We review an empirical literature that studies how political polarization affects financial
decisions. We first discuss the degree of partisan segregation in finance and corporate …

We study how restricting intermediary contracting over ESG policies distorts financial market
outcomes. In 2021 Texas prohibited municipalities from hiring banks with certain ESG …

Executive teams in US firms are becoming increasingly partisan. We establish this new fact
using political affiliations from voter registration records for top executives of S&P 1500 firms …

This paper argues that political polarization plays a key role in shaping the economic
expectations and consumption behavior of households. Using a combination of survey and …

Institutional investors are less likely to support shareholder proposals involving
environmental and social issues for firms headquartered in Republican-led states. The lower …

Using a novel approach to gauge firm-level political polarization (PP) risk, we show that PP
risk is associated with decreased corporate social responsibility (CSR). We further show that …

We study the influence of political partisanship in SEC investigations and AAER
enforcement actions against financial misconduct. We find that the SEC is more likely to …

We examine the impact of Sinclair Broadcast Group, the largest conservative media network
in the US local TV markets, on corporate innovation following its staggered expansion …

Matching inventors to their voter records, we analyze how individual partisanship within
firms influences inventor productivity and turnover. Across 3,367 public and 91,960 private …

US firms are becoming increasingly partisan. This study examines whether and how the
political alignment between a firm's management team and the incumbent president shapes …