BAGNOLI, MARK; WATTS, SUSAN G. - In: Journal of Accounting Research 45 (2007) 5, pp. 885-913
<heading id="h1" level="1" implicit="yes" format="display">ABSTRACT</heading>A standard result in the voluntary disclosure literature is that when the manager's private information is a signal correlated with the firm's liquidation value, mandatory disclosures substitute for voluntary disclosures. In this paper, we assume that the manager's private information...