We examine a comprehensive set of investigations by SEC Division of Enforcement offices to provide evidence on the consequences of busyness on the formal investigation process. Our evidence suggests that higher office case backlog decreases the likelihood of investigation initiation. Consistent...

Research on the credit rating process has primarily focused on how rating agencies incorporate firm characteristics into their rating opinions. We contribute to this literature by examining the impact of managerial ability on the credit rating process. Given debt market participants' interest in...

Research on the credit rating process has primarily focused on how rating agencies incorporate firm characteristics into their rating opinions. We contribute to this literature by examining the impact of managerial ability on the credit rating process. Given debt market participants' interest in...

We propose a new measure of readability, the Bog Index, which captures the plain English attributes of disclosure (e.g., active voice, fewer hidden verbs, etc.). We validate this measure using a series of controlled experiments and an archival-based regulatory intervention to prospectus filing...

We provide the first evidence of systematic bias among an emerging type of credit rating agency that relies on subscriptions from institutional clients as its primary source of revenue. Using data on Egan-Jones (EJR) ratings, a subscriber-paid rating agency, we show that EJR issues more...