Contrary to the mixed evidence reported in prior studies that utilize volume-based metrics to examine the effect of taxes on short-term (Bolster et al., 1989; Henderson, 1990) and long-term (Henderson, 1990; Ricketts and Walter, 1997) trading activity, this study finds strong evidence that individual...

This study examines the use of linear regressions that include interaction terms, finding frequent interpretation errors in published accounting research. We provide insights on how to estimate, interpret, and present interactive regression models, and explain seldom-used but easily-implemented...

This paper presents a model of optimal tax-motivated intertemporal income shifting given a quadratic cost function that relates the costs associated with shifting income to the amount of income shifted. By formally modeling the income shifting decision, we: (1) show how parameter estimates of...