Managing with Style: The Effect of Managers on Firm Policies

  title={Managing with Style: The Effect of Managers on Firm Policies},
  author={Marianne Bertrand and Antoinette Schoar},
  journal={Quarterly Journal of Economics},
This paper investigates whether and how individual managers affect corporate behavior and performance. We construct a manager-firm matched panel data set which enables us to track the top managers across different firms over time. We find that manager fixed effects matter for a wide range of corporate decisions. A significant extent of the heterogeneity in investment, financial and organizational practices of firms can be explained by the presence of manager fixed effects. We identify specific… 

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