Week 2 Class

Topic: Governance
Lecture is based on the following article:
Claessens and Yurtoglu
Corporate governance in emerging markets: A survey
Emerging Markets Review, 15 (2013) 1-33
This article is available for download from UNSW Library

1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. What is corporate governance? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. How do countries differ in aspects relevant to corporate governance? . . . . . . . .
3.1. The diversity in economic and financial environments . . . . . . . . . . . . . . . . . . . .
3.2. The diversity in institutional environments . . . . . . . . . . . . . . . . . . . . . . . . .
3.3. The diversity in ownership structures . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3.4. The diversity in group affiliation and institutional investors . . . . . . . . . . . .
4. How and through what channels does corporate governance matter? . . . . . . . . . .
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4.1. Increased access to financing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.2. Higher firm valuation and better operational performance . . . . . . . . . . . . . . . . . .
4.3. Less volatile stock prices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.4. Better functioning financial markets and greater cross-border investments . . . . .
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4.5. Better relations with other stakeholders . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.5.1. Stakeholder management . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.5.2. Social issue participation . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5. Corporate governance reform . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.1. Recent country level reforms and their impact . . . . . . . . . . . . . . . . . . . . . . . .
5.1.1. Legal reforms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.1.2. Corporate governance codes and convergence . . . . . . . . . . . . . . . . . . . .
5.1.3. The role of firm-level voluntary corporate governance actions . . . . . . . . . . . .
5.1.4. Voluntary adoption of corporate governance practices . . . . . . . . . . . . . . . .
5.1.5. Boards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.1.6. Cross-listings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.1.7. Other mechanisms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.1.8. The role of political economy factors . . . . . . . . . . . . . . . . . . . . . . . .