This study considers the influence of Dutch governance structures on the informativeness of reported unexpected changes in provisions. Characteristics of the corporate governance system in the Netherlands provide a unique opportunity to investigate the influence of characteristics of the governance system on market reactions to financial disclosures. This governance system allows a distinction ...

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...

We analyze the ability of earnings and non-earnings performance metrics to explain stock returns for industries where we identify, ex ante, an allegedly preferred (for valuation purposes) performance metric. We identify three industries each where earnings before interest, taxes, depreciation and amortization (EBITDA) and cash from operations are preferred, and three industries where specific n...

full, on-time, and with quality disclosure of financial information can lead to the transparency of such information and decreases information asymmetry. among the published information of firms, earnings are of priority importance attended by many users; therefore, the issue of the transparency of accounting earnings is of high importance. the aim of this study is investigating the accounting ...

Regulators’ interest in analyst recommendations stems from the belief that small investors are unaware of the conflicts sell-side analysts face and may, as a consequence, be misled into making suboptimal investment decisions. We examine who trades on security analyst stock recommendations by extending prior research to focus on investor-specific responses to revisions. We find that both large a...

Language comprehenders make a wide variety of pragmatic inferences to determine the meaning of ambiguous utterances in context. These inferences are affected by both the informativeness of the alternative messages with respect to an interpretation and the relevance of potential interpretations within the context (Grice, 1975). We use simple referential games to explore the interaction of these ...

This paper examines the differences in accrual-based and real earnings management across countries from the perspective of investor protection. Following prior research (Leuz et al., 2003), we hypothesize that accrual-based earnings management is more constrained by strict discipline in countries with stronger investor protection. For real earnings management in countries with stronger investor...

Human languages carve the world into category systems that are highly informative (e.g. Kemp & Regier, 2012)—but how do such systems develop? One possibility is that these systems result from the process of cultural transmission. Xu, Dowman, and Griffiths (2013) showed that human simulation of cultural transmission in the lab creates systems of categories that converge toward those in natural l...

People often issue informational queries to search engines to find out more about some entities or events. While a Wikipedia-like summary would be an ideal answer to such queries, not all queries have a corresponding Wikipedia entry. In this work we propose to study query-oriented keyphrase extraction, which can be used to assist search results summarization. We propose a general method for key...

We examined rates of informativeness in the production of modifications in response to a visual contrast In a video description task with speakers of Yucatec Maya. We analyzed modifications of referring expressions on the part of a speaker, and we also examined the effect of overand underinformativeness on the listener’s comprehension. We found that prior experience with difficult comprehension...