We explore the association between a company's investments and the tone of its peers' MD&A disclosures; we ask whether the direction and the strength of this association is affected by product market competition. We find that the direction of the association can differ according to whether...

This study analyzes whether the tone of financial disclosures affects corporate investments, using texts released by firms that publicly announce restatements of their financial reports. We argue that the tone of restatement texts provides news about restating firms' private information...

We show that a firm's investments are associated with the qualitative content of its rivals' Management Discussion and Analysis (MD&A) disclosures: a firm invests more when its rivals' MD&A disclosures are more optimistic. We also find that the sensitivity of a firm's investments to its rivals'...

We explore whether disclosures in the Management Discussion & Analysis (MD&A) have spillover effects for investment and investment efficiency, and whether spillover effects vary with competition. We focus on the tone of MD&A disclosures and document that the association between a ompany's...