How the Mafia Dodges Public Scrutiny
A new paper by Bocconi’s Giulia Cappellaro and Amelia Compagni, along with Oxford’s Eero Vaara, makes sense of the strategies used by the Mafia and the Italian State throughout 55 years of struggles for keeping or tearing apart the shroud of ambiguity that surrounds the organization. The paper allows understanding how ambiguity might be used strategically by organizations to shy from public scrutiny and alerts us on how to recognize such strategies.
Invest in Private Companies: Their Accounts Are More Reliable
Institutional investors tend to put their money largely in public companies, persuaded that market discipline makes their accounts more reliable than those of private ones. But a new study with Massimiliano Bonacchi and Paul Zarowin finds that, if you compare public and private companies with a similar organizational structure, private firms display a higher accounting quality.
How to Rank Employees and Keep Them Motivated
«First prize is a Cadillac Eldorado, second prize a set of steak knives, third prize you’re fired». What Alec Baldwin introduces in a famous Glengarry Glen Ross scene is a particularly crude form of performance ranking and what follows in the movie is a story of cheating, betrayal, and infighting as actors attempt to get ahead in the raking. In the real-life, the risks with performance rankings are not too far off. Making use of an experiment, Cassandra Chambers, an Assistant Professor at Bocconi University’s Department of Management and Technology, highlights on the one hand that performance rankings do in fact dramatically reduce levels of cooperation in groups and, on the other, that sharing reputational information (individuals’ histories of pro-social contributions) almost completely offsets the disruptive effect of performance ranks.
Globalization Hurts When Portfolios Are Not Diversified
American investors ask for a hefty 7% risk premium when investing in firms exposed to trade shocks and the same is true for Europe, according to a study by Bocconi’s Julien Sauvagnat and colleagues. That’s a very large effect, dictated by the risk of displacement of less productive local companies
Unlocking Value to Have an Impact on Growth
Thanks to the contribution of Algebris Investments, an independent global asset management company founded by Bocconi alumnus Davide Serra, Bocconi University has established the Algebris Chair in Long-term Investment and Absolute Return. The five-year chair has been awarded to Stefano Caselli, Full Professor at the Department of Finance.
The Colors of Our Online Language
Dialects are not disappearing but, on the contrary, they show up even in written online language, explains Dirk Hovy, a computational sociolinguist and Professor of Marketing at Bocconi University. A new machine learning technique allows us to analyze what people write on social media to capture dialects and language variation.
Making Sense of New Career Patterns
Careers aren’t what they used to be, but individuals can still be the makers of their own success and satisfaction if they decide to adopt proactive career behaviors such as career planning, skill development, and consultation with senior colleagues, Silvia Bagdadli, a professor of Business Organization at Bocconi, says.
Half and Half Is Not Enough
Acknowledging 75% of the crop to tenants in crop-sharing contracts, instead of the customary 50%, can boost agricultural productivity and income levels in developing countries, Selim Gulesci says in this video.
Is Inequality Unstoppable?
The ERC-funded EINITE (Economic Inequality across Italy and Europe, 1300-1800) project led by Bocconi Professor Guido Alfani reached the surprising conclusion that in Western Europe at the beginning of the 14th century the share of material wealth owned by the richest 10% was about as large as today. The study shows a trend towards an increasingly unequal distribution of wealth, that only the Black Death and wars have been able to reverse in absence of redistributive fiscal policies.
Mafia Kills More in Electoral Years
Where organized crime is stronger, political violence intensifies in electoral periods and turns out to be an effective signal for voters and politicians, a study by Bocconi’s Paolo Pinotti and colleagues concludes. Parties that oppose organized crime obtain less votes and elected politicians are reluctant to take action against the criminals.
Why Public Debt Hurts Innovation
New research by Bocconi’s Mariano Max Croce and colleagues finds that public debt is bad for growth also because it hinders innovative firms’ investment. «By affecting their cost of capital, movements in government debt impact firms’ investment and, critically, innovation decisions», Max Croce, Professor of Finance at Bocconi University, says.
When Violent Secession Is an Option
In a paper, part of a project funded by the European Research Council, Massimo Morelli highlights the condition that can lead to violent secessions: a bad balance between the share of a minority's population and their contribution to the State's product.
Our Future with Machine Learning
Riccardo Zecchina, Vodafone Chair in Machine Learning and Data Science, on the evolution of artificial intelligence.
Tackling Risk in Industrial Corporations
Stefano Rossi, Gruppo Generali Chair in Insurance and Risk Management, on a modern view of risk management in industrial corporations.
Making Sense of Customer Experience
Post-succession firm performance is 39% higher when a subsequent-born sibling is at the helm, Bocconi's Mario Amore and Alessandro Minichilli discover.
How Independent and Minority Directors Enhance Transprency
An analysis of the Italian stock market by Piergaetamno Marchetti, Gianfranco Siciliano, and Marco Ventoruzzo, three Bocconi University scholars, shows that companies with independent and minority-appointed directors disclose more information and in a more detailed way. Market reaction proves that the additional information is in fact relevant.
Institutional Investors as a Force for Good
Institutional investors boost a company’s environmental and social performance (E&S) - a new study by Bocconi's Hannes Wagner and colleagues finds - but only if they are European. “Interestingly”, Prof. Wagner says, “we find that institutional investors don’t influence the E&S performance by buying shares of good companies and selling those of bad ones, but by engaging with firms they already own".
Economics Research, Bocconi in the European Top 5
In the Tilburg University ranking of the best universities for scientific performance in economics research, Bocconi is 4th in Europe, 1st in continental Europe, and 18th in the world
Lockdown Measures Are Not the Only Things Keeping Us at Home
Two Bocconi MSc students, in a team with two Oxford PhD students, had their paper published in two prestigious outlets. Observing mobility data from mobile devices, they found that people in the US often distanced themselves before official measures were imposed in counties with high education, high trust in science and high income
15 Legal Principles to Face the COVID19 Crisis
Pietro Sirena is among the authors of the principles drafted by the European Law Institute
Imperfect Macroeconomic Expectations: Evidence and Theory
Marios Angeletos (MIT) Paper
The Commission's proposals for the Multiannual Financial Framework and the Recovery Instrument
The EU Response to the Covid Crisis
Chair Eleanor Spaventa, Bocconi University Speakers Mario Monti, President, Bocconi University; Catherine De Vries, Bocconi University; Guido Tabellini, Bocconi University To register, please contact firstname.lastname@example.org
Emil Verner, MIT Register for the webinar by clicking on this link