Similar Search Results

The role of accounting in the German financial system

Leuz, Christian; Wüstemann, Jens - Center for Financial Studies - 2003

This chapter analyzes the role of financial accounting in the German financial system. It starts from the common perception that German accounting is rather uninformative. This characterization is appropriate from the perspective of an arms length or outside investor and when confined to the...

Persistent link: https://www.econbiz.de/10010986429

Mark-to-market accounting and liquidity pricing

Allen, Franklin; Carletti, Elena - Center for Financial Studies - 2006

When liquidity plays an important role as in times of financial crisis, asset prices in some markets may reflect the amount of liquidity available in the market rather than the future earning power of the asset. Mark-to-market accounting is not a desirable way to assess the solvency of a...

Persistent link: https://www.econbiz.de/10010986447

Accounting for Financial Instruments in the Banking Industry: Conclusions from a Simulation Model

Gebhardt, Günther; Reichardt, Rolf; Wittenbrink, Carsten - Center for Financial Studies - 2003

The paper analyses the effects of three sets of accounting rules for financial instruments - Old IAS before IAS 39 became effective, Current IAS or US GAAP, and the Full Fair Value (FFV) model proposed by the Joint Working Group (JWG) - on the financial statements of banks. We develop a...

Persistent link: https://www.econbiz.de/10010986482

Did fair-value accounting contribute to the financial crisis?

Laux, Christian; Leuz, Christian - Center for Financial Studies - 2009

The recent financial crisis has led to a major debate about fair-value accounting. Many critics have argued that fair-value accounting, often also called mark-to-market accounting, has significantly contributed to the financial crisis or, at least, exacerbated its severity. In this paper, we...

Persistent link: https://www.econbiz.de/10010958489

Disclosure, transparency, and market discipline

Freixas, Xavier; Laux, Christian - Center for Financial Studies - 2011

The aim of this paper is to examine what has been the role of information provision to the market throughout the crisis. We consider two main sources of information to the market, financial statements and information provided by credit rating agencies. We examine how these sources of information...

Persistent link: https://www.econbiz.de/10010958732

The crisis of fair value accounting: Making sense of the recent debate

Laux, Christian; Leuz, Christian - Center for Financial Studies - 2009

The recent financial crisis has led to a vigorous debate about the pros and cons of fair-value accounting (FVA). This debate presents a major challenge for FVA going forward and standard setters' push to extend FVA into other areas. In this article, we highlight four important issues as an...

Persistent link: https://www.econbiz.de/10010958757

Mark-to-Market Accounting and Liquidity Pricing

Allen, Franklin; Carletti, Elena - Center for Financial Studies - 2006

Persistent link: https://www.econbiz.de/10005022412

The Role of Accounting in the German Financial System

Leuz, Christian; Wüstemann, Jens - Center for Financial Studies - 2003

This chapter analyzes the role of financial accounting in the German financial system. It starts from the common perception that German accounting is rather "uninformative". This characterization is appropriate from the perspective of an arm’s length or outside investor and when confined to...

Persistent link: https://www.econbiz.de/10005120790

Trust, sociability and stock market participation

Georgarakos, Dimitris; Pasini, Giacomo - Center for Financial Studies - 2009

We investigate the effects of both trust and sociability for stock market participation, the role of which has been …, Ageing and Retirement in Europe supplemented with regional information on generalized trust from the World Value Survey and … on specific trust to financial institutions from Eurobarometer. We show that trust and sociability have distinct and …

Persistent link: https://www.econbiz.de/10010958583

Trust, trustworthiness and selection into the financial industry

Gill, Andrej; Heinz, Matthias; Schumacher, Heiner - Center for Financial Studies - 2014

We examine trust and trustworthiness of individuals with varying professional preferences and experiences. Our subjects … study business and economics in Frankfurt, the financial center of Germany and continental Europe. In the trust game … process. In a prediction game that is strategically equivalent to the trust game, the amount sent by first-movers was …

Persistent link: https://www.econbiz.de/10010958692