Miracle-dz/UniFAR-FTUs huggingface dataset:
Earnings Virality

We examine the determinants and market implications associated with earnings announcements going viral on social media, a phenomenon we label “earnings virality. ” Using a comprehensive panel of historical Twitter data, we find that the typical earnings announcement receives relatively little social media coverage, but a subset go viral on social media, reaching the feeds of millions of people very quickly. Viral earnings announcements are generally associated with Twitter content that is more extreme, more emotive, and less substantive. At the firm level, earnings virality is positively associated with revenue surprises, investor recognition, and retail investor ownership. We also find that it is positively associated with investor activity including trading volume, price volatility, retail investor trading volume, and retail stock holdings, but is negatively associated with professional investor activity. Finally, our findings suggest that earnings virality is detrimental to price efficiency, as it coincides with lower market liquidity and slower price formation. These detrimental effects are stronger when the average content of social media chatter is more emotional and less substantive. Overall, our evidence suggests that user-driven dissemination through social media platforms, when amplified and taken to extreme levels, can be harmful to earnings price efficiency.
Islamic Stock Markets and Geopolitical Risk

The geopolitical risk found to be a relevant factor for investors to choose Islamic stock investment. This study focuses on the short-run and long-run asymmetric significance of geopolitical risk on Islamic stock market returns. Nonlinear Autoregressive Distributive Lag (NARDL) model has been used for the major Islamic countries i.e. Saudi Arabia, Malaysia, Turkey, and Indonesia. The short-run dynamics suggest the presence of short-run asymmetry in the case of Saudi Arabia and Indonesia. However, in the long-run, the positive and negative shock of geopolitical risk is having an asymmetric impact on the Islamic stock market return in the case of Indonesia. The Islamic stock market getting an asymmetric response to geopolitical shock can be because of multiple determinants related to the Islamic stock market and different environments of the Islamic stock market in each economy. The study recommends the Islamic investors and other participants to consider the asymmetric nature of Islamic stock market returns to minimize risk related to negative geopolitical events.
How Does the Brand’s Perceived Ethicality Influence Customer Loyalty and Positive Word-Of-Mouth in Service Brands of Pakistan? A Comparative Analysis of Bank, Restaurants, and Telecom Sectors in a Moderated Mediatory Framework.

In the past few decades, growth in ethical consumerism has led brands to increasingly develop conscientiousness and depict ethical image at a corporate level. But does having a corporate brand that is perceived to be ethical have any influence on outcome variables of interest for its product brands? Accordingly, this article aims to empirically examine the effects of customer perceived ethicality in the context of corporate services brands. Specifically, we analyzed the outcome in terms of brand loyalty and Positive Word-of-Mouth. Drawing on the outcomes of Perceived Ethicality, as proposed in Markovic et.al. (2018) Singh et. al. (2012), and Iglesias et. al. (2019), we proposed a theoretical framework, modifying and combining these models into a unified path analysis. Based on data collected for three service categories namely Banks, Restaurants, and Telecom, the hypothesized structural model is tested using Confirmatory factor analysis and structured equation modeling. We hypothesized that a Brand’s Perceived Ethicality increase the brand trust, affect, and Perceived Quality, creates a better Brand Image, and raises the Affective Commitment with the brand these factors would, in turn, increase brand loyalty and ultimately affecting positive word of mouth. We also assumed a complementarity of empathy in the impact of Affective Commitment and Perceived Quality on brand loyalty. Similarly, we proposed a positive moderation of brand heritage in brand image and loyalty nexus. Empirical validity was established by conducting a survey using a close-ended questionnaire conducted on 254 respondents. The result suggested that perceived ethicality has a significant and positive impact on Brand effect, image, trust, Affective commitment, and perceived quality in all three sectors. Restaurants seem to have a more pronounced effect as compared to the other two. However, only Affective Commitment seems to positively affect loyalty in all three sectors. The brand effect has a positive impact in the case of restaurants, whereas, Perceived Quality has a significant and positive effect in the case of telecom and Banks. Customer Loyalty further leads to Positive Word-of-Mouth in all three cases. Concerning the moderating effect, Empathy seems to have a negative complementarity in ethicality and perceived quality nexus. However, empathy seems to have a positive effect on both Affective commitment and perceived quality. Lastly, brand heritage also seems to positively impact brand image. Hence, only effective commitment seems to meditate ethicality loyalty relationships in all cases, whereas perceived quality and brand effect also mediate in few cases. The managerial and academic implications of the results are discussed.
Firm Dynamics by Age and Size Classes and the Choice of Size Measure

