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Ancestors and corporate performance: Evidence from the Italian Mass Migration

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  • Cheng, Mingying
  • Florio, Erminia
  • Manfredonia, Stefano

Abstract

We study the relationship between the behavior of a CEO’s ancestors and firm performance. To do so, we collect detailed information on emigrants from Italian municipalities during the Age of Mass Migration (1892–1924) from Ellis Island ships lists. We adopt an epidemiological approach complemented with an instrumental variables strategy and find that Italian firms managed by a CEO who belongs to a family with past emigration experience tend to perform better and to be more productive. In line with an inter-generational transmission of attitudes hypothesis, we show a positive relationship between the emigration experience of a CEO’s ancestors and alternative measures of corporate risk-taking. In addition, we find a positive relationship between having an ancestor who emigrated during the Age of Mass Migration and FDI to the United States. We also provide evidence that these CEOs have better managerial practices.

Suggested Citation

  • Cheng, Mingying & Florio, Erminia & Manfredonia, Stefano, 2025. "Ancestors and corporate performance: Evidence from the Italian Mass Migration," Journal of Financial Stability, Elsevier, vol. 76(C).
    • Handle: RePEc:eee:finsta:v:76:y:2025:i:c:s1572308924001566
    DOI: 10.1016/j.jfs.2024.101371
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    More about this item

    Keywords

    Emigration; Attitudes; Corporate performance; Mass Migration;
    All these keywords.

    JEL classification:

    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • Z1 - Other Special Topics - - Cultural Economics

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