We analyse in detail conservative accounting practices in seventeen European countries, taking into account institutional factors. In addition, we examine the impact of IFRS adoption and the influence of changes in economic conditions on conditional conservatism. Specifically, we study the level...

This research explores the impact of both company profitability and economic situation on the degree of future orientation in company reporting and the textual emphasis within forward-looking statements (company-external vs. company-specific prospective information). To this end, the annual...

We establish two channels for the flow of macroeconomic information from accounting earnings to the macroeconomy: a persistence channel via changes in accounting earnings before special items and a conservatism channel via recognition of special items. Prior studies using aggregate accounting...