The relationship of firm size and age to its growth and survival differs according to whether size is measured by sales or employment. Using a large and representative dataset of Greek firms over the period 1999-2014, we find the following patterns. Controlling for age, there is a strong negative growth-size relationship when measuring size with sales, but a strong positive one when measuring size with employment. Controlling for size, there is a positive monotonic survival-age relationship when measuring size with sales, whereas survival is negatively related with age for young firms when we measure size with employment. Our results indicate that public policies aimed at supporting Small and Medium-sized Enterprises (SMEs) should be specialized to the employment scale and the sales scale of enterprises, separately.
Sovereign Risk, Credit Shocks and R&D

We study how private R&amp;D investment in France was affected by the tightening of credit conditions during the European Sovereign Debt Crisis. Using detailed R&amp;D information on more than 25000 French companies, we show that financially constrained firms were relatively more likely to scale back their R&amp;D activities following the sovereign debt crisis. We then focus on bank-firm linkages and exploit variation in the sovereign risk exposure of firms’ main bank during the sovereign debt crisis as an exogenous credit supply shock. Results indicate that firms related to banks with larger exposures to risky sovereign debt decreased R&amp;D expenditure by more relative to other firms following the crisis. Our findings indicate that credit supply shocks have significant impact on firms’ R&amp;D activities, and highlight an important transmission channel of sovereign risk to firm innovation and productivity.
The Differential Impact of Leverage on Firm Investment: Evidence From Advanced and Developing Countries

This paper examines the differential impact of leverage on investment across firms with varying levels of growth opportunities in both advanced and developing countries. Contradictory research findings on the strength of this relationship for firms with low or high growth opportunities are reported; where even divergent results in previous studies using the same country for analysis are found. By using a multi-country framework, we confirm a negative impact of leverage on firm investment, where a stronger negative impact is consistently found for firms with low growth opportunities in both advanced and developing countries.
Auditor Skill Demands and Audit Quality: Evidence from Job Postings

Using a novel dataset of online job postings by accounting firms, this study empirically examines audit offices’ skill preferences and whether they relate to audit quality. Consistent with prior work in labor economics, we find the demand for cognitive, social, and technology- related skills has increased over our sample period of 2007-2017. We also find substantial variation in the demand for these skills not only across audit firms, but also across offices within an audit firm, suggesting that audit offices are not homogeneous in their demand for auditor skills. Among the three skills, we find the demand for social skills has the strongest relation with audit quality. This association is stronger for large or industry specialist audit offices and for complex clients, suggesting the benefits of social skills are greater when effective coordination and knowledge transfer are crucial in achieving high-quality audits. Taken together, our findings suggest that an audit office’s skill preferences represent an important office attribute that can affect audit quality.
THE VISCOSITY OF PLANETARY THOLEIITIC MELTS: A CONFIGURATIONAL ENTROPY MODEL

Abstract The viscosity (η) of silicate melts is a fundamental physical property controlling mass transfer in magmatic systems. Viscosity can span many orders of magnitude, strongly depending on temperature and composition. Several models are available that describe this dependency for terrestrial melts quite well. Planetary basaltic lavas however are distinctly different in composition, being dominantly alkali-poor, iron-rich and/or highly magnesian. We measured the viscosity of 20 anhydrous tholeiitic melts, of which 15 represent known or estimated surface compositions of Mars, Mercury, the Moon, Io and Vesta, by concentric cylinder and parallel plate viscometry. The planetary basalts span a viscosity range of 2 orders of magnitude at liquidus temperatures and 4 orders of magnitude near the glass transition, and can be more or less viscous than terrestrial lavas. We find that current models under- and overestimate superliquidus viscosities by up to 2 orders of magnitude for these compositions, and deviate even more strongly from measured viscosities toward the glass transition. We used the Adam–Gibbs theory (A–G) to relate viscosity (η) to absolute temperature (T) and the configurational entropy of the system at that temperature (Sconf), which is in the form of log η = A e + B e / TS conf . Heat capacities (CP) for glasses and liquids of our investigated compositions were calculated via available literature models. We show that the A–G theory is applicable to model the viscosity of individual complex tholeiitic melts containing 10 or more major oxides as well or better than the commonly used empirical equations. We successfully modeled the global viscosity data set using a constant Ae of −3.34 ± 0.22 log units and 12 adjustable sub-parameters, which capture the compositional and temperature dependence on melt viscosity. Seven sub-parameters account for the compositional dependence of Be and 5 for Sconf. Our model reproduces the 496 measured viscosity data points with a 1σ root-mean-square deviation (rmsd) of 0.12 log units across 13 orders of measured melt viscosity. The model performed well in predicting the viscosity of lunar and martian melts not used in calibration, and should be used to calculate lava flow velocities and fluxes for anhydrous basaltic volcanism on other moons and planets.
The Interactions between Size, Book-to-Market and Momentum in the UK

