IWH FDI Micro Database
IWH FDI Micro Database The IWH FDI Micro Database (FDI = Foreign Direct...
The CompNet Competitiveness Database The Competitiveness Research Network (CompNet)...
Demographic Change Dossier ...
Brown Bag Seminar
Brown Bag Seminar Financial Markets Department The seminar series "Brown...
Joint Economic Forecast
Joint Economic Forecast The joint economic forecast is an instrument for evaluating...
About the CIA and a glass of red wine ... Professor Dr Udo Ludwig on the...
CompNet - The Competitiveness Research Network The Competitiveness Research Network...
Stock Liquidity and Corporate Labor Investment
Mong Shan Ee, Iftekhar Hasan, He Huang
Journal of Corporate Finance,
Labor is among the most crucial factors of production that maintain a firm's competitiveness. Given its economic importance, drivers of firms' labor investment policy have gained increasing attention in the financial economics literature. This study investigates the relation between stock liquidity and labor investment efficiency. We establish a causal relation between the two phenomena using an exogenous shock to liquidity: the 2001 decimalization of stock trading. We find that labor investment efficiency improves following an increase in stock liquidity, and the effect is prevalent in firms experiencing overinvestment in labor. Our findings further support the argument that stock liquidity improves the efficiency of labor investment by enhancing governance through shareholder exit threat.
Technology Adoption and the Bank Lending Channel of Monetary Policy Transmission
Iftekhar Hasan, Xiang Li
IWH Discussion Papers,
This paper studies whether and how banks‘ technology adoption affects the bank lending channel of monetary policy transmission. We construct a new measurement of bank-level technology adoption, which can tell whether the technology is related to the bank‘s lending business and which specific technology is adopted. We find that lending-related technology adoption significantly strengthens the transmission of the bank lending channel, meanwhile, adopting technologies that are not related to lending activities significantly mitigates that. By technology categories, the adoption of cloud computing technology displays the largest impact on strengthening the bank lending channel. Moreover, higher exposure to BigTech competition is significantly associated with a weaker reaction to monetary policy shocks.