Shareholder Value

The State of U.S. Corporate Governance: What's Right and What's Wrong?

Shareholderism versus Stakeholderism – A Misconceived Contradiction. A Comment on “The Illusory Promise of Stakeholder Governance” by Lucian Bebchuk and Roberto Tallarita

This paper critiques an assessment by Bebchuk and Tallarita (BT) of the relative merits of shareholder and stakeholder governance. BT’s paper argues...

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...

Does Diversification of Share Classes Increase Firm Value?

Firms can issue stocks classified in many ways. They can be classified in respect to voting rights, dividend rights, redemption rights, conversion...

Is There a Role for Benefit Corporations in the New Sustainable Governance Framework?

In this paper, we ask whether benefit corporations have a role to play in the emerging EU sustainable governance framework. In sec. 2, we briefly...

Activism, Strategic Trading, and Liquidity

We analyze dynamic trading by an activist investor who can expend costly effort to affect firm value. We obtain the equilibrium in closed form for a...

What do we know about different systems of corporate governance?

CITIZEN CORP.

Corporations are increasingly taking stands on a wide range of social issues: gun control, gender and race, immigration, abortion. Scholars have...

The Purpose of the Corporation: Shareholder-Value Maximization?

Does Joining the S&P 500 Index Hurt Firms?

We investigate the impact on firms of joining the S&P 500 index from 1997 to 2017. We find that the positive announcement effect on the stock price of...

Corporate Litigation in Specialized Business Courts

In US derivative cases, plaintiffs? lawyer fees and monetary awards have a distorting effect on shareholder value. We evaluate the benefits of...

Managerial Response to Shareholder Empowerment: Evidence from Majority Voting Legislation Changes

This paper studies how managers react to shareholder empowerment vis-à-vis governance provisions. We show that a staggered legislative change that...