Two firm-level proxies for corporate governance mechanisms that are derived from the Corporate Governance Quotient (CGQ
) database developed and maintained by the Risk Metrics Group (formerly IRRC) are used in this study.
Research model (1) and (2) tests the effect of VCRQ on firm performance while research model (3) and (4) tests the moderating effects of CGQ
on VCRQ and firm performance relationship.
(2010), in our base specification, we regress firm-level quarterly financing or investment variable on a dummy variable (After) indicating whether the end date of the quarter is after the onset of the crisis, the interaction of After with the corporate governance measure (CGQ
), a set of firm-level control variables, and firm fixed effects.
Equation (8) describes the general model, containing the following independent variables: first lag of the response variable (M[V.sup.it-1]); a dummy variable for participation in one of the enhanced corporate governance trading segments (L1, L2 or NM) of the BM&FBovespa (CGQ
); profitability (PROFIT: ROIC, ROE or EBITDA/TA); leverage (LEV); monthly stock return volatility (VOLAT); payout index (PAYOUT); stock liquidity (LIQ); capital expenditure rate (CAPEX); and annual dummy variables (YEAR).
The Corporate Governance Quotient (CGQ
) is based on 61 variables divided into eight core topics.
In terms of technologies and systems we can say that the biggest support are offered, from outside of corporations, by information portals (of stock exchange, of OECD) and specialized websites (OECD, ECGI, GMI, CGQ
, S&P GAMMA) and from inside of corporations by the corporate website or corporate portal.
In particular, we show that the influential metrics used extensively by scholars and shareholder advisers to assess governance arrangements around the world--the Corporate Governance Quotient (CGQ
), the Anti-Director Rights Index, and the Anti-Self-Dealing Index--are inadequate for this purpose.
The general geology of the area in the vicinity of the Cariboo Gold Quartz (CGQ
), Island Mountain (IM), and Mosquito Creek (MC) mines is shown in longitudinal section (top) and plan (bottom) in Figure 8 (see Fig.