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作者：Gerakos, Joseph; Syverson, Chad
作者单位：University of Chicago; National Bureau of Economic Research
摘要：The audit market's unique combination of featuresits role in capital market transparency, mandated demand, and concentrated supplymeans it receives considerable attention from policy makers. We explore the effects of two market scenarios that have been the focus of policy discussions: mandatory audit firm rotation and further supply concentration due to the exit of a Big 4 audit firm. To do so, we first estimate publicly traded firms' demand for auditing services, allowing the services provide...
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作者：Tan, H-T; Hunton, J. E.; Libby, R.
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作者：Piotroski, Joseph D.; Wong, T. J.; Zhang, Tianyu
作者单位：Stanford University; Chinese University of Hong Kong
摘要：This paper tests the proposition that politicians and their affiliated firms (i.e., firms operating in their province) temporarily suppress negative information in response to political incentives. We examine the stock price behavior of Chinese listed firms around two visible political eventsmeetings of the National Congress of the Chinese Communist Party and promotions of high-level provincial politiciansthat are expected to asymmetrically increase the costs of releasing bad news. The costs c...
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作者：Ball, Ray; Li, Xi; Shivakumar, Lakshmanan
作者单位：University of Chicago; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University; University of London; London Business School
摘要：We outline several properties of IFRS that potentially affect the contractibility or the transparency of financial statement information, and hence the use of that information in debt contracts. Those properties include the increased choice among accounting rules IFRS gives to managers, enhanced rule-making uncertainty, and increased emphasis on fair value accounting. Consistent with reduced contractibility of IFRS financial statement information, we find a significant reduction in accounting-...
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作者：Park, Hyungshin; Vrettos, Dimitris
作者单位：Southern Methodist University
摘要：We offer evidence that the use of relative performance evaluation (RPE) in CEOs' incentive contracts influences the effect of risk-taking incentives on both the magnitude and composition of firm risk. We find that, when the incentive design lacks RPE features, the incentive portfolio vega motivates CEOs to increase total risk through the systematic component because it can be hedged. In contrast, when the incentive design includes RPE features, CEOs prefer idiosyncratic risk because RPE filter...
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作者：Allee, Kristian D.; Deangelis, Matthew D.
作者单位：University of Wisconsin System; University of Wisconsin Madison; University System of Georgia; Georgia State University
摘要：We examine tone dispersion, or the degree to which tone words are spread evenly within a narrative, to evaluate whether narrative structure provides insight into managers' voluntary disclosures and users' responses to those disclosures. We find that tone dispersion is associated with current aggregate and disaggregated performance and future performance, managers' financial reporting decisions, and managers' incentives and actions to manage perceptions. Furthermore, we find that tone dispersio...
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作者：Milian, Jonathan A.
作者单位：State University System of Florida; Florida International University
摘要：Prior research has documented that arbitrage activity significantly reduces or eliminates stock market anomalies. However, if anomalies arise due to unsophisticated investors' behavioral biases, then these same biases can also apply to unsophisticated arbitrageurs and thereby disrupt the arbitrage process. Consistent with a disruption in the arbitrage process for the post-earnings announcement drift anomaly, I document that the historically positive autocorrelation in firms' earnings announcem...
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作者：Chen, Shuping; Miao, Bin; Shevlin, Terry
作者单位：University of Texas System; University of Texas Austin; National University of Singapore; University of California System; University of California Irvine
摘要：We construct a new, parsimonious, measure of disclosure quality-disaggregation quality (DQ)-and offer validation tests. DQ captures the level of disaggregation of accounting data through a count of nonmissing Compustat line items, and reflects the extent of details in firms' annual reports. Conceptually, DQ differs from existing disclosure measures in that it captures the fineness of data and is based on a comprehensive set of accounting line items in annual reports. Unlike existing measures, ...
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作者：Abernethy, Margaret A.; Dekker, Henri C.; Schulz, Axel K-D.
作者单位：University of Melbourne; Vrije Universiteit Amsterdam; Monash University
摘要：There is a debate in the literature as to whether employee selection is a substitute or complement to incentive contracting. We argue that incentive contracts and selection can be both complements and substitutes conditional on the contracting difficulty faced by the firm. We examine these control choices in a setting where contracting difficulties arise due to the firm's choice of strategy and from the volatility created by the firm's external environment. We select a firm's commitment to org...
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作者：Lee, Lian Fen; Hutton, Amy P.; Shu, Susan
作者单位：Boston College
摘要：We examine how corporate social media affects the capital market consequences of firms' disclosure in the context of consumer product recalls. Product recalls constitute a product crisis exposing the firm to reputational damage, loss of future sales, and legal liability. During such a crisis it is crucial for the firm to quickly and directly communicate its intended message to a wide network of stakeholders, which, in turn, renders corporate social media a potentially useful channel of disclos...
