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This study provides new insights into the relationship between the heterogeneity of institutional investors (IIs) and corporate tax avoidance (CTA). It also investigates whether family ownership moderates this relationship.

Based on a sample of 200 French-listed firms from 2008 to 2017, we use the generalized method of moment (GMM) estimator proposed by Arellano and Bover (1995) and developed by Blundell and Bond (1998) to address endogeneity and omitted variable concerns.

The results show that passive IIs are associated with an increase in the level of tax avoidance. However, active ones significantly decrease the levels of tax avoidance practices. Moreover, we show that institutional activism is not sufficient to control managerial actions, particularly in the context of controlled family businesses. The results suggest that families may expropriate the rights of minority shareholders through a controlling coalition with passive IIs.

This study has several practical implications. First, the results are useful for policymakers who should constrain passive IIs to provide only one service (asset management). Second, this study may sensitize family owners to the need to cooperate with active IIs that are effective in monitoring the firm. In particular, families should be willing to sacrifice some of their socioemotional wealth to promote a balanced ownership structure, which is important for responsible and effective corporate governance.

This paper extends previous research by investigating the heterogeneity of IIs in terms of horizon, ownership and control. In addition, this paper sheds a new light on how family firms behave regarding tax avoidance practices in the presence of active and passive IIs.

This paper deals with the three‐dimensional modeling of massive conductors carrying a total imposed current and involving multiply connected regions. Both stationary motion and time harmonic eddy current problems are considered. The aim of the modeling is to determine the current distribution and the eddy current’s effects inside the conductor, as well as to calculate the Lorentz force acting on a conducting region. The choice of a suitable formulation based on solving the current vector potential T and the magnetic scalar potential φ is argued, then various methods for the restoration of the Ampere law in the multiply connected regions are presented. Two methods for calculating an auxiliary vector potential T₀ are applied in order to calculate the force acting on the armature of a railgun and the repulsion between the electrodes of a vacuum circuit breaker, then the results are compared.