We investigate the governance effect of ownership structure on real earnings management (REM). Using a large sample of Chinese listed firms from 2003 to 2010, we provide empirical evidence that ownership structure significantly affects the level of REM. We find that the level of REM is...

By using a dataset containing over 1,200 Chinese non-listed firms, this study examines the corporate governance of privatized firms. Based on the summary statistics for 22 governance structures, I find that privatized domestic private firms have set up stronger governance than domestic private...

In this paper we examine the effect of excess control rights on the leverage decisions of Chinese non-SOEs before and after the reforms of non-tradable shares. We identify that both inter-corporate loans and related party transactions are channels through which controlling shareholders...

Using a large panel of Chinese listed companies over the period 2004-2010, we document that both export propensity and intensity increase with managerial ownership up to a point of around 23%-27%, and decrease thereafter. In addition, we find a negative association between state ownership and...

Innovation activities create substantial firm value, but they are difficult to manage owing to agency risk which is commonly thought to result in shirking, hence underinvestment in innovation. However, agency risk can also create inefficient allocation of resources among innovation activities,...