CEO early-career recession exposure and corporate operating efficiency

초록

This paper investigates whether CEOs' early-career exposure to economic recessions influences corporate operating efficiency. We document a robust positive association between such exposure and firm efficiency. This effect is more pronounced in firms facing greater financial constraints and operating under higher policy uncertainty, and is stronger in non-technology-intensive and non-cyclical industries where managerial discretion plays a larger role. These findings suggest that recession experience shapes a managerial style emphasizing disciplined resource allocation and strict cost control, leading to higher operational efficiency. Overall, this study highlights the lasting impact of formative macroeconomic experiences on managerial behavior and organizational effectiveness.

키워드