S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
Stockholm China Economic Research Institute, Stockholm School of Economics Stockholm School of Economics Asia Working Paper Series

No 2016-41:
Living through the Great Chinese Famine: Early-Life Experiences and Managerial Decisions

Xunan Feng and Anders C. Johansson ()

Abstract: Previous studies have linked personal characteristics of business leaders to corporate decisions. We analyze if the traumatic experience of the Chinese Famine had an impact on managerial decisions. Having lived through the famine is associated with more conservative financial, investment, and cash holding policies, a lower likelihood of unethical behavior, and better firm performance during economic downturns. By exploiting the exogenous variation in local severity of the famine, we establish a causal relationship between early-life experiences and corporate policies. Our findings thus provide evidence that momentous personal experiences can have important causal effects on managerial decisions.

Keywords: Corporate decisions; Fraud; Ethics; Corporate governance; China; (follow links to similar papers)

JEL-Codes: D03; D83; D84; G11; G31; G32; J24; (follow links to similar papers)

63 pages, November 1, 2016

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

hascer2016-041.pdf    PDF-file (890kB) 
Download Statistics

Questions (including download problems) about the papers in this series should be directed to Malin Nilsson ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:hascer:2016-041 This page was generated on 2016-12-14 10:35:21