The “Antidirector Rights Index” Revisited

CEO Tournaments: A Cross-Country Analysis of Causes, Cultural Influences, and Consequences

“…(We measure the average response, but reverse the sign so that less negative numbers correspond to competition being more desirable.) LEGAL (SPAMANN × ROL) Measure of a county's legal environment using the Durnev and Kim (2005) LEGAL variable, equal to the product of antidirector rights and rule of law, where the antidirector rights index is from Spamann (2010). GINI The GINI coefficient measures the inequality among values of a frequency distribution (e.g., levels of income).…”

“…21 Similarly, the legal environment may be important to the tournament structure. Thus, we use the Durnev and Kim (2005) measure, LEGAL, which is defined as the product of antidirector rights and rule of law, using the updated antidirector rights index from Spamann (2010).…”

“…Correlations of Cultural, Economic, and Legal Attributes Table 5 reports correlations of measures of culture from Hofstede (1980) and the WVS; a measure of a country's legal environment using the Durnev-Kim (2005) LEGAL variable, equal to the product of antidirector rights and rule of law, where the antidirector rights index is from Spamann (2010); and the economic variables from the CIA (GINI coefficient). The variables are described in Appendix A.…”

Large Foreign Ownership and Firm-Level Stock Return Volatility in Emerging Markets

“…Second, we classify countries according to the anti-director rights index as employed in La Porta et al (1999), which measures the degree of minority shareholder protection. This index was updated to 2002 by Pagano and Volpin (2005) and to 2005 by Spamann (2010). Last, we use an index that measures the extent to which legal rights are effectively enforced in a country, constructed as the principal component aggregation of 3 World Bank indicators (see Kaufmann, Kraay, and Mastruzzi (2004)): the rule of law, regulatory quality, and the control of corruption.…”

Is local bias a cross-border phenomenon? Evidence from individual investors’ international asset allocation

“…the sampled countries' respective score on an 'antidirector rights index', and a dummy indicating common legal origin, both of which have been introduced by La Porta et al (1997Porta et al ( , 1998 and are widely used as measures for the institutional distance between home and host country. We also employ updated values of the antidirector rights index as provided in Spamann (2010) but again have to discard them due to multicollinearity issues. Milesi-Ferretti (2008) and, recently, Bekaert et al (2012 who document that member states of the European Monetary Union (EMU) feature higher bilateral equity investmentan effect which they ascribe to institutional market integration.…”