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New Krannert Faculty 2019
join Dean Hummels in welcoming our newest faculty

Krannert Faculty

Mara Faccio

Mara Faccio

Duke Realty Chair in Finance
Professor of Management


Ph.D. , Finance, Universita' Cattolica, 1999
MPhil; CUBS, London, 1997
Master; Universita' di Pavia, 1995
Bachelor in Economics; Universita' di Pavia, 1994


Mara Faccio's research interest is in international finance. Her research has appeared in a variety of academic journals including the American Economic Review, the Journal of Finance, the Journal of Financial Economics, the Review of Financial Studies, the Journal of Financial and Quantitative Analysis, the Journal of Accounting and Economics, the Journal of Corporate Finance, and Management Science.

Faccio's article "The ultimate ownership of western European corporations" (with Larry H. P. Lang) received the JFE All Star Paper award (it is the most cited paper in Volume 65 of the Journal of Financial Economics and the 15th most cited JFE paper of all time based on citations per year). Her paper "Political connections and corporate bailouts" (with John J. McConnell, and Ronald W. Masulis) was nominated for the Brattle Prize (which is awarded to the best corporate finance paper published in the Journal of Finance). Her paper "Large shareholderdiversification and corporate risk-taking" (with Maria-Teresa Marchica and Roberto Mura) was the Best Paper Runner Up for the BlackRock/Brennan Award (Review of Financial Studies). Her papers "Taxes and capital structure" and "Taxes, capital structure choices, and equity value" (both with Jin Xu) have both won the Sharpe Award for Best Paper in the Journal of Financial and Quantitative Analysis.

Faccio is a Research Associate of the National Bureau of Economic Research, a Senior Fellow of the Asian Bureau of Finance and Economics Research, and a Research Associate of the European Corporate Governance Institute. She is a Managing Editor of the Journal of Financial and Quantitative Analysis. She is the Duke Realty Chair in Finance & Professor of Management (Finance) at Purdue University, Krannert School of Management. Prior to joining the Krannert faculty in 2007, Faccio was a faculty member at Vanderbilt University (2003-2007), the University of Notre Dame (2001-2003), and Università Cattolica, Milan (1999-2001). Faccio earned a Ph.D. in finance from Universita' Cattolica (Milan), an MPhil from City University Business School (London), and both a master's degree and a bachelor's degree from Universita' di Pavia (Italy). Faccio is an avid golfer and a big fan of Italian soccer team Juventus.


