The aim of this paper is to explain relationship between earning management, corporate governance and managerial optimism through the governance characteristics that are board of directors such as independence, duality and size and ownership structure such as managerial participation, block...

Top executives of the parent company often take positions as the directors and officers (D&Os) of subsidiaries. These parent-subsidiary common D&Os have better access to subsidiary information and can exert more influence over subsidiary operations. Therefore they can better identify tax...

We provide a lower-bound estimate of the undetected share of corporate fraud. To identify the hidden part of the "iceberg," we exploit Arthur Andersen's demise, which triggered added scrutiny on Arthur Andersen's former clients and thereby increased the detection likelihood of preexisting...

“Modern” accounting adheres to 15th century conventions in maintaining that corporate stock repurchases never result in a profit or loss for a firm. In actual practice, however, few purely financial decisions rival stock repurchases in their bearing on the well-being of shareholders. Because...

Research QuestionThis study investigates how and to what extent country‐level institutional characteristics, firm‐ and independent director‐level risk and responsibilities are related to independent director compensation, in terms of amount and design.Research findings/InsightsUsing an...

Prior research suggests that the disclosure of greenhouse gas (GHG) emissions—a primary cause of climate change—affects firm valuation. In this paper, we provide new insights into the determinants of the voluntary disclosure of GHG emissions. We show that board ancestral diversity has a...

Traditionally, the Latin model of corporate governance had been a predominant model in some countries; however, this model is increasingly becoming out of fashion. Using a database of Portuguese and Brazilian firms, we investigated whether the Latin model performs worse than other models (i.e....

This paper investigates the differential impact of positive and negative excessive managerial entrenchment on the CEO turnover-performance sensitivity, CEO compensation, and firm performance. We measure the degree of managerial entrenchment using the E-index introduced by Bebchuk et al. (2009)....

This paper explores whether Chinese capital providers can benefit from the integrated reporting (IR) approach. Using a sample of 7168 observations selected from 1169 firms listed in China between 2006 and 2019, we examine the relation between the integration level of ESG disclosures and firm...

In an environment with poor quality of Corporate Governance Mechanisms, the quality of directors’ attributes might exert an important role to improve firm’s value and performance. I developed an index to explore the quality of Board of Directors based on Brazilian and international corporate...