NATIONAL BUREAU OF ECONOMIC RESEARCH, INC.



Universities Research Conference

Corporate Governance



May 9 and 10, 2003



Bengt Holmström and Steven Kaplan, Organizers



Royal Sonesta Hotel

5 Cambridge Parkway

Cambridge, MA



PROGRAM



FRIDAY, MAY 9:



8:30 AM Continental Breakfast



Session 1: Executive Incentives: Compensation and Turnover



9:00 AM SIMI KEDIA, Harvard University

Do Executive Stock Options Generate Incentives for Earnings Management? Evidence from Accounting Restatements



NARAYANAN SUBRAMANIAN, ATREYA CHAKRABORTY and

SHAHBAZ ALI SHEIKH, Brandeis University

Performance Incentives, Performance Pressure, and Executive Turnover



Discussant: JEREMY STEIN, Harvard University and NBER



10:15 AM Break



10:45 AM CHRIS MCNEIL, Pennsylvania State University

GREG NIEHAUS and ERIC POWERS, University of South Carolina

Management Turnover in Subsidiaries of Conglomerates Versus Stand-alone Firms



FRANCISCO PEREZ-GONZALEZ, Columbia University

Inherited Control and Firm Performance



Discussant: MARIANNE BERTRAND, University of Chicago and NBER



12:00 N Lunch



Session 2: Boards of Directors



1:15 PM RENEE ADAMS, Federal Reserve Bank of New York

DANIEL FERREIRA, Getulio Vargas Foundation

A Theory of Friendly Boards



HARLEY RYAN, Louisiana State University

ROY WIGGINS, Bentley College

Who Is In Whose Pocket?

Director Compensation, Board Independence, and Barriers to Effective Monitoring



Discussant: GEORGE BAKER, Harvard University and NBER





2:30 PM Break



Session 3: Panel Discussion on Governance:



3:00 PM PAUL ATKINS, Commissioner, Securities and Exchange Commission

DAVID KARP, Wachtell, Lipton, Rosen & Katz

RANDY KROSZNER, Council of Economic Advisors and NBER



4:30 PM Adjourn



6:00 PM Reception and Dinner

Royal Sonesta Hotel



SATURDAY, MAY 10:



8:30 AM Continental Breakfast



Session 4: Corporate Governance and Firm Performance



9:00 AM RAJESH AGGARWAL, Dartmouth College

ANDREW SAMWICK, Dartmouth College and NBER

Empire-Builders and Shirkers: Investment, Firm Performance, and Managerial Incentives



BERNARD BLACK, Stanford University

HASUNG JANG, Korea University

WOOCHAN KIM, KDI School of Public Policy and Management

Does Corporate Governance Affect Firms' Market Values? Evidence from Korea



Discussant: MICHAEL WEISBACH, University of Illinois and NBER



10:15 AM Break



Session 5: Investor Behavior and Government



10:45 AM R. GASTON GELOS, International Monetary Fund

SHANG-JIN WEI, International Monetary Fund and NBER

Transparency and International Investor Behavior



MARIASSUNTA GIANNETTI and ANDREI SIMONOV, Stockholm School of Economics

Which Investors Fear Expropriation? Evidence From Investors' Stock Picking



MIHIR DESAI, Harvard University and NBER

ALEXANDER DYCK, Harvard University

LUIGI ZINGALES, University of Chicago and NBER

The Protecting Hand: Taxation and Corporate Governance



Discussant: RENE STULZ, Ohio State University and NBER



12:30 PM Adjourn





3/13/03