Description

This second volume of a two-part series examines three major topics. First, it devotes five chapters to the classical issue of capital structure choice. Second, it focuses on the value-implications of major corporate investment and restructuring decisions, and then concludes by surveying the role of pay-for-performance type executive compensation contracts on managerial incentives and risk-taking behavior.

In collaboration with the first volume, this handbook takes stock of the main empirical findings to date across an unprecedented spectrum of corporate finance issues. The surveys are written by leading empirical researchers that remain active in their respective areas of interest. With few exceptions, the writing style makes the chapters accessible to industry practitioners. For doctoral students and seasoned academics, the surveys offer dense roadmaps into the empirical research landscape and provide suggestions for future work.

Key Features

  • Nine original chapters summarize research advances and future topics in the classical issues of capital structure choice, corporate investment behavior, and firm value
  • Multinational comparisons underline the volume's empirical perspectives
  • Complements the presentation of econometric issues, banking, and capital acquisition research covered by Volume 1

Readership

University, research, and major public libraries with finance and economics holdings, academics in finance and economics

Table of Contents

INTRODUCTION TO THE SERIES

CONTENTS OF THE HANDBOOK

PREFACE: EMPIRICAL CORPORATE FINANCE

VOLUME 2

PART 3: DIVIDENDS, CAPITAL STRUCTURE, AND FINANCIAL DISTRESS

Chapter 10: PAYOUT POLICY

Abstract

Keywords

1. Introduction

2. The Miller and Modigliani irrelevance propositions

3. Dividends and taxes

4. Agency relationships and dividend policy

5. Asymmetric information and payout policy

6. Share repurchases

7. Alternative theories and new stylized facts

8. Conclusion

Chapter 11: TAXES AND CORPORATE FINANCE

Abstract

Keywords

1. Introduction

2. Taxes and capital structure—the U.S. tax system

3. Taxes and capital structure—international tax issues

4. Taxes, LBOs, corporate restructuring, and organizational form

5. Taxes and payout policy

6. Taxes and compensation policy

7. Taxes, corporate risk management, and earnings management

8. Tax shelters

9. Summary and suggestions for future research

Chapter 12: TRADE-OFF AND PECKING ORDER THEORIES OF DEBT

Abstract

Keywords

1. Introduction

2. Theory

3. Evidence

4. Conclusion

5. Appendix: the stylized facts

Chapter 13: CAPITAL STRUCTURE AND CORPORATE STRATEGY

Abstract

Chapter 14: BANKRUPTCY AND THE RESOLUTION OF FINANCIAL DISTRESS

Abstract

Keywords

1. Introduction

2. Theoretical framework

3. Asset restructuring

4. Debt workouts

5. Governance of distressed firms

6. Bankruptcy costs

7. The success of chapter 11 reorganization

8. International evidence

9. Conclusion

PART 4: TAKEOVERS, RESTRUCTURINGS, AND MANAGERIAL INCENTIVES

Chapter 15: CORPORATE TAKEOVERS

Abstract

Keywords

1. Introduction

2. Takeover

Details

No. of pages:
608
Language:
English
Copyright:
© 2008
Published:
Imprint:
North Holland
Print ISBN:
9780444530905
Electronic ISBN:
9780080932118

About the editor

B. Espen Eckbo

Professor B. Espen Eckbo holds the Tuck Centennial Chair in Finance. He is also Faculty Director of Tuck's Lindenauer Center for Corporate Governance, which he founded in 1999. He teaches advanced MBA courses in the areas of corporate finance, corporate takeovers and international corporate governance. Professor Eckbo, who received a PhD in financial economics from the University of Rochester in 1981, has published extensively in the top finance journals in the areas of corporate finance, investment banking, and the market for corporate control. He is a recipient of an honorary doctoral degree from the Norwegian School of Economics, the prestigious Batterymarch Fellowship, as well as several outstanding-paper awards. He is a research Associate of the European Corporate Governance Institute (ECGI), and a frequent keynote and invited seminar speaker. He was called in 2009 by the U.S. Congress to testify on issues concerning the government’s large equity ownership positions in companies rescued under the Troubled Asset Relief Program (TARP).

Reviews

“Espen Eckbo has assembled an excellent team of researchers to survey the most important areas of corporate finance. This handbook will serve as a very useful reference for both new and experienced corporate finance scholars.” David Scharfstein Harvard University "The last 20 years have witnessed an explosion of work in empirical corporate finance. This handbook represents a monumental effort in systematizing and analyzing the most important areas of this work. The quality and depth of the analysis make it a must for researchers and practitioners in corporate finance." Professor Florencio Lopez-de-Silanes EDHEC Business School