The first half-century of empirical capital markets research in accounting in pictures

• 成果类型: Article; Early Access
• 署名作者: Kothari, S. P.; Schonberger, Bryce; Wasley, Charles; Xiao, Jason J.
• 署名单位: Massachusetts Institute of Technology (MIT); University of Colorado System; University of Colorado Boulder; University of Rochester; State University of New York (SUNY) System; Binghamton University, SUNY
• 刊物名称: REVIEW OF ACCOUNTING STUDIES
• ISSN/ISSBN: 1380-6653
• DOI: 10.1007/s11142-025-09887-3
• 发表日期: 2025
• 关键词: information-content; earnings announcements; stock-prices; Aggregate earnings; FULLY REFLECT; Cash flows; returns; uncertainty; anomalies; inflation

摘要

Seminal papers by Ball and Brown (1968) and Beaver (1968) spawned a vast literature on the role of accounting numbers in capital markets. This literature, often referred to as capital markets research in accounting (CMRA), is now more than a half-century old. In light of numerous changes to the economic and financial reporting environments over this time, we estimate CMRA's major relations using a comprehensive sample period. We illustrate each relation using plots, allowing us to efficiently present CMRA's first half-century consistent with the adage a picture is worth a thousand words. The aims of our study are to document the extent of time-series variation in CMRA's major relations and to provide evidence on market-level determinants of that variation. In doing so, our study provides a natural starting point for future research designed to develop and test additional causal explanations for time-series variation in the properties of CMRA's major relations.