Alexander Ljungqvist

TL;DR: In this article, the authors propose a theory of learning that leads to informational hold-up in the VC market, which gives the VC's current investors holdup power when the VC raises his next fund: without their backing, he cannot persuade anyone else to fund him, since outside investors would interpret the lack of backing as a sign that his skill is low.

TL;DR: In this paper, a behavioral measure of the decisionmaker's satisfaction with the underwriter's performance based on Loughran and Ritter (2002) was derived to explain the decision-maker's choice among underwriters in subsequent securities offerings.

TL;DR: In this article, the structural links between pre-market information production and initial underpricing were investigated. And the authors found that institutional investors favor institutional investors, both in the U.S. and worldwide, and that increasing institutional allocations results in higher offer prices that deviate more from the premarket price range, indicating diminished information production.

TL;DR: In this paper, the authors provide a direct estimate of the magnitude of agency costs in publicly-held corporations and compute an explicit performance benchmark that compares a firm's actual Tobin's Q to the Q* of a hypothetical value-maximizing firm having the same inputs and characteristics as the original firm.