This study examines whether introduction of fixed-price regulation influences firms to increase the elasticity of their cost structures and to reduce the asymmetric behavior of cost in response to changes in volume. It also examines variations in the extent of such responses arising from...

Prior accounting studies on relative performance information (RPI) have mainly considered the effects of RPI on employees’ performance. This study extends this stream of research by investigating relational effects of RPI that capture RPI recipients’ attitudes towards RPI provision....