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on Accounting and Auditing |
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Issue of 2022‒10‒03
five papers chosen by |
| By: | Van der Stede, Wim |
| Abstract: | Creativity and innovation have been identified by senior executives as some of the most desired characteristics of corporate culture. Accordingly, managers strive to build these cultures within their organizations. However, research in psychology suggests that these attempts may have unintended negative consequences. In this study, I predict and find that managers in a more (versus less) innovative company culture will engage in higher levels of real earnings management (REM). I then test two construal level theory (CLT)-based interventions designed to reduce REM. As I predict, I find that in more innovative corporate cultures an intervention that makes downside risk more salient reduces REM, but an intervention that encourages managers to consider the “big-picture” impact of their decision reduces REM to a greater extent. Unexpectedly, I also find that the effect of the “big-picture” intervention reverses in a less innovative corporate culture leading to an increase in REM. My findings contribute to the emerging accounting literature regarding REM. I also extend the psychology literature investigating the link between opportunistic behavior and creativity, and I also expand research into how interventions based on CLT can affect judgment and decision making in an accounting context. |
| JEL: | M40 R14 J01 |
| Date: | 2021–01–07 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:104088&r= |
| By: | Pedro Humberto Bruno de Carvalho Junior (IPC-IG) |
| Keywords: | tax reform; OECD; Brazil |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:ipc:wpaper:195&r= |
| By: | Patricia Zobel |
| Abstract: | Remarks at the Cato Institute’s 40th Annual Monetary Conference (delivered via videoconference). |
| Keywords: | Federal funds rate; Federal Open Market Committee; Open market operations; Federal Reserve monetary policy |
| Date: | 2022–09–08 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fednsp:94753&r= |
| By: | Pedro Humberto Bruno de Carvalho Junior (IPC-IG) |
| Keywords: | tax reform; OECD; Brazil |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:ipc:opager:522&r= |
| By: | Nicolas Crouzet; Janice C. Eberly; Andrea L. Eisfeldt; Dimitris Papanikolaou |
| Abstract: | We propose a model that starts from the premise that intangible capital needs to be stored on some medium --- software, patents, essential employees --- before it can be utilized in production. Storage implies that intangible capital may be partially non-rival within the firm, leading to scale economies. However, storage can also compromise the ability of the firm to fully appropriate the returns generated by intangibles. We explore the implications of these two mechanisms for firm scale, scope, and investment decisions, and we outline their connection to recent macroeconomic and financial trends in the US. |
| JEL: | E01 E22 G11 G31 O34 |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:30376&r= |