Sexism, culture, and firm value: evidence from the Harvey Weinstein scandal and the #MeToo movement

Lins, Karl V., Roth, Lukas, Servaes, Henri and Tamayo, Ane ORCID: 0000-0001-7154-0221 (2024) Sexism, culture, and firm value: evidence from the Harvey Weinstein scandal and the #MeToo movement. Journal of Accounting Research. ISSN 0021-8456 (In Press)

Text (Sexism, Culture, and Firm Value Evidence from the Harvey Weinstein Scandal and the #MeToo Movement) - Accepted Version Pending embargo until 1 January 2100. Download (923kB) | Request a copy

• Author

Abstract

During the revelation of the Harvey Weinstein scandal and the re-emergence of the #MeToo movement, firms with a non-sexist corporate culture, proxied by having women among the five highest paid executives, earn excess returns of 1.3% relative to firms without female top executives. These returns are driven by changes in investor preferences towards firms with a non-sexist culture. Institutional ownership increases in firms with a non-sexist culture after the Weinstein/#MeToo events, particularly for investors with larger holdings and investors with a lower ESG focus ex-ante. Firms without female top executives improve gender diversity after these events, particularly in more sexist states and in industries with few women executives. Our evidence attests to the value of having a non-sexist corporate culture, and indicates that changes in societal norms towards women are permeating into capital markets and corporations.

Item Type:	Article
Additional Information:	© 2024 Wiley
Divisions:	Accounting
Subjects:	H Social Sciences > HF Commerce > HF5601 Accounting
JEL classification:	J - Labor and Demographic Economics > J1 - Demographic Economics > J16 - Economics of Gender; Non-labor Discrimination G - Financial Economics > G1 - General Financial Markets > G12 - Asset Pricing; Trading volume; Bond Interest Rates G - Financial Economics > G3 - Corporate Finance and Governance > G30 - General
Date Deposited:	22 Apr 2024 16:03
Last Modified:	26 Apr 2024 13:42
URI:	http://eprints.lse.ac.uk/id/eprint/122737

Actions (login required)

View Item