In choosing transparency, firms must trade off the benefits from better access to finance against the cost of a greater … model’s predictions: First, transparency is negatively correlated with tax pressure, particularly in sectors where firms are … less dependent on external finance. Second, financial development enhances the positive effect of transparency on …

In choosing transparency, firms must trade off the benefits from better access to finance against the cost of a greater … model’s predictions: First, investment and access to finance are positively correlated with accounting transparency …, especially in firms that depend more on external finance, and are negatively correlated with tax pressure. Second, transparency …

externality: if speculators refrain from trading, hedgers do the same, depressing the asset price. Market transparency reinforces … disclosure of fundamentals and trading transparency. Issuers may either under- or over-provide information compared to the …

of transparency is inefficiently low if the social value of secondary market liquidity exceeds its private value. We … analyze various types of public intervention — mandatory transparency standards, provision of liquidity to distressed banks or … secondary market price support — and find that they have quite different welfare implications. Finally, transparency is greater …

externality: if speculators refrain from trading, hedgers do the same, depressing the asset price. Market transparency reinforces … disclosure of fundamentals and trading transparency. Issuers may either under- or over-provide information compared to the …