Journal Articles

  • Faccio, M., and Xu, J. (2018). Taxes, capital structure choices, and equity value. Journal of Financial and Quantitative Analysis, vol. 53(3), 967.
  • Faccio, M. & Hsu, H.C. (2017). Politically connected private equity and employment. Journal of Finance, vol. 72 (2), 539-573.
  • Aggarwal, R., Faccio, M., Guedhami, O., & Kwok, C.Y. (2016). Culture and Finance: An Introduction. Journal of Corporate Finance, vol. 41 466-474.
  • Faccio, M. (2016). “Discussion of ‘Corporate Political Connections and Tax Aggressiveness’ ”. Contemporary Accounting Research, vol. 33(1) 115-120.
  • Faccio, M., M.T. Marchica and R. Mura (2016). CEO gender, corporate risk-taking, and the efficiency of capital allocation. Journal of Corporate Finance, vol. 39 193-209.
  • Faccio, M. & Xu. J. (2015). Taxes and capital structure. Journal of Financial and Quantitative Analysis, vol. 50 (3), 277-300.
  • Caprio, L., Faccio, M., & McConnell, J.J. (2013). Sheltering corporate assets from political extraction. The Journal of Law, Economics, and Organization, (29), 332-354.
  • Chaney, P.K., Faccio, M., & Parsley, D.C. (2011). The quality of accounting information in politically connected firms. Journal of Accounting and Economics, vol. 51 (1), 58-76.
  • Faccio, M., Marchica, M. & Mura, R (2011). Large shareholder diversification and corporate risk-taking. Review of Financial Studies, (24), 3601-3641. | Download |
  • Sengupta, R. & Faccio, M. (2011). Corporate response to distress: Evidence from the Asian financial crisis. Federal Reserve Bank of St. Louis Review, vol. 93 (2), 127-154.
  • Faccio, M., Lang, L. H. P. and Young, L. (2010). Pyramiding versus leverage in corporate groups: International evidence. Journal of International Business Studies, vol. 41 88-104.
  • Faccio, M. (2010). Differences between politically connected and non-connected firms: A cross country analysis. Financial Management, vol. 39 (3), 905-927.
  • Faccio, M. & Parsley, D.C. (2009). Sudden Deaths: Taking Stock of Geographic Ties. Journal of Financial and Quantitative Analysis, vol. 33 (3), 683-718.
  • Bortolotti, B. & Faccio, M. (2009). Government Control of Privatized Firms. Review of Financial Studies, vol. 22 (8), 2907-2939. | Download |
  • Faccio, Mara, (with Ronald W. Masulis, and John J. McConnell) (2006). Political Connections and Corporate Bailouts. Journal of Finance, vol. 61(6) 2597-2635.
  • Faccio, Mara, (with David Stolin) (2006). Expropriation vs. Proportional Sharing in Corporate Acquisitions. Journal of Business, vol. 79(3) 1413-1444.
  • Faccio, Mara (2006). Politically Connected Firms. American Economic Review, vol. 96(1) 369-386.
  • Faccio, Mara (with John J. McConnell, and David Stolin) (2006). Returns to Acquirers of Listed and Unlisted Targets. Journal of Financial and Quantitative Analysis, vol. 41(1) 197-220.
  • Faccio, Mara (with Ronald W. Masulis) (2005). The Choice of Payment Method in European Mergers and Acquisitions. Journal of Finance, vol. 60(3) 1345-1388.
  • Faccio, Mara, (with Larry H. P. Lang) (2002). The Ultimate Ownership of Western European Corporations. Journal of Financial Economics, vol. 65(3) 365-395.
  • Faccio, Mara (with Larry H. P. Lang, and Leslie Young) (2001). Dividends and Expropriation. American Economic Review, vol. 91(1) 54-78.
  • Faccio, Mara, (with M. Ameziane Lasfer) (2000). Do Occupational Pension Funds Monitor Companies in which They Hold Large Stakes?. Journal of Corporate Finance, vol. 6(1) 71-110.
  • Faccio, Mara, (with M. Ameziane Lasfer) (2000). Pension Fund Investments and Corporate Monitoring. Professional Investor, vol. 10(2) 23-26.

Forthcoming Publications

  • Faccio, M. & McConnell, J.J. Death by Pokémon GO: The economic and human cost of using apps while driving. Journal of Risk and Insurance,
  • Faccio, M., Morck, R. & Yavuz, M.D. Business groups and the incorporation of firm-specific shocks into stock prices. Journal of Financial Economics,
  • Faccio, M. & O’Brien, W.J. Business groups and employment. Management Science,

Book Chapters

  • Faccio, Mara, (with M. Ameziane Lasfer) (2002). Institutional Shareholders and Corporate Governance: The Case of UK pension Funds with M. Ameziane Lasfer). Oxford University Press, 603-622.

Working Papers

  • Faccio, M. & Zingales, L. (2017). Political determinants of competition in the mobile telecommunication industry. NBER Working Paper # 23041.
  • Emery, L. & Faccio, M. Exposing revolving doors in executive branch agencies.
  • Faccio, M. & McConnell, J.J. Political Connections Impede the Schumpeterian Process of Creative Destruction.
  • Business groups and employment

    Professor Mara Faccio discusses her research on business groups and employment

  • price of phone plans across countries

    Mara Faccio, Purdue's Hanna Chair in Entrepreneurship, discusses price differences of cell phone plans across countries.

