Corporate governance and regulation: can there be too much of a good thing ?

Valentina Bruno and Stijn Claessens ()

No 4140, Policy Research Working Paper Series from The World Bank

Abstract: For a large number of companies from different countries, the authors analyze how company corporate governance practices and country regulatory regimes interact in terms of company valuation. They confirm that corporate governance plays a crucial role in efficient company monitoring and shareholder protection, and consequently positively impacts valuation. They find substitution in valuation impact between corporate governance measures at the company and country level, with a possibility of over-regulation. Corporate governance appears more valuable for companies that rely heavily on external financing, consistent with the hypothesis that the main role of corporate governance is to protect external financiers.

Keywords: National Governance; Governance Indicators; Corporate Law; Microfinance; Small Scale Enterprise (search for similar items in EconPapers)
Date: 2007-03-01
New Economics Papers: this item is included in nep-reg
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (34)

Downloads: (external link)
http://www-wds.worldbank.org/external/default/WDSC ... red/PDF/WPS04140.pdf (application/pdf)

Related works:
Journal Article: Corporate governance and regulation: Can there be too much of a good thing? (2010)
Working Paper: Corporate Governance and Regulation: Can There Be Too Much of a Good Thing? (2007)
Working Paper: Corporate governance and regulation: can there be too much of a good thing? (2006)
Working Paper: Corporate Governance and Regulation: Can There Be Too Much of a Good Thing? (2006)
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: https://EconPapers.repec.org/RePEc:wbk:wbrwps:4140

Access Statistics for this paper

More papers in Policy Research Working Paper Series from The World Bank 1818 H Street, N.W., Washington, DC 20433. Contact information at EDIRC.
Bibliographic data for series maintained by Roula I. Yazigi ().