Have Estimates of Cost Stickiness Changed Across Listing Cohorts?

Forthcoming, Journal of Management Control

30 Pages Posted: 10 May 2017 Last revised: 28 Feb 2018

See all articles by Thomas R. Loy

Thomas R. Loy

University of Bremen

Sven Hartlieb

University of Innsbruck

Date Written: February 22, 2018


While the discussion of changes in financial accounting properties over time is already well-established, there is a lack of evidence whether changing firm compositions in empirical samples might bias cost stickiness research. We document that with each additional listing cohort, the U.S. public firm universe becomes more knowledge-intensive and, at the same time, more cost sticky. Higher reliance on temporary labor by newer listing cohorts partly mitigates this development. Our results call for the use of listing cohort-specific slopes to allow for cohort-specific estimates of cost stickiness in future research.

Keywords: Asymmetric Cost Behavior; Listing Cohorts; Adjustment Costs

JEL Classification: D22, M41

Suggested Citation

Loy, Thomas R. and Hartlieb, Sven, Have Estimates of Cost Stickiness Changed Across Listing Cohorts? (February 22, 2018). Forthcoming, Journal of Management Control, Available at SSRN: https://ssrn.com/abstract=2966190 or http://dx.doi.org/10.2139/ssrn.2966190

Thomas R. Loy (Contact Author)

University of Bremen ( email )

Universitaetsallee GW I
Bremen, D-28334

Sven Hartlieb

University of Innsbruck ( email )

Universitätsstraße 15
Innsbruck, 6020

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Abstract Views
PlumX Metrics