About
56
Publications
6,103
Reads
How we measure 'reads'
A 'read' is counted each time someone views a publication summary (such as the title, abstract, and list of authors), clicks on a figure, or views or downloads the full-text. Learn more
2,433
Citations
Current institution
Additional affiliations
Publications
Publications (56)
Teksti kertoo rehtorien Eero Kasanen, Matti Pursula ja Yrjö Sotamaa Aalto-yliopiston syntyyn johtaneelle yliopistofuusiolle asettamista alkuperäisistä tavoitteista.
Defining company performance is a key issue in the debate between shareholderism versus stakeholderism. Formerly opposing views have converged since Jensen (2002) initiated the shift from shareholder primacy to considering other financiers as well, and Freeman et al. (2004) defined total value creation as an objective function for a firm. By introd...
The dominant position of large internet tech companies, specifically the so-called Big Five (Google, Apple, Facebook (Meta), Amazon, and Microsoft [GAFAM]), in the global economy fundamentally challenges the organization of society. Their positions raise old and new theoretical questions at the crossroads of information systems (IS) and political p...
We present a pricing model of bank bailout insurance guarantees against tail risk and empirical evidence that provides a rational explanation why big bank equities “underperform” relative to small banks during normal times while they “overperform” during crises. A new measure accounting for left-tail risk protection against losses conditional on a...
Considerable debate surrounds how the US government's TARP bailout intervention has affected the risk-taking and moral hazard behavior of U.S. banks around the global financial crisis. We examine this issue with a focus on lottery behavior introducing MAX/MIN as a new measure of lotteryness in banking to capture the loss protection from bank bailou...
Using a sample covering practically all dividend-paying small and medium-sized private companies in Finland during 2006–2010, we document that earnings management in these companies is driven by two concurrent forces: the willingness to pay (tax-exempt) dividends and avoiding unnecessary company income tax. Moreover, we show that the need for incom...
Abstrakti Liikeyritys on liberaalissa yhteiskunnassa taloudellinen toimija, jonka yhteiskunnalliset vastuut edistävät yrityksen keskeisten sidosryhmien taloudellista asemaa. Tämän taloudellisen yritysvastuukäsityksen taustalla on liberaali näkemys sopivasta moraalisesta työnjaosta julkisen ja yksityisen vastuun ja vallan välillä demokraattisessa ma...
Kirjoitus käsittelee Aalto-yliopiston (Innovaatioyliopisto 1.0) kehitystä ja pohtii seuraavia askeleita kohti entistä menestykseppäämpää yliopistoa. Keskeisinä pidetään keskeisiä arvoja (vapaus, luottamus ja monimuotoisuus) , oikeiden ihmisten rekrytointia ja muutosta tukevaa mahdollistamisen kulttuuria.
Olennaista on ambitiotason jatkuva nostamine...
We show how firm-level real options lead to idiosyncratic skewness in stock returns. We then document empirically that growth option variables are positive and significant determinants of idiosyncratic skewness. The real option impact on skewness is more significant in firms with lottery-type features, small size, high volatility, distressed, low r...
Artikkeli käsittelee Aalto-yliopiston syntyä edeltänyttä julkista keskustelua ja uuden yliopiston toimintaedellytyksiä sekä itse fuusiion alkuvaiheiden onnistumista.
We provide international evidence on how corporate diversification depends on the mixture of ownership identities and legal environment. Unrelated corporate diversification is least common among private equity owners, based on a sample of 2956 firms from 14 countries. We also report a negative relationship between institutionally owned firms and un...
Poliittisen yritysvastuun normatiivinen perusta Ingressi: Viimeaikaisessa yritysten yhteiskuntavastuuta koskevassa tutkimuksessa on tapahtunut kiinnostava poliittinen käänne. Liikeyrityksiä pidetään tässä keskustelussa entistä enemmän poliittisina toimijoina, jotka eivät enää mahdu globaalissa taloudessa perinteiseen talouden piiriin. Poliittisen f...
This study employs questionnaire survey and financial accounting data to extend earlier empirical work on the foreign exchange (FX) exposure management practices of Finnish industrial firms. The paper concentrates on: (i) the form that FX corporate hedging policy takes; (ii) the control of FX procedures and trading; and, (iii) our respondents' perc...
This paper examines the value relevance of Local Accounting Standards (LAS) earnings and their voluntarily disclosed reconciliations to the International Accounting Standards (IAS). The empirical evidence is from Finland where, as discussed in our paper, restricted shares (available only to domestic investors) and unrestricted shares (available to...
This paper provides evidence that firms issuing new shares at higher discounts and hence with larger expected dividend increases, use their opportunities for earnings management in such a way that, by the year of a share issue, they report larger earnings in excess of current dividends than firms that issue shares at lower discounts or that do not...
We study six real-world major strategic decisions and discuss the role that analytic Multiple Criteria Decision Making (MCDM) models could play in helping decision makers structure and solve such problems. We have interviewed successful and well-educated managers who had access to quantitative decision models, but did not use them as part of their...
Using a sample from the Helsinki Stock Exchange, this paper analyses the information content of dual disclosures of IAS (International Accounting Standards) and LAS (Local Accounting Standards) earnings. Their information content to foreign and domestic shareholders can be distinguished from each other as the unrestricted shares (available to forei...
