Saturday October 30 1:30 PM – Saturday October 30 2:00 PM in Talks II

What do C-Suite Executives Pay Attention To?

Dingqian (Sara) Liu

Prior knowledge:
No previous knowledge expected

Summary

Using public listed firms' quarterly earnings call transcripts and Natural Language Processing (NLP), I construct macro attention and micro attention index to measure executives' attention capacity and attention allocation towards macroeconomics. The results indicate that firms expand attention capacity and allocate more attention to macroeconomics during the recession.

Description

  • Everyone has limited attention. They process information from inner communication and outside environment, on which they make decisions based.
  • Why attention capacity and attention allocation towards macroeconomics.
  • Introducing Text Data.
  • Introducing TF-IDF.
  • Term Selection and index construction.
  • Presenting attention capacity & allocation for firms with various characteristics