SHERP

Duration Analysis of CEO Turnovers Using Proportional Hazard Model

Cited 0 time in webofscience Cited 0 time in scopus
Authors
Kim, Yungsan; Ryu, Keunkwan
Issue Date
1998
Publisher
Seoul Journal of Economics
Citation
Seoul Journal of Economics 11 (No. 3 1998): 243-260
Keywords
chi-square estimation; hazard assumption; Chief Executive Officer
Abstract
To analyze CEO turnovers in large U.S. corporations over the period 1981 to 1990, this paper adopts a minimum chi-square estimation of proportional hazard model. A simple specification test of the proportional hazard assumption is also used. Empirical results indicate that elderly CEOs are more likely to be turned over (retirement effect) and worse-than-average CEOs face a lot higher turnover risk (disciplinary effect). Interestingly, performance is found to have non-proportional effects on CEO turnovers across tenure periods. At an earlier tenure as CEO, only good performance matters, increasing the chance of survival. On the other hand. at a later tenure. only bad performance makes a difference, enhancing the possibility of turnovers.
ISSN
1225-0279
Language
English
URI
http://hdl.handle.net/10371/1134
Files in This Item:
Appears in Collections:
College of Social Sciences (사회과학대학)Institute of Economics Research (경제연구소)Seoul Journal of EconomicsSeoul Journal of Economics vol.11(3) (Fall 1998)
  • mendeley

Items in S-Space are protected by copyright, with all rights reserved, unless otherwise indicated.

Browse