주주의 역할에 대한 비판적 검토: 경영자의 자기과신과 이사회 운영 간의 관계를 중심으로

[Purpose]Based on the fact that the board of directors is the core governance structure that has the most comprehensive influence on managerial decision, this study aims to test whether the effectiveness of the board of directors is determined by the presence of overconfident managers. [Methodology]For the empirical analysis, the hypothesis testing sample consists of companies listed on the KOSPI and KOSDAQ markets from 2009 to 2021. [Findings]First, we found a positive relationship between CEO overconfidence and board size. This supports the role of shareholders in strengthening the role of the board of directors to account for overconfident managers. Second, there is a negative relationship between CEO overconfidence and board independence. This suggests that there is a limited role for shareholders to strengthen the role of the board in light of overconfident managers, but also reflects the CEO incentives. [Implications]First, this study is expected to provide useful information to various information users on the role of shareholders in relation to managers’ overconfidence. Second, this study contributes to the literature by identifying additional determinants of board structure.