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作者：Li, Meng; Markov, Stanimir; Shu, Susan
作者单位：University of Oklahoma System; University of Oklahoma - Norman; University of Texas System; University of Texas Dallas; Boston College
摘要：We explore whether managers' strong desire for good performance distorts their expectations and, consequently, corporate investment efficiency. We find that managers overweight favorable information and underweight unfavorable information, resulting in optimistic earnings guidance. We construct an ex ante measure of optimism and show that greater optimism is associated with a lower inventory investment efficiency: Managers overinvest in inventory, resulting in lower inventory turnover and incr...
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作者：Baek, In Gyun
作者单位：National University of Singapore
摘要：I examine whether telecommuting, a work arrangement in which employees do not travel to a workplace, affects the acquisition of new information in an environment where thorough search and acquisition of information are essential. On the one hand, telecommuting may impede information acquisition due to reduced communication with colleagues. On the other hand, telecommuting may facilitate information acquisition due to relaxed time pressure (via not having to commute) and increased attentional r...
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作者：Murthy, Uday S.; Park, Jong Chool; Smith, Thomas; Whitworth, James
作者单位：State University System of Florida; University of South Florida
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作者：Esmer, Burcu; Ozel, N. Bugra; Sridharan, Suhas A.
作者单位：University of Pennsylvania; University of Texas System; University of Texas Dallas; Emory University
摘要：We examine whether initial public offering (IPO) registration disclosures expose firms to greater nonshareholder litigation risk. Using hand-collected data on lawsuits initiated at federal and state courts against IPO firms, we show that firms that submit their IPO registration statement with the Securities and Exchange Commission publicly experience a 16 percent increase in litigation risk between the registration filing and issuance date. Consistent with the public filing of the registration...
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作者：Bugeja, Martin; Rosa, Raymond da Silva; Shan, Yaowen; Walter, Terry; Yermack, David
作者单位：University of Technology Sydney; University of Western Australia; University of Technology Sydney; University of Wollongong; University of Sydney; New York University; National Bureau of Economic Research
摘要：This study assesses the impact of minority shareholder empowerment via lower defeat thresholds in say-on-pay votes on CEO compensation and career prospects for directors. We exploit the adoption of the Australian two-strikes rule as a quasi-exogenous shock, which empowers shareholders to vote on board dismissal if a firm's remuneration report receives 25 percent or more dissent votes for two consecutive years. Using a differencein-differences methodology, we find that firms respond to a strike...
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作者：Thompson, Anne M.; Urcan, Oktay; Yoon, Hayoung
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; Southern Methodist University
摘要：The Securities and Exchange Commission permits companies to redact proprietary information from material contract filings, so long as the redacted information (1) would cause competitive harm if disclosed, and (2) the information is legally immaterial. Because these joint criteria are inherently contradictory, we examine whether legally immaterial redacted information is economically material to investors. We find that firms' stock price discovery process is significantly slower and insider tr...
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作者：Gomez, Enrique A.; Heflin, Frank L.; Wang, Jasmine
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University; University System of Georgia; University of Georgia; University of Virginia
摘要：We study firms' decisions to provide non-GAAP income statements and the information environment consequences of Securities and Exchange Commission (SEC) comment letters directing them to stop disclosing such statements. We find firms voluntarily disclose non-GAAP income statements when firm and disclosure complexity, analyst following, and institutional ownership are higher. Using a difference-in-differences design, we find that, after firms stop disclosing full non-GAAP income statements at t...
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作者：Hiemann, Moritz
作者单位：Bocconi University
摘要：Investment decisions tend to affect outcomes beyond the decision-maker's tenure at the enterprise, and these outcomes, moreover, depend in part on the actions of the decision-maker's successors. Separation between ownership and management, with hired managers compensated by accounting-based performance pay, solves the resulting incentive horizon problem. By contrast, the standard solution to sell the firm to the agent or the use of stock-based compensation creates incentives to invest ineffici...
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作者：Demerjian, Peter R.; Owens, Edward L.; Sokolowski, Matias
作者单位：University System of Georgia; Georgia State University; Utah System of Higher Education; University of Utah; University of New Mexico
摘要：We provide evidence that lenders with lower regulatory capital issue loans with lower financial covenant strictness, consistent with such lenders viewing borrower covenant violations as costlier. This is because a borrower covenant violation may lead the lender to downgrade the loan, which triggers accounting that further reduces regulatory capital. Because of regulatory scrutiny, this is true even if the lender waives the violation. We find that this association is concentrated in performance...
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作者：Geng, Heng (Griffin); Zhang, Cheng; Zhou, Frank S.
作者单位：Victoria University Wellington; University of Denver; University of Pennsylvania
摘要：We present theory and empirical evidence that greater financial reporting quality can incentivize myopic investments. In the model, greater financial reporting quality increases investor response to earnings, elevating the manager's incentive to invest myopically to improve earnings. Using the setting of Big N auditors' acquisitions of nonBig Ns, which increased investor response to earnings for the acquired client firms, we find evidence supporting myopic investments. Specifically, acquired c...
