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作者：Bourveau, Thomas; Brochet, Francois; Ferri, Fabrizio; Sun, Chengzhu
作者单位：Columbia University; Boston University; University of Miami; Hong Kong Polytechnic University
摘要：We examine whether mandatory adoption of say on pay increases executives' incentives to engage in insider trading to compensate for the negative impact of say on pay on the value of their explicit compensation packages. Our empirical design exploits the staggered adoption of say on pay laws across 14 countries over the 2000- 2015 period. We find that mandatory adoption is associated with a material increase in insider trading profits, especially in firms where executive pay is most affected. T...
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作者：Abdel-Meguid, Ahmed; Jennings, Jared N.; Olsen, Kari Joseph; Soliman, Mark T.
作者单位：Egyptian Knowledge Bank (EKB); American University Cairo; Washington University (WUSTL); Utah System of Higher Education; Utah Valley University; University of Southern California
摘要：Non-GAAP earnings provide managers the flexibility to exclude GAAP items to either produce a more informative performance measure or provide them the ability to opportunistically exclude recurring expenses from non-GAAP earnings. Prior literature examines the use of this form of disclosure at the firm level, although it is ultimately management's decision. We extend prior non-GAAP literature by examining whether the use and quality of non-GAAP earnings is influenced by CEO personality traits, ...
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作者：Chan, Eric W.; Kachelmeier, Steven J.; Zhang, Xinyu
作者单位：University of Texas System; University of Texas Austin; Cornell University
摘要：To address the empirical phenomenon that organizations often reward time on the job as an end in itself, we design an experiment in which participants solve anagram puzzles, manipulating whether a compensation pool generated from the output of paired workers is allocated based on the individual inputs of relative time spent or on the individual outputs of puzzles solved. Relative to an output-based allocation, we find that an input-based allocation leads participants to spend more time on the ...
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作者：Bourveau, Thomas; Law, Kelvin K. F.
作者单位：Columbia University; Nanyang Technological University
摘要：This study examines whether disruptive life events affect how analysts assess risk. We exploit the staggered arrival of hurricanes between 1996 and 2009 at analysts' office locations across the United States as a plausibly exogenous shock in the analysts' experience of disruptive life events. We show in a difference-in-differences setting that relative to non-affected analysts, analysts in states affected by hurricanes issue less optimistic forecasts for non-affected firms after hurricanes. Th...
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作者：Dechow, Patricia M.; Tan, Samuel T.
作者单位：University of Southern California; Singapore Management University
摘要：We hypothesize that one way accounting practices spread is through law firm connections. We investigate this prediction by examining companies that avoided reporting compensation expense by engaging in stock option backdating. We hypothesize that executives engaged in backdating because they were desensitized to its inappropriateness when they learned through their legal counsel that other companies were engaging in this practice. We identify backdating companies through backdating-related res...
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作者：Kim, Yongtae; Su, Lixin (Nancy); Wang, Zheng; Wu, Haibin
作者单位：Santa Clara University; Korea Advanced Institute of Science & Technology (KAIST); Lingnan University; City University of Hong Kong
摘要：We exploit the staggered recognition of the Inevitable Disclosure Doctrine (IDD) by U.S. state courts to examine the effect of trade secret protection on the amount of firm-specific information incorporated in stock prices, as reflected in stock price synchronicity. We find that after certain state courts recognize the IDD, firms headquartered in those states exhibit a significant increase in stock price synchronicity relative to firms in other states. We also find a significant decrease in th...
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作者：Song, Shiwon
作者单位：INSEAD Business School
摘要：I examine a fundamental determinant of disclosure quality: how underlying data are disaggregated. For this, I create a measure of industry disaggregation, which is the extent to which segment disclosures are disaggregated based on underlying industries. To identify underlying industries, I apply a deep learning algorithm that extracts textual features from Item 1 business descriptions, in which firms are required to accurately describe their products and services. Industry disaggregation captu...
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作者：Chen, Novia X.; Lehmer, Tiana
作者单位：University of Houston System; University of Houston; University of California System; University of California Irvine
摘要：We investigate whether U.S. multinational corporations shift income overseas to the point of recording domestic pretax earnings around zero. We label firms with near-zero domestic earnings Small'' firms, and present evidence that Small captures targeted income shifting that minimizes worldwide and domestic current taxes. Because shifting essentially all income out of the U.S. represents a very aggressive form of international tax planning, Small firms represent an important margin for understa...
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作者：Jame, Russell; Markov, Stanimir; Wolfe, Michael C.
作者单位：University of Kentucky; University of Texas System; University of Texas Dallas; Oklahoma State University System; Oklahoma State University - Stillwater
摘要：We examine how increased competition stemming from an innovation in financial technology influences sell-side analyst research quality. We find that firms added to Estimize, an open platform that crowdsources short-term earnings forecasts, experience a pervasive and substantial reduction in consensus bias and a limited increase in consensus accuracy relative to matched control firms. Long-term forecasts and investment recommendations remain similarly biased, alleviating the concern that the do...
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作者：Chung, Byung Hun; Hribar, Paul
作者单位：Nanyang Technological University; University of Iowa
摘要：We use survival analysis techniques to examine whether overconfidence affects the likelihood and timeliness of goodwill impairments. We predict that overconfident CEOs have a lower likelihood of impairment in any firm-quarter, and take longer, on average, to impair goodwill. Using the Cox proportional-hazards model and the accelerated failure time model, we find evidence consistent with both predictions. In cross-sectional tests, we find having more financial experts on the board mitigates the...
