We investigate the effect of financial statement comparability on banks' earnings smoothing behavior through loan-loss provisioning. Financial statement comparability makes information about peers accessible to outside investors and, thereby, improves transparency and the information...

This study examines the effects of the economic cycle on the properties of management earnings forecasts. Using management forecast data from First Call and the NBER business cycle measure, we document that economic recession is positively associated with forecast frequency and forecast error...

Organization's environmental uncertainty induces greater variability in reported earnings, and accentuates the information asymmetry between managers and outside stakeholders. Managers have the incentives to reduce such variability via income smoothing and hence reduce information asymmetry for...

Purpose – This paper seeks to examine the predictive ability of disaggregated earnings in forecasting future profitability conditional on keiretsu affiliation in the context of Japan. Design/methodology/approach – Industry-adjusted future profitability measure is regressed on current...