Managerial Finance: Volume 22 Issue 4

Stakeholders Versus Stockholders and Financial Ethics: Ethics to Whom?

Uric Dufrene, Alan Wong

Corporate finance is under attack. Commentators mention that corporate managers have enriched themselves and shareholders, and in the process have failed to consider the interests…

Ethics, Institutions, and Business Relations: A Study of Collusive Incentives for Institutional Shareholders to Monitor Firm Managers

Stan Eakins, Chandrasekhar Mishra

Our theory asserts that at low levels of ownership institutions may support management to preserve other business relations. At higher levels of ownership, institutions more…

The Rationality of Honesty in Debt Markets

John Dobson, Ken Riener

This article models debt market equilibrium given an expanded notion of rational behavior. The model extends Diamond's model of reputation acquisition, by assuming that some…

The North American Free Trade Agreement (NAFTA) and Full Disclosure: Accounting for Stakeholders

Barbara Brokie Leonard

The accounting profession has been charged by Supreme Court Chief Justice Warren Burger with a public responsibility to fulfill a “public watchdog” function. This function demands…

On the Shareholder Wealth Maximization Objective of Corporate Governance: The Case of Leveraged Recapitalizations

M. Mark Walker

Increases in stockholder wealth around leveraged recapitalization (recap) announcements are related more to reductions in the firm's financial slack than improvements in operating…