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Testing q-theory under Endogenous Truncation: Bias Correction

Bias Correction: A new methodology corrects bias in empirical investment studies that rely on truncated samples of publicly listed firms, supporting the q-theory and showing that investment-cash flow sensitivity disappears and the relation between investment and q increases fourfold.

Featured in No. 37 on 14 Feb 2024 ·

Released
26 Jul 2022
First featured
No. 37 · 14 Feb 2024
Published in
Not yet, as far as Semantic Scholar knows
Shares when featured
2
Identifier
SSRN 4721782

Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).

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