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作者：Ewertz, Jonas; Knickrehm, Charlotte; Nienhaus, Martin; Reichmann, Doron
作者单位：Ruhr University Bochum; Goethe University Frankfurt
摘要：We examine the usefulness of machine learning approaches for measuring vocal tone in corporate disclosures. We document a substantial mismatch between the widely adopted actor-based training data underlying these approaches and speech in corporate disclosures. We find that existing models achieve near-perfect vocal tone classification within their training domain. However, when tested on actual executive speech during conference calls, their performance declines to chance levels. We thus intro...
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作者：Tian, Xuan; Yan, Jiawen; Zuo, Luo
作者单位：Tsinghua University; National University of Singapore
摘要：We investigate whether shared auditors promote the dissemination of innovative knowledge among their clients, thereby fostering follow-on innovation. We find that a company cites more patents from another company when they are audited by the same audit office. To address concerns about potential confounding factors stemming from commonalities in the fundamentals of the two companies, we leverage a quasi-exogenous shock to auditor sharing: the demise of Arthur Andersen and the subsequent increa...
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作者：Crandall, Richard; Garavaglia, Shannon; Mongold, Cassie
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh
摘要：Operating cash flows are a critical input to valuation activities. Research and practice indicate that the most common method of presenting operating cash flows, the indirect method, is viewed as overly complex. We experimentally examine whether two theoretically motivated factors represent shortcomings of the indirect method: (1) inadequate linking of related components of net income and changes in working capital accounts, and (2) inconsistent income statement labeling between components of ...
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作者：Ecker, Frank; Li, Xitong; Li, Yilan; Wu, Fan
作者单位：Frankfurt School Finance & Management; Hautes Etudes Commerciales (HEC) Paris; ESSEC Business School; Chinese University of Hong Kong
摘要：This paper provides descriptive evidence on how stock market participants use Generative Artificial Intelligence (GenAI) to process investment-related information. Using a data set of 1.7 million stock-related queries from one of China's largest GenAI platforms during the first half of 2024, we document that user queries address a wide range of topics and tasks and vary systematically with usage intensity and financial sophistication. Query activity increases around corporate disclosure events...
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作者：Anderson, Chelsea M.; Fang, Vivian W.; Moon, James R.; Shipman, Jonathan E.
作者单位：University System of Ohio; University of Cincinnati; Indiana University System; Indiana University Bloomington; University System of Georgia; Georgia Institute of Technology; University of Arkansas System; University of Arkansas Fayetteville
摘要：This paper explores U.S. public firms' cryptocurrency holdings and accounting practices from 2013 to 2022 against the backdrop of the recently enacted crypto accounting rule, ASU 2023-08. Descriptive analyses suggest exponential growth in corporate crypto holdings and significant variation in crypto accounting practices, underscoring the rule's necessity. Hypothesis tests using the pre-rule data reveal three insights with direct relevance to the rule. First, firms appear to view crypto assets ...
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作者：Cai, Wei; Prat, Andrea; Yu, Jiehang
作者单位：Columbia University
摘要：Prior research has pointed to differences in organizational capital as a reason for the persistent performance discrepancies among otherwise similar firms. In this paper, we develop and validate a new measure of organizational capital. Based on over a million crowd-sourced employee reviews scraped from Glassdoor, we construct the measure of organizational capital at the firm-year level using the word embedding model and ChatGPT-generated synthetic reviews. Our measure varies over time in accor...
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作者：Qi, Yue; Seidel, Timothy A.; Zhang, Joseph H.; Zhang, Junsheng
作者单位：University of Science & Technology of China, CAS; Chinese Academy of Sciences; University of Science & Technology of China, CAS; Brigham Young University; University System of Ohio; Bowling Green State University; Sun Yat Sen University
摘要：The engagement quality review is a key component of an audit firm's quality control system. This study leverages unique data on individual engagement quality reviewers (EQRs) to examine how previous shared working experience between EQRs and engagement partners affects audit quality. While prior research suggests that within-firm network ties between predecessor and successor partners facilitate knowledge transfer, we find that prior shared working experience between EQRs and engagement partne...
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作者：Dagostino, Ramona; Nakhmurina, Anya
作者单位：University of Virginia; Yale University
摘要：This paper studies how partisan alignment between city leaders and state governors shapes information processing and bond pricing in the municipal bond market. Using a novel data set on 1,045 U.S. cities from 2005 to 2019, we show that cities with the same political affiliation as the state governor face 9 basis points lower borrowing costs than misaligned cities. The effect is stronger for riskier bonds, in states where governors hold greater authority, and for fiscally dependent cities. Alig...
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作者：Boland, Matthew; Hlaing, Khin Phyo; Lisowsky, Petro
作者单位：Boston University
摘要：This study examines the relation between taxes and business investment using the setting of an unexpected and economically significant federal corporate income tax rate increase in Canada known colloquially as the Halloween Massacre of 2006. This tax increase only applies to firms organized as income trusts, but not corporations. Using a difference-in-differences design, we find that investment by income trusts decreases about 0.67% for each 1 percentage point increase in the tax rate, transla...
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作者：Lee, Yoojin; Ng, Shaphan; Venkat, Aruhn
作者单位：California State University System; California State University Long Beach; Singapore Management University; University of California System; University of California Riverside
摘要：We examine whether the largest place-based, firm-specific corporate subsidies (Megadeals) awarded by state and local governments affect local firms' innovation. First, we document that (1) subsidy firms innovate in the subsidized county and (2) subsidy firms bring inventors from other counties into the subsidized county, consistent with subsidy firms generating new knowledge locally. In our main test, we use a stacked cohort design with stringent fixed effects to document that local firms incr...
