National cultures and the asset growth effect

Autor:	Robin K. Chou, Kuan-Cheng Ko, S. Ghon Rhee
Jazyk:	angličtina
Rok vydání:	2023
Předmět:	Asset growth Individualism Uncertainty avoidance Overinvestment International equity markets Finance HG1-9999 Risk in industry. Risk management HD61
Zdroj:	Seonmul yeongu, Vol 31, Iss 4, Pp 278-308 (2023)
Druh dokumentu:	article
ISSN:	2713-6647 1229-988X
DOI:	10.1108/JDQS-12-2022-0028/full/pdf
Popis:	– National cultures significantly explain cross-country differences in the relation between asset growth and stock returns. Motivated by the notion that managers in individualistic and low uncertainty-avoiding cultures have a higher tendency to overinvest, this study aims to show that the negative relation between asset growth and stock returns is stronger in countries with such cultural features. Once the researchers control for cultural dimensions, proxies associated with the q-theory, limits-to-arbitrage, corporate governance, investor protection and accounting quality provide no incremental power for the relation between asset growth and stock returns across countries. Evidence of this study highlights the importance of the overinvestment hypothesis in explaining the asset growth anomaly around the world.
Databáze:	Directory of Open Access Journals
Externí odkaz:	https://doaj.org/article/85283b96b8204664b6192e1e76e3be11 Zobrazit plný text záznamu View record in DOAJ