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作者：Lamoreaux, Phillip T.; Mauler, Landon M.; Newton, Nathan J.
作者单位：Arizona State University; Arizona State University-Tempe; State University System of Florida; Florida State University
摘要：This study investigates the relation between audit regulation and cost of equity capital. There is scant empirical evidence on this relation because changes in audit regulation are frequently accompanied by other major regulatory changes. We exploit variation in the timing of regulatory changes induced by foreign governments' staggered allowance of PCAOB inspections. Using a difference-in-differences design, we find that foreign SEC registrants with auditors from countries that allow PCAOB ins...
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作者：Joshi, Preetika; Outslay, Edmund; Persson, Anh; Shevlin, Terry; Venkat, Aruhn
作者单位：York University - Canada; Michigan State University; University of Illinois System; University of Illinois Urbana-Champaign; University of California System; University of California Irvine
摘要：In this study, we examine the effect of increased tax transparency on the tax planning behavior of European banks. In 2014, the European Union introduced public country-by-country reporting requirements to the banking industry. Treating this new requirement as an exogenous shock, we find limited evidence consistent with a decline in income shifting by the banks' financial affiliates in the post-adoption period (starting from 2015). We do not, however, find robust evidence of a significant chan...
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作者：Lai, Cheng
作者单位：Zhejiang University
摘要：Valuation ratios divide stock price by accounting metrics such as earnings, earnings growth, and book value. This study adapts the general valuation framework in Ohlson and Juettner-Nauroth (2005) and Ohlson (2005) to present a unified approach for developing valuation ratios based on fundamentals, referred to as fundamental valuation ratios. One starts with a valuation model that is driven by an accounting metricaand its abnormal growth, then divides the valuation model byato get a fundamenta...
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作者：Hewitt, Max; Hodge, Frank D.; Pratt, Jamie H.
作者单位：University of Arizona; University of Washington; University of Washington Seattle; Indiana University System; Indiana University Bloomington
摘要：We examine how shareholders' trust in managers is affected by (i) the outcome of earnings management (inconsistent vs. consistent with shareholders' interests) and (ii) the method of earnings management (accruals vs. real methods). Using a controlled experiment, we predict and find that trust is impaired when the outcome of earnings management suggests that managers have put their interests above shareholders' interests and/or when the method of earnings management suggests that managers misre...
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作者：Drymiotes, George; Lin, Haijin; Ertimur, Yonca
作者单位：Texas Christian University; University of Houston System; University of Houston; University of Colorado System; University of Colorado Boulder
摘要：We develop a model to examine implications of empowering shareholders to replace directors. We find that shareholder empowerment functions as a double-edged sword. On the one hand, it can weaken ineffective boards' incentive to hold on to their position. On the other hand, it can induce both effective and ineffective boards to behave strategically to avoid a potential dismissal. As a result, empowerment does not necessarily increase firm value; in some cases, empowerment exacerbates the agency...
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作者：Lerman, Alina
作者单位：University of Connecticut
摘要：Online financial communities provide a unique opportunity to directly examine individual investors' attention to accounting information on a large scale and in great detail. I analyze accounting-related content in large samples of Yahoo! message board posts and StockTwits and find investors pay attention to a range of accounting information, fixating particularly on earnings, cash, and revenues. Consistent with the expectation that investors react to relevant information events, I find account...
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作者：Gaertner, Fabio B.; Lynch, Daniel P.; Vernon, Mary E.
作者单位：University of Wisconsin System; University of Wisconsin Madison
摘要：This study examines the effect of the Tax Cuts and Jobs Act of 2017 (TCJA) on corporate defined benefit pension contributions. The TCJA decreases the corporate tax rate from 35 percent in 2017 to 21 percent in 2018 and thereafter. This change incentivizes firms to increase 2017 pension contributions to take advantage of tax deductions at a higher rate. Consistent with this incentive, we find firms increase defined benefit pension contributions by an average of 25 to 31 percent in 2017 compared...
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作者：Bauer, Tim D.; Hillison, Sean M.; Peecher, Mark E.; Pomeroy, Bradley
作者单位：University of Waterloo; Virginia Polytechnic Institute & State University; University of Illinois System; University of Illinois Urbana-Champaign
摘要：Prior research documents that auditors fail to revise audit plans to effectively address identified fraud cues. While auditors may understand what evidence would address such cues, we propose that auditors fail to apply this understanding because they use implemental mindsets when making decisions for themselves (i.e., deciding). However, we also propose that auditors use deliberative mindsets when advising. To test our predictions, we assign auditors to a decider or an advisor role in a reali...
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作者：Huang, Jing; Matsunaga, Steven R.; Wang, Z. Jay
作者单位：Virginia Polytechnic Institute & State University; University of Oregon
摘要：We investigate whether potential pension contracting benefits lead institutions that provide pension services to acquire ownership blocks in firms and the implications of such blockholdings on the firms' corporate governance. We use the 2006 Pension Protection Act, which expanded pension participation in certain states, as a quasi-exogenous shock and find an increase in block ownership by pension-providing institutions in firms with substantial operations in affected states. Further, we find t...
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作者：Choi, Jin Kyung; Hann, Rebecca N.; Subasi, Musa; Zheng, Yue
作者单位：University System of Maryland; University of Maryland Baltimore; Hong Kong University of Science & Technology
摘要：We examine whether the information conveyed in a relatively new analyst research output-capital expenditure (capex) forecasts-affects corporate investment efficiency. We find that firms with analyst capex forecasts exhibit higher investment efficiency. This effect is stronger when the forecasts are issued by analysts with higher ability or greater industry knowledge. Moreover, the effect of capex forecasts on investment efficiency varies with the signals they convey about future growth opportu...
