Global tax enforcement has received increased attention since the Financial Crisis, with much stated focus on curbing perceived harmful tax practices of multinational entities. Yet multinationals can avoid tax in multiple countries whereas domestic firms cannot. We therefore examine whether...

We exploit survey data from the Panel Study of Entrepreneurial Dynamics to investigate the roleof accounting in the likelihood that a small business more quickly achieves and maintains positiveoperating cash flow (profitability). We examine several potential aspects of accounting includingthe...

This study examines the role of effective control systems in capturing corporate innovation. Although we expect effective control systems to improve information flows within the firm by allowing managers to better identify and patent their most valuable intellectual property, a priori this...

We use data on individual investors' stock holdings and retail trades to investigate whether corporate tax avoidance affects the willingness of individual investors to own stock. Consistent with corporate tax avoidance increasing the perceived risk of owning stock and the costs of processing...

Economic theory suggests that tax-favored strategies attract investment, and this increased investment demand offsets tax benefits through lower pre-tax returns (i.e., implicit taxes). We propose that aggressive strategies that generate uncertain tax benefits have lower demand due to both the...