MILITARY CONNECTIONS, INVESTMENT EFFICIENCY AND POLITICAL UNCERTAINTY: EVIDENCE FROM PAKISTAN

被引：0

作者：

Islam, Muhammad Saif ul ^{[1
,3
]}

Wong, Woei-Chyuan ^{[2
]}

Yusoff, Mohd Yushairi bin Mat ^{[3
]}

机构：

[1] Riphah Int Univ Islamabad, Fac Management Sci, Riphah Sch Leadership, Al Mizan IIMCT complex,274 Main Peshawar Rd, Islamabad, Pakistan

[2] Univ Utara Malaysia, Econ & Financial Policy Inst ECoFI, Sch Econ Finance & Banking, Sintok 06010, Kedah, Malaysia

[3] Univ Utara Malaysia, Sch Econ Finance & Banking, Sintok 06010, Kedah, Malaysia

来源：

ASIAN ACADEMY OF MANAGEMENT JOURNAL OF ACCOUNTING AND FINANCE | 2024年 / 20卷 / 02期

关键词：

Military connections; Firm investment efficiency; Political uncertainty election years; Pakistan; Connected CEO; Connected chairman; FINANCIAL-REPORTING QUALITY; FIRMS; INSTITUTIONS; IMPACT; COST;

D O I：

10.21315/aamjaf2024.20.2.5

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

This study examined the impact of military connections on a firm's investment efficiency in Pakistan during the period from 2011 to 2019. Fixed effect regression results revealed that military connections exert a positive and significant effect on the firm's investment efficiency, supporting the resource dependence theory's prediction. This result remains robust when using alternative measurements of investment efficiency, considering periods of political uncertainty proxied by election years, and controlling for endogeneity issues related to the military connection variable. However, a breakdown of military connections revealed that the presence of a military-connected Chairman reduces firms' investment efficiency. Our paper contributes to the growing attention on the impact of militaryconnected key individuals on corporate decision-making.

引用

页码：155 / 180

页数：26

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