Little emperor CEOs: Firm risk and performance when CEOs grow up without siblings

B-Tier
Journal: Journal of Corporate Finance
Year: 2025
Volume: 90
Issue: C

Authors (4)

Wang, Tianxi (not in RePEc) Gonzalez, Angelica (not in RePEc) Hagendorff, Jens (not in RePEc) Sila, Vathunyoo (University of Edinburgh)

Score contribution per author:

0.503 = (α=2.01 / 4 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Using hand-collected data on the CEOs of Chinese companies, we find that managers who grow up without siblings are associated with riskier firms and worse performance. Our analysis exploits regional and time variation in China's compulsory one-child policy as a shock to fertility rates. Consistent with explanations that only-children have not experienced competition among siblings, we show that firms led by only-child CEOs underperform when industry competition is stronger. Our findings suggest that fertility policies affect the supply of managerial capital and, consequently, corporate policies and performance.

Technical Details

RePEc Handle
repec:eee:corfin:v:90:y:2025:i:c:s0929119924001202
Journal Field
Finance
Author Count
4
Added to Database
2026-01-29