Returns to scale and asset prices
利用生产函数中的规模报酬检验动态q理论，发现规模报酬递减企业的增长效应弱于其他企业，但该理论难以解释价值、动量与ROE效应。
Abstract The q ‐theory of investment is proposed to explain firm growth effects, where previous papers identify a negative effect of firm growth, including asset growth, real investment and net share issuance, on future stock returns. This paper uses returns to scale from the production function to test the dynamic q ‐theory, which predicts that the firm growth effect is theoretically weaker for firms with decreasing returns to scale (DRS) than for non‐DRS firms. Our empirical results generally support the prediction of dynamic q ‐theory. However, we find that the dynamic q ‐theory explains little of the value, momentum and ROE effects from the standpoint of returns to scale.