Do Short-Term Managerial Objectives Lead to Under- or Over-Investment in Long-Term Projects

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Lucian Arye Bebchuk; Lars A. Stole;

This paper studies managerial decisions about investment in long-run projects in the presence of imperfect information (the market knows less about such investments than the firm's managers) and short-term managerial objectives (the managers are concerned about the shor... View more
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