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COSSA makes 10 suggestions to next Administration for supporting and using social science research

Thompson says US prison population is 'staggeringly high' at about 1.5 million, despite 2% drop for 2015

Levy et al. find Michigan's Medicaid expansion boosted state's economy while increasing number of insured

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2017 PAA Annual Meeting, April 27-29, Chicago

NIH funding opportunity: Etiology of Health Disparities and Health Advantages among Immigrant Populations (R01 and R21), open Jan 2017

Russell Sage 2017 Summer Institute in Computational Social Science, June 18-July 1. Application deadline Feb 17.

Russell Sage 2-week workshop on social science genomics, June 11-23, 2017, Santa Barbara

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Mon, Jan 23, 2017 at noon:
Decline of cash assistance and child well-being, Luke Shaefer

Capital structure with risky foreign investment

Archived Abstract of Former PSC Researcher

Desai, Mihir A., C. Fritz Foley, and James Hines. 2008. "Capital structure with risky foreign investment." Journal of Financial Economics, 88(3): 534-553.

Firms facing significant business risks have incentives to mitigate the costs of these risks by adjusting their capital structures. This paper investigates this link by analyzing the exposures of multinational firms to political risk. The evidence indicates that returns on investment in politically risky countries are more volatile than returns elsewhere. Multinational firms reduce their leverage in response to these political risks: a one standard deviation increase in foreign political risk is associated with 3.5% reduced leverage. The effect of foreign political risks on leverage is most pronounced for firms in industries whose returns are most susceptible to political influence. (C) 2007 Elsevier B.V. All rights reserved.

DOI:10.1016/j.jfineco.2007.05.002 (Full Text)

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