Messrs Shleifer and Vishny are trying to put that right.

ECONOMIST: Economics focus: The grabbing hand | The

Good luck to Messrs Shleifer and Vishny.

ECONOMIST: Economics focus: The grabbing hand | The

Motivated by the growing literature studying the effects of stock market mispricing on firm behaviour (see for example Stein 1996, Shleifer and Vishny 2003, and Baker 2009), we develop a simple framework for thinking about how stock market mispricing can offset agency costs and induce controlling shareholders to raise outside equity.

FORBES: Do Inefficient Stock Markets Drive Bad Corporate Governance?