Why Has the Contemporaneous Linear Returns‐Earnings Relation Declined?

By Stephen G. Ryan, Paul Zarowin. 2003

194 citations recorded by the source corpus.

Subfields: Accounting, Finance, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/b8c1b1bf879a56d931cb213b6e381cebfeda9d21

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Citations in the corpus

On the Optimal Relation between the Properties of Managerial and Financial Reporting Systems (2008, background): “Furthermore, since the creation of FASB a substantial increase in this particular conservatism metric has occurred (see e.g. Givoly and Hayn 2000, Ryan and Zarowin 2003, Watts 2003), despite FASB arguably seemed to have an increasing VF.”
Product market competition and conditional conservatism (2014, unknown): “In light of the evidence that conservatism increased over parts of the sample period (Basu 1997; Givoly and Hayn 2000; Holthausen and Watts 2001; Ryan and Zarowin 2003), we adopt a difference-in-differences approach.”
Asymmetric timeliness tests of accounting conservatism (2007, unknown): “Our choice also is consistent with the implementation by prior related research (e.g., Basu, 1997, Table 1, Panel A; Pope & Walker, 1999, Ball et al., 2000; Table 2; Givoly & Hayn, 2000; Ryan & Zarowin, 2003; Sivakumar & Waymire, 2003).”
Understanding Earnings Quality: A Review of the Proxies, Their Determinants and Their Consequences (2010, background): “…Collins et al. (1997), Francis and Schipper (1999), Brown et al. (1999), Francis et al. (2002b), Landsman and Maydew (2002), Core et al. (2003), Ryan and Zarowin (2003), Dontoh et al. (2004), Beaver et al. (2005), Kim and Kross (2005), Collins et al. (2007), Jorion et al. (2007), and Dichev…”
Financial reporting quality and idiosyncratic return volatility (2011, methodology): “First, we modify the empirical specification in Ryan and Zarowin (2003) as follows: 0 1 , 2 , 3 , 1 4 , , 5 , , , 1 * * * it i t i t i t i t i t i t i t i t it ABRET EARN TIME EQ TIME EARN TIME EARN EQ”
Accounting conservatism and corporate governance (2009, methodology): “…research that uses the Basu measure of conservatism (Pope and Walker 1999; Ball et al. 2000, 2003; Givoly and Hayn 2000; Holthausen and Watts 2001; Ryan and Zarowin 2003; Raonic et al. 2004; Bushman and Piotroski 2006; Roychowdhury and Watts 2006; among many others), that obtains empirical…”
Acquisition Profitability and Timely Loss Recognition (2010, unknown): “Industry is based on two-digit SIC code, and market share is based on the percentage of industry assets audited by each audit firm. returns may be more appropriate (Easton, 1999; Ryan and Zarowin, 2003).”
Identifying Conditional Conservatism (2006, background): “Finally, a few papers show that earnings exhibit asymmetric timeliness with respect to up to three lagged annual returns in the same direction as that for current returns (Pope and Walker, 1999; Giner and Rees, 2001; Ryan and Zarowin, 2003; Price, 2005).”
Accruals and the prediction of future cash flows (2011, background): “A vast literature indirectly examines the FASB's assertion of the superiority of earnings in predicting future cash flows by examining the association between accounting earnings and stock prices (returns) and suggests that this association has been decreased over time ( Ryan and Zarowin, 2003”
Conditional and Unconditional Conservatism:Concepts and Modeling (2005, background): “See Pope and Walker (1999, 2003), Givoly and Hayn (2000), Holthausen and Watts (2001), Ball et al. (2000), Ball et al. (2000), Giner and Rees (2001), Ryan and Zarowin (2003), Ball and Shivakumar (2005), Pae et al. (2004), and Roychowdhury and Watts (2004).”
Measuring Reporting Conservatism (2007, background): “…Ball, Robin and Wu (2003), Bushman and Piotroski (2004), Cao and Lee (2002), Giner and Rees (2001), Jindrichovska and Kuo (2003), Peek, Buijink and Coppens (2004), Pope and Walker (1999), Tazawa (2003)), and the trend in the information content of accounting numbers (Ryan and Zarowin (2003)).”
Econometrics of the Basu Asymmetric Timeliness Coefficient and Accounting Conservatism (2013, unknown): “Increasingly formal but nevertheless limited analyses are offered in Ball, Kothari and Robin (2000), Pope and Walker (1999), Ryan and Zarowin (2003), and Beaver and Ryan (2005).”
Balance sheet versus earnings conservatism in Europe (2004, background): “In a similar way, Smith and Skousen (1987) describe conservatism as the rule whereby ‘when there is a genuine doubt concerning which of two or more reporting alternatives should be selected, the alternative with the least favourable effect upon owners’ equity should be chosen’.”