Family control is a common phenomenon among listed corporations in the Indonesian capital market. In family-controlled firms, the so-called “Agency Problem II” may arise due to differences of interests between the controlling shareholder and minority shareholders. Firms may choose certain...

This paper examines the relation between investor protection and real earnings management. We build on the work of La Porta et al. (2000), who found that countries with different legal systems protect investors differently. Using a sample of more than 13,000 unique firms in over 54 countries,...

Boards of directors are frequently criticized for their lack of monitoring in executive decision making. Increasing board effort to reduce information asymmetry between executives and shareholders is commonly viewed as desirable. This study challenges this common view by demonstrating that...

This paper examines the extent to which the audit and corporate governance characteristics of UK private companies are associated with defective accounting information. Despite the economic importance of private firms, relatively little is known about their financial reporting and governance...

We investigate the relation between managerial share ownership (MSO) and earnings as a measure of operating performance in Australia. To mitigate potential earnings management, we also use discretionary accrual adjusted earnings as an alternative measure of performance. We document a negative...

Compensation committees face special difficulties when setting pay in the last years of a CEO's tenure. For example, incentives to manipulate earnings for the purpose of enhancing earnings-based compensation are greater in CEOs' terminal years. We predict that compensation committees are aware...

Using information accompanying the audit committee (AC) member voting recommendations of a proxy advisory service, we examine the circumstances that condition when and why ineffective AC members experience subsequent turnover from the board of directors. We broadly classify the sources of...

Executive compensation practices suppose to influence the motivational level of the employees and hence affect the organizational performance. The study examines to explore how the executive compensation practices by the Bangladeshi companies affect the corporate performance. The study is...

Directors from academia served on the boards of around 40% of S&P 1,500 firms over the 1998–2011 period. This paper investigates the effects of academic directors on corporate governance and firm performance. We find that companies with directors from academia are associated with higher...

This paper investigates whether and how financial restatements affect the market for corporate control. We show that firms that recently filed financial restatements are significantly less likely to become takeover targets than a propensity score-matched sample of non-restating firms. For those...