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作者：Fang, Xiaohua; Pittman, Jeffrey; Zhao, Yuping
作者单位：State University System of Florida; Florida Atlantic University; Memorial University Newfoundland; University of Houston System; University of Houston
摘要：Prior research documents that information transmitted via director networks affects firms' policies and real economic activities. Given a manager's potential monopoly over firm information, it is important to analyze whether information transmission through director social networks undermines the manager's control. Specifically, we explore whether information flow through director networks influences managers' ability to hoard bad news. We predict and find that the extent of external connectio...
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作者：Li, Zhi; Ryan, Harley E., Jr.; Wang, Lingling
作者单位：Chapman University System; Chapman University; University System of Georgia; Georgia State University; University of Connecticut
摘要：We use a hand-collected sample of 1,628 S&P 1500 firms and more than 12,000 executives to examine how family firms compensate nonfamily executives. Family firms comprise a large percentage of firms around the world, and most of their executives are not members of the founding family. Moreover, the founding family's engagement in the firm alters agency conflicts, which in turn should influence the design of incentive compensation. However, there is no empirical evidence on whether and how the i...
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作者：Liao, Pei-Cheng; Ma, Guang; Radhakrishnan, Suresh
作者单位：National Taiwan University; McGill University; University of Texas System; University of Texas Dallas
摘要：We consider an investor's choice of conservative reporting, bonus payments, and investment decisions in the presence of the hidden-information agency problem of a manager's productivity and the hidden-action agency problem of a manager's diversion of resources. It is important to consider the hidden-action and hidden-information agency problems in isolation and their interaction to gain insights into the drivers of demand for conservatism. We show that the conservative (nonconservative) regime...
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作者：DeZoort, Todd; Doxey, Marcus; Pollard, Troy
作者单位：University of Alabama System; University of Alabama Tuscaloosa
摘要：This study evaluates whether auditor use of root cause analysis (RCA) for an identified client misstatement affects auditors' assessments of underlying control issues and materiality in an integrated audit setting. We also test whether auditor cognitive style moderates these effects given prior findings that a misfit between task structure and cognitive style undermines performance. This research is motivated by concerns about integrated audit quality and auditors failing to consider control d...
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作者：Ke, Bin; Zhang, Xiaojun
作者单位：National University of Singapore; Peking University
摘要：We examine the efficacy of public enforcement in weak investor protection countries by examining the outcomes of a comprehensive public enforcement campaign in China. The campaign, launched in 2007, was designed to help enforce China's first mandatory Corporate Governance Code, issued in 2002. The 2007 campaign was characterized by several important features: (i) the campaign required firms to identify their problems before the securities regulators conducted on-site inspections; (ii) the camp...
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作者：Tang, Michael; Wang, Rencheng; Zhou, Yi
作者单位：State University System of Florida; Florida International University; Singapore Management University; Fudan University
摘要：This study examines how managers' use of expectation management is affected by their labor market mobility, which we measure by the enforceability of noncompete provisions in their employment contracts. Exploiting quasinatural experiments, our difference-in-differences analyses provide new causal insights to the growing literature on how managers' career concerns affect their disclosure choices. Consistent with a less mobile labor market imposing more pressure on managers to achieve earnings e...
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作者：Lunawat, Radhika; Waymire, Gregory; Xin, Baohua
作者单位：University of California System; University of California Irvine; Emory University; University of Toronto
摘要：A common view is that verified earnings reports encourage investment through improved transparency. We lack direct evidence on this foundational proposition because researchers cannot observe counterfactuals in which a manager either (i) must remain silent about performance or (ii) can make any statement about performance they desire, even a bald-faced lie. We experimentally manipulate whether a manager can provide information to an investor by voluntarily disclosing a verified earnings report...
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作者：Downey, Denise Hanes; Westermann, Kimberly D.
作者单位：Villanova University; California State University System; California Polytechnic State University San Luis Obispo
摘要：Regulators are concerned about the quality of group audits because of poor inspection results, recent enforcement actions against component auditors, and the significance of these audits to the global economy. Yet research in this area is nascent. In response, we survey and interview US-based global group audit leads to better understand the group audit process and their perceptions of challenges that arise on such engagements. Our findings indicate that group auditors organize their audits co...
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作者：Beardsley, Erik L.; Mayberry, Michael A.; McGuire, Sean T.
作者单位：University of Notre Dame; State University System of Florida; University of Florida; Texas A&M University System; Texas A&M University College Station
摘要：This study investigates how sophisticated market participants use tax-based information by examining whether analysts' street effective tax rates (ETRs) are informative. When assessing firm performance, analysts exclude items they believe do not reflect current performance, resulting in street metrics such as street ETR. However, evidence on the properties of the components of street earnings is limited. Examining the informativeness of street ETRs is important because taxes are a significant ...
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作者：DeZoort, Todd; Doxey, Marcus; Pollard, Troy
作者单位：University of Alabama System; University of Alabama Tuscaloosa
摘要：This study evaluates whether auditor use of root cause analysis (RCA) for an identified client misstatement affects auditors' assessments of underlying control issues and materiality in an integrated audit setting. We also test whether auditor cognitive style moderates these effects given prior findings that a misfit between task structure and cognitive style undermines performance. This research is motivated by concerns about integrated audit quality and auditors failing to consider control d...
