We provide empirical evidence that managers smooth earnings using discretionary R&D spending (i.e., real smoothing …

negative effect on profit. Overconfidence, on the contrary, reduces incentive pay as shown by the previous literature, while …We analyze the effects of optimism and overconfidence when the manager's compensation package includes severance pay … its effect on severance pay depends on the intensity of the bias. High values of overconfidence yield an inefficient level …

managers, their contribution may be dependent on other corporate governance mechanisms, e.g. board composition, as significant …

overconfidence and compensation incentives induced risk-taking, and the impact on accrualbased earnings management (AEM) and real … earnings management (REM). The study results show that overconfident managers are more likely to adopt REM than AEM … interaction dummy between overconfidence and Delta risk-taking, and interaction dummy between overconfidence and Vega risk …