Open Access. Powered by Scholars. Published by Universities.®

Business Law, Public Responsibility, and Ethics Commons

Open Access. Powered by Scholars. Published by Universities.®

Corporate Finance

Theses/Dissertations

Insider Trading, Political Lobbying, Firm Performance, Incarceration, Labor Markets

Articles 1 - 1 of 1

Full-Text Articles in Business Law, Public Responsibility, and Ethics

Regulatory Repercussions In Finance, Jennifer L. Brodmann May 2018

Regulatory Repercussions In Finance, Jennifer L. Brodmann

University of New Orleans Theses and Dissertations

This dissertation examines the impact of regulation and public policies on firm performance. Chapter 1, entitled “Political Contributions, Insider Trading, and CEO Compensation”, determines why CEOs from politically-connected firms receive higher pay compared to their non-politically connected peers. We investigate whether insider trading can explain high CEO pay. Using hand-collected firm-level lobbying data, we examine whether politically-connected CEOs engage in insider trading after sponsored bills are introduced and passed in the U.S. legislative bodies. Our results show that politically-connected CEOs commit insider trading, which yields higher compensation packages. In addition, we also find that lobbying benefits firm performance. Politically-connected ...