標題: | Do firms' earnings management practices affect their equity liquidity? |
作者: | Chung, Huimin Sheu, Her-Jