We examine the relation between firms’ prior acquisition experience and subsequent acquisition performance. Based on our sample firms’ complete acquisition histories, we find that acquirers with prior experience in the target industry perform better in subsequent diversifying acquisitions,...

Purpose: This study explores the relation among U.S. audit partners’ characteristics, their career advancement, and audit quality.Design/methodology/approach: This study uses data from PCAOB Form AP and publicly available online data sources. The hand-collected data on audit partners’...

This paper studies the effects of international coordination failure on resource allocations. Employing the U.S. withdrawal from the 2015 Paris Agreement as an experiment, we find that U.S. polluting firms increase their emissions and receive bank financing at lower costs after the sudden...

We study the determinants of losses and their increased frequency over time to understand their implications for the use of financial statements in valuation. We find the properties of losses change between 1971-2000 both in terms of the cash flow and accruals components. Departing from prior...

We study the determinants of losses and their increased frequency over time to understand their implications for the use of financial statements in valuation. We find the properties of losses change between 1971-2000 both in terms of the cash flow and accruals components. Departing from prior...

We use a dataset of sell-side analysts' scenario-based valuation estimates to examine whether analysts reliably assess the risk surrounding a firm's fundamental value. We find that the spread in analysts' state-contingent valuations captures the riskiness of operations and predicts the absolute...

We study the dynamic transmission of monetary policy shocks into firm profitability. By gauging the net effect of consumers’ and managers’ responses to these shocks, we find an initial negative association between the shocks and firm revenues and expenses. The revenue response is consistent...