Corporate Governance and Shareholder Litigation
- Publisher: Hyderabad: ICFAI Univ. Press
shareholder litigation | corporate governance | principal components | panel logit
The probability for shareholder litigation is studied and how corporate governance characteristics and other factors explain it. Shareholder litigation results from failure of corporate governance. Thus a better quality of corporate governance is hypothesized to decrease the litigation probability. Corporate governance index is constructed based on principal components. It is found to be a significant predictor of shareholder litigation.