Interaction of financing and real investment decision

• Almeida, Heitor, Murillo Campello, and Michael Weisbach, "Corporate Demand for Liquidity", Journal of Finance, forthcoming

• Fazzari, Steven M., Robert Glenn Hubbard, and Bruce C. Petersen, “Financing Constraints and Corporate Investment”, Brookings Papers on Economic-Activity 1988; 0(1): 141-95.

• Fazzari, Steven M., Glenn R. Hubbard, and Bruce C. Petersen, “Investment-Cash Flow Sensitivities are Useful: A Comment,” Quarterly Journal of Economics, May 2000; 115(2): 695-705.

• Kaplan, Steven N., and Luigi Zingales, “Do Investment-Cash Flow Sensitivities Provide Useful Measures of Financing Constraints”, Quarterly Journal of Economics, February 1997; 112(1): 169-215.

• Kaplan, Steven N., and Luigi Zingales, “Investment Cash Flow Sensitivities are Not Valid Measures of Financing Constraints,” Quarterly Journal of Economics, May 2000; 115(2): 707-12.

• Lamont, Owen “Cash Flow and Investment: Evidence from Internal Capital Markets,” Journal of Finance; 52(1), March 1997, pages 83-109.

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Capital Structure

• Andrade, Gregor and Steven Kaplan, 1998, “How Costly is Financial (Not Economic) Distress? Evidence from Highly Leveraged Transactions That Became Distressed,” Journal of Finance 53, 1443-1493.

• Baker, Malcolm and Jeffrey Wurgler, “Market Timing and Capital Structure,” Journal of Finance, February 2002; 57(1): 1-32.

• Berger, Philip G., Eli Ofek, and David L. Yermack, “Managerial Entrenchment and Capital Structure Decisions,” Journal of Finance, 52(4), September 1997, Pages 1411-38.

• Frank, Murray and Vidham Goyal, 2003, “Testing the Pecking Order Theory of Capital Structure,” Journal of Financial Economics, 67(2), 217-248

• Graham, John R., 2000, “How Big Are the Tax Benefits of Debt?,” Journal of Finance 55, 1901-1941

• Shyam-Sunder, Lakshmi and Stewart C. Myers, 1999, “Testing Static Tradeoff against Pecking Order Models of Capital Structure,” Journal of Financial Economics 51, 219-244

• Weisbach, Michael “Measuring Investment Distortions Arising from Stockholder-Bondholder Conflicts,” 1999, Journal of Financial Economics 53, 3-42.

• Welch, Ivo “Capital Structure and Stock returns” Journal of Political Economy, forthcoming

Corporate governance – Board of directors

• Cremers, Martijn  and Vinay Nair, “Governance Mechanisms and Equity Prices” Working paper New York University.

• Gompers, Paul A., and A. Metrick. "Corporate Governance and Equity Prices." Quarterly Journal of Economics, Feb 2003, 107-155

• Himmelberg, Charles P., Glenn R. Hubbard, and Darius Palia, “Understanding the determinants of managerial ownership and the link between ownership and performance,” Journal of Financial Economics, September 1999; 53(3): 353-84
  
  

• Morck, Randall, Andrei Shleifer, and Robert W. Vishny, “Management, Ownership and Market Valuation,” Journal of Financial Economics, Jan/Mar. 1988, 20(1/2): 293-315.

• Yermack, David, “Higher Market Valuation of Companies with a Small Board of Directors,” Journal of Financial Economics, February 1996; 40(2): 185-211.

Conglomerate discount

• Berger, Philip G., and Eli Ofek, “Diversification's Effect on Firm Value,” Journal of Financial Economics, 37(1), January 1995, pages 39-65

• Campa, Jose and Simi Kedya, “Explaining The Diversification Discount,” Journal of Finance, August 2002, vol. 57, no. 4, pp. 1731-1762(32).

• Lamont, Owen A., and Christopher Polk, “Does Diversification Destroy Value? Evidence from the Industry Shocks,” Journal of Financial Economics, 63(1), January 2002, pages 51-77.

• Schoar Antoinette “Effects of Corporate Diversification on Productivity,” Journal of Finance, December 2002,

• Whited, Toni, “Is It Inefficient Investment That Causes the Diversification Discount,” 2001 Journal of Finance, 56: 1667-1691.

IPO and underwriting

• Field, Laura Casares; Gordan Hanka, “The Expiration of IPO Share Lockups,” Journal of Finance, April 2001; 56(2): 471-500.

• Kaplan, Steven  and Antoinette Schoar, “Private Equity Returns: Persistence and Capital Flows” WP University of Chicago

• Ljungqvist, Alexander and W.J. Wilhelm, "IPO Pricing in the Dot-com Bubble," Journal of Finance (April 2003).

Event studies

• Boehmer, Ekkehart, Jim Musumeci, and Annette Poulsen, “Event-Study Methodology under Conditions of Event-Induced Variance” Journal of Financial Economics. December 1991; 30(2): 253-72.

• Mitchell, Mark L. and Erik Stafford, “Managerial Decisions and Long-Term Stock Price Performance,” Journal of Business, July 2000; 73(3): 287-329.