Antitakeover Legislation and Accounting Conservatism : New Evidence

We examine the effect of second-generation state antitakeover laws (ATLs) on accounting conservatism. We adopt a novel methodology that corrects for selection bias resulting from firms' endogenous incorporation decision. Focusing on the period from when these ATLs became constitutional, we find a negative association between ATLs and conservatism. Our results suggest that ATLs decrease debtholder demand for conservatism by reducing agency costs of debt

MoreLess

Year of publication:	2016
Authors:	Cheng, Shijun
Other Persons:	Duru, Augustine (contributor) ; Zhao, Yijiang (contributor)
Publisher:	[2016]: [S.l.] : SSRN
Subject:	Vorsichtsprinzip \| Principle of prudence \| Bilanzierungsgrundsätze \| Accounting standards \| Übernahmerecht \| Takeover law

Extent:	1 Online-Ressource (51 p)
Type of publication:	Book / Working Paper
Language:	English
Notes:	In: Journal of Accounting and Public Policy, Forthcoming Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments September 17, 2016 erstellt
Classification:	M41 - Accounting ; G3 - Corporate Finance and Governance ; K2 - Regulation and Business Law
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://www.econbiz.de/10012982991