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Does Manager Turnover Improve Firm Performance? New Evidence Using Information from Dutch Soccer, 1986-2004

Author

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  • ter Weel, Bas

    (SEO Amsterdam)

Abstract

This research examines the impact of manager turnover on firm performance using information from the Dutch soccer league in the period 1986-2004. The advantage of using sports data is that both manager characteristics and decisions and firm outcomes are directly observable. Both difference-in-difference and 2SLS estimates suggest no improvements in firm performance after manager turnover, whereas previous research based on publicly traded firm data has found positive but very small effects of manager turnover on firm performance. In addition, manager quality does not seem to matter in predicting turnover. These estimates are compared and contrasted with studies using publicly traded firm data.

Suggested Citation

  • ter Weel, Bas, 2006. "Does Manager Turnover Improve Firm Performance? New Evidence Using Information from Dutch Soccer, 1986-2004," IZA Discussion Papers 2483, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp2483
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    References listed on IDEAS

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    1. Policy fetishism
      by chris dillow in Stumbling and Mumbling on 2009-03-31 19:06:26

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    Cited by:

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    2. Bernd Frick, 2007. "The Football Players' Labor Market: Empirical Evidence From The Major European Leagues," Scottish Journal of Political Economy, Scottish Economic Society, vol. 54(3), pages 422-446, July.

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    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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