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This paper provides further empirical evidence on the relationship between taxes and financial reporting by focusing on accounting decisions to write-offs equity investments. The analysis is based on panel data for Italian companies. In the period 1998-2006 the Italian corporate income tax has...
Persistent link: https://www.econbiz.de/10013135525
Asymmetric persistence of accounting income is often tested in a regression of changes in earnings on lagged changes in earnings, including an interaction term for negative changes (see Basu [1997] or Ball et al. [2009] for a recent overview). In this note we propose an alternative, but closely...
Persistent link: https://www.econbiz.de/10013147269
A strictly risk-averse manager makes joint decisions on a firm's tax payments and book profit declarations according to accounting standards. It is analysed how the incentives to overpay or evade taxes and to inflate book profits are influenced by (1) the composition of the manager's...
Persistent link: https://www.econbiz.de/10013316588
constitutional reforms. In a setting where lawmakers interact with a lobby through a bargaining process and with voters by means of … elections, we show that when time constraints are binding, bicameralism might lead to a decline in the legislator's bargaining …
Persistent link: https://www.econbiz.de/10004979403
We experimentally investigate a bargaining environment in which players negotiate over a fixed payment to one player …. Moreover, bargaining frictions increase as risk increases, and we document more frequent disagreements as risk increases. When … bargaining models require some separation between the determinants of bargaining power and fair compensation for risk exposure. …
Persistent link: https://www.econbiz.de/10011086455
show that a profit tax and a transaction tax have opposite implications for equilibrium outcome in bargaining. A marginal …
Persistent link: https://www.econbiz.de/10011120474
additional bargaining power. Negotiating as a group may also cause more inefficiencies due to bargaining failure, and this may …
Persistent link: https://www.econbiz.de/10010877880
In a recent paper Konrad and Thum (2014) present a model that shows that unilateral pre-commitment reduces the likelihood of agreement in bilateral negotiations over the provision of a public good when parties have private information over their contribution costs. We test the model in a...
Persistent link: https://www.econbiz.de/10010877951
We consider a bargaining model in which husband and wife decide on the allocation of time and disposable income. Since … her bargaining power would go down otherwise more strongly, the wife agrees to have a child only if the husband also …
Persistent link: https://www.econbiz.de/10010948876
and competitiveness? To answer these questions, we formulate a theoretical model of wage bargaining in an open economy and …
Persistent link: https://www.econbiz.de/10005094255