Open Access

Testing trade-off theory and pecking order theory under managerial overconfidence


Cite

Adair, F., Adaskou, M. (2015), Trade-Off Theory vs. pecking order theory and the determinants of corporate leverage: evidence from a panel data analysis upon French SMEs (2002–2010), Cogent Economics & Finance Vol. 3, No. 1, pp. 1-12.AdairF.AdaskouM.2015Trade-Off Theory vs. pecking order theory and the determinants of corporate leverage: evidence from a panel data analysis upon French SMEs (2002–2010)Cogent Economics & FinanceVol. 3111210.1080/23322039.2015.1006477Search in Google Scholar

Al-Ghazali, A.M. (2014), The economic and behavioural factors affecting corporate dividend policy: theory and evidence Ph.D. Dissertation, University of Bath, retrieved from http://opus.bath.ac.uk/46574Al-GhazaliA.M.2014The economic and behavioural factors affecting corporate dividend policy: theory and evidencePh.D. DissertationUniversity of Bathretrieved fromhttp://opus.bath.ac.uk/46574Search in Google Scholar

Ahmed, A.S., Duellman, S. (2013), Managerial overconfidence and accounting conservatism, Journal of Accounting Research Vol. 51, No. 1, pp. 1–30.AhmedA.S.DuellmanS.2013Managerial overconfidence and accounting conservatismJournal of Accounting ResearchVol. 51113010.1111/j.1475-679X.2012.00467.xSearch in Google Scholar

Anderloni, L., Tanda, A. (2014), The determinants of leverage: a comparative analysis, Journal of Economics and Management Vol. 18, pp. 196–208.AnderloniL.TandaA.2014The determinants of leverage: a comparative analysisJournal of Economics and ManagementVol. 18196208Search in Google Scholar

Anderson, C., Brion, S. (2010), Overconfidence and attainment of status in group, IRLE Working Paper, No. 215-10 retrieved from http://irle.berkeley.edu/workingpapers/215-10.pdfAndersonC.BrionS.2010Overconfidence and attainment of status in groupIRLE Working Paper, No. 215-10retrieved fromhttp://irle.berkeley.edu/workingpapers/215-10.pdfSearch in Google Scholar

Antonczyk, R.C., Salzmann, A.J. (2014), Overconfidence and optimism: The effect of national culture on capital structure, Research in International Business and Finance Vol. 31, pp. 132–151.AntonczykR.C.SalzmannA.J.2014Overconfidence and optimism: The effect of national culture on capital structureResearch in International Business and FinanceVol. 3113215110.1016/j.ribaf.2013.06.005Search in Google Scholar

Baker, H.K., Martin, G.S. (2011), Capital structure and corporate financing decision: theory, evidence and practice John Wiley & Sons, New Jersey.BakerH.K.MartinG.S.2011Capital structure and corporate financing decision: theory, evidence and practiceJohn Wiley & Sons, New Jersey10.1002/9781118266250Search in Google Scholar

Banerjee, S., Humphery-Jenner, M., Masulis, R., Nanda, V., Xu, L. (2015), Why do overconfident CEOs issue equity? Working Paper University of Wyoming, UNSW Business School, Rutgers Business School, and Nanyang Business School, retrieved from www.uts.edu.au/sites/default/files/FDG_Seminar_150513.pdfBanerjeeS.Humphery-JennerM.MasulisR.NandaV.XuL.2015Why do overconfident CEOs issue equity? Working PaperUniversity of Wyoming, UNSW Business School, Rutgers Business School, and Nanyang Business Schoolretrieved fromwww.uts.edu.au/sites/default/files/FDG_Seminar_150513.pdfSearch in Google Scholar

Barros, L.A.B.C. de, Miceli da Silveira, A.Di. (2008), Overconfidence, managerial optimism and the determinants of capital structure, Brazilian Review of Finance Vol. 6, No. 3, pp. 293–335.Barros, L.A.B.C. de, Miceli da Silveira, A.Di2008Overconfidence, managerial optimism and the determinants of capital structureBrazilian Review of FinanceVol. 63293335Search in Google Scholar

