Ernstberger, Jürgen
[VerfasserIn]
;
Stich, Michael
[Sonstige Person, Familie und Körperschaft];
Vogler, Oliver
[Sonstige Person, Familie und Körperschaft]
Economic Consequences of Accounting Enforcement Reforms
Anmerkungen:
In: European Accounting Review, Forthcoming
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 27, 2011 erstellt
Beschreibung:
This study investigates recent reforms in financial reporting enforcement in Germany. The objective of these reforms was to promote a consistent and faithful application of accounting standards. Using a differences-in-differences approach, we find some evidence of a decrease in earnings management, an increase in stock liquidity, and, to a limited extent, an increase in market valuation for companies that fall under the new enforcement regime. Our results also provide some support for the notion that companies characterized by an overall low level of enforcement through other internal and external mechanisms are particularly affected by these reforms. The results are largely robust in several sensitivity analyses, but the results must be interpreted with caution because we cannot completely rule out the possibility of other explanations