CEO–board connections and the cost of equity capital: International evidence
研究了CEO与董事会的关联如何影响股权资本成本，发现这种关联显著降低资本成本，且社会关系通过减少信息不对称发挥作用。
Abstract In this article, we investigate the effect of chief executive officer (CEO)–board connections on the cost of equity capital in an international setting. We find that CEO–board connections have a significant negative effect on the cost of equity. Our results are robust to alternative variable measurements, model specifications, and potential endogeneity adjustments. Examining the channel, we show that social ties reduce information asymmetry issues. We further show that firm‐level operational complexities and investment intensity, as well as country‐level developmental attributes and culture, moderate the association between CEO–board connections and the cost of equity capital.