Bauer, P. (2004), Determinants of capital structure empirical evidence from the Czech Republic, Finance a uvur – Czech Journal of Economics and Finance Vol. 54, No. 1-2, pp. 2–21.BauerP.2004Determinants of capital structure empirical evidence from the Czech RepublicFinance a uvur – Czech Journal of Economics and FinanceVol. 541-2221Search in Google Scholar

Ben-David, I., Graham, J.R., Harvey, C.R. (2007), Managerial overconfidence and corporate policies, retrieved from www.nber.org/papers/w13711 doi:10.3386/w13711.Ben-DavidI.GrahamJ.R.HarveyC.R.2007Managerial overconfidence and corporate policiesretrieved fromwww.nber.org/papers/w1371110.3386/w13711Open DOISearch in Google Scholar

Booth, L., Aivazian, V., Demirguc-Kunt, A., Maksimovic, V. (2001), Capital structures in developing countries, Journal of Finance Vol. 56, No. 1, pp. 87–130.BoothL.AivazianV.Demirguc-KuntA.MaksimovicV.2001Capital structures in developing countriesJournal of FinanceVol. 5618713010.1111/0022-1082.00320Search in Google Scholar

Bradley, M., Jarrell, G.A., Kim, E.H. (1984), On the existence of an optimal capital structure: theory and evidence, The Journal of Finance Vol. 39, No. 3, pp. 857–878.BradleyM.JarrellG.A.KimE.H.1984On the existence of an optimal capital structure: theory and evidenceThe Journal of FinanceVol. 39385787810.1111/j.1540-6261.1984.tb03680.xSearch in Google Scholar

Brav, A., Graham, J.R., Harvey, C.R., Michaely, R. (2005), Payout policy in the 21st century, Journal of Financial Economics Vol. 77, No. 3, pp. 483–527.BravA.GrahamJ.R.HarveyC.R.MichaelyR.2005Payout policy in the 21st centuryJournal of Financial EconomicsVol. 77348352710.3386/w9657Search in Google Scholar

Busenitz, L.W., Barney, J.B. (1997), Differences between entrepreneurs and managers in large organizations: biases and heuristics in strategic decision-making, Journal of Business Venturing Vol. 12, No. 1, pp. 9–30.BusenitzL.W.BarneyJ.B.1997Differences between entrepreneurs and managers in large organizations: biases and heuristics in strategic decision-makingJournal of Business VenturingVol. 12193010.1016/S0883-9026(96)00003-1Search in Google Scholar

Camerer, C., Lovallo, D. (1999), Overconfidence and excess entry: an experimental approach, The American Economic Review, Vol. 89, No. 1, pp. 306–318.CamererC.LovalloD.1999Overconfidence and excess entry: an experimental approachThe American Economic ReviewVol. 89130631810.1017/CBO9780511803475.024Search in Google Scholar

Chui, A.C.W., Titman, S., Wei, K.C.J. (2010), Individualism and momentum around the world, Journal of Finance Vol. 65, pp. 361–392.ChuiA.C.W.TitmanS.WeiK.C.J.2010Individualism and momentum around the worldJournal of FinanceVol. 6536139210.1111/j.1540-6261.2009.01532.xSearch in Google Scholar

Cooper, A.C., Woo, C.Y., Dunkelberg, W.C. (1988), Entrepreneurs’ perceived chances for success, Journal of Business Venturing Vol. 3, No. 2, pp. 97–108.CooperA.C.WooC.Y.DunkelbergW.C.1988Entrepreneurs’ perceived chances for successJournal of Business VenturingVol. 329710810.1016/0883-9026(88)90020-1Search in Google Scholar

