The key proposition of the paper lies in the treatment of financial statements as a matrix of endogenous information codetermined by double entry. To account for the highly structured information set in econometric estimation, we develop a generalised structural system for use with accounting...

Purpose – Prior accounting research views impression management predominantly though the lens of economics. Drawing on social psychology research we provide an alternative perspective on corporate annual narrative reporting as characterised by conditions of ‘ex post accountability' (Aerts,...

This study focuses on the relation between the cost of equity capital and earnings expectations when the properties of accounting that determine earnings vary across different regulatory regimes. More particularly, it addresses the European setting where different types of GAAP regime have...

This study examines the interactive influence of corporate ownership, corporate governance and investor protection on the incorporation of current value shocks in the accounting earnings of European companies. This influence is investigated not only by means of the association between current...

Individuals often face financial incentives that challenge their desire to behave hon- estly. Strategically making excuses to justify dishonesty allows them to give in to the temptation of financial benefit and retain their moral self-image. In the context of insurance underwriting, the stakes...