TY  - JOUR
AU  - Holderness,Clifford G.
AU  - Kroszner,Randall S.
AU  - Sheehan,Dennis P.
TI  - Were the Good Old Days That Good? Changes in Managerial Stock Ownership Since the Great Depression
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 6550
PY  - 1998
Y2  - May 1998
UR  - http://www.nber.org/papers/w6550
L1  - http://www.nber.org/papers/w6550.pdf
N1  - Author contact info:
Clifford Holderness
Boston College
Finance Department
Fulton Hall 224C
Chestnut Hill, MA 02467
Tel: 617/552-2768
E-Mail: clifford.holderness.1@bc.edu

Randall S. Kroszner
University of Chicago
Booth School of Business
5807 South Woodlawn Avenue
Chicago, IL 60637
Tel: 773/702-8779
E-Mail: randy.kroszner@chicagobooth.edu

Dennis P. Sheehan
AB  - We document that ownership by officers and directors of publicly-traded firms is on average higher today than earlier in the century.  Managerial ownership rises from 13 percent for the universe of exchange-listed corporations in 1935, the earliest year for which such data exist, to 21 percent in 1995.  We examine in detail the robustness of the increase and explore hypotheses to explain it.  Higher managerial ownership has not substituted for alternative corporate governance mechanisms. Lower volatility and greater hedging opportunities associated with the development of financial markets appear to be important factors explaining the increase in managerial ownership.
ER  -