Xu, Nianhang; Li, Xiaorong; Yuan, Qingbo; Chan, Kam C. - In: Journal of Corporate Finance 25 (2014) C, pp. 419-434
We investigate the impact of excess perk consumption on crash risk in state-owned enterprises in China. To enjoy excess perks, executives in state-owned enterprises have an incentive to withhold bad news for extended periods, leading to higher future stock price crash risk. Consistent with this...