Tippie Finance Faculty Win Best Paper Award
Tippie Finance faculty members Artem Durnev and Jon Garfinkel, along with co-author Sasha Molchanov from Massey University have received the 2012 Best Paper Award from the New Zealand Institute for the Study of Competition and Regulation (ISCR).
Their paper "Political Partisanship and Corporate Performance" takes a global perspective on the link between a country's political orientation (the extent to which a government is left-leaning or right-leaning) and the performance of companies in that country. Using a large sample of 30,000 firms from 50 countries, they show that companies in labor-intensive industries and in polluting industries experience lower returns and firm values when the government is more left-leaning. They argue that prior work studying links between government policies and corporate performance may have found mixed results because they did not focus on industries that are particularly sensitive to government policies.
Art Durnev is an assistant professor of finance and joined the Tippie faculty in the fall of 2011. Jon Garfinkel is an associate professor of finance in the Tippie College of Business and holds the Waugh Business Faculty Research Fellowship. He also serves as the faculty director for the Tippie MBA Finance Academy. Molchanov is a a senior lecturer at Massey University in New Zealand.
Founded in 1998, ISCR is an independent, nonprofit research institute located at Victoria University of Wellington's Pipitea Campus in Rutherford House. The organization's mission is to be an independent institute working in partnership to produce internationally first-class economic research, informing policy and practices which support New Zealand institutions and markets.
The primary objectives of ISCR research are to assist in understanding how markets and organizations operate; how markets provide appropriate incentives and disciplines for organizations; the limitations of markets, and the role of regulation in addressing these limitations; the importance of property rights and institutional structures in facilitating effectiveness of markets, organizations, competition, and regulation in New Zealand. Some broad research themes are focused on competition and markets; regulation and governance; and the economic structure of industries, institutions, and markets and contracts.
Contact: Barbara Thomas, Communications and External Relations, 319-335-2188