Using novel receivable-based-loan data, we study the effect of aging-report loan covenants on borrowers' accounts receivable reporting quality. Our purpose is to highlight a channel that lenders use to obtain private information and to understand whether lenders' information acquisition affects...

Using novel receivable-based-loan data, we study the effect of aging-report loan covenants on borrowers' accounts receivable reporting quality. Our purpose is to highlight a channel that lenders use to obtain private information and to understand whether lenders' information acquisition affects...

We study how statutory-law changes relate to disclosure, pricing, and liquidity in the used-car market. Federal odometer laws mandated disclosure of mileage on car titles upon ownership transfer and thereby enhanced enforcement of odometer-fraud prohibitions. Exploiting time variations in state...

We view audit‐quality choice as one among many that managers make to maximize firm value. We question whether audit‐quality differences among publicly traded companies are of significant interest to investors, clients, and auditors and ask for research on this topic. Relatedly, we ask for...

We examine the relation between bank holdings of mortgage-backed securities (MBS) and MBS prices. Theory suggests feedback between MBS holdings and underlying asset markets can be aggravated by mark-to-market accounting. We measure feedback by the relation between asset returns and the changes...

The 2012 JOBS Act increases the deregistration threshold for banks from 300 to 1200 shareholders of record. Our purpose is to understand whether the banks' deregistration decision reflects an effort by slow growing banks to reduce excess compliance costs and/or whether the decision is associated...

We examine the relation between accounting conservatism and creditor recovery rates for firms in default. We also test the link between conservatism and the length of distress resolution proceedings. We find creditors of firms with more conservative accounting prior to default have significantly...

We study the market reaction to events leading up to and including the release of the SEC’s Proposed Mandatory Climate Risk Disclosures in firms’ financial statements. Our goal is to evaluate whether investors benefit from this proposal. We find the market, on average, does not react to...