Financial Reporting Incentives for Conservative Accounting: The Influence of Legal and Political Institutions

By Robert M. Bushman, Joseph D. Piotroski. 2005

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View Paper: https://www.semanticscholar.org/paper/4a72650b986a9dd71d52d263449036736eee4821

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Citations in the corpus

Earnings Management within Multinational Corporations (2018, background): “Prior studies show how capital market incentives and differences in the quality of country institutions affect listed firms’ earnings management decisions (e.g., Ball et al., 2000; Leuz et al., 2003; Bushman and Piotroski, 2006).”
Earnings Quality at Initial Public Offerings (2006, neutral): “3For example: Ali and Hwang (2000), Ball et al. (2000, 2003, 2008), Leuz (2003), Leuz et al. (2003), Bushman et al. (2004, 2006), Bushman and Piotroski (2006), and Leuz and Oberholzer (2006).”
Differences between domestic accounting standards and IAS: measurement, determinants and implications (2005, background): “In previous literature, a country’s legal system is often used as a proxy for shareholder protection (Ball et al., 2000; Hung, 2001; Ball et al., 2003; Hope, 2003a; Pincus et al., 2003; Bushman and Piotroski, 2006).”
Formal Participation in the IASB's Due Process of Standard Setting: A Multi-issue/Multi-period Analysis (2012, background): “Country differences are driven by institutional characteristics (Ball et al., 2000; Bushman and Piotroski, 2006).”
Compliance with IFRS 3- and IAS 36-required disclosures across 17 European countries: company- and country-level determinants (2013, methodology): “For example, crosscountry studies by Ball et al. (2000, 2003), Bushman and Piotroski (2006) and Leuz et al. (2003) show that national legal systems and other environmental characteristics influence attributes of financial reporting.”
The Relative Importance of Firm and Country Characteristics for Earnings Quality around the World (2010, positive): “, 2004); earnings conservatism (Giner and Rees, 2001; Bushman and Piotroski, 2006); and earnings smoothness (Leuz et al.”
Disclose or not disclose: determinants of social reporting for STOXX Europe 600 firms (2010, background): “Two other country-specific criteria—securities laws and ownership concentration—are taken from Bushman and Piotroski (2006) .”
Board of Directors' Characteristics and Conditional Accounting Conservatism: Spanish Evidence (2007, neutral): “…demand for conditional conservative measures is lower than in common-law countries given the low litigation risk and high unconditional conservatism (Ball et al., 2000; Giner and Rees, 2001; Garcı́a Lara and Mora, 2004; Garcı́a Lara et al., 2005; Bushman and Piotroski, 2006; Gassen et al., 2006).”
Identifying Conditional Conservatism (2006, background): “An ambitious example of this approach is taken by Callen et al. (2005), who correlate “earnings news”—the present value of the shock to current and expected future earnings—with unexpected returns.”
Auditor choice in privatized firms: Empirical evidence on the role of state and foreign owners (2009, background): “…firms to high-quality accounting and auditing policies such as ensuring that financial reporting complies with international standards.3 Moreover, Bushman and Piotroski (2006) document that firms in countries with more state involvement in the economy have less conservative earnings; i.e., these…”
The Value Relevance of Financial Accounting Information in a Transition Economy: The Case of the Czech Republic (2005, background): “…relevance researchers have become aware of the fact that the value relevance of accounting information is not based solely on accounting regulation but is influenced by a number of factors external to the accounting environment (Ball et al., 2000, 2003; Hung, 2001; Bushman and Piotroski, 2005).”
Political Incentives to Suppress Negative Information: Evidence from Chinese Listed Firms (2015, result): “Consistent with these arguments, existing research using international (i.e., non-U.S.) data finds that firms tend to remain opaque in the presence of strong political economy forces, as measured by level of state ownership of assets, greater risk of expropriation, and the presence of political conn”