Yong Jae Shin

Hankyong National University · Department of Business Administration

Purpose - This study investigates the impact of CEO incentive compensation and power on employee wages. While CEO compensation negatively affects employee wages, powerful CEOs may care for employees, and their compensation can have positive impacts on employee wages. Design/Methodology/Approach - Using data from US capital markets during 1992 - 201...

This paper investigates the relationship between managerial risk-taking and firm value as measured by Tobin’s Q. We conduct OLS regressions to examine the relationship between firm value and managerial risk-taking. To consider differential behaviors by different levels of risk-taking, we conduct separate tests on different risk-taking levels and on...

This study examined the relationship between capital structure and performance of firms in the food service industry. The sample in the study is firm-year data compiled from 30 food service industry firms listed on the Korea Exchange from 2010 to 2018. A panel regression model was used for analysis considering that the sample has properties of the...

Machine learning holds great promise for lowering product and service costs, speeding up business processes, and serving customers better. It is recognized as one of the most important application areas in this era of unprecedented technological development, and its adoption is gaining momentum across almost all industries. In view of this, we offe...

Purpose This paper aims to develop hedging strategies using both futures and forward contracts and issuing risky debt when financially constrained firms are forced to operate in long horizon. Design/methodology/approach The authors present a model for developing hedging strategies using both futures and forward contracts and issuing risky debt....

This study examines the relationship between the cash conversion cycle and the stock price of food service industry firms. The sample is firm-year data belonging to 38 firms in the food service industry listed on the Korean exchange from 2010 to 2017. Considering that the sample had properties of the panel data, a panel regression model was employe...

We examined the relationship between stock prices for tourism business-related companies and macro-economic variables in Korea. We used stock prices of 12 tourism business-related companies listed on the Korean Stock Exchange. The focus was specifically macro-economic variables such as the industrial production index, the exchange rate, and interes...

Fintech brings about a new paradigm in which information technology is driving innovation in the financial industry. Fintech is touted as a game changing, disruptive innovation capable of shaking up traditional financial markets. This article introduces a historical view of fintech and discusses the ecosystem of the fintech sector. We then discuss...

RD independent variables that are allowed to be endogenous, meaning that they are correlated with past and possibly current realizations of the error; fixed effects; and heteroskedasticity and autocorrelation within subjects. We present our findings in three categories. First, we find evidence that R&D investments are positively related to cash flo...

This study examines the effect of firms` working capital management on their performance for a sample of non-financial companies listed on the Korea Exchange (KRX). The working capital and corporate performance are measured as the ratio of the net working capital to sales and return on assets, respectively. The results are as follows. First, there...

We show how target debt ratios in book value terms applied to new investment can improve alignment of investment incentives in firms when they have risky debt outstanding and asymmetric information. While wealth transfer from both agency conflicts can reduce the value of existing equity, new debt offsets the value loss to old shareholders. New debt...

Purpose This study aims to focus on the profitability of momentum trading in the Korean stock market. More specifically, it aims to conduct an examination of the relationship between momentum returns and idiosyncratic volatility (IVol) to determine whether momentum profits can be explained by IVol. Design/methodology/approach Portfolios are formed...

We present a model for developing hedging strategies using both futures and forward contracts. Although financially constrained firms suffer from liquidity problems, they can recover much of the lost value by hedging with futures contracts. However, firms with a limited cash balance must raise risky debt to remain operational for the long term, and...

This study examines the relationship between R&D(research & development) investment and market value among KOSDAQ firms in the Korea Stock Exchange. We investigate the effect of R&D investment on firm value in both total sample and sub-samples classified by firm characteristics based on types of firms. And we study the impact of a major economic di...

We show how target debt ratios in book value terms applied to new investment can improve alignment of investment incentives in firms with risky debt outstanding and asymmetric information. While wealth transfer from both agency conflicts can reduce the value of existing equity, new debt offsets the value loss to old shareholders. When an initial ta...