Do Outside Board Seats Help CEOs Think Long-Term?

Summary

This study examines whether CEOs who serve on the boards of other companies are less likely to make short-term business decisions—like cutting R&D spending to meet earnings targets— and more likely to take actions that improve long-term performance. Using 12,675 U.S. firm- year observations from 2004–2018, the authors test how the number of outside board positions influences managerial behavior