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作者：Larcker, David F.; McCall, Allan L.; Ormazabal, Gaizka
作者单位：Stanford University; Stanford University; University of Navarra; IESE Business School
摘要：This paper examines the economic consequences associated with the board of director's choice of whether to adhere to proxy advisory firm policies in the design of stock option repricing programs. Proxy advisors provide research and voting recommendations to institutional investors on issues subject to a shareholder vote. Since many institutional investors follow the recommendations of proxy advisors in their voting, proxy advisor policies are an important consideration for corporate boards in ...
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作者：Costello, Anna M.
作者单位：Massachusetts Institute of Technology (MIT)
摘要：Using a sample of long-term supply contracts collected from SEC filings, I show that hold-up concerns and information asymmetry are important determinants of contract design. Asymmetric information between buyers and suppliers leads to shorter term contracts. However, when longer duration contracts facilitate the exchange of relationship specific assets, the parties substitute short-term contracts with financial covenants in order to reduce moral hazard. Covenant restrictions are more prevalen...
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作者：Chuk, Elizabeth; Matsumoto, Dawn; Miller, Gregory S.
作者单位：University of Southern California; University of Washington; University of Washington Seattle; University of Michigan System; University of Michigan
摘要：This paper examines the characteristics of management forecasts available on Thomson First Call's Company Issued Guidance (CIG) database relative to a sample of forecasts hand-collected through a search of company press releases. Due to the significantly lower cost of using CIG (relative to hand-collecting data), academics have increasingly relied on this database as a source of management forecasts. However, it is important for researchers to consider the properties of this database (such as ...
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作者：Ecker, Frank; Francis, Jennifer; Olsson, Per; Schipper, Katherine
作者单位：Duke University
摘要：We examine how the criteria for choosing estimation samples affect the ability to detect discretionary accruals, using several variants of the Jones (1991) model. Researchers commonly estimate accruals models in cross-section, and define the estimation sample as all firms in the same industry. We examine whether firm size performs at least as well as industry membership as the criterion for selecting estimation samples. For U.S. data, we find estimation samples based on similarity in lagged as...
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作者：Cheng, Mei; Dhaliwal, Dan; Zhang, Yuan
作者单位：University of Arizona; Korea University; University of Texas System; University of Texas Dallas
摘要：We provide more direct evidence on the causal relation between the quality of financial reporting and investment efficiency. We examine the investment behavior of a sample of firms that disclosed internal control weaknesses under the Sarbanes-Oxley Act. We find that prior to the disclosure, these firms under-invest (over-invest) when they are financially constrained (unconstrained). More importantly, we find that after the disclosure, these firms' investment efficiency improves significantly. ...
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作者：Denis, David J.; Xu, Jin
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh; Purdue University System; Purdue University
摘要：The use of equity incentives is significantly greater in countries with stronger insider trading restrictions, and these higher incentives are associated with higher total pay. These findings are robust to alternative definitions of insider trading restrictions and enforcement, and to panel regressions with country fixed effects. We also find significant increases in top executive pay and the use of equity-based incentives in the period immediately following the initial enforcement of insider ...
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作者：Allen, Abigail; Ramanna, Karthik
作者单位：Harvard University
摘要：We investigate the effect of standard setters in standard setting. We examine how certain professional and political characteristics of FASB members and SEC commissioners predict the accounting reliability and relevance of proposed standards. Notably, we find FASB members with backgrounds in financial services are more likely to propose standards that decrease reliability and increase relevance, partly due to their tendency to propose fair-value methods. We find opposite results for FASB membe...
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作者：Christensen, Hans B.; Hail, Luzi; Leuz, Christian
作者单位：University of Chicago; University of Pennsylvania; National Bureau of Economic Research
摘要：In recent years, reporting under International Financial Reporting Standards (IFRS) became mandatory in many countries. The capital-market effects around this change have been extensively studied, but their sources are not yet well understood. This study aims to distinguish between several potential explanations for the observed capital-market effects. We find that, across all countries, mandatory IFRS reporting had little impact on liquidity. The liquidity effects around IFRS introduction are...
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作者：Chyz, James A.
作者单位：University of Tennessee System; University of Tennessee Knoxville
摘要：This paper investigates whether executives who evidence a propensity for personal tax evasion (suspect executives) are associated with tax sheltering at the firm level. I adapt recent research to identify the presence of these executives and examine associations between suspect executive presence and firm-level measures of tax sheltering. The results indicate that the presence of suspect executives is positively associated with proxies for corporate tax sheltering. In addition, firm-years with...
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作者：Zhang, Qi; Cai, Charlie X.; Keasey, Kevin
作者单位：University of Leeds; University of Bradford
摘要：We examine how information risk and transaction costs influence the initial and subsequent market reaction to earnings news. We find that the initial market reaction is higher per unit of earnings surprise for higher information risk firms (information content effect). Furthermore, it is information risk that induces transaction costs that limit the initial market reaction and lead to higher subsequent drift (transaction costs effect). Information risk does not have an effect on drift beyond t...
