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作者：Lyle, Matthew R.
作者单位：Emory University
摘要：This paper provides an accounting-based valuation model that predicts that cross-sectional variation in firm-level returns to investments in both stock and stock return volatility are related to cross-sectional variation in firm-level fundamentals. The model predicts that expected stock returns have a positive quadratic relation with stock return variance and a negative quadratic relation with gains to trading in stock return variance. Consistent with these predictions, firms with high model-i...
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作者：Smith, Kevin C.
作者单位：Stanford University
摘要：The impact of earnings announcements (EAs) on investor uncertainty depends not only on how much new information they contain but also on how long it would take comparable information to arrive in the future through alternative sources, which I term earnings horizon. Using a structural model of periodic EAs, I show that earnings horizon is not captured by standard empirical measures of earnings informativeness or timeliness based on the event- study approach. However, earnings horizon can be es...
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作者：Bonsall VI, Samuel B.; Donovan, John B.; Holzman, Eric R.; Wang, Xue; Yang, Daniel G.
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Notre Dame; Indiana University System; IU Kelley School of Business; Indiana University Bloomington; University System of Ohio; Ohio State University; Hong Kong University of Science & Technology
摘要：Despite private access to managers, issuer-paid credit rating agencies (CRAs) are often criticized for failing to promptly reflect material negative private information in their ratings and being ineffective corporate watchdogs. We utilize a novel dataset of private SEC investigations to examine the timeliness and informativeness of CRAs' rating adjustments in response to material negative private information. Our evidence suggests that CRAs adjust ratings downward within a quarter following t...
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作者：Diller, Markus; Ossietzky, Johannes Lorenz Carl von; Schneider, Georg; Sureth-Sloane, Caren
作者单位：University of Passau; Carl von Ossietzky Universitat Oldenburg; University of Graz; University of Paderborn; Vienna University of Economics & Business
摘要：This study investigates the impact of the harmonization of tax transfer pricing across jurisdictions on multinational companies' reporting and tax authorities' auditing strategies. Applying a game-theoretical approach, we assess how enhancing standards consistency and global tax transparency influences tax avoidance and double taxation, producer and consumer surplus, and countries' tax revenue. Although increasing transparency is generally perceived to discourage tax avoidance, we show that th...
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作者：Starica, Catalin; Marton, Jan P.
作者单位：University of Neuchatel; University of Gothenburg
摘要：The relationships between accounting earnings and stock prices, as well as between unexpected earnings and returns, have received substantial attention in the empirical literature. Several theoretical models predict the shapes of these relationships. However, a comprehensive empirical description that could be used to evaluate these predictions is lacking. By integrating recent advances in statistics and machine learning with findings in the accounting literature, we develop an empirical metho...
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作者：Jiang, Xu; Xiong, Yan
作者单位：Duke University; University of Hong Kong
摘要：We study voluntary cost disclosure by duopoly firms when they can invest in a cost-reduction technology, i.e., when their private cost is endogenously determined. We find that, contrary to most of the literature, firms disclose their endogenous cost information regardless of the type of competition. The underlying mechanisms and welfare implications, however, are different. Under Bertrand competition, cost disclosure helps a firm avoid aggressive investment in cost reduction to coordinate acti...
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作者：Ferracuti, Elia; Vashishtha, Rahul; Wang, Shuyan
作者单位：Duke University; University of Minnesota System; University of Minnesota Twin Cities
摘要：Firms' use of accounting discretion to report a smooth earnings profile is commonly believed to be pervasive. We examine whether smoothing, at least partly, reflects managerial attempts to avert unhealthy pressures from outsiders who cannot fully disentangle the impact of transitory shocks from sustainable trends in value creation. Using variation in firms' ability to hedge foreign currency (forex) exposure through derivatives, we find that firms are less likely to smooth earnings when they ca...
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作者：Baik, Brian K.; Berfeld, Natalie; Verdi, Rodrigo S.
作者单位：Harvard University; Boston College; Massachusetts Institute of Technology (MIT)
摘要：We study whether the availability of public audited financial statements influences the probability of private firms receiving private firm equity financing. Using a setting in the EU with plausibly exogenous variability in the extent to which private firms issue public financial reports, we find that private firms subject to public reporting requirements have a higher probability of obtaining private equity (PE) financing. In addition, we show that the increase in PE financing occurs in indus...
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作者：Hope, Ole-Kristian; Wang, Cyndia; Wu, Yaqian; Zhang, Min
作者单位：University of Toronto; BI Norwegian Business School; University of British Columbia; Nanjing Agricultural University; Renmin University of China
摘要：Many countries have converged their domestic auditing standards with International Standards on Auditing (ISA). This study provides global empirical evidence on first-order determinants of audit quality by examining whether and how convergence affects audit quality through utilizing data on 41 jurisdictions and using a staggered difference-in-differences approach. We find that ISA convergence leads to higher audit quality on average. The positive effect is stronger for clients of domestic audi...
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作者：Chang, Xin; Li, Shanmin; Liu, Chun; Sun, Liang; Zhang, Wenrui
作者单位：Nanyang Technological University; Sun Yat Sen University; Sun Yat Sen University; Colorado State University System; Colorado State University Fort Collins
摘要：We document that firms in more politically corrupt regions of China adopt more conservative accounting. The relation between local political corruption and accounting conservatism weakens after China's anticorruption campaign launched in 2012 and in firms with a lower risk of expropriation by corrupt officials, stronger incentives to report earnings aggressively, or greater gains from corruption. Further analysis shows that accounting conservatism and alternative corporate strategies complemen...
