We examine the relative timeliness with which asset write-downs incorporate adverse macroeconomic outcomes versus adverse firm-specific outcomes. We posit that, compared to adverse macroeconomic outcomes, adverse firm-specific outcomes exhibit high information asymmetry between firm managers and...

We provide evidence that banks smooth income by managing provisions for loan losses and loan charge-offs in a coordinated fashion that varies across the bust and boom phases of the business cycle and across homogeneous and heterogeneous loan types. In particular, during the 1990s boom, we...

We hypothesize and provide evidence that certain general characteristics of banks' loan securitizations accounted for as sales determine the extent to which banks retain the risks of the securitized loans. We show that banks retain more risk when: (1) the types of loans have higher and/or less...

Aiming to provide a confidence interval of the point estimate of reported accounting performance measures, uncertainty analysis disclosure is usually considered to contain valuable information (IASB, 2010; CFO Forum, 2009), However, little empirical evidence has been documented. As the first to...

This paper examines the impacts of two attributes of accounting recognition, i.e., nonlinearity and multi-period lags, on Basu (1997) measure of asymmetric timeliness. First, we predict and find that asymmetric timeliness is affected by nonlinear earnings responses and more pronounced when news...

In the wake of the 2008 financial crisis, bank behavior and banking supervision have been criticized, prompting a series of regulations, such as the Dodd–Frank Act and Basel III reforms. This study focuses on the periods before and after the 2008 financial crisis and examines whether the...

We examine the association between family firms, free cash flow and the long-term performance following share repurchase announcements. We find that family firms have better performance than non-family firms. We also find that free cash flow is positively associated with performance, and the...

What incentives do managers face that might give rise to inefficient investments in leases? If managers make inefficient investments in leases, what economic consequences arise for those managers and their firms? We develop a model of expected investments in leased assets and use the residuals...