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作者：Lourie, Ben; Shanthikumar, Devin; Yoo, Il Sun
作者单位：University of California System; University of California Irvine; University of Hawaii System; University of Hawaii Manoa
摘要：The revised Markets in Financial Instruments Directive (MiFID II) requires the unbundling of research payments from trading execution, fundamentally changing the way in which investors typically pay for analyst research in Europe. We examine the effectiveness of the regulation in changing the link between analyst research and trading, the research-trading link, and the analyst response to this potential change in incentives. Using a difference-in-differences research design, we find that forec...
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作者：Bochkay, Khrystyna; Brown, Stephen V.; Leone, Andrew J.; Tucker, Jennifer Wu
作者单位：Northwestern University; University of Connecticut; State University System of Florida; University of Florida; University of Miami
摘要：Natural language is a key form of business communication. Textual analysis is the application of natural language processing (NLP) to textual data for automated information extraction or measurement. We survey publications in top accounting journals and describe the trend and current state of textual analysis in accounting. We organize available NLP methods in a unified framework. Accounting researchers have often used textual analysis to measure disclosure sentiment, readability, and disclosu...
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作者：Aghamolla, Cyrus; Hashimoto, Tadashi
作者单位：University of Minnesota System; University of Minnesota Twin Cities; Yeshiva University
摘要：This study investigates the real effects of management communication, specifically of forecasts or earnings guidance, on investment. Managers can signal the strength of their projects through accuracy in their earnings guidance. This leads less accurate managers to distort their investments; the equilibrium investment strategy involves over-investment when earnings exceed the forecast and under-investment when earnings fall short. Moreover, we find that managers are pessimistic in their foreca...
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作者：Emett, Scott A.; Kaplan, Steven E.; Mauldin, Elaine G.; Pickerd, Jeffrey S.
作者单位：Arizona State University; Arizona State University-Tempe; University of Missouri System; University of Missouri Columbia; University of Mississippi
摘要：Audit firms hesitate to take full advantage of data and analytics (D&A) audit approaches because they lack certainty about how external reviewers evaluate those approaches. We propose that external reviewers use an effort heuristic when evaluating audit quality, judging less effortful audit procedures as lower quality, which could shape how external reviewers evaluate D&A audit procedures. We conduct two experiments in which experienced external reviewers evaluate one set of audit procedures (...
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作者：Fan, Qintao; Johnson, Nicole Bastian; Pfeiffer, Thomas
作者单位：University of Oregon; University of Vienna
摘要：We study how corporate taxation interacts with intrafirm incentive conflicts between shareholders and managers and how this interaction impacts the firm's economic decisions and outcomes. In our model, investment under asymmetric information facilitates entrenchment and rent extraction by the privately informed manager. We show that when the future investment payoff is exogenous, a corporate tax cut increases managerial rents, reduces pre-tax investment profitability, increases the firm's opti...
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作者：Garavaglia, Shannon
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh
摘要：Using a mixed-methods approach, I investigate how the terms that firms use to label non-GAAP earnings interact with investors' scrutiny of non-GAAP reporting to affect investors' information search behavior and investment decisions. This study informs regulators, who have expressed concern over the mislabeling of non-GAAP measures, and managers, who are often criticized for their misuse of discretion in non-GAAP reporting. I first provide descriptive evidence on the non-GAAP labels used in pra...
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作者：Bens, Daniel; Liao, Scott; Su, Barbara
作者单位：INSEAD Business School; University of Toronto; Pennsylvania Commonwealth System of Higher Education (PCSHE); Temple University
摘要：We examine how regulatory restrictions on capital market activity affect the compensation contracting environment within firms. This study aims to expand our understanding of how financial market development affects firm risk-taking via management compensation designs. Specifically, taking advantage of the staggered implementation of the Interstate Banking and Branching Efficiency Act (IBBEA), which increases bank competition and loan geographical diversification, this study examines how borro...
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作者：Cheng, Lin; Jaggi, Jacob; Young, Spencer
作者单位：China Europe International Business School; Washington State University; University of Oklahoma System; University of Oklahoma - Norman
摘要：We examine whether restricting managers' discretion through GAAP impacts the usefulness of accounting information in debt contracting. Our study informs standard setters and regulators regarding the debt contracting implications of limiting managers' discretion via accounting standards. We predict and find that under more restrictive standards, lenders make more non-GAAP modifications to GAAP-based performance measures, suggesting that restrictions of managers' discretion reduce the usefulness...
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作者：Do, Truc (Peter) Thuc; Zhang, Huai
作者单位：University of Queensland; Nanyang Technological University
摘要：We investigate whether individual securities regulators exhibit personal styles in their work, a question of importance to corporate executives and capital market participants. Using the SEC's comment letters as our setting, we find that SEC staff members exhibit unique personal styles. We manually collect information on SEC staff members and provide evidence that staff members' personal characteristics influence the SEC's review process. Further analyses reveal that SEC staff members with a C...
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作者：Ryou, Ji Woo; Tsang, Albert; Wang, Kun Tracy
作者单位：West Virginia University; Hong Kong Polytechnic University; Australian National University
摘要：This study examines whether and how firms' voluntary forward-looking nonfinancial disclosure, specifically their corporate social responsibility (CSR) disclosure, is associated with the intensity of product market competition (PMC). Despite the importance of the proprietary cost argument in explaining corporate disclosure incentives, there is little empirical evidence of the relationship between firms' proprietary cost concerns and their voluntary nonfinancial disclosure decisions. Using a red...