Cordeiro, L. (2009), Managerial overconfidence and dividend policy, retrieved from: http://ssrn.com/abstract=134380510.2139/ssrn.1343805CordeiroL.2009Managerial overconfidence and dividend policyretrieved fromhttp://ssrn.com/abstract=134380510.2139/ssrn.1343805Open DOISearch in Google Scholar

Cotei, C., Farhat, J. (2009), The trade-off theory and the pecking order theory: are they mutually exclusive? retrieved from https://ssrn.com/abstract=1404576 doi:10.2139/ssrn.1404576.CoteiC.FarhatJ.2009The trade-off theory and the pecking order theory: are they mutually exclusive?retrieved fromhttps://ssrn.com/abstract=140457610.2139/ssrn.1404576Open DOISearch in Google Scholar

Deshmukh, S., Goel, A.M., Howe, K.M. (2013), CEO Overconfidence and dividend policy, Journal of Financial Intermediation Vol. 22, No. 3, pp. 440–463.DeshmukhS.GoelA.M.HoweK.M.2013CEO Overconfidence and dividend policyJournal of Financial IntermediationVol. 22344046310.1016/j.jfi.2013.02.003Search in Google Scholar

Doukas, J.A., Petmezas, D. (2007), Acquisitions, overconfident managers and self-attribution bias, European Financial Management Vol. 13, No. 3, pp. 531–577.DoukasJ.A.PetmezasD.2007Acquisitions, overconfident managers and self-attribution biasEuropean Financial ManagementVol. 13353157710.1111/j.1468-036X.2007.00371.xSearch in Google Scholar

Fairchild, R. (2007), Managerial overconfidence, agency problems, financing decisions and firm performance. University of Bath School of Management Working Paper Series 2007.11 retrieved from www.bath.ac.uk/management/research/papers.htmlFairchildR.2007Managerial overconfidence, agency problems, financing decisions and firm performanceUniversity of Bath School of Management Working Paper Series 2007.11retrieved fromwww.bath.ac.uk/management/research/papers.htmlSearch in Google Scholar

Fairchild, R. (2009), Managerial overconfidence, moral hazard problems, and excessive life-cycle debt sensitivity, Investment Management and Financial Innovations Vol. 6, No. 3, pp. 35–42.FairchildR.2009Managerial overconfidence, moral hazard problems, and excessive life-cycle debt sensitivityInvestment Management and Financial InnovationsVol. 633542Search in Google Scholar

Fama, E.F., French, K.R. (2002), Testing trade-off and pecking order predictions about dividends and debt, The Review of Financial Studies, Vol. 15, No. 1, pp. 1–33.FamaE.F.FrenchK.R.2002Testing trade-off and pecking order predictions about dividends and debtThe Review of Financial StudiesVol. 15113310.1093/rfs/15.1.1Search in Google Scholar

Fedyk, V. (2014), CEO overconfidence: an alternative explanation for corporate financing decisions, Working Papers, Stanford University retrieved from https://economics.stanford.edu/sites/default/files/publications/valeriafedykhonors-thesismay2014.pdfFedykV.2014CEO overconfidence: an alternative explanation for corporate financing decisionsWorking Papers, Stanford Universityretrieved fromhttps://economics.stanford.edu/sites/default/files/publications/valeriafedykhonors-thesismay2014.pdfSearch in Google Scholar

Ferris, S.P., Jayaraman, N., Sabherwal, S. (2013), CEO overconfidence and international merger and acquisition activity, Journal of Financial Quantitative Analysis Vol. 48, pp. 137–164.FerrisS.P.JayaramanN.SabherwalS.2013CEO overconfidence and international merger and acquisition activityJournal of Financial Quantitative AnalysisVol. 4813716410.1017/S0022109013000069Search in Google Scholar

Fitzsimmons, J.R., Douglas, E.J. (2005), The impact of overconfidence on entrepreneurial intentions, in: Proceedings AGSE Entrepreneurship Exchange Auckland, N.Z., retrieved from http://eprints.qut.edu.auFitzsimmonsJ.R.DouglasE.J.2005The impact of overconfidence on entrepreneurial intentionsProceedings AGSE Entrepreneurship ExchangeAuckland, N.Zretrieved fromhttp://eprints.qut.edu.auSearch in Google Scholar

