This study develops an empirical proxy for the quality of segment reporting from data in corporate annual reports, and provides evidence that financial markets price the quality of segment reporting as systematic (non-diversifiable) risk. Lower segment information quality is associated with...

This study analyzes the impacts of information on relative performance evaluations and the efficiency of accounting information systems for agencies in which multiple agents individually exert efforts confronting correlated uncertainties. When a public signal provides garbled information of an...