Empirical Corprate Finance II

FIN540 Empirical Corprate Finance II

Spring 2019

Autumn 2019
  • Topics

    The course will review and explore the research frontier within empirical corporate finance. In addition, the course will discuss the research projects the students currently are working on. This will prepare the students for the second milestone in their PhD contract, the submission and presentation of their second summer papers. The course emphasizes a deep understanding of the nature and implications of evidence related to corporate financial transactions and investments by (primarily) publicly traded US and European firms for various hypotheses and theories in corporate finance. This includes transactions in the market for corporate control, as well as transactions in which firms raise capital, rebalance capital structure, or file for bankruptcy. As much as possible, the emphasis is on areas where the empirical evidence challenges priors based on economic theory - puzzles or paradoxes. Ultimately, the objective is to help doctoral students find areas of potential dissertation material in the area of corporate finance.

  • Learning outcome

    Knowledge - The candidate...

    • is knowledgeable of the important topics on the research frontier of empirical corporate finance
    • can evaluate and critique various methods and approaches to conducting empirical research in this area

    Skills - The candidate...

    • can formulate hypotheses, plan and carry out empirical research within empirical corporate finance
    • can carry out research and scholarly research work at a high international standard and be able to publish in international peer reviewed finance journals

    Competence - The candidate...

    • can communicate research within empirical corporate finance, actively participate in debates about the field in national and international scholarly forums, and present his or her own research.

  • Teaching

    The course takes place over  four days. Each day covers three hours of a mix of lectures and student presentations.

  • Required prerequisites

    Successful completion of FIN521

  • Assessment

    Student`s active class participation (25 %) and presentation of an individual research paper (75 %) that represents a detailed research proposal or work in progress with the research area of the course.

  • Grading Scale

    Pass/Fail

  • Literature

    Selected articles from  the following volumes:

    Eckbo, B. Espen (ed.), 2007, Handbook of Corporate Finance: Empirical Corporate Finance, Volume 1, (Elsevier/North-Holland Handbook of Finance Series), ISBN: 978-0-44-4508980.

    Eckbo, B. Espen (ed.), 2008, Handbook of Corporate Finance: Empirical Corporate Finance, Volume 2, (Elsevier/North-Holland Handbook of Finance Series), ISBN: 978-0-44-4530905.

    Constantinides, Geaorge M, Milton Harris and Rene Stulz (eds.), 2013, Handbook of the Economics of Finance, Volume 2A, (North-Holland Handbooks of Economics Series). ISBN: 978-0-44-453594-8.

    Lo, Andrew W. and Robert C. Merton (eds.), Annual Review of Financial Economics, Vol. 1 - 9. (Annual Reviews, Palo Alto, Calif.)

    Foundations and Trends in Finance, Vol. 1-12. (NOW Publishers, Inc.)

Overview

ECTS Credits
4
Teaching language
English
Semester

Summer

Course responsible

Professor Espen B. Eckbo, Tuck School of Business, Dartmouth College (USA)