We suggest a full consolidation approach that takes into account the property rights structure within the subsidiaries, in particular, the majority requirements on restructurings. Our approach employs a property rights index based on cooperative game theory

We suggest a full consolidation approach that takes into account the property rights structure whithin the subsidiaries, in particular, the majority requirements on restructurings. Our approach employs a property rights index based on cooperative game theory.

We investigate the association between public versus private ownership and future long-term changes in profitability. Managers have long debated the implications of public and private corporate ownership; however, little empirical research has provided insight into the issue. We find robust...

We revisit evidence whether incentives or IFRS drive earnings quality changes, analyzing a large sample of German firms in the period from 1998 to 2008. Consistent with previous studies we find that voluntary and mandatory adopters differ distinctively in terms of essential firm characteristics...

This study examines how the means of disseminating proxy statements affects shareholder monitoring. I exploit the staggered implementation of a regulatory change that allows firms to switch from postal mail to electronic distribution, and estimate that electronic dissemination reduces total...

Income smoothing is a longstanding practice under the more general category of earnings management. As the name suggests, it consists of smoothing out the fluctuations of the income series. This article examines the association between the ownership and control structure, level of corporate...

We present empirical evidence that firms inflate earnings around seasoned equity offerings in the presence of large outsider blockholdings, but not in their absence. The finding is robust to several alternative explanations, including differences in firm characteristics, growth, performance, CEO...

We analyze 228 executive compensation contracts voluntarily disclosed by Chinese listed firms and find that central-government-controlled companies disclose more information in executive compensation contracts than local-government-controlled and non-government-controlled companies. Cash-based...

Family control is a common phenomenon among listed corporations in the Indonesian capital market. In family-controlled firms, the so-called “Agency Problem II” may arise due to differences of interests between the controlling shareholder and minority shareholders. Firms may choose certain...

Focusing on an environment where ownership concentration is prevalent and where sustainability disclosure is not a new phenomenon, we show that communication via social responsibility reporting has a positive effect on earnings informativeness. Moreover, this positive effect is greater as the...