Improving company value: the role of human capital, structural capital, capital employed, investment decisions, and manager's attitude to risk

Human Capital and Investment Policy

The literature relates human capital costs to firm leverage (Berk, Stanton, and Zechner (2010) and Chemmanur, Cheng, and Zhang (2013)) and mergers and acquisitions (Lee, Mauer, and Xu (2017)). In this paper, we study the relation between a firm’s human capital costs and investment policy. We first present a simple theoretical setting to illustrate the positive effects of risky investment on ave...

Optimizing Capital Investment Decisions at Intel Corporation

Investigating and analyzing the role of human capital, structural changes and their interaction on economic growth

Economic growth is one of the main goals of societies, in which economic well-being is achieved. So far, various theories have been proposed regarding the factors influencing economic growth. However, in this study, using an econometric model, the role of human capital and structural changes on economic growth were investigated simultaneously. The case study was conducted during the period of 1...

Improving capital budgeting decisions with real options

M A N A G E M E N T A C C O U N T I N G Q U A R T E R L Y S U M M E R 2 0 0 8 , V O L . 9 , N O . 4 T he process of evaluating the desirability of long-term investment proposals is referred to as “capital budgeting.” Making optimum capital budgeting decisions (e.g., whether to accept or reject a proposed project), often requires recognizing and correctly accounting for flexibilities associated ...

Uncertainty , Capital Investment , and Risk Management ∗

We use forward-looking and exogenous measures of output price uncertainty to examine the effect of price uncertainty on firm-level capital investment, risk management, and debt issuance. The effects of uncertainty vary significantly by firm size. When faced with high price uncertainty, large firms increase their hedging intensity but do not lower capital investment or debt issuance. In contrast...