Corporate disclosures by family firms

• 成果类型: Article; Proceedings Paper
• 署名作者: Ali, Ashiq; Chen, Tai-Yuan; Radhakrishnan, Suresh
• 署名单位: University of Texas System; University of Texas Dallas; Hong Kong University of Science & Technology
• 刊物名称: JOURNAL OF ACCOUNTING & ECONOMICS
• ISSN/ISSBN: 0165-4101
• DOI: 10.1016/j.jacceco.2007.01.006
• 发表日期: 2007
• 关键词: cross-sectional determinants; capital-markets; earnings; OWNERSHIP; performance; INFORMATION; services; COSTS

摘要

Compared to non-family firms, family firms face less severe agency problems due to the separation of ownership and management, but more severe agency problems that arise between controlling and non-controlling shareholders. These characteristics of family firms affect their corporate disclosure practices. For S&P 500 firms, we show that family firms report better quality earnings, are more likely to warn for a given magnitude of bad news, but make fewer disclosures about their corporate governance practices. Consistent with family firms making better financial disclosures, we find that family firms have larger analyst following, more informative analysts' forecasts, and smaller bid-ask spreads. ((c) 2007 Elsevier B.V. All rights reserved.