Accessibility navigation


Gender diversity in leadership: empirical evidence on firm credit risk

Aguir, I., Boubakri, N., Marra, M. ORCID: https://orcid.org/0000-0003-0810-7323 and Zhu, L. (2023) Gender diversity in leadership: empirical evidence on firm credit risk. Journal of Financial Stability, 69. 101185. ISSN 1572-3089

[img] Text - Accepted Version
· Restricted to Repository staff only until 10 April 2025.
· Available under License Creative Commons Attribution Non-commercial No Derivatives.

972kB

It is advisable to refer to the publisher's version if you intend to cite from this work. See Guidance on citing.

To link to this item DOI: 10.1016/j.jfs.2023.101185

Abstract/Summary

We study the relation between firm financial stability and gender diversity in leadership and highlight its dependence on the initial financial conditions of the firm and the role played by the women leaders. Consistent with the glass cliff and the upper echelon theories, we find that close-to-default firms are more likely to appoint women top executives and that under their leadership, subsequent firms’ risk of default decreases in the short to medium term. In parallel, independent women directors are not associated with firms’ past credit risk, and their presence is more likely to increase the firm’s subsequent default risk, as established by the tokenism and signaling theory. Our results are robust to alternative specifications and endogeneity corrections.

Item Type:Article
Refereed:Yes
Divisions:Henley Business School > ICMA Centre
ID Code:113535
Publisher:Elsevier

University Staff: Request a correction | Centaur Editors: Update this record

Page navigation