Concentrated Announcements on Clustered Data: An Event Study on Biotechnology Stocks

Emerging Stars and Developed Neighbors: The Effects of Development Imbalance and Political Shocks on Mutual Fund Investments in China

“…It has been well documented that political connections and regulatory intervention matter regarding price and return dynamics in equity markets around the world (Bastin and Hübner, 2006; Faccio, 2010). As a typical economy in transition, regulatory intervention significantly influences various aspects of the financial sectors in China (Francis, Hasan, and Sun, 2009; Feng, Johansson, and Zhang, 2011; Tian, 2011).…”

Innovate to Survive: The Effect of Technology Competition on Corporate Bankruptcy

“…We test these three hypotheses using the detailed patent data of US public firms from 1976 to 2005. Patent data are considered the most direct measure of firm‐level innovation output in the accounting and economics literature (e.g., Pakes and Griliches, 1984; Pakes, 1985; Francis and Smith, 1995; Holthausen, Larcker, and Sloan, 1995; Deng, Lev, and Narin, 1999; Bastin and Hübner, 2006), and have several advantages for assessing technological competitiveness. First, unlike research and development (R&D) expenditures, which involve uncertainty and often inefficiency (see, e.g., Jensen, 1993), patents are realized technologies affecting future operating performance and are publicly traded (see Lev, 2001).…”

US Biopharmaceutical Finance and the Sustainability of the Biotech Business Model

“…At times, a stock-specific or technology-specific event may lead to an industry-wide market frenzy fed by false expectations what Shiller (2000) called "irrational exuberance" (Huberman and Regev, 2001;Wolff, 2001;Bastin and Hubner, 2006;Harris, 2006). Huberman and Regev (2001) document irrational exuberance in the case of EntreMed (ENMD), a pharmaceutical company that develops cancer drugs, which did its IPO in 1996.…”