CEO Overconfidence and Long-Term Performance Following R&D Increases

被引：79

作者：

Chen, Sheng-Syan ^{[1
]}

Ho, Keng-Yu ^{[1
]}

Ho, Po-Hsin ^{[2
]}

机构：

[1] Natl Taiwan Univ, Dept Finance, Taipei 10764, Taiwan

[2] Natl United Univ, Dept Finance, Miaoli, Taiwan

来源：

FINANCIAL MANAGEMENT | 2014年 / 43卷 / 02期

关键词：

ABNORMAL STOCK RETURNS; DEVELOPMENT EXPENDITURES; OPERATING PERFORMANCE; CORPORATE GOVERNANCE; MARKET-EFFICIENCY; EMPIRICAL POWER; TEST STATISTICS; CASH FLOW; ACQUISITIONS; INVESTMENT;

D O I：

10.1111/fima.12035

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

We examine the relation between Chief Executive Officer (CEO) overconfidence and significant increases in research and development (R&D) expenditures. Although prior studies reveal a significantly positive market reaction to increases in R&D expenditures in both the long and short run, we find that long-run stock performance is positive only for firms whose CEOs are not overconfident. Our findings, which may be attributable to overinvestment and the overestimation of future cash flows, imply that R&D resulting from overconfident behavior does not provide any value to firms.

引用

页码：245 / 269

页数：25

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