Flannery, M., Hankins, K. (2013), Estimating dynamic panel models in corporate finance, Journal of Corporate Finance Vol. 19(C), pp. 1–19.FlanneryM.HankinsK.2013Estimating dynamic panel models in corporate financeJournal of Corporate FinanceVol. 19(C)11910.1016/j.jcorpfin.2012.09.004Search in Google Scholar

Gervais, S., Heaton, J.B., Odean, T. (2002), The positive role of overconfidence and optimism in investment policy, Working Papers 02.15 Rodney L. White Center for Financial Research.GervaisS.HeatonJ.B.OdeanT.2002The positive role of overconfidence and optimism in investment policy, Working Papers 02.15Rodney L. White Center for Financial ResearchSearch in Google Scholar

Hackbarth, D. (2004), Managerial optimism, overconfidence, and capital structure decisions, in: European Finance Association Annual Meeting Maastricht The Netherlands, retrieved from www.researchgate.net/publication/246754906_Managerial_Optimism_Overconfidence_and_Capital_Structure_DecisionsHackbarthD.2004Managerial optimism, overconfidence, and capital structure decisionsEuropean Finance Association Annual Meeting MaastrichtThe Netherlandsretrieved fromwww.researchgate.net/publication/246754906_Managerial_Optimism_Overconfidence_and_Capital_Structure_DecisionsSearch in Google Scholar

Hackbarth, D. (2008), Managerial traits and capital structure decisions, Journal of Financial and Quantitative Analysis Vol. 43, No. 4, pp. 843–881.HackbarthD.2008Managerial traits and capital structure decisionsJournal of Financial and Quantitative AnalysisVol. 43484388110.1017/S002210900001437XSearch in Google Scholar

Hackbarth, D. (2009), Determinants of corporate borrowing: a behavior+6al perspective, Journal of Corporate Finance Vol. 15, No. 4, pp. 389–411.HackbarthD.2009Determinants of corporate borrowing: a behavior+6al perspectiveJournal of Corporate FinanceVol. 15438941110.1016/j.jcorpfin.2009.02.001Search in Google Scholar

Hayward, M.L.A., Hambrick, D.C. (1997), Explaining the premiums paid for large acquisitions: evidence of CEO hubris, Administrative Science Quarterly, Vol. 42, No. 1, pp. 103–127.HaywardM.L.A.HambrickD.C.1997Explaining the premiums paid for large acquisitions: evidence of CEO hubrisAdministrative Science QuarterlyVol. 42110312710.2307/2393810Search in Google Scholar

Heaton, J.B. (2002), Managerial optimism and corporate finance, Financial Management Vol. 31, pp. 33–45.HeatonJ.B.2002Managerial optimism and corporate financeFinancial ManagementVol. 31334510.2307/3666221Search in Google Scholar

Hilary, G., Hsu, C. (2011), Endogenous overconfidence in managerial forecasts, Journal of Accounting and Economics Vol. 51, pp. 300–313.HilaryG.HsuC.2011Endogenous overconfidence in managerial forecastsJournal of Accounting and EconomicsVol. 5130031310.1016/j.jacceco.2011.01.002Search in Google Scholar

Hirshleifer, D.A., Low, A., Teoh, S.H. (2012), Are overconfident CEOs better innovators? The Journal of Finance, Vol. 67, No. 4, pp. 1457–1498.HirshleiferD.A.LowA.TeohS.H.2012Are overconfident CEOs better innovators?The Journal of FinanceVol. 6741457149810.1111/j.1540-6261.2012.01753.xSearch in Google Scholar

