In this paper, we examine the effect of managers’ pay duration on firms’ voluntary disclosures. Pay duration refers to the average period that it takes for managers’ annual compensation to vest. We hypothesize and find that pay duration can incentivize managers to provide more bad news earnings forecasts. This result holds after controlling for the level of stock-based compensation and the endo...

Using panel data from a large sample of Canadian establishments, this paper examines whether there is any link between adoption of an employee profit sharing plan and subsequent employee earnings. Overall, growth in employee earnings during the three-year period subsequent to adoption of profit sharing did not differ significantly between establishments that had or had not adopted profit sharin...

Purpose – The purpose of this paper is to add to our understanding of the monitoring role of multiple large shareholders by examining their impact on the informativeness of firms’ earnings. Design/methodology/approach – We use regression models that relate earnings to stock returns for a sample of 402 French publicly traded firms covered during 2003-2007. Findings – We show that earnings inform...

How Does Education Affect the Earnings Distribution in Urban China? China’s phenomenal growth is accompanied by both relatively low level of standards of living and high inequality. It is widely believe that investing in education could be an effective strategy to promote higher standards of living as well as to reduce inequality. However, little is known about whether this belief is empiricall...

the aim of this study is to determine the effect of the income smoothing on the future earnings response coefficient taking into account the effect of the information environment. future earnings response coefficient is used as a measure for evaluation of stock price information content which represents the relationship between current stock returns and future earnings. information environment ...

information asymmetry in stock market can increase the risk of investment which in turn increases the capital cost of firms. bhattacharya (1979) proposed a hypothesis that states dividend can act as a powerful signal in order to solve information asymmetry problem. we measured information asymmetry by lack of earnings transparency. therefore we examine the effect of earnings transparency on cap...

earnings. For example, a sibling study found that those with poor health in childhood had 24 percent lower earnings than their healthier siblings. Second, child health can affect schooling and cognitive achievement, which can in turn affect income. For example, a study of the effects of the eradication of hookworm disease in the American south in the early 1900s found large increases in educati...

The purpose of this paper is to analyse the predictability earnings information before quarterly disclosure date. Two categories firms are contrasted: that announce better quart...

Social Security Disability Insurance beneficiaries undergo periodic medical reviews to determine if they continue to be eligible for disability benefits. We examine how these reviews affect beneficiary well-being by using administrative data to track the earnings of beneficiaries for up to 5 years after their reviews. We estimate that a sizeable percentage of beneficiaries would work if their b...

This study investigates how corporate governance characteristics affect earnings management of firms in Vietnam. In particular, we examine whether firm’s use of discretionary accruals is influenced by board size, state ownership and foreign ownership. Our empirical analysis is based on a relatively large sample of 570 non-financial Vietnamese listed firms from 2010 to 2014. We find that larger ...