Citation

Khidmat, Waqas and Ashraf, Nadia and Yeo, Sook Fern and Tan, Cheng Ling and Shafique, Muhammad Noman (2024) Rookie independent directors and agency costs: Evidence from Chinese listed firms. Heliyon, 10 (20). e39366. ISSN 2405-8440

Text 1-s2.0-S2405844024153972-main.pdf - Published Version Restricted to Repository staff only Download (546kB)

Abstract

This study investigates the impact of rookie independent directors (RIDs) on agency costs. Utilizing a sample of Chinese listed firms, we employ panel ordinary least square estimations. Our findings reveal that increased RIDs is positively associated with agency costs, suggesting that rookie independent directors may exacerbate agency conflicts within Chinese firms. Also, qualified financial institutional investors and gender diversity within the board composition mitigate the positive effect of RIDs on agency costs. Overall, our study contributes to understanding corporate governance dynamics in Chinese listed firms by shedding light on the nuanced relationship between rookie independent directors and agency costs.

Item Type:	Article
Uncontrolled Keywords:	Qualified financial Institutions
Subjects:	H Social Sciences > HF Commerce > HF5001-6182 Business > HF5801-6182 Advertising
Divisions:	Faculty of Business (FOB)
Depositing User:	Ms Nurul Iqtiani Ahmad
Date Deposited:	04 Nov 2024 02:21
Last Modified:	04 Nov 2024 02:21
URII:	http://shdl.mmu.edu.my/id/eprint/13129

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