Research & Data
Organization Capital and Executive Performance Incentives, Journal of Banking & Finance, 2021, with Henry Leung (University of Sydney) and Buhui Qiu (University of Sydney).
We conjecture that a firm's organization capital (OC) has a substitution effect on its executive pay-for-performance sensitivity (PPS) and empirically document a robust and significant substitution effect of OC on executive PPS. We use state-level unemployment insurance benefits as an instrumental variable for OC and show that the documented OC-PPS substitution effect is likely causal. Results are also robust to a stacked difference-in-differences estimation approach based on a quasi-natural experiment of exogenous CEO turnovers due to health-related issues. Our findings strongly suggest that greater OC substitutes for costly executive incentive compensation to sustain firm productivity and increase shareholder wealth.
The 2020 FMA Annual Meeting (Virtual), October 2020. Discussant: Blake Loriot (Monash University).
The 3rd Global PhD Colloquium, April 2019, Fordham University, New York -- Outstanding PhD Student Paper Award. Discussant: Thomas Noe (University of Oxford).
The 32nd Annual PhD Conference in Economics and Business, Australian National University, October 2019, Canberra, Australia. Discussant: Xianming Zhou (Australian National University).
- "Anomalous Lending and Bank Risk", with Iftekhar Hasan (Fordham University; University of Sydney), Buhui Qiu (University of Sydney), Eliza Wu (University of Sydney) and Yan Yu (University of Cincinnati).
The 2022 Business Financing and Banking Research Group Annual Workshop, University of Sydney, November 2022, Sydney, Australia. Discussant: Linda Allen (Baruch College).
- "Lone (Loan) Wolf Pack Risk", with Iftekhar Hasan (Fordham University; University of Sydney), Buhui Qiu (University of Sydney) and Eliza Wu (University of Sydney).
The 2022 FIRN Banking and Financial Stability Meeting, Australian National University, September 2022, Canberra, Australia. Discussant: Eden Zhang (Monash University).
- "Corporate Real Estate Holdings and M&As", with Thanh Son Luong (University of Sydney) and Buhui Qiu (University of Sydney).
The 2022 FMA Annual Meeting, October 2022, Atlanta, GA. Discussant: Danni Tu (Southern Illinois University).
The 2022 FIRN Annual Conference, November 2022, Hamilton Island, Queensland, Australia.
Work in Progress
"Differentiated Lending and Bank Risks: Evidence from Global Syndicated Loans", with Hanyun Ding (University of Sydney), Buhui Qiu (University of Sydney) and Eliza Wu (University of Sydney).
"Catering to Environmental Premium", with Henry Leung (University of Sydney), Tse-Chun Lin (University of Hong Kong) and Tracy Thi Vu (University of Sydney).
Data & Code
- (code) Discretionary accruals
- (docs) Download M&A data from SDC
- (code & data) Historical firm HQ location 1969-2018
- (code) Merton distance-to-default (default probability)
- (code) Organization capital
- (code) Specification curve analysis - featured in Harvard Business School Research Computing Services blog.
A curated reading list of mine.