Little empirical research has been focused on analysing the information content of consolidated versus parent-only earnings numbers. In most European countries corporate annual reports include parent company statements, whereas in the USA only consolidated financial statements are available to shareholders. Using accounting and market data from thi...
This study investigates foreign exchange risk management in major Finnish firms. The shift to a floating foreign-exchange regime has increased risk aversion and intensified risk management in a number of firms. The managers feel they can forecast foreign exchange development, and that they have been successful in risk management. Managers pay atten...
The interest rate policies of Finnish firms appear risk aversive, but hedging decisions are influenced by market view. Managers find they can forecast trends in interest rate development, and employ the forecasts in the choice of debt and hedging instruments. The use of risk assessment methods and hedging instruments are related to firm size but no...
From an educational point of view, mathematics is supposed to have a completely hierarchical structure in which all new concepts logically follow from prior ones. In this article we try to show that there are also concepts in mathematics which are difficult to learn because of problematic continuity from prior knowledge to new concepts. We focus on...
Modern finance theory assumes that stock returns are in efficient markets nonpredictable. Furthermore, it is often assumed that stock returns are i.i.d. normal random variables. Several studies have shown that return series are slightly autocorrelated and therefore at least partially predictable. Moreover, squares of stock returns are clearly autoc...
Accounting research is torn between two competing forces. On the one hand, a quest for general results and internationalization of financial markets calls for a global approach and international co-operation. On the other hand, domestic institutional settings call for research that deals with the relevant problems of the existing accounting systems...
Just as Europe consists of countries with different languages, cultures, histories, wealth levels and systems of jurispridence, and exhibits a mosaic of different tastes and preferences, so do accounting's roles and functions differ widely across European countries. Differences in management accounting practices and control approaches abound. the q...
For the first time in the literature, we provide evidence of dividend-based earnings management. The credibility of the contracting view of earnings management is enhanced by studies in different institutional settings. In this paper, the institutional setting is a debt-dominated capital market. On one hand, the implicit contract driving the earnin...
Generalization in accounting research is always suspect as the
social context and institutions of accounting change over time and
space. However, exactly for this reason, there are a number of different
ways to reach pragmatic and somewhat generalizable results. No research
programme or approach has an absolute upper hand in understanding the
true...
This paper analyzes dual announcements of IAS (International Accounting Standards) and FAS (Finnish Accounting Standards) earnings on the partially segmented Helsinki Stock Exchange where separate listings of unrestricted and restricted shares make it possible to discern foreign and domestic investors' reactions from each other. The findings are co...
This compilation integrates various new contributions to the growing real options literature. Recent developments in the valuation of capital investment opportunities seen as real options (e.g. to defer, expand, abandon, or switch) have provided the tools and unlocked the possibilities to revolutionize the field of capital budgeting. The resulting...
The paper presents a unified approach for determining the market value of any generic investment lottery, through the concept of a market utility function. Rather than making assumptions about individual investor preferences and their aggregation, we turn the problem around by treating the market as a composite decision maker, empirically infering...
A central managerial concern is how to generate a "proper mix" of investment projects. Funds are needed for the strategic search for new investment opportunities as well as for the maintenance of operational business lines. Any investment, especially in strategic projects such as new technology, brand name or company image, may generate future inve...
The constructive approach means problem solving through the construction of models, diagrams, plans, organizations, etc. This mode of research is widely used in technical sciences, mathematics, operations analysis, and clinical medicine. The doctrine of management accounting includes several important examples of managerial constructions, such as t...
We present a holistic system of unaggregated multidimensional “profiles”, avoiding the information-destroying reduction of multicriterion dimensionality to a single “number”. Visualization of system information is proposed, transforming numerical data into graphical images. This respects and enhances human ability (and preference) to reason directl...
Managerial practice differs from standard capital budgeting theory in a number of respects. For example, managers often take projects that have negative NPV (e.g., R & D investments) due to their flexibility, synergy strategic positioning etc. Furthermore, managers continue to use accounting-based measures in capital budgeting even though NPV is wi...
The approach described is based on conceptual analysis and practical experience on large-scale financial planning models. In the authors' view, improved ergonomics in modelling can be achieved by visualising not only the MCDM stage of the model but the whole model structure. Three visualisations are constructed that cover managerial trade-offs, env...
First we analyze and state managerial requirements for interactive MCDM methods. Then we present a managerially oriented MCDM approach that applies Wierzbicki's achievement scalarizing function and elaborates the directional search idea. Our approach solves some of the reported difficulties in directional search methods. The approach is based on tw...
The maximum natural growth rate of the resource necessitates anticipative growth on the optimal path if the price increase is rapid enough. If the price path satisfies certain smoothness conditions, then the myopic rule is optimal.. We derive the length of the required forecasting horizon and the value of the forecasts in price shock situations, cl...
We show that there are specific cases of Kemp's stochastic version of the ‘cake-eating’ problem which can have only unbounded optimal solutions. Furthermore, the optimal solution fails to exist altogether in some cases. The non-existence results in Gale's deterministic version of the cake-eating problem and in the present paper are in a sense compl...
Väitösk. lisäksi 1 irtol. - Sarjalla myös engl. nimeke. Diss. -- Turun kauppakorkeakoulu.
Diss. -- Cambridge -- Harvard University.
