Does overconfidence blur out the investment efficiency? The managerial overconfidence and internal financing effect on investment efficiency: evidence from MENA region

What is it about?

This research affirms the significance of CEOs' psychological characteristics on firm investment decisions. Consequently, traditional factors are not the only explanatory framework for financing choice, and behavioral factors should be considered. Thus, our investigated research problem allows the reader to identify the importance of understanding and monitoring the consequences of managerial overconfidence and its impact on the decisions to determine when these decisions need to encourage and compensated and when they should be restricted by shareholders and the board of directors.

Featured Image