Research Article

There are two competing theoretical perspectives on whether bank capital improves or adversely affects banks’ monitoring incentives. We show that bank capital is positively associated with loan quality, an outcome of bank’s monitoring effort, and two salary-based ex-ante measures of monitoring effort that capture quality and quantity of labor input into monitoring. The evidence is robust to a b...

Voluntary associations are often ascribed a fundamental role in the formation of social capital. However, scholars disagree on the extent to which face-to-face contact, i.e. active participation, is necessary to create this resource. The impact of participation in associations on social capital is examined using three dimensions: intensity (active vs. passive participation), scope (many vs. few...

I examine the capital expenditures of a sample of 700 takeover targets and firms that went private over the period 1972-1987. For the complete sample, I do not find evidence that takeover targets increase their capital expenditures over the fouryear period before the acquisition or that they overinvest in capital expenditures relative to several benchmarks. Subsample results provide some eviden...

This study investigates the role of intellectual capital (i.e., human, social and organization capital) enhancing HR practices in the development of a firm’s potential and realized absorptive capacity, as well as the impact of absorptive capacity on the firm’s innovative performance. Results show that while human capital enhancing HR (acquisition and developmental HR) is positively related to p...