Title Page
Abstract
Contents
Essay 1. Chaebol Group Affiliation, Patenting Activity, and Product Market Concentration 10
1. Introduction 11
2. Literature Review and Research Questions 18
2.1. Literature Review 18
2.2. Research Questions 21
3. Data and Sample 22
4. Research Design and Empirical Results 23
4.1. Chaebol Group Affiliation and Patents 23
4.2. Mechanisms of Patenting 27
4.3. Economic Consequences of Patents 32
4.4. The Implications of Patenting Activity of Chaebols 36
4.5. Additional Tests 43
5. Conclusion 45
References 49
Appendix. Variable Definitions 70
Essay 2. Pension Fund Ownership and ESG Performance: Evidence form Korean National Pension Service 73
1. Introduction 74
2. Background and Research Questions 80
2.1. Background of the NPS 80
2.2. Pension Fund Ownership, Activism, and Firm Value 81
2.3. Pension Funds and ESG Consideration 83
2.4. Assessing whether Firms or Funds with ESG commitments "Walk the talk" 85
2.5. Research Questions 86
3. Data and Sample 88
4. Research Design 89
4.1. NPS Ownership and ESG Performance 89
4.2. Granger Causality Tests 91
4.3. The Effect of Voting Decision 93
4.4. Changing Holdings in response to Negative ESG Incidents 95
4.5. Value Implications of NPS Holding and ESG Performance 96
5. Empirical Results 100
5.1. Descriptive Statistics 100
5.2. Results for Engagement 101
5.3. The Effect of Voting Decision 102
5.4. Results for Changing Holdings 104
5.5. Changing Holdings in response to Negative ESG Incidents 105
5.6. Value Implications of NPS Holding and ESG Performance 106
6. Conclusion 109
References 112
Appendix. Variable Definitions 131
국문초록 133
Essay 1. Chaebol Group Affiliation, Patenting Activity, and Product Market Concentration 8
TABLE 1. Descriptive Statistics 55
TABLE 2. Pearson Correlation Matrix 56
TABLE 3. Chaebol Group Affiliation and the Number of Patents 57
TABLE 4. Chaebol Group Affiliation and Investment-q Sensitivity 59
Panel A. Descriptive Statistics 59
Panel B. Regression Results 59
TABLE 5. Knowledge Spillover within a Chaebol Group 61
Panel A. Descriptive Statistics 61
Panel B. Regression Results 61
TABLE 6. The Association between Patents and Future Profitability 63
Panel A. Descriptive Statistics 63
Panel B. Regression Results 63
TABLE 7. The Association between Patenting Activity of Chaebols and Market Share and Market Concentration 65
Panel A. Descriptive Statistics 65
Panel B. Regression Results of Market Share 65
Panel C. Regression Results of Market Concentration 66
TABLE 8. The Association between Patenting Activity of Chaebols and Industry Growth 68
Panel A. Descriptive Statistics 68
Panel B. Regression Results 68
Essay 2. Pension Fund Ownership and ESG Performance: Evidence from Korean National Pension Service 9
TABLE 1. Sample Selection, Sample Distribution, and Descriptive Statistics 118
Panel A. Sample Selection Procedure 118
Panel B. Sample Distribution by Year 118
Panel C. Descriptive Statistics 118
TABLE 2. Pearson Correlation Matrix 119
TABLE 3. NPS Ownership and ESG Performance: Engagement 120
Panel A. Level Regression Results with Firm Fixed Effects 120
Panel B. Granger Causality Test (Regression of ESG growth on prior NPS ownership change) 121
TABLE 4. The Effect of Voting Decision of NPS 123
Panel A. Descriptive Statistics 123
Panel B. Regression Results 123
TABLE 5. The Change in NPS Holdings: Granger Causality Test 125
TABLE 6. Negative ESG Incidents and the Change in NPS Holdings 126
Panel A. Frequency of Negative ESG Incidents 126
Panel B. Descriptive Statistics 126
Panel C. Regression Results 126
TABLE 7. NPS Holding, ESG Performance, and Future Returns: Portfolio Analysis 128
TABLE 8. NPS Holding, ESG Performance, and Future Returns: Firm-level Analysis 129
Panel A. Descriptive Statistics 129
Panel B. Regression Results 129
FIGURE 1. The Yearly Trend of Patents (Chaebols vs. Non-Chaebol) 55