Conference Agenda

Overview and details of the sessions of this conference. Please select a date or location to show only sessions at that day or location. Please select a single session for detailed view (with abstracts and downloads if available).

Please note that all times are shown in the time zone of the conference. The current conference time is: 9th May 2025, 10:04:40am EDT

 
 
Session Overview
Session
Track W4-1: New Frontiers in Corporate Investment
Time:
Wednesday, 21/May/2025:
8:30am - 9:15am

Session Chair: Daniel Carvalho, Indiana University, Kelley School of Business
Discussant: John Bai, Northeastern University
Location: Babbio Center 203


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Presentations

Asymmetric Investment Rates

Hang Bai2, Erica X. N. Li3, Chen Xue4, Lu Zhang1

1The Ohio State University; 2University of Connecticut; 3Cheung Kong Graduate School of Business; 4University of Cincinnati

Integrating national accounting with financial accounting, we measure firm-specific current-cost capital stocks and flows for the entire Compustat universe. The firm-level current-cost investment rate distribution is heavily right-skewed, with a small fraction of negative investment rates, 5.51%, but a huge fraction of positive investment rates, 91.64%. Firm-level investment is also lumpy, featuring a fraction of 32.66% for positive spikes (investment rates higher than 20%). For a typical firm, 39% of total investment is completed within 20% of the sample years. Our data infrastructure facilitates empirical investment research and guides the calibration of theoretical models on firm investment.

Bai-Asymmetric Investment Rates-228.pdf


 
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