Publications

February 2002
Article

Market Timing and Capital Structure

By: Malcolm Baker and Jeffrey Wurgler

It is well known that firms tend to raise equity when their market values are high relative to book and past market values. We document that the resulting effects on capital structure are very persistent. As a consequence, current capital structure is strongly related... View Details

Keywords: Valuation; Equity; Capital Structure; Theory; Market Timing; Financial Markets

January 1992 (Revised December 1994)
Background Note

Note on E-Mail and Privacy: U.S. Law and Company Policies

By: Lynn S. Paine

Describes the legal landscape of employee privacy as it applies to e-mail interception: the various legal theories on which a privacy claim might be based and proposed federal legislation relevant to the subject. Also describes the policies companies like UPS,... View Details

Keywords: Risk and Uncertainty; Information; Rights; Government Legislation; Internet and the Web; Interpersonal Communication; Ethics; Theory; Policy; Employees

November 2004 (Revised February 2006)
Background Note

Note on Insider Trading Liability

By: Lynn S. Paine and Christopher Bruner

Provides a general description and overview of U.S. law on insider trading, including the basic theories of liability, the responsibilities of securities firm managers to prevent and detect insider trading, and the potential penalties for insider trading. A rewritten... View Details

Keywords: Insider Trading; Legal Liability; Ethics; Crime and Corruption; Finance

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2009
Book

The Concept of Capitalism

By: Bruce R. Scott

This monograph on the concept of capitalism is the intellectual core of a larger work, entitled Capitalism, Its Origins and Evolution as a System of Governance, due for publication November 2009. The purpose of this monograph is to put forth an original concept of... View Details

Keywords: Economic Systems; Framework; Governance; History; System; Theory

July 2021
Article

Discovering Auctions: Contributions of Paul Milgrom and Robert Wilson

By: Alex Teytelboym, Shengwu Li, Scott Duke Kominers, Mohammad Akbarpour and Piotr Dworczak

The 2020 Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel was awarded to Paul R. Milgrom and Robert B. Wilson for “improvements to auction theory and inventions of new auction formats.” In this survey article, we review the contributions of the... View Details

Keywords: Economics; Auctions; Theory; Design

Article

Emotional Acknowledgment: How Verbalizing Others' Emotions Fosters Interpersonal Trust

By: Alisa Yu, Justin M. Berg and Julian Zlatev

People often respond to others’ emotions using verbal acknowledgment (e.g., “You seem upset”). Yet, little is known about the relational benefits and risks of acknowledging others’ emotions in the workplace. We draw upon Costly Signaling Theory to posit how emotional... View Details

Keywords: Emotion; Costly Signaling; Interpersonal Trust; Emotional Valence; Interpersonal Relationships; Empathic Accuracy; Emotions; Relationships; Trust; Interpersonal Communication

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October 2009
Article

Negotiation Analysis: From Games to Inferences to Decisions to Deals

By: James K. Sebenius

Exemplified by the pioneering work of Howard Raiffa and often expressed in the pages of the Negotiation Journal, the emergent prescriptive field of "negotiation analysis" progressively developed from Raiffa's early contributions to game theory and to his later... View Details

Keywords: Decision Choices and Conditions; Negotiation Participants; Negotiation Preparation; Negotiation Process; Negotiation Tactics; Game Theory

1998
Book

The Multinational Traders

By: Geoffrey Jones

This book examines the history and theory of multinational trading companies. The essays in this volume demonstrate the importance of trading companies in trade and investment flows in the world economy from the nineteenth century to the present day. The empirical... View Details

Keywords: Company History; Trade; Globalization; Books; Organizational Structure; Perspective; Diversification; Theory; Asia; Europe; United States

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12 Apr 2007
Working Paper Summaries

From Manufacturing to Design: An Essay on the Work of Kim B. Clark

Keywords: by Sylvain Lenfle & Carliss Y. Baldwin; Manufacturing

Research Summary

Overview

Yusaku's interests lie in the dynamics of shared beliefs, shared values, and organizational capabilities, as well as the role of leadership in them. Of particular approach is to understand the ways in which beliefs become justified, socially, so as to become "justified... View Details

Research Summary

How and When Does Hierarchy Emerge in Firms?

Despite understanding that formal structure within firms is crucial for maintaining coordination and control as young firms grow, relatively little is systematically known about the initial formation of hierarchy in firms. By exploiting access to a dataset of all... View Details

Keywords: Organization Design; Start-up Growth; Startup Management; Organizational Design; Entrepreneurship; Brazil

2008
Chapter

Corporate Honesty and Business Education: A Behavioral Model

By: Rakesh Khurana and Herbert Gintis

Since the mid-1970s neoclassical economic theory has dominated business school thinking and teaching in dealing with the nature of human motivation. However valuable in understanding competitive product and financial markets, neoclassical economic theory employs an... View Details

Keywords: Business Education; Ethics; Managerial Roles; Corporate Social Responsibility and Impact; Organizational Culture; Business and Shareholder Relations; Mathematical Methods; Behavior

21 Feb 2013
Working Paper Summaries

Developing the Guts of a GUT (Grand Unified Theory): Elite Commitment and Inclusive Growth

Keywords: by Lant Pritchett & Eric D. Werker

2012
Article

The Cost and Timing of Financial Distress

By: Christopher Parsons

Assessments of the trade-off theory have typically compared the present value of tax benefits to the present value of bankruptcy costs. We verify that this comparison overwhelmingly favors tax benefits, suggesting that firms are under-leveraged. However, when we... View Details

Keywords: Taxation; Insolvency and Bankruptcy

2022
Working Paper

ESG: Hyperboles and Reality

By: George Serafeim

ESG has rapidly become a household name leading to both confusion about what it means and creating unrealistic expectations about its effects. In this paper, I draw on more than a decade of research to dispel several myths about ESG and provide answers to important... View Details

Keywords: ESG; ESG (Environmental, Social, Governance) Performance; ESG Disclosure; ESG Reporting; ESG Ratings; Sustainability; Corporate Social Responsibility and Impact; Environmental Sustainability; Performance; Corporate Disclosure; Reports

SSRN

April 2001 (Revised August 2001)
Case

Risk Management at Apache

After initiating a hedging strategy, Apache Corp. is interested in revisiting its decision to determine if hedging is value-adding. This case investigates how the company initially decided to hedge against commodity price risk and how it implemented its hedging... View Details

Keywords: Risk Management; Investment; Corporate Finance

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January 2014
Other Article

The Answer is 9,142: Understanding the Influence of Disruption Risk on Inventory Decision Making

By: Mark Cotteleer, Maria Ibanez and Geri Gibbons

The question was how many units of inventory a manager should order when faced with a possible disruption in supply. The correct answer is not guesswork, but based on 150 years of theory and practice. We examine individual choices made in this critical situation—and... View Details

Keywords: Behavioral; Behavioral Operations; Inventory; Bias; Operations Management; Operations