Format:
1 Online-Ressource (48 p)
Content:
In this study, we examine the effects of lead independent directors (LIDs) on firms’ earnings management. Based on US firms from 2000–2016, those with LIDs managed earnings less as reflected by the absolute value of discretionary accruals. We further propose several economic channels that support the findings. Specifically, we find that the effect is likely to be more prominent among firms with less disclosure transparency, weaker corporate governance, and higher risk. In addition, we use a difference-in-differences setting and a selection model to reduce potential endogeneity concerns. Overall, the findings indicate that the monitoring of LIDs can effectively reduce firms’ earnings management
Note:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments April 28, 2022 erstellt
Language:
English
DOI:
10.2139/ssrn.4095513
