EconPapers    
Economics at your fingertips  
 

The law and economics of self-dealing

Simeon Djankov (), Rafael La Porta (), Florencio Lopez-de-Silanes () and Andrei Shleifer

Journal of Financial Economics, 2008, vol. 88, issue 3, pages 430-465

Abstract: We present a new measure of legal protection of minority shareholders against expropriation by corporate insiders: the anti-self-dealing index. Assembled with the help of Lex Mundi law firms, the index is calculated for 72 countries based on legal rules prevailing in 2003, and focuses on private enforcement mechanisms, such as disclosure, approval, and litigation, that govern a specific self-dealing transaction. This theoretically grounded index predicts a variety of stock market outcomes, and generally works better than the previously introduced index of anti-director rights.

Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (252) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/B6VBX ... fa324deb3919d9c345ec
Full text for ScienceDirect subscribers only

Related works:
Working Paper: The Law and Economics of Self-dealing (2008) Downloads
Working Paper: The Law and Economics of Self-Dealing (2005) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:eee:jfinec:v:88:y:2008:i:3:p:430-465

Access Statistics for this article

Journal of Financial Economics is currently edited by G. William Schwert

More articles in Journal of Financial Economics from Elsevier
Series data maintained by Zhang, Lei ().

 
Page updated 2014-08-29
Handle: RePEc:eee:jfinec:v:88:y:2008:i:3:p:430-465