John M. Olin Conference on Law and Finance

Friday and Saturday, March, 23-24, 2007
All sessions take place in room WB126 at the Law School
Contact: Joyce Holt

Recent advances in economic theory, as well as a growing body of empirical evidence, have highlighted the strong connections between the fields of law and finance. Today's financial economists rely heavily on the characteristics of legal institutions and contracts to explain the behavior of corporations and markets, while today's scholars in law and economics draw on financial theories and data to critically examine the organization and structure of law. Indeed, it is becoming increasingly common for law and finance scholars to work together in pursuing their research endeavors. This conference brings together top researchers in the fields of law and finance to discuss the topics that are of cutting-edge importance. The Conference is co-sponsored with the McIntire School of Commerce.

PRELIMINARY SCHEDULE

FRIDAY, MARCH 23, 2007
8:30 am	Continental breakfast at the Law School, WB126
9:00 am	Introductory remarks, WB126
9:15–10:45 am	Session I Chair: Jody Kraus, University of Virginia School of Law Contracts as Reference Points, WB126 Author: Oliver Hart, Harvard University, Department of Economics Presented by Albert Choi, University of Virginia School of Law (Co-author: John Moore, Edinburgh University & London School of Economics) Discussant: Robert E. Scott, Columbia School of Law The Contractarian Theory of Corporate Law: A Generation Later, WB126 Author: Michael Klausner, Stanford Law School Discussant: Leeat Yariv, California Institute of Technology
10:45 am	Break
11:00 am–12:30 pm	Session II Chair: Carola Schenone, McIntire School of Commerce Hedge Funds and Bonds, WB126 Author: Marcel Kahan, New York University School of Law Discussant: David C. Smith, UVA McIntire School of Commerce Liquidation Values and the Credibility of Financial Contract Renegotiation: Evidence From U.S. Airlines, WB126 Author: Efraim Benmelech, Harvard University Department of Economics (Co-author: Nittai Bergman, MIT Sloan School of Management) Discussant: George Triantis, Harvard Law School
12:30-1:45 pm	Lunch (conference participants and faculty) Stone Dining Room
1:45-3:15 pm	Session III Chair: Kevin Kordana, University of Virginia School of Law Independent Directors and Stock Market Prices, WB126 Author: Jeffrey Gordon, Columbia University School of Law Discussant: Alan Morrison, Said School of Business, Oxford University Ties that Truly Bind: Non-competition Agreements, Executive Compensation and Firm Investment, WB126 Author: Mark Garmaise, UCLA Anderson School of Management Discussant: Jill Fisch, University of Pennsylvania Law School
3:15 pm	Break
3:30–5:00 pm	Session IV Chair: Matthew Clayton, McIntire School of Commerce The Impact of Product Market Competition on Private Benefits of Control, WB126 Author: Francisco Perez-Gonzales, Columbia University School of Business (Co-author: Maria Guadalupe, Columbia University Business School) Discussant: Albert Choi, University of Virginia School of Law Lemon Signaling in Cross-Listings, WB126 Author: Michal Barzuza, University of Virginia School of Law Discussant: Kenneth Ayotte, Columbia School of Business
7:00 pm	Dinner (conference participants and faculty) Ednam Room - Boar's Head Inn
SATURDAY, MARCH 24, 2007
8:15 am	Continental breakfast at the Law School, WB126
8:45-10:15 am	Session V Chair: Charlotte Ostergaard, Norwegian School of Management Price Manipulation and Cash Settlement: A Modigliani-Miller Theorem, WB126 Author: Albert Kyle, University of Maryland Smith School of Business Discussant: Allen Ferrell, Harvard Law School Can Corporate Governance Reforms Increase Firms’ Market Values? Event Study Evidence from India, WB126 Authors: Bernard Black, University of Texas School of Law Vikramaditya Khanna, University of Michigan Law School Discussant: Per Stromberg, Stockholm Institute for Financial Research
10:15 am	Break
10:30 am	Session VI Chair: Greg Mitchell, University of Virginia School of Law The Industrial Organization of Financial Market Information Production, WB126 Author: William Wilhelm, Jr., University of Virginia McIntire School of Commerce (Co-author: Zhaohui Chen, Fox School of Business, Temple University) Discussant: Paul Mahoney, University of Virginia School of Law
11:15 pm	Break
11:30 am–1:00 pm	Session VII Chair: Julia Mahoney, University of Virginia School of Law Lucky Directors, WB126 Author: Yaniv Grinstein, Cornell University Johnson School of Business (Co-authors: Lucian Bebchuk, Harvard Law School; Urs Peyer, INSEAD Business School) Discussant: Charles Hadlock, Michigan State Broad School of Business Why Has CEO Pay Increased So Much?, WB126 Augustin Landier, New York University Stern School of Business (Co-author: Xavier Gabaix, MIT Sloan School of Management) Discussant: Reinier Kraakman, Harvard Law School
1:00 pm	Buffet lunch in the Law School faculty lounge