get.matrix.adjacency function

Create any firm-firm (FF) matrix for common ownership or board interlocks

Function to create a firm-firm (FF) matrix based on ownership or board interlocks:

get.matrix.adjacency(
  ...,
  who = c("managers", "owners"),
  ties = 3,
  id_as_firm_name = NULL,
  Matrix = NULL,
  self_ties = FALSE
)

Arguments

• ...: Either multiple objects of class firm or a list of such objects
• who: Whether to extract the 'managers' or the 'owners' (minimum unambiguous string)
• ties: Type of ties to create. Defaults to 2; for other possible values, see details.
• id_as_firm_name: Whether to use the ticker as the firm's name. Defaults to TRUE if all firms' id is neither NULL nor NA.
• Matrix: Whether to use the c("list("Matrix")", " package"). Defaults to TRUE when any matrix in the pipeline contains more than 10,000 cells and the package is installed.
• self_ties: Whether to allow self-ties (a 'loop' in graph theory). Defaults to FALSE.

Returns

A matrix object of class financial_matrix(possibly using the c("list("Matrix")", " package"))

Details

The possible values of ties and their effect relative to the value of who are:

binary or 0 for binary ties. Namely:

• for owners: $1$ if there is at least one common owner, $0$ otherwise;
• for managers: $1$ if there is at least one common manager, $0$ otherwise.

naive, or 1 for 'naively' valued ties. Namely:

• for owners, the number of common owners;
• for managers, the number of common managers.

share or 2 (the default) for 'normalised' tie values. Namely:

• for owners, the share of $i$'s owners who are also amongst $j$'s owners;
• for managers, the share of $i$'s managers who are also amongst $j$'s managers.

See Also

FF

Other Internal matrix (de)constructrs: extract.matrix(), get.matrix.adjacency.both(), load.Matrix()

Author(s)