72(C).
- Jie Cao & Hao Liang & Xintong Zhan, 2019. "Peer Effects of Corporate Social Responsibility," Management Science, INFORMS, vol. 65(12), pages 5487-5503, December.
- Du, Julan & Li, Chang & Wang, Yongqin, 2017. "A comparative study of shadow banking activities of non-financial firms in transition economies," China Economic Review, Elsevier, vol. 46(S), pages 35-49.
- Daniel Kahneman & Amos Tversky, 2013.
"Prospect Theory: An Analysis of Decision Under Risk,"
World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127,
World Scientific Publishing Co. Pte. Ltd..
- Kahneman, Daniel & Tversky, Amos, 1979. "Prospect Theory: An Analysis of Decision under Risk," Econometrica, Econometric Society, vol. 47(2), pages 263-291, March.
- Amos Tversky & Daniel Kahneman, 1979. "Prospect Theory: An Analysis of Decision under Risk," Levine's Working Paper Archive 7656, David K. Levine.
- Trueman, Brett, 1994. "Analyst Forecasts and Herding Behavior," The Review of Financial Studies, Society for Financial Studies, vol. 7(1), pages 97-124.
- Charles F. Manski, 1993.
"Identification of Endogenous Social Effects: The Reflection Problem,"
The Review of Economic Studies, Review of Economic Studies Ltd, vol. 60(3), pages 531-542.
- Manski, Charles F., 1991. "Identification of Endogenous Social Effects: The Reflection Problem," SSRI Workshop Series 292712, University of Wisconsin-Madison, Social Systems Research Institute.
- Manski, C.F., 1991. "Identification of Endogenous Social Effects: the Reflection Problem," Working papers 9127, Wisconsin Madison - Social Systems.
- Fama, Eugene F. & French, Kenneth R., 2015. "A five-factor asset pricing model," Journal of Financial Economics, Elsevier, vol. 116(1), pages 1-22.
- John Bizjak & Michael Lemmon & Ryan Whitby, 2009. "Option Backdating and Board Interlocks," The Review of Financial Studies, Society for Financial Studies, vol. 22(11), pages 4821-4847, November.
- Zhang, Shuran, 2021. "Directors’ career concerns: Evidence from proxy contests and board interlocks," Journal of Financial Economics, Elsevier, vol. 140(3), pages 894-915.
- Wang, Hua & Wang, Wei & Alhaleh, Shadi Emad Areef, 2021. "Mixed ownership and financial investment: Evidence from Chinese state-owned enterprises," Economic Analysis and Policy, Elsevier, vol. 70(C), pages 159-171.
- Cesare Fracassi, 2017. "Corporate Finance Policies and Social Networks," Management Science, INFORMS, vol. 63(8), pages 2420-2438, August.
- Christa H. S. Bouwman, 2011. "Corporate Governance Propagation through Overlapping Directors," The Review of Financial Studies, Society for Financial Studies, vol. 24(7), pages 2358-2394.
- M. Cecilia Bustamante & Laurent Frésard, 2021. "Does Firm Investment Respond to Peers’ Investment?," Management Science, INFORMS, vol. 67(8), pages 4703-4724, August.
- Casey Dougal & Christopher A. Parsons & Sheridan Titman, 2015. "Urban Vibrancy and Corporate Growth," Journal of Finance, American Finance Association, vol. 70(1), pages 163-210, February.
- Vo, Hong & Trinh, Quoc-Dat & Le, Minh & Nguyen, Thuy-Ngan, 2021. "Does economic policy uncertainty affect investment sensitivity to peer stock prices?," Economic Analysis and Policy, Elsevier, vol. 72(C), pages 685-699.
- Huseyin Gulen & Mihai Ion, 2016. "Editor's Choice Policy Uncertainty and Corporate Investment," The Review of Financial Studies, Society for Financial Studies, vol. 29(3), pages 523-564.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Zhang, Tianyu, 2023. "Peer effects in R&D investment based on interlock network: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 89(C).
- Song, Suyong & Wang, Jiawei (Brooke), 2024. "Boardroom networks and corporate investment," Journal of Corporate Finance, Elsevier, vol. 84(C).
- Grieser, William & Hadlock, Charles & LeSage, James & Zekhnini, Morad, 2022. "Network effects in corporate financial policies," Journal of Financial Economics, Elsevier, vol. 144(1), pages 247-272.