House, R.J., Hanges, P.J., Javidan, M., Dorfman, P.W., Gupta, V. (2004), Culture, Leadership, and Organizations: The GLOBE Study of 62 Societies Sage Publications, Thousand Oaks, CA.HouseR.J.HangesP.J.JavidanM.DorfmanP.W.GuptaV.2004Culture, Leadership, and Organizations: The GLOBE Study of 62 SocietiesSage PublicationsThousand Oaks, CASearch in Google Scholar

Hribar, P., Yang, H. (2010), Does CEO overconfidence affect management forecasting and subsequent earnings management? Working Paper, University of Iowa and University of Pennsylvaniahttp://web-docs.stern.nyu.edu/old_web/accounting/docs/Summer_Camp/Hribar.Yang,Does.CEO.Overconfidence.Affect.Mgmt...pdfHribarP.YangH.2010Does CEO overconfidence affect management forecasting and subsequent earnings management?Working PaperUniversity of Iowa and University of Pennsylvaniahttp://web-docs.stern.nyu.edu/old_web/accounting/docs/Summer_Camp/Hribar.Yang,Does.CEO.Overconfidence.Affect.Mgmt...pdf10.2139/ssrn.929731Search in Google Scholar

Hwang, K., Cha, M., Yeo, Y. (2014), Does managerial overconfidence influence on financial reporting? The relationship between overinvestment and conditional conservatism, Review of Integrative Business and Economics Research Vol. 4, No. 1, pp. 273–298.HwangK.ChaM.YeoY.2014Does managerial overconfidence influence on financial reporting?The relationship between overinvestment and conditional conservatism, Review of Integrative Business and Economics ResearchVol. 41273298Search in Google Scholar

Ilgaz, D. (2012), How important is “Target Leverage?” a study of determinants of firms’ capital structure adjustments, retrieved from https://files.stlouisfed.org/files/htdocs/conferences/moconf/2012/JobMarketPaper%20-%20ch%201%20leverage.pdfIlgazD.2012How important is “Target Leverage?” a study of determinants of firms’ capital structure adjustmentsretrieved fromhttps://files.stlouisfed.org/files/htdocs/conferences/moconf/2012/JobMarketPaper%20-%20ch%201%20leverage.pdfSearch in Google Scholar

Jalilvand, A., Harris, R.S. (1984), Corporate behavior in adjusting to capital structure and dividend targets: an econometric study, The Journal of Finance, Vol. 39, No. 1, pp. 127–145.JalilvandA.HarrisR.S.1984Corporate behavior in adjusting to capital structure and dividend targets: an econometric studyThe Journal of FinanceVol. 39112714510.1111/j.1540-6261.1984.tb03864.xSearch in Google Scholar

Jensen, M.C., Meckling, W.H. (1976), Theory of the firm: managerial behavior, agency costs and ownership structure, Journal of Financial Economics Vol. 3, No. 4, pp. 305–360.JensenM.C.MecklingW.H.1976Theory of the firm: managerial behavior, agency costs and ownership structureJournal of Financial EconomicsVol. 3430536010.2307/j.ctv22d4ztc.8Search in Google Scholar

Kahneman, D. (2015), Interview, The Guardian (July 18), retrieved from https://www.theguardian.com/books/2015/jul/18/daniel-kahneman-books-interviewKahnemanD.2015Interview, The Guardian(July 18)retrieved fromhttps://www.theguardian.com/books/2015/jul/18/daniel-kahneman-books-interviewSearch in Google Scholar

Kasznik, R. (1999), On the association between voluntary disclosure and earnings management, Journal of Accounting Research Vol. 37, No. 1, pp. 57–81.KasznikR.1999On the association between voluntary disclosure and earnings managementJournal of Accounting ResearchVol. 371578110.2307/2491396Search in Google Scholar

Lee, J.M., Hwang, B.-H., Chen, H. (2016), Behavioral differences between founder CEOs and professional CEOs: the role of overconfidence, retrieved from http://ssrn.com/abstract=2510549 doi:10.2139/ssrn.2510549.LeeJ.M.HwangB.-H.ChenH.2016Behavioral differences between founder CEOs and professional CEOs: the role of overconfidenceretrieved fromhttp://ssrn.com/abstract=251054910.2139/ssrn.2510549Open DOISearch in Google Scholar

