Board Composition and Performance of State-owned Enterprises: Quasi-experimental Evidence

نویسندگان

چکیده

The quality of governance crucially affects corporate outcomes, and may be particularly important for state-owned enterprises (SOEs) not disciplined by market competition forces. We examine the impact board composition on performance companies controlled public entities in Italy. For this purpose, we exploit a reform-induced exogenous change composition, aimed at increasing female representation reducing revolving-door phenomenon. law’s provisions were binding SOEs, but with minority share ownership, allowing us to adopt difference-in-differences estimation. results show that presence boards directors SOEs has increased, while former politicians decreased. new have mostly replaced older less talented men, thereby rejuvenating improving their quality. To assess effects shake-up firm performance, analyse companies’ balance sheets survey information citizens’ satisfaction provision local services objective measures While detect no significant productivity, find profitability increases leverage decreases, credit risk. Finally, there is evidence consistent an improvement SOEs’ output.

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ژورنال

عنوان ژورنال: Social Science Research Network

سال: 2021

ISSN: ['1556-5068']

DOI: https://doi.org/10.2139/ssrn.3852382