- Chen, Mingqin & Xie, Jing & Li, Yue, 2022. "Heterogeneity of dividend smoothing: A strategic response to peer competition in China," Pacific-Basin Finance Journal, Elsevier, vol. 76(C).
- M. Cecilia Bustamante & Laurent Frésard, 2021. "Does Firm Investment Respond to Peers’ Investment?," Management Science, INFORMS, vol. 67(8), pages 4703-4724, August.
- Liang, Quanxi & Li, Qiumei & Lu, Meiting & Shan, Yaowen, 2021. "Industry and geographic peer effects on corporate tax avoidance: Evidence from China," Pacific-Basin Finance Journal, Elsevier, vol. 67(C).
- Ajirloo, Bahman Fathi & Switzer, Lorne N., 2022. "Self-disclosed peer effects on corporate capital structure," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 78(C).
- Shen, Xieyang & Yang, Sijie & Chen, Yulin & Zeng, Jianyu, 2022. "How does economic policy uncertainty influence managers' learning from peers' stock prices? Evidence from China," Pacific-Basin Finance Journal, Elsevier, vol. 74(C).
- Chang, Liang & Tan, Na & Zhang, Xinyue & Yuan, Yiyun, 2023. "Does peer firms’ tone affect corporate investment? Evidence from China," International Review of Financial Analysis, Elsevier, vol. 90(C).
- Zhengyong Zhang & Jiayi You, 2024. "Does firms' ESG information disclosure have contagion effect? Evidence from China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(4), pages 3274-3296, July.
- William Grieser & James LeSage & Morad Zekhnini, 2022. "Industry Networks and the Geography of Firm Behavior," Management Science, INFORMS, vol. 68(8), pages 6163-6183, August.
- Ali-Rind, Asad & Boubaker, Sabri & Jarjir, Souad Lajili, 2023.
"Peer effects in financial economics: A literature survey,"
Research in International Business and Finance, Elsevier, vol. 64(C).
- Asad Ali-Rind & Sabri Boubaker & Souad Lajili Jarjir, 2023. "Peer effects in financial economics: A literature survey," Post-Print hal-04085261, HAL.
- Ye, Zhiqiang & Zhang, Shunming & Zheng, Jiefei, 2023. "The peer effects of PIPEs," International Review of Economics & Finance, Elsevier, vol. 83(C), pages 156-172.
- Liang, Quanxi & Li, Qiumei & Lu, Meiting & Shan, Yaowen & Wang, Peipei, 2024. "Peer effects on corporate environmental protection: Competition, information cascades or career concerns?," Pacific-Basin Finance Journal, Elsevier, vol. 84(C).
- Abdul Rashid & Ayanle Farah Said, 2024. "Peer Effects on Investment Decisions: Do Industry Leaders and Young Firms Behave Differently?," Global Business Review, International Management Institute, vol. 25(3), pages 791-811, June.
- Chien Chi Chu & Xiu‐Fen Su & Yu‐En Lin & Akihiro Omura & Bin Li & Adrian Wai‐Kong Cheung, 2023. "Love thy neighbour: Evidence from capital structure decisions," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 63(3), pages 2907-2933, September.
- Zhuang, Yuan & Nie, Jing & Wu, Weixing, 2022. "Peer influence and the value of cash holdings," Journal of Empirical Finance, Elsevier, vol. 69(C), pages 265-284.
- Hsu, Yuan-Teng & Huang, Chia-Wei & Koedijk, Kees G., 2023. "Unintended consequences of compensation peer groups on corporate innovation," Journal of Corporate Finance, Elsevier, vol. 78(C).
- Zhen Peng & Yujun Lian & Joseph A. Forson, 2021.
"Peer effects in R&D investment policy: Evidence from China,"
International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 4516-4533, July.
- Peng, Zhen & Lian, Yujun & Forson, Joseph Ato, 2017. "Peer Effects in R&D Investment Policy: Evidence from China," MPRA Paper 102394, University Library of Munich, Germany, revised 20 Jun 2019.
- Hui Zhao & Ao Lei & Yuhui Li & Dingjun Hong, 2023. "The Sectoral and Regional Peer Influences on Heavy-Pollution Corporate Environmental, Social, and Governance Performance," Sustainability, MDPI, vol. 15(17), pages 1-42, August.
More about this item
Keywords
Financial investment; Board interlock; Peer effects; Network; Information sharing;All these keywords.
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecanpo:v:80:y:2023:i:c:p:1490-1508. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/economic-analysis-and-policy .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.