C often decry an earnings-focused short-term orientation of management that eschews spending on risky, long-term projects such as innovation to boost a firm’s stock price. Such critics assume that stock markets react positively to announcements of immediate earnings but negatively to announcements of investments in innovation that have an uncertain long-term pay off. Contrary to this position, ...

In this paper we present new empirical evidence on the agency based asset pricing model of Brennan (1993). We find strong evidence that in the recent period stocks whose returns covary more with the idiosyncratic component of the S&P500 return have significantly lower returns, holding constant either the market beta or the loadings on the Fama-French factors. The effect is confined mainly to la...

Fama (1970) defined an efficient market as one in which prices always ’fully reflect’ available information. This paper formalizes this definition and provides various characterizations relating to equilibrium models, profitable trading strategies, and equivalent martingale measures. These various characterizations facilitate new insights and theorems relating to efficient markets. In particula...

background: the impact of positive intramammary lymph node (im ln) on the prognosis of patients with breast cancer has been debated for years; likewise, the standard management of patients with positive im ln remains unclear, especially when it is identified by preoperative imaging or by sentinel lymph node biopsy. the present study aims at reviewing the level of concurrent involvement of im ln...

A crucial macroeconomic question facing the US economy is whether the value of the stock market has implications for consumption. If it does, it means that any severe downturn in the market could lead to a contraction of consumption, and therefore a contraction in the overall economy. The issue is one on which academics and the financial community seem to disagree. Rigorous academic works (Fama...

Chinese manufacturers, which produce nearly one-fourth of global manufacturing outputs, play important roles in the global supply chains for many products. The Chinese government proposed the “Made in China 2025” plan to help manufacturers upgrade their technology, so that the country will become a green and innovative “world manufacturing power”. It is important for researchers, practitioners,...