Li, Dongdong; Shi, Fan; Wang, Kemin - In: China journal of accounting research : CJAR 13 (2020) 4, pp. 339-359
This paper studies Chinese firms’ earnings management strategy in response to the trade dispute investigations ….S.-initiated trade dispute investigations engage in more upward earnings management. Additionally, the result is more pronounced in firms …, investors react positively to the earnings management by the affected firms. Our results are robust to a variety of sensitivity …