Monte Carlo Evidence on Cointegration and Causation

The small sample performance of Granger causality tests under different model dimensions, degree of cointegration, direction of causality, and system stability are presented. Two tests based on maximum likelihood estimation of error-correction models (LR and WALD) are compared to a Wald test based on multivariate least squares estimation of a modified VAR (MWALD). In large samples all test statistics perform well in terms of size and power. For smaller samples, the LR and WALD tests perform better than the MWALD test. Overall, the LR test outperforms the other two in terms of size and power in small samples.     

How do auditors perceive CEO's risk‐taking incentives?

Prior literature documents that executive compensation influences managerial risk preferences through executives’ portfolio sensitivities to changes in stock prices (delta) and stock‐return volatility (vega). Large deltas discourage managerial risk‐taking, while large vegas encourage risk‐taking. Theory suggests that auditors charge higher audit fees when standard audit procedures do not allow auditors to reduce audit risk including the risk arising from higher business risk. We posit and find evidence of a negative (positive) relation between CEO portfolio deltas (vegas) and audit fees. We also find a negative relation between CEO portfolio deltas and the issuance of going‐concern audit opinions (GCO).     

Size,Age and Activity Sector on the Growth of the Small and Medium Firm Size

Although corporate growth is one of the most researched subjects in different areas of economic science, it is not currently based on a general theory or generally accepted conceptual definition. In spite of this, growth has usually been considered an essential objective for a firm, contributing to its survival and competitiveness. This work aims to provide a more in-depth study of the factors that condition the growth of small and medium-sized firms, by offering some empirical evidence that will contribute to its modelling, especially in relation to the influence of size, age and activity sector. In this context, we shall attempt to contrast the validity of Gibrat's approach and the Learning Theory.     

The impact of state legitimacy on entrepreneurial activity

The purpose of this research is to analyze the influence of the state legitimacy on of the different countries’ entrepreneurial activity’s development, the opportunities’ perception and the entrepreneurship’s motivations. This paper is set into the research field which analyze how the institutional environment influence entrepreneurship in different countries. Research framework has been built based on the Institutional Theory. To develop the model we use a set of data extracted from the European Social Survey and the Global Entrepreneurship Monitor about 28 European countries and we analyze them through Partial Least Squares-Structural Equation Modeling. Results show that state’s legitimacy influences the level of entrepreneurship in the different countries and the perception of the entrepreneurial opportunities and chances. Besides, the research shows that, in the scenario of the most legitimated countries, entrepreneurial activities is related to the need of self-employment. Based on the Institutional Theory, this research provide relevant contributions in the research field about entrepreneurship and countries’ institutions. From a practical point of view, the research shows ideas on how policymakers can improve entrepreneurial activity managing state legitimacy. Furthermore, the results provide new contributions in the research on the influence of the institutional context on the states entrepreneurial activity, providing an analysis and a comparison of the differences between countries, based on institutional theory.

     

Exploring the intellectual structure of research in codes of ethics: A bibliometric analysis

In this study, we map the intellectual structure of the code of ethics research field by means of a co-citation bibliometric analysis. To date, this type of analysis is absent from the literature on codes of ethics. Previous literature reviews have clarified definitions, studied contents, and analyzed the effectiveness of codes of ethics. However, the qualitative nature of these reviews does not resolve fundamental issues for understanding the evolution and status of this research field. This study contributes to the field by providing a bibliometric review in which the main research areas, sources of knowledge, trends, interrelationships, and dissemination paths of the domain are shown. Our findings reveal four main lines of research in the field of codes of ethics: corporate agent behavior with respect to codes of ethics, content analysis, effectiveness of codes of ethics, and employees’ attitudes toward codes of ethics. We also show that the study of the contents of codes of ethics is the main connecting bridge in this area of knowledge. Finally, we identify upcoming research topics in the field such as cultural change, the defensive nature of codes of ethics, and the application of organizational theories to code analysis.