Differences between Politically Connected and Nonconnected Firms: A Cross‐Country Analysis

By Mara Faccio. 2010

722 citations recorded by the source corpus.

Subfields: Accounting, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/087630258ffc7da38a530e77ddfb33fd09ab1447

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Accounting

1. Gary Gang Tian
2. Omrane Guedhami
3. Sadok El Ghoul
4. Jiangyong Lu
5. Xiaofei Pan
6. Xiaolan Zheng
7. Qigui Liu
8. Lixin Colin Xu

In Strategy and Management

1. Omrane Guedhami
2. Jiangyong Lu
3. Sadok El Ghoul
4. Gary Gang Tian
5. Xiaofei Pan
6. Qigui Liu
7. Lixin Colin Xu
8. Xiaohui Liu

Citations in the corpus

• Accrual-based and real earnings management and political connections (2015, positive): “These results are in line with previous studies related to political connections (Faccio, 2010).”
• Institutions and the performance of politically connected M&As (2013, background): “While early studies find evidence of a beneficial effect of political connections on firm value (Fisman, 2001; Hillman, Zardkoohi, & Bierman, 1999; Johnson & Mitton, 2003), several recent papers suggest that such connections can be unhelpful or even detrimental to firm value (Faccio, 2010; Fan, Wong”
• Government Connections and Financial Constraints: Evidence from a Large Representative Sample of Chinese Firms (2013, positive): “…politically connected firms tend to be less efficient than non-connected firms (Leuz and Oberholzer-Gee 2006, Fan et al. 2007; Boubakri et al. 2008, Faccio 2010).6 Relative to politically connected firms in China, politically neutral start-ups experience faster productivity improvement,…”
• Corporate Political Connections and Tax Aggressiveness (2013, neutral): “politicians by supporting their election campaigns (Cooper et al. 2010; Faccio 2010).”
• Political connections and corporate investments: Evidence from the recent anti-corruption campaign in China (2017, background): “…are effective in helping firms to overcome the disadvantages of these financing constraints, and are significantly associated with more domestic financing or higher levels of leverage (Leuz and Oberholzer-Gee, 2006; Claessens et al., 2008; Li et al., 2008; Faccio, 2010; Piotroski and Zhang, 2014).”