-
作者：Bushman, Robert M.; Hendricks, Bradley E.; Williams, Christopher D.
作者单位：University of North Carolina; University of North Carolina Chapel Hill; University of Michigan System; University of Michigan
摘要：This paper investigates whether greater competition increases or decreases individual bank and banking system risk. Using a new text-based measure of competition, and an instrumental variables analysis that exploits exogenous variation in bank deregulation, we provide robust evidence that greater competition increases both individual bank risk and a bank's contribution to system-wide risk. Specifically, we find that higher competition is associated with lower underwriting standards, less timel...
-
作者：Xie, Biqin
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park
摘要：This study investigates whether fair value accounting contributes to the procyclicality of bank lending. Using banks' approval/denial decisions on residential mortgage applications to capture banks' supply of credit, I find no evidence that fair value accounting has procyclical effects on bank lending over the past two business cycles. I further identify two reasons for this result. First, the main accounting item distinguishing fair value accounting from historical cost accountingunrealized g...
-
作者：Chen, Feng; Peng, Songlan; Xue, Shuang; Yang, Zhifeng; Ye, Feiteng
作者单位：University of Toronto; University of Missouri System; University of Missouri Columbia; York University - Canada; Shanghai University of Finance & Economics; City University of Hong Kong; Shanghai Lixin University of Accounting & Finance
摘要：This study investigates whether companies engage in audit opinion shopping activities by exerting influence over an audit firm's decision to switch the engagement partner (partner-level opinion shopping) in the Chinese setting, where the identities of engagement partners are publicly disclosed. Adopting the empirical framework developed by Lennox [2000], we show evidence that companies successfully engage in partner-level opinion shopping. Further, partner-level opinion shopping is more likely...
-
作者：Elliott, W. Brooke; Hobson, Jessen L.; White, Brian J.
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; University of Texas System; University of Texas Austin
摘要：An enduring issue in financial reporting is whether and how salient summary measures of firm performance (earnings metrics) affect market price efficiency. In laboratory markets, we test the effects of salient earnings metrics, which vary in how they combine persistent and transitory elements, on investor information search, beliefs about value, offers to trade, and market price efficiency. We find that including transitory elements in salient earnings metrics causes traders to search unnecess...
-
作者：Libby, R.; Hunton, J. E.; Tan, H-T.; Seybert, N.
-
作者：Libby, Robert; Rennekamp, Kristina
-
作者：Bell, Timothy B.; Causholli, Monika; Knechel, W. Robert
作者单位：State University System of Florida; University of North Florida; University of Kentucky; State University System of Florida; University of Florida
摘要：We use data from internal assessments of audit quality in a Big 4 firm to investigate the impact of audit firm tenure and auditor-provided non-audit services (NAS) on audit quality. We find that first-year audits receive lower assessments of audit quality and that quality improves shortly thereafter and then declines as tenure becomes very long. Partitioning our sample between SEC registrants and private clients, we find that the decline in audit quality in the long tenure range is attributabl...
-
作者：Li, Edward Xuejun; Ramesh, K.; Shen, Min; Wu, Joanna Shuang
作者单位：City University of New York (CUNY) System; Baruch College (CUNY); Rice University; University of Rochester
摘要：Analysts often update their recommendations following corporate news. Questions have been raised regarding analysts' ability to generate new information beyond recent corporate events. Employing a comprehensive database on corporate news, we show that only a small minority, or 27.9%, of all recommendation revisions directionally confirm the information in the preceding corporate events and even these confirming revisions facilitate the information discovery of corporate events and thus cannot ...
-
作者：Fang, Vivian W.; Maffett, Mark; Zhang, Bohui
作者单位：University of Minnesota System; University of Minnesota Twin Cities; University of Chicago; University of New South Wales Sydney
摘要：This paper investigates whether foreign institutional investors affect the global convergence of financial reporting practices. Using several measures of reporting convergence, we show that U.S. institutional ownership is positively associated with subsequent changes in emerging market firms' accounting comparability to their U.S. industry peers. We identify this association using an instrumental variable approach that exploits exogenous variation in U.S. institutional investment generated by ...
-
作者：Miller, Gregory S.; Skinner, Douglas J.
作者单位：University of Michigan System; University of Michigan; University of Chicago
摘要：Recent changes in technology and the media are causing significant changes in how capital markets assimilate and respond to information. We identify important themes in the disclosure literature and use this as a framework to discuss the conference papers that appear in this volume. These papers examine how managers' disclosure practices are being affected by changes in technology, the media, and capital markets. While this work makes important progress, we discuss how continuing technological...
