This paper analyzes two notions of compliance, 'compliance in letter' and 'compliance in spirit', using data on Board and Audit Committee meetings in India under its Clause 49 corporate governance regulations. The analysis is based on the sample of top 500 companies listed on the country's...

Cohen et al. (2008) document that firms switched from accrual-based earnings management (AEM) to real earnings management (REM) within three years after passage of the Sarbanes-Oxley Act (SOX) in 2002. A remaining question is how so many firms could have made the transition from one accounting...

This paper analyzes two notions of compliance, ‘compliance in letter' and ‘compliance in spirit', using data on Board and Audit Committee meetings from India under its Clause 49 corporate governance regulations. The analysis is based on the sample of top 500 companies listed on the country's...

Prior research documents how companies often rely on their own limited networks when searching for new directors. In this study, we ask the following question: How does audit committee (AC) selection differ if a machine makes audit committee (AC) appointments? Using a large dataset of potential...

We examine the role of Chief Executive Officer (CEO) power in the selection of accounting financial experts (AFEs) to audit committees. Our results show that firms with powerful CEOs have a lower likelihood of appointing AFEs to the audit committee. Furthermore, firms with powerful CEOs are less...

Audit committee (AC) disclosures are important for stakeholders seeking to evaluate and hold ACs accountable. Despite a wave of heightened attention in the past decade, disclosure changes have tapered off in recent years and are slow to incorporate the AC’s expanding set of oversight...

Motivated by agency theory and arguments from linguistic studies, we argue in this paper the internationalization of a firm's audit committee to be associated with weaker firm-level corporate governance. Based on 2,015 publicly traded European firms from 16 countries over 2000-2018, we find the...

CEO power can influence a CEO's incentives to disclose information, in turn affecting the information environment. Audit committees can also affect the information environment, because they serve as the watchdog for financial reporting quality and the audit process. Thus, our research explores...

Motivated by agency theory and arguments from linguistic studies, we argue in this paper the internationalization of a firm’s audit committee to be associated with weaker firm-level corporate governance. Based on 2,015 publicly traded European firms from 16 countries over 2000-2018, we find...

Although prior research has claimed that audit committees with more expertise secure better auditors and enjoy higher quality earnings, a deeper understanding of this premise compels consideration of the factors that less-expert audit committees consider when choosing auditors if indeed they are...