We study the impact of short sales on accrual-based and real earnings management (EM). Based on the costs and benefits of using EM to hide negative information, we derive an analytical model showing that there are two possibilities: 1) a firm engages in less accrual-based and real EM when facing...

Using hand-collected data on the signature size of managers among Chinese initial public offerings (IPOs) from 2007 to 2019 to proxy for managerial narcissism, we examine how IPOs with narcissistic managers (narcissistic IPOs) impact IPO underpricing. The findings suggest that narcissistic IPOs...