Libby, R., Rennekamp, K.M. (2012), Self-serving attribution bias, overconfidence and the issuance of management forecasts, Journal of Accounting Research Vol. 50, No. 1, pp. 197–231.LibbyR.RennekampK.M.2012Self-serving attribution bias, overconfidence and the issuance of management forecastsJournal of Accounting ResearchVol. 50119723110.1111/j.1475-679X.2011.00430.xSearch in Google Scholar

Lin, Y.H., Hu, S.Y., Chen, M.S. (2005), Managerial optimism and corporate investment: some empirical evidence from Taiwan, Pacific-Basin Finance Journal Vol. 13, pp. 523–546.LinY.H.HuS.Y.ChenM.S.2005Managerial optimism and corporate investment: some empirical evidence from TaiwanPacific-Basin Finance JournalVol. 1352354610.1016/j.pacfin.2004.12.003Search in Google Scholar

Lin, Y-H., Hu, S-Y., Chen, M-S. (2008), Testing pecking order prediction from the viewpoint of managerial optimism: some empirical evidence from Taiwan, Pacific Basin Finance Journal Vol. 16, No. 1–2, pp. 160–181.LinY-H.HuS-Y.ChenM-S.2008Testing pecking order prediction from the viewpoint of managerial optimism: some empirical evidence from TaiwanPacific Basin Finance JournalVol. 161–216018110.1016/j.pacfin.2007.04.007Search in Google Scholar

Lucas, D.J., McDonald, R.L. (1990), Equity issues and stock price dynamics, The Journal of Finance, Vol. 45, No. 4, pp. 1019–1043.LucasD.J.McDonaldR.L.1990Equity issues and stock price dynamicsThe Journal of FinanceVol. 4541019104310.3386/w3169Search in Google Scholar

Mahmoodi, A., Bang, D., Ahmadabadi, M.N., Bahrami, B. (2013), Learning to make collective decisions: the impact of confidence escalation, PLoS ONE Vol. 8, No. 12, pp. e81195.MahmoodiA.BangD.AhmadabadiM.N.BahramiB.2013Learning to make collective decisions: the impact of confidence escalationPLoS ONEVol. 812e81195Search in Google Scholar

Malinić, D., Denčić-Mihajlov, K., Ljubenović, E. (2013), The determinants of capital structure in emerging capital markets: evidence from Serbia, European Research Studies Vol. XVI, No. 2, pp. 98–119.MalinićD.Denčić-MihajlovK.LjubenovićE.2013The determinants of capital structure in emerging capital markets: evidence from SerbiaEuropean Research StudiesVol. XVI29811910.35808/ersj/391Search in Google Scholar

Malmendier, U., Tate, G. (2005), CEO overconfidence and corporate investment, Journal of Finance Vol. 60, No. 6, pp. 2661–2700.MalmendierU.TateG.2005CEO overconfidence and corporate investmentJournal of FinanceVol. 6062661270010.3386/w10807Search in Google Scholar

Malmendier, U., Tate, G., Yan, J. (2011), Overconfidence and early – life experiences: the effect of managerial traits on corporate financial policies, Journal of Finance Vol. 66, No. 5, pp. 1687–1733.MalmendierU.TateG.YanJ.2011Overconfidence and early – life experiences: the effect of managerial traits on corporate financial policiesJournal of FinanceVol. 6651687173310.1111/j.1540-6261.2011.01685.xSearch in Google Scholar

Manoj, K., Senthamarai Kannan, K. (2013), Comparison of methods for detecting outliers, International Journal of Scientific & Engineering Research Vol. 4, No. 9, pp. 709–714.ManojK.Senthamarai KannanK.2013Comparison of methods for detecting outliersInternational Journal of Scientific & Engineering ResearchVol. 49709714Search in Google Scholar

