I document wage convergence in conglomerates using detailed plant-level data: Workers in low-wage industries collect higher-than-industry wages when the diversified firm also operates in high-wage industries. I confirm this effect by exploiting the implementation of the North American Free Trade Agreement (NAFTA) and changes in minimum wages at the state level as sources of exogenous increases in wages in some plants. I then track the evolution of wages of the remaining workers of the firm, relative to workers of unaffiliated plants. Plants where workers collect higher-than-industry wages operate with higher capital intensity, suggesting that internal labor markets may affect investment decisions in internal capital markets.

Hundreds of equity market intelligence financial technology firms (FinTechs) have formed in the last decade. We assemble novel data to describe their capabilities, users, and consequences. Our data suggest that these FinTechs i) aggregate many data sources, including nontraditional ones (e.g., Twitter, blogs), and synthesize such data using artificial intelligence to make investment recommendations, and ii) change Internet users’ information discovery by serving as substitutes for traditional information providers. We evaluate some nontraditional data and find evidence suggesting that such data contain valuable information or “crowd wisdom” that links to informational efficiency. Overall, our findings are consistent with this innovation benefiting investors and markets.

This paper investigates the mediating role of work engagement in the relationship between employees’ perceptions of work–family conflict – defined as the extent to which the quality of their family life suffers due to work obligations – and their job performance. It also notes a buffering role of the satisfaction that employees feel about how their career has progressed since they joined the employing organization. Three-wave, time-lagged data reveal that an important reason work–family conflict diminishes job performance is that employees become less engaged with their work. Yet, this mediating role of work engagement is less salient to the extent that employees are satisfied with how their organization has supported their career goals over the course of their employment. This study accordingly pinpoints a prominent risk for employees who suffer from negative spillovers of work stress into the family domain, then make this situation worse by failing to meet organization-set performance expectations, which can generate even more stress. Employers can mitigate this risk though, by ensuring that their employees feel satisfied with how their career has progressed.

The footwear industry in southern Europe has faced several periods of strong crisis since the 1970s. This paper analyzes these crises and the resilience strategy developed by the sector in Italy, Spain, and Portugal, the major producing countries. Although many common features are observed in the three countries, both in the chronology and the nature of the crises and in the measures to overcome the difficulties, significant differences in the characteristics of the industry and the behavior of the companies are also appreciated. These differences have determined the degree of resilience of the sector in each country.

We study the impact of stronger shareholder control on bondholders. We find that the passage of shareholder-sponsored governance proposals causes a decline in credit default swap spreads, indicating a net positive effect on bondholders. Evidence suggests that the direct benefit of stronger shareholder control, through the “management disciplining” channel, is larger than the combined adverse effects of directly escalating shareholder-bondholder conflict and indirectly exacerbating exposure to shareholder opportunism. Results are stronger for firms with existing high levels of shareholder-bondholder conflict and for proposals that mitigate managerial entrenchment without exacerbating risk-shifting. Finally, stronger shareholder control improves credit ratings and operating performance in the long-term.

Investors may underdiversify their portfolios by overweighting securities in which they perceive an informational advantage or by underweighting securities to hedge risks outside the portfolio. We investigate underdiversification in institutional portfolio construction by examining the under/overweighting of industries in U.S. property–liability (PL) insurers’ equity portfolios. We find that PL insurers underweight both their own industry and highly correlated industries in their portfolios. This underweighting is larger for PL insurers exposed to higher underwriting risk. Although PL insurers have an informational advantage in investing in their peers, their underwriting risk drives them to underweight stocks in their industry.

In this article, we study the role that media plays during a speculative bubble on an emerging market, and in particular the London financial press’s relation to the West African mining bubble of the early twentieth century. The focus is on the leading company in this sector at the time, Ashanti Goldfields Corporation. The London financial press lacked access to independent, reliable information on the ground, so it often failed to provide readers with relevant factual information. In some instances, the press might have even fueled the speculative cycles through the reporting it provided.

Gordon Moore designed Moore’s Law as a multifunctional tool to drive process and product innovation, sell Fairchild’s and Intel’s microchips, and outcompete other semiconductor firms. Because Intel’s ability to stay on Moore’s Law depended upon other corporations developing materials and manufacturing equipment for exponential scaling, Moore and his closest associates heavily promoted Moore’s Law in the microelectronics community. They also established the national and international technology roadmaps for semiconductors in order to set the direction and cadence of innovation in microelectronics at the national and, later, global scales. Moore’s and his successors’ relentless pursuit of Moore’s Law and their deft management of the roadmaps significantly reinforced Intel’s competitiveness and helped it to dominate semiconductor technology and industry until the mid-2010s.