We examine the effect of uncertainty shocks on the level of fiscal guidance – the guidance issued by governments on the expected evolution of the fiscal and economic outlook. Because uncertainty makes governments’ expectations less precise but potentially more valuable to users, we...

We study the role of institutional environment in shaping firms' accounting choices as banking sector conditions worsen and their subsequent effect on the use of equity financing as an alternative source of financing (the “spare tire” effect). Using a sample of firms from five European...

In a model of repeated Cournot competition under complete information, we show that delegation has no effect on cartel stability if managers collude, while it may hinder cartel stability when owners collude in setting the incentive schemes. If owners can choose whether to delegate or keep...