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作者：Hales, Jeffrey; Kuang, Xi (Jason); Venkataraman, Shankar
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作者：Hemmer, Thomas; Labro, Eva
作者单位：Rice University; University of North Carolina; University of North Carolina Chapel Hill
摘要：We explore the theoretical relation between earnings and market returns as well as the properties of earnings frequency distributions under the assumption that managers use unbiased accounting information to sequentially decide on real options their firms have and report generated earnings truthfully, with the market pricing the firm based on those reported earnings. We generate benchmarks against which empirically observed earnings-returns relations and aggregate earnings distributions can be...
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作者：Holzhacker, Martin; Kramer, Stephan; Matejka, Michal; Hoffmeister, Nick
作者单位：Michigan State University; Erasmus University Rotterdam - Excl Erasmus MC; Erasmus University Rotterdam; Arizona State University; Arizona State University-Tempe
摘要：A large stream of work on relative performance evaluation highlights the benefits of using information about peer performance in contracting. In contrast, the potential costs of discouraging cooperation among peers have received much less attention. The purpose of our study is to examine how the importance of cooperation affects the use of information about peer performance in target setting, also known as relative target setting. Specifically, we use data from an industrial services company w...
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作者：Khurana, Inder K.; Wang, Wei
作者单位：University of Missouri System; University of Missouri Columbia; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University
摘要：Exploiting the staggered enactment of country-level mergers and acquisitions (M&A) law as an exogenous increase in corporate takeover threat, this paper examines how a disciplinary market for corporate control affects accounting conservatism. Following M&A law adoption, we find increased accounting conservatism, with more pronounced effects in countries with weak shareholder protection and in those experiencing larger growth in takeover activity. Further analysis reveals that elevated takeover...
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作者：Gallemore, John; Gipper, Brandon; Maydew, Edward
作者单位：University of Chicago; Stanford University; University of North Carolina; University of North Carolina Chapel Hill
摘要：We provide the first large-scale empirical evidence of banks functioning as tax planning intermediaries. We posit that some banks specialize in assisting corporate clients with tax planning. In this role, banks make use of their centrality in financial relationships; access to private information; and ability to structure, execute, and participate in tax planning transactions for clients. We measure bank-client relationships using loan contracts and measure client tax planning using either the...
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作者：Blankespoor, Elizabeth; Dehaan, Ed; Wertz, John; Zhu, Christina
作者单位：University of Washington; University of Washington Seattle; University of Pennsylvania
摘要：We investigate the frictions that impede individual investors' use of accounting information and, in particular, their costs of monitoring and acquiring accounting disclosures. We do so using an archival setting in which individuals are presented with automated media articles that report both current earnings news and past stock returns. Although these investors have earnings information readily available, we find no evidence that their trades incorporate it. Instead we find that their trading...
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作者：Bradshaw, Mark T.; Huang, Alan G.; Tan, Hongping
作者单位：Boston College; University of Waterloo; McGill University
摘要：Prior research demonstrates that a strong institutional infrastructure in a country moderates self-serving behavior of market participants. Cross-country economic activities have increased significantly, presenting a research opportunity to examine the relative influence of local versus foreign institutional infrastructure on individual market participants. We utilize variation in analyst-country location relative to covered firm location to examine institutional determinants of optimism in an...
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作者：Ewert, Ralf; Wagenhofer, Alfred
作者单位：University of Graz
摘要：A widely held assumption in policy making and empirical research is that increasing the strength of public enforcement improves financial reporting quality and audit quality. This paper provides a more nuanced view. In a model with a manager who can manage earnings, a strategic auditor, and an enforcement institution, we show that enforcement and auditing are complements in a weak enforcement regime but can be substitutes in a strong regime. Although stronger enforcement always mitigates earni...
