Working Papers

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SSRN Research Paper Series

The Social Science Research Network’s Research Paper Series includes working papers produced by Stanford GSB the Rock Center.

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Shareholder Wealth Effects of the Private Securities Litigation Reform Act of 1995

Ron Kasznik, Marilyn Johnson, Karen Nelson
1999

The purpose of this study is to measure the effect of the Act on firm value by investigating the reaction of common equity prices to the Act’s passage. Because key events late in the legislative process (i.e., a Presidential veto and subsequent…

Skill-Biased Technological Change and Wage Inequality: Evidence From A Plant Retooling

Roberto M. Fernandez
1999

One of the most popular explanations of the increased wage inequality that has occurred since the late 1970s is that technological change has resulted in a downward shift in the demand for low-skill workers. Such a pattern is also alleged to…

Social Dimensions of Consumer Distinctiveness: The Influence of Social Status on Group Identity and Advertising Persuasion

Sonya A. Grier, Rohit Deshpande
1999

Consumer research using Distinctiveness theory implies that targeted advertisements will be most effective in contexts where the targeted group is a minority. This paper investigates the influence of social status in addition to numeric status.…

Social Psychological Obstacles in Environmental Conflict Resolution

Steven Su
1999

Among the factors contributing to the difficulty in resolving conflicts between environmental and economic interest are the dynamics of perception and decision making studied by social psychologists. We identify social psychological dynamics…

Social Sensemaking in Context: Enriching Perceiver-as-Scientist Models of Social Inference with Insights from Social and Cultural Psychology

Daniel R. Ames, Eric D. Knowles, Andrea D. Rosati, Charles W. Kalish, Michael W. Morris, Alison Gopnik
1999

Abstract not available.

Stock Market Liberalization, Economic Reform, and Emerging Market Equity Prices

Philip Henry
1999

A stock market liberalization is a decision by a country’s government to allow foreigners to purchase shares in that country’s stock market. On average, a country’s aggregate equity price index experiences abnormal returns of 3.3 percent per…

Stock and Bond Pricing in an Affine Economy

Steven Grenadier, Geert Bekaert
1999

This article provides a stochastic valuation framework for bond and stock returns that builds on three different pricing traditions: affine models of the term structure, present-value pricing of equities, and consumption-based asset pricing. Our…

Supply Chain Contracting: Non-Recurring Engineering Charge, Minimum Order Quantity, and Boilerplate Contracts

Evan L. Porteus, Seungjin Whang
1999

This paper develops a contracting model in which a supplier and a buyer have an opportunity to enter a long-term supply relationship. The buyer knows whether the market for his new product is either large or small, but the supplier can only make…

The Discretionary Use of Present Value-Based Measurements by Property-Casualty Insurers

Karen K. Nelson, Constance E. Bagley, David A. Aaker, V. Padmanabhan
1999

This study examines whether the reported loss reserves of property-casualty insurers contain a discretionary discount for the time value of money. The results indicate that there is a positive and significant discount rate implicit in the…

The Formation and Malleability of Brand Personality Inferences

Jennifer Aaker
1999

Considerable research in consumer experimental psychology has examined the self-expressive role of brands, but has found little support for the premise that the interaction of the personality traits associated with a brand and those associated…

The Highbrow Trade-Off: Market Mediation and Success in the Film Industry

Ezra W. Zuckerman, Tai-Young Kim
1999

The present paper applies the mismatch hypothesis to the contemporary American film industry. This proposition, successfully applied to the stock market, holds that failing to gain the attention of the critics who specialize in a product’s…

The Impact of Securities Litigation Reform on the Disclosure of Forward-Looking Information by High Technology Firms

Ron Kasznik, Marilyn Johnson, Karen Nelson
1999

This study evaluates corporate voluntary disclosure of forward-looking information under the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Using data on earnings and sales forecasts issued by 547 computer,…

The Impact of an Integrated Marketing and Manufacturing Innovation

Glen M. Schmidt, Evan L. Porteus
1999

An integrated marketing and manufacturing innovation in this paper is a new substitute product having different attributes and ( possibly) a different unit cost than the current products. We develop a simple single period model that is a…

The Interaction between Product Market and Financing Strategy: The Role of Venture Capital

Thomas Hellmann, Manju Puri
1999

Venture capital is widely believed to be an influential arrangement for the financing of new innovative companies. We examine and find empirical evidence that venture capital financing is related to product market strategies and outcomes of…

The Red Queen in Organizational Creation and Development

William P. Barnett, Olav Sorenson
1999

We offer a asynthesis of organization learning theory and organizational ecology. Organizations learn in response to competition. The learning then intensifies the competition generated by each organization against its rivals, motivating rivals…

The Role of Culture in the Resolution of Information Incongruity: Additivity versus Attenuation

Jennifer Aaker, Jaideep Sengupta
1999

Past research on dual process models of persuasion has documented that, when faced with information incongruity, individuals tend to form product evaluations by attenuating the less diagnostic information, relying solely on the more diagnostic…

Theories of Strategic Nonmarket Participation: Majority Rule and Executive Institutions

David P. Baron
1999

This paper presents theories of strategic nonmarket participation in majority rule and executive institutions and a set of principles of nonmarket strategy developed from those theories. The theories are based on models of vote recruitment in…

Virtue Ethics and the Social Psychology of Character: A Critique of Harman's

Lawrence J. Jost, John T. Jost
1999

Abstract not available.

What makes You Think You're So Popular? The Friendship-Paradox Meets Self-Enhancement

Ezra W. Zuckerman, John T. Jost
1999

According to the “friendship paradox”, most people have fewer friends than their friends have (Feld, 1991). This provides an opportunity to investigate the operation of self-serving biases in estimates of popularity that are contrary to reality.…

An Alternative Approach to the Predictive Validation of Conjoint Models

V. “Seenu” Srinivasan, Peter deMaCarty
1998

We propose an approach to the predictive validation of conjoint models that overcomes several limitations of current approaches. There are situations in which a company, after completing a conjoint study, can compare the actual sales of two (or…