Purpose: The purpose of this paper is to examine whether and how product market relationships are related to firms’ real activities manipulation (RAM), which refers to managers’ aggressive operating practices. Given the importance of suppliers’ relationship-specific investments to a...

Purpose: The purpose of this paper is to examine the relation between executive compensation of peer firms and earnings management. Given the prevalence of the competitive benchmarking practice in executive compensation, chief executive officer (CEO) compensation of potential peer firms can...

This paper examines the relationship of financial reporting to corporate innovation. Given the importance of a high-quality information system and coordination to innovation, I predict a positive association between financial reporting quality and future innovation. My empirical evidence is...

Prior research provides evidence consistent with managers using real earnings management (REM) to increase earnings. This study examines whether short sellers exploit the overvaluation of firms employing REM. I find that firms with more REM have higher subsequent short interest. The positive...