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Knowledgebase


July 2008

Highlights

  1. How Good Are Commercial Corporate Governance Ratings?
  2. How Dividends Encourage Consumer Spending
  3. Ask and You're Likely to Get Help
  4. Can Polling Location Influence How voters Vote? es?
  5. MBAs Rank Corporate Social Responsibility High on Their List for Choosing Employers
  6. A New Type of Pricetag for Saving Ecosystems
  7. First Person
  8. Something to Read

Accounting

How Good Are Commercial Corporate Governance Ratings?

A study by Stanford law and business faculty members casts strong doubt upon the value and validity of the ratings of governance advisory firms that compile indexes to evaluate the effectiveness of a publicly held company’s governance practices. “Everyone would agree that corporate governance is a good thing,” said Business School Professor David Larcker, “but can you measure it without even talking to the companies being rated?”

Finance

How Dividends Encourage Consumer Spending

Consumers are likely to run out and spend stock dividends while income from capital gains is more likely to be reinvested or saved, says the Business School’s Stefan Nagel and his coauthors. The finding could be considered in setting economic policy.

Organizational Behavior

Ask and You’re Likely to Get Help

New research shows that people who ask for help are likely to get it. Frank Flynn is coauthor of studies showing that most people seriously underestimate how many people will be willing to help them if asked and that asking directly is the best approach.

Can Polling Location Influence How Voters Vote?

Where you cast your ballot—whether it’s in a church, a school, or an auto garage—can have an effect on the outcome of elections, according to recently published research.

Marketing

MBAs Rank Corporate Social Responsibility High on Their List for Desirable Employers

A survey of 759 graduating MBAs at 11 top business schools reveals that the future business leaders rank corporate social responsibility high on their list of values, and they are willing to sacrifice a significant part of their salaries to find an employer whose thinking is in synch with their own.

Environment

A New Type of Pricetag for Saving Ecosystems

In the face of threats of global warming, collapsing fisheries stocks, and skyrocketing oil prices, it’s hard to see a bright spot. But Stanford researchers say new approaches to assessing the economic value of ecosystems lets planners establish the costs and benefits of long-term investments in conservation.

First Person

Environmental Investment Can Pay Dividends says Mark Tercek

There are “huge opportunities for companies and other private sector players in the environmental area,” said Mark Tercek, an investment banker who spent the past 24 years at global giant Goldman Sachs.
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Something to Read

The Role of Housing Wealth in College Enrollment

Obtaining an education today is shaped by the length of time it takes students to obtain an undergraduate degree, the role of housing wealth in the college enrollment decision, and the effect of teachers’ unions on K-12 educational resources, according to work by Michael Lovenheim, a post-doctoral fellow at the Stanford Institute for Economic Policy Research.