Matemilola, B.T., Bany-Ariffin, A.N., McGowan, C.B. Jr. (2012), Trade off theory against pecking order theory of capital structure in a nested model: panel GMM evidence from South Africa, The Global Journal of Finance and Economics Vol. 9, No. 2, pp. 133–147.MatemilolaB.T.Bany-AriffinA.N.McGowanC.B. Jr.2012Trade off theory against pecking order theory of capital structure in a nested model: panel GMM evidence from South AfricaThe Global Journal of Finance and EconomicsVol. 92133147Search in Google Scholar

Miller, M.H. (1977), Debt and taxes, The Journal of Finance Vol. 32, No. 2, pp. 261–275.MillerM.H.1977Debt and taxesThe Journal of FinanceVol. 322261275Search in Google Scholar

Modigliani, F., Miller, M.H. (1963), Corporate income taxes and the cost of capital: a correction, The American Economic Review Vol. 53, No. 3, pp. 433–443.ModiglianiF.MillerM.H.1963Corporate income taxes and the cost of capital: a correctionThe American Economic ReviewVol. 533433443Search in Google Scholar

Moore, D.A., Healy, P.J. (2008), The trouble with overconfidence, Psychological Review Vol. 115, pp. 502–517.MooreD.A.HealyP.J.2008The trouble with overconfidencePsychological ReviewVol. 11550251710.1037/0033-295X.115.2.502Search in Google Scholar

Myers, S.C. (1984), Capital structure puzzle, Journal of Finance Vol. 39, No. 3, pp. 575–592.MyersS.C.1984Capital structure puzzleJournal of FinanceVol. 39357559210.3386/w1393Search in Google Scholar

Myers, S.C., and Majluf, N.S. (1984), Corporate financing and investment decisions when firms have information that investors do not have, Journal of Financial Economics Vol. 13, No. 2, pp. 187–221.MyersS.C.MajlufN.S.1984Corporate financing and investment decisions when firms have information that investors do not haveJournal of Financial Economics218722110.1016/0304-405X(84)90023-0Search in Google Scholar

Paredes, T.A. (2004), Too much pay, too much deference: is CEO overconfidence the product of corporate governance? Washington U. School of Law Working Paper No. 04-08-02 retrieved from https://ssrn.com/abstract=58716210.2139/ssrn.587162ParedesT.A.2004Too much pay, too much deference: is CEO overconfidence the product of corporate governance? Washington U. School of Law Working Paper No. 04-08-02retrieved fromhttps://ssrn.com/abstract=58716210.2139/ssrn.587162Open DOISearch in Google Scholar

Park, C., Kim, H. (2009), The effect of managerial overconfidence on leverage, International Business & Economics Research Journal Vol. 8, No. 12, pp. 115–126.ParkC.KimH.2009The effect of managerial overconfidence on leverageInternational Business & Economics Research JournalVol. 81211512610.19030/iber.v8i12.3203Search in Google Scholar

Pfeffer, J., Cialdini, R.B., Hanna, B., Knopoff, K. (1998), Faith in supervision and the self-enhancement bias: two psychological reasons why managers don’t empower workers, Basic and Applied Social Psychology Vol. 20, No. 4, pp. 313–321.PfefferJ.CialdiniR.B.HannaB.KnopoffK.1998Faith in supervision and the self-enhancement bias: two psychological reasons why managers don’t empower workersBasic and Applied Social PsychologyVol. 20431332110.1207/s15324834basp2004_8Search in Google Scholar

Phua, K., Tham, T.M., Wei, C. (2018), Are overconfident CEOs better leaders? Evidence from stakeholder commitments, Journal of Financial Economics Vol. 127, No. 3, pp. 519–545.PhuaK.ThamT.M.WeiC.2018Are overconfident CEOs better leaders?Evidence from stakeholder commitments, Journal of Financial EconomicsVol. 1273519545Search in Google Scholar