  • woman speaking in a meeting

    Risky Business

    Addressing the gender gap in corporate leadership, research coauthored by Krannert finance professor Mara Faccio breaks new ground by using data from European-based companies that finds female CEOs tend to make less risky choices than their male counterparts.

    Full story: Risky Business

  • Taxes and capital structure choices

    Taxes and capital structure choices

  • Politics & Profit

    Prof Mara Faccio discusses her work on the connection between politics and money.

  • Mara Faccio

    Krannert professor ranks first in finance research citations

    A recent paper from researchers at the University of Oxford and the University of Technology Sydney has ranked Krannert professor Mara Faccio, Duke Realty Chair in Finance, as the No. 1 cited female scientist in academic finance.

    Full story: Krannert professor ranks first in finance research citations

  • Krannert prof Mara Faccio wins her second Sharpe Award
    Mara Faccio, the Duke Realty Chair in Finance in the Krannert School of Management, recently won the William F. Sharpe Award for Scholarship in Financial Research for the best papers published in the Journal of Financial and Quantitative Analysis in 2018. The title of the paper is “Taxes, Capital Structure Choices, and Equity Value.” Faccio and co-author of Jin Xu, a former Krannert faculty member, also won the Sharpe Award in 2015 for a paper titled, “Taxes and Capital Structure.” The Sharpe Award recognizes researchers who, through their articles published in the Journal of Financial and Quantitative Analysis, have most contributed to the understanding of important areas of financial economics.
  • Unlimited data draining your wallet? Your plan costs more in U.S. than those in most developed countries
    Have you ever felt a jolt of panic when eyeing your cellphone bill? If you live in the United States, you’re not alone, according to a recent report by Finnish research firm Rewheel, which found Americans pay more for wireless data than consumers in most other developed countries. The report adds to the growing body of evidence that U.S. wireless packages are excessively priced compared with similar services abroad, says Krannert professor Mara Faccio, who in 2017 completed a working paper with co-author Luigi Zingales analyzing mobile phone plans and telecommunication regulations in nearly 150 countries.
  • New York Times Opinion: How E.U.’s Google Fine Explains High Cellphone Costs in the U.S.
    According to Luigi Zingales, a professor at the University of Chicago Booth School of Business and a co-host of the podcast Capitalisn’t, "In an industry like mobile phone services, in which the technology is the same and there are not obvious natural comparative advantages, Mara Faccio of Purdue University and I find that European prices are much lower than American ones."
  • Why Your Phone Service Is So Expensive
    The economists Luigi Zingales of the University of Chicago and Mara Faccio of Purdue estimate that Americans pay $50 billion per year more than they would if they instead were paying European prices — for the same quality service. That translates into about an additional $30 per month for every American household.
  • The Pokémon Paradox: Krannert researchers examine costs and benefits of popular game
    When the augmented reality (AR) game Pokémon Go made its debut in 2016, it quickly became the most popular mobile game in U.S. history with more than 20 million active users daily. It’s now at the top of the menu in an industry that generates more than $1 billion in annual revenues. According to a pair of working papers from Purdue University’s Krannert School of Management, tech companies aren’t the only businesses getting a taste of the profits. But how does that balance with the economic costs of playing the game while driving, which include an increased number of vehicular accidents, injuries and even death?
  • Professor Mara Faccio elected to the board of the American Finance Association
    Krannert finance professor Mara Faccio, Purdue’s Hanna Chair in Entrepreneurship, has been elected to the Board of Directors of the American Finance Association (AFA), the premier academic organization devoted to the study and promotion of knowledge about financial economics.

Office: KRAN 448

Quick links

Personal website

Area(s) of Expertise

International Finance, Corporate Finance, Taxes, Corporate Political Connections, Business Ethics/Corruption