Research co-authored by Prof. Pierre Collin-Dufresne, SFI@EPFL, is posted on the Harvard Law School Forum
Activist shareholders play a central role in modern corporate governance to the extent that they were recently dubbed by The Economist as ‘capitalism’s unlikely heroes’. Prof. Pierre Collin-Dufresne, SFI@EPFL, and his co-authors contribute to the literature on corporate governance by revisiting the classic question of the relation between market liquidity and economic efficiency when accounting for multiple forms of activism. Their research provides policy-makers with several insights into the potential effects of policy changes, such as the introduction of a trading tax or more stringent position disclosure rules on economic efficiency and market liquidity. A more detailed summary can be found here on the Harvard Law School Forum.
The full paper is available for download here.