Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments February 1, 2023 erstellt
Beschreibung:
We use novel data on firm-level attention to characterize firms’ exposures to uncertainty. Our data captures a daily cross-section of firm-employee reading across thousands of topics. We use natural language processing tools to assess the types of topics firms are reading and show that firms that allocate relatively more attention to uncertainty versus other business-related news have nearly 15% higher CAPM betas. Consistent with their higher discount rates, these uncertain firms have relatively lower investment rates: higher attention to uncertainty relates to more than 10% lower investment and 6% lower hiring on an annual basis