forecast errors and accruals, which we label “managers' accrual-related forecast bias.” We build on extensive research which … bias in their forecasts. We also find a substantial decline in managers' accrual-related forecast bias following the … importantly, we find that the effect of forecasting difficulty on managers' accrual-related forecast bias occurs only in the pre …

This paper provides evidence of confirmation bias by sell-side analysts in their earnings forecasts. We show that … analysts tend to put higher weight on public information when the current forecast consensus is more consistent with their … earlier, or facing less dispersion in peer forecasts, tend to be more subject to confirmation bias, consistent with some of …

We examine the role that political-economic factors play in shaping financial analyst bias using a series of scheduled …, provincial politicians have stronger incentives to bias analyst opinions toward optimism. Consistent with this intuition, we …

of forecast bias and (ii) investors' limited capability to adjust to this bias. We assume that the presence of a bias is … skills, all the more so the larger the uncertainty about the forecast bias … present a model in which forecast accuracy and timing are affected by information uncertainty stemming from (i) the presence …

known biases in management's earnings forecasts when the information about bias is in quantitative, EPS form and the … investor's judgment is compatible with that bias information (also in quantitative, EPS form). Results from three experiments … suggest that quantification and compatibility are beneficial for unraveling managerial bias, but not all investors unravel …

in the reputation costs observed after a restatement, such that managers only reduce future bias if the observed cost of … rational managers engage in misreporting, in spite of the costly consequences. We present a simple extension to the Fischer and … reporting bias. In our model, the observed cost of a restatement conveys information to the manager about the true reputation …

analytically-based assessment of credibility of management forecast disclosure in market and regulated settings. While credibility … forecast credibility. Key findings imply that ex ante approaches, including audit and tort liability in general, as well as … partly verifiable disclosures supplementing the forecast and safe harbour provisions in particular can contribute to forecast …