| Summary: | 碩士 === 國立高雄第一科技大學 === 金融營運所 === 97 === This paper examined the relationship between the independent director''s directorship and firm''s volatility. Without considering the firm''s specific characteristic, the relationship between the number of directorships per independent director and firm''s variability is not found. However, after considering the firm''s specific characteristic, we find that when the board has higher independence level, the independent directors have reputational capital and provide better monitoring. They will make the robust decisions which would reduce the firm''s volatility. When the firm''s performance is worse, the CEO will be replaced. Furthermore, we consider the independent directors'' professional abilities. We do not find that the independent directors'' professional abilities can reduce the firm''s variability. We find that the busy directors with law, business, political background or relevant industrial experience have the better supervisory.
|
|---|
