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Evaluation of Managerial Overconfidence, Cash Holding, and Investment Efficiency in Companies
Managers’ overconfidence leads to overestimating their ability to manage cash sources. Holding more cash may result in overinvestment in projects and investment inefficiency consequently.
Abdorreza Asadi +2 more
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Managerial Overconfidence and Earning Forecast Errors [PDF]
In accounting literature, earnings forecast accuracy has always been very important to financial statement users. There are many factors influencing earnings forecasts, including overconfidence that has an important role in earning forecasts accuracy ...
Sasan Merani, Mansour Taheri
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The Effect of Managerial Overconfidence on Firm Value: Evidence from the Johannesburg Stock Exchange [PDF]
Managers of a company are responsible for enhancing shareholder wealth. However, decisions made by managers are not always rational, and such irrational decisions could have a direct impact on the value of a firm, and thus, the wealth of its shareholders.
Damien KUNJAL +7 more
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CEO Overconfidence and Corporate Innovation Outcomes: Evidence From China
This study examines how chief executive officer (CEO) overconfidence can influence the quantity, quality and direction of corporate innovation using Chinese firms for the period 2009–2016.
Zhongze Li, Yi Zhang
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The purpose of this study was to examine the joint effect of overconfidence and fairness concern on supply chain decisions and design contracts to achieve a win-win situation within the supply chain.
Zhang Zhijian +4 more
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On the overconfidence-effect in teams [PDF]
In diesem Papier werden die Effekte eines Overconfidence-Bias auf das Koordinationsproblem innerhalb eines Teams betrachtet. In einem Team aus zwei Agenten, deren Arbeitseinsätze komplementär sind, zeigt sich, dass ein Overconfidence-Bias oder aber auch die Antizipation eines overconfidenten Partners das entstandene Koordinationsproblem abschwächen und
Hanke Wickhorst
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Overconfidence in psychosis: The foundation of delusional conviction?
A number of recent studies have identified an “overconfidence effect” in psychosis, whereby people with schizophrenia are overconfident in errors while simultaneously slightly underconfident when accurate.
Ryan P. Balzan
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Managerial Overconfidence and Accounting Conservatism [PDF]
Overconfident managers overestimate future returns from their firms’ investments. Thus, it is predicted that overconfident managers will tend to delay loss recognition and generally use less conservative accounting.
Manijeh Ramsheh, Mahnaze Molanzari
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Disposition Effect and Overconfidence in Pakistani Stock Market
In worldwide financial markets, increased trading is a more common observable factor that not goes in favor of the standard of classical economic theory based on rational agents and efficient markets. Previous research suggests that market performance operate the level of overconfidence and disposition effect because these factors shows excessive ...
Lubna Zia, Shujahat Haider Hashmi
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The Effect Of Managerial Overconfidence On Leverage
In this paper, we examine the relationship between managerial overconfidence and leverage. Analyzing a sample of firms listed on Korean Stock Market during the period from 1985 to 2007, we use the average of the past 12 months Business Survey Index (BSI) from Bank of Korea as proxy measure of managerial overconfidence.
Cheonsik Park, Hyunseok Kim
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