Plous, S. (1993), The psychology of judgment and decision making, McGraw-Hill, New York.PlousS.1993The psychology of judgment and decision makingMcGraw-HillNew York10.1037/e412982005-012Search in Google Scholar

Rajan, R.G., Zingales, L. (1995), What do we know about capital structure? Some evidence from international data, Journal of Finance Vol. 50, No. 5, pp. 1421–1460.RajanR.G.ZingalesL.1995What do we know about capital structure? Some evidence from international dataJournal of FinanceVol. 5051421146010.3386/w4875Search in Google Scholar

Rihab, B.A., Lotfi, B.J. (2016), Managerial overconfidence and debt decisions, Journal of Modern Accounting and Auditing Vol. 12, No. 4, pp. 225–241.RihabB.A.LotfiB.J.2016Managerial overconfidence and debt decisionsJournal of Modern Accounting and AuditingVol. 124225241Search in Google Scholar

Russo, J.E., Schoemaker, P.J.H. (1992), Managing overconfidence, Magazine: Sloan Management Review Vol. 33, No. 2, pp. 7–17.RussoJ.E.SchoemakerP.J.H.1992Managing overconfidence, Magazine: Sloan Management ReviewVol. 332717Search in Google Scholar

Schrand, C.M., Zechman, S.L.C. (2012), Executive overconfidence and the slippery slope to financial misreporting, Journal of Accounting and Economics Vol. 53, No. 1, pp. 311–329.SchrandC.M.ZechmanS.L.C.2012Executive overconfidence and the slippery slope to financial misreportingJournal of Accounting and EconomicsVol. 53131132910.1016/j.jacceco.2011.09.001Search in Google Scholar

Serrasqueiro, Z., Caetano, A. (2015), Trade-off theory versus pecking order theory: capital structure decisions in a peripheral region of Portugal, Journal of Business Economics and Management Vol. 16, No. 2, pp. 445–466.SerrasqueiroZ.CaetanoA.2015Trade-off theory versus pecking order theory: capital structure decisions in a peripheral region of PortugalJournal of Business Economics and ManagementVol. 16244546610.3846/16111699.2012.744344Search in Google Scholar

Shyam-Sunder, L., Myers, S.C. (1999), Testing static tradeoff against pecking order models of capital structure, Journal of Financial Economics, Vol. 51, pp. 219–244.Shyam-SunderL.MyersS.C.1999Testing static tradeoff against pecking order models of capital structureJournal of Financial EconomicsVol. 5121924410.1016/S0304-405X(98)00051-8Search in Google Scholar

Simon, M., Houghton, S.M. (2003), The relationship between overconfidence and the introduction of risky products: evidence from a field study, Academy of Management Journal Vo. 46, No. 2, pp. 139–149.SimonM.HoughtonS.M.2003The relationship between overconfidence and the introduction of risky products: evidence from a field studyAcademy of Management JournalVo. 462139149Search in Google Scholar

Titman, S., Wessels, R. (1988), The determinants of capital structure choice, The Journal of Finance Vol. XLIII, No. 1, pp. 1–19.TitmanS.WesselsR.1988The determinants of capital structure choiceThe Journal of FinanceVol. XLIII111910.1111/j.1540-6261.1988.tb02585.xSearch in Google Scholar

Warner, J.B. (1977), Bankruptcy costs: some evidence, The Journal of Finance, Vol. 32, No. 2, pp. 337–347.WarnerJ.B.1977Bankruptcy costs: some evidence The Journal of FinanceVol. 32233734710.2307/2326766Search in Google Scholar

Wrońska-Bukalska, E. (2016), Overconfidence of students and managers – comparative analysis, in: Proceedings of the 6th Economics & Finance Conferences pp. 349–361.Wrońska-BukalskaE.2016Overconfidence of students and managers – comparative analysisProceedings of the 6th Economics & Finance Conferences34936110.20472/EFC.2016.006.020Search in Google Scholar