In this study, we examine the impact of conditional conservatism on audit fees and, more importantly, the influence of corporate governance on this relationship. Prior literature presents evidence regarding explanations for the existence and pervasiveness of accounting conservatism such as...

We examine the impact of Regulation Fair Disclosure (RFD) on transient institutional investors' abnormal trading behavior around accounting Restatements before and after RFD. We find that while before RFD, transient institutional investors exhibit abnormal selling of stocks in restating firms...

Prior studies challenge the practical usefulness of Markowitz portfolio optimization in improving the return-risk tradeoff in portfolio management. We approach this question from a unique angle by examining whether one can improve the performance of a large sample of actual mutual fund...

Market-based pollution control mechanisms such as pollution levy and cap and trade have received increasing attention from both academics and practitioners. A good understanding of the optimal pollution price under these mechanisms is a premise for regulators to make sound pollution control...

Using brokerage mergers and closures as natural experiments, we examine how exogenous changes in the information environment affect a firm's choice between bank debt and public debt. Our difference-in-differences approach shows that exogenous increases in information asymmetry lead firms to...

We examine the impact of conference call tones on the direction and magnitude of subsequent manager trades. Our univariate results show that corporate insiders buy company shares following negative-tone conference calls, and sell shares following positive-tone conference calls. This inverse call...