Research Seminar: Renée B. Adams, Ph.D. (University of New South Wales and FIRN)
Speaker: Prof. Renée B. Adams, Ph.D. (University of New South Wales and FIRN)
Title: Bankers on Fed Boards: Is Good News for the Banks Bad News for the Fed?
Abstract: Bankers and non-bankers sit on Federal Reserve Bank Boards. In the case of banks, this may create a perception problem since the Fed supervises banks. I examine who sits on Reserve Bank boards and the market reaction to director appointments during the period 1990-2009. I document that Fed directors from the banking industry typically work for large banks. Furthermore, the average market reaction to the appointment of a firm’s officer to a Reserve Bank board is positive only for banks. My results are consistent with the idea that the Fed’s governance structure may continue to expose it to reputation risk.
Faculty, graduate students, and researchers at Goethe University as well as interested researchers from the area are cordially invited to attend at no cost.
Registration is not required!