Asset pricing models which make use of priced factors almost universally assume that the model is linear in the factors, that is, that there are no interactions between the factors, though the assumption is seldom tested. In the UK context, I find significant interactions between size and momentum, and also, between book-to-market and momentum. Further, these interactions have a distinctive term structure, being most significant with respect to short term momentum, and weaker with longer-term momentum. The size and value premia vary strongly between Winners and Losers, implying additional profit for investment strategies which make use of these features. Previous UK asset pricing studies have found that the Fama-French (1993) model struggles to successfully price assets when tested on an equity universe which includes large and small stocks. I find that including size-momentum and value-momentum interactions enables the Fama-French (1993) to successfully price UK stocks, leading to insignificant pricing errors and economically meaningful and significant coefficients for size and book to market.
Spillovers in Prices: The Curious Case of Haunted Houses

Exploiting the unique institutional setting of Hong Kong’s real estate market, we uncover a curious ripple effect of haunted houses on the prices of nearby houses. Prices drop on average 20% for units that become haunted, 10% for units on the same floor, 7% for units in the same block, and 1% for units in the same estate. Our study makes two contributions. First, we provide an estimate of a large negative spillover on prices caused by a quality shock. Second, we find that the demand shock rather than the fire sale supply shock explains most of the spillover.
Women Dislike Competing Against Men

A prominent finding in the literature on gender competition is that women are less inclined to compete in comparison to men. In this paper, we conduct a laboratory experiment to examine the relevance of beliefs about the sex of potential competitors on men’s and women’s decision to enter competition. Specifically, we test whether women have a weaker preference to compete per se, or rather just shy away from competing against men. The results support the latter hypothesis. When given the possibility of choosing a competitor’s sex, or when being in the lab surrounded only by female participants, the percentage of women entering competition is high and similar to the figures commonly reported for men. Moreover, only women are sensitive to the different cues we provide about the sex of potential competitors, and their competitiveness is largely driven by their beliefs about other women’s competitive attitude. These findings have distinctive policy implications for the labor markets in which women are underrepresented. Above all, we argue that on-going interventions that highlight women’s underrepresentation in job advertisements, which are intended to encourage women to apply, could be triggering the opposite effect. Instead, we advocate a nudge in the form of persuasive references to recent female applicants and/or existing female workers.
Performance of Taiwanese Domestic Equity Funds During Quantitative Easing

This study is the first to analyze the performance of Taiwanese domestic equity funds between January 2009 and October 2014, the period during which quantitative redirected capital flows toward developing economies and the Taiwanese Stock Exchange Weighted Index compounded at approximately 12.9% annually. Adopting methods endorsed by earlier research, we evaluated 15 Taiwanese equity funds’ performance relative to market averages using the Sharpe (1966) and Treynor (1965) ratios and Jensen’s alpha method (1968). To test market timing proficiency, we applied the Treynor and Mazuy (1966) and Henriksson and Merton (1981) regression analysis methods. Jensen’s alpha method (1968) was used to measure fund managers’ stock selection skills. Results revealed that funds significantly under-performed Taiwan’s average annual market return and demonstrated no exceptional stock-selection skills and market timing proficiency during the era of quantitative easing.
The Effects of Temporal Distance on Intra-Firm Communication: Evidence from Daylight Savings Time

Cross-border communication costs have plummeted and enabled the global distribution of work, but frictions attributable to distance persist. We estimate the causal effects of temporal distance stemming from time zone differences on intra-firm communication. We argue that temporal distance reduces synchronous and impromptu communication from first-best levels, and presents an especially costly friction for knowledge-intensive work. Exploiting detailed data from a large multinational firm and discrete changes in temporal distance due to shifts to and from Daylight Savings Time, we show that office pairs that lose one or two shared business hours due to DST reduce their total communication volumes by 9.2 percent on average from baseline levels, an effect driven by decreases in scheduled calls &amp; meetings (-10.7 percent) and in instant-message chat volumes (-8.7 percent). When office pairs gain one or two shared business hours, volumes of unscheduled calls increase (+17.6 percent). Volumes of asynchronous communication (e-mail), in contrast, show no significant responses to changes in temporal distance. Examining heterogeneity by employee function, we find evidence that the shadow value of additional shared time is higher for knowledge-intensive (R&amp;D and IT) employees than for production employees. Finally, using communication time stamps, we show that greater temporal distance leads to more work being shifted into leisure time; however, such adjustments do not fully offset lost communication during business hours. We discuss the implications of our findings for distributed work and for firms’ spatial organization.
Corporate R&D and Stock Returns: International Evidence

Abstract Firms with higher R&D intensity subsequently experience higher stock returns in international stock markets, highlighting the role of intangible investments in international asset pricing. The R&D effect is stronger in countries where growth option risk is more likely priced, but is unrelated to country characteristics representing market sentiments and limits-of-arbitrage. Moreover, we find that R&D intensity is associated with higher future operating performance, return volatility, and default likelihood. Our evidence suggests that the cross sectional relation between R&D intensity and stock returns is more likely attributable to risk premium than to mispricing.
Does Task Selection Mediate the Relationship Between Personality Traits and Job Performance of Accountants?

The effect of personality on performance is evident from past literature (Guha 1965; Anand 1977; Furnham and Zacherl 1986; Barrick and Mount 1991; Judge et al. 1997, 1999, and 2002; Feist 1998; Hochwarter et al. 2000; LePine and Dyne 2001; Seibert and Kraimer 2001; Barrick et al. 2002; Ilies and Judge 2002; Lim and Ployhart 2004). This study adds a new dimension to this line of research by testing the mediating effects of task selection on the performance of staff accountants (the first three levels, namely staff, senior staff, and supervisors) as predicted by personality. Specifically, I hypothesize that Conscientiousness positively affects performance at the staff accountant level through mediating effects of task selection, and Extraversion negatively affects performance at the staff accountant level through mediating effects of task selection. I find that Extraversion negatively affects task selection as well as performance, and Conscientiousness positively affects performance. I also find that task selection negatively affects performance. Implications are discussed.
Liquidity level or liquidity risk? A fresh look with new measures

ABSTRACT Lou and Sadka, in a study that was published in 2011, examine the effect of stock liquidity characteristics on stock performance during the 2008–2009 crisis. Their conclusion is that liquidity risk, and not the liquidity level, explains stock performance during the crisis. Lou and Sadka measure liquidity via Amihud’s illiquidity measure. I construct a new measure of illiquidity, based on transaction-by-transaction price changes and conduct a similar analysis to that in Lou and Sadka. My findings show that, controlling for liquidity risk, the level of liquidity has incremental explanatory power for stock performance during the crisis. My analysis suggests that the level of liquidity and liquidity risk are both important facets of stock liquidity and that there might be an interaction or overlap between the two.
Corporation-Startup Alliance Portfolios in Entrepreneurial Settings

Startups partnering with corporations compete with one another for the latter’s attention. Based on an inductive study of concurrent partnerships between startups and one established firm as part of a programmatic initiative of the latter, we explore how startups differ in terms of (i) attention received from the corporation, (ii) actions on their part to attract and sustain such attention, and (iii) the impact of such attention dynamics on how the partnership unfolds. We find that too much attention too soon can ultimately jeopardize relational outcomes by provoking more self-oriented partnering actions. Conversely, difficulty in attracting attention initially elicits self-reflective and more oblique, other-oriented partnering actions ultimately leading to more valued relational outcomes. We highlight the dark side of both attention and direct relational action.
When Do Informed Short Sellers Trade? Evidence from Intraday Data and Implications for Informed Trading Models

Using intraday 2015-2019 short sale data from CBOE and FINRA, we examine the intraday time patterns and information content of on-exchange and off-exchange shorting. Midday short sales and those near the open strongly and negatively predict the cross-section of stock returns at daily horizons and up to 12 weeks ahead. Short sales near the close are only informative at next-day horizons. We also connect earnings/analyst news to shorting flows. Shorting near the open reacts strongly to and anticipates bad-news releases. Shorting near the close only anticipates post-close firm news. Our evidence supports both Kyle (1985) and Holden and Subrahmanyam (1992).
Faultlines among Senior Executives, Internal Control and Corporate Disclosure

We investigate whether faultlines among senior executives are associated with internal control effectiveness and corporate disclosure outcomes. Faultlines are hypothetical dividing lines splitting a group into subgroups based on the simultaneous alignment or overlap of members’ demographic characteristics (e.g., Lau and Murnighan 2005). Faultlines among senior executives create conflicts, impede information sharing and divert managerial attention from common-goal task to handling conflicts. Therefore, we hypothesize that faultlines among senior executives compromise internal control effectiveness and corporate disclosure quality. Following organizational and social psychology literature, we construct faultline measures based on executive characteristics such as age, gender, educational background, tenure, and expertise. Consistent with our hypotheses, we find that faultlines among senior executives are positively associated with material internal control weaknesses, and negatively with its remediation. We further find that faultlines among senior executives are positively associated with 10-k filing delay, financial restatements, and management forecast errors, which also support our hypotheses. Implications for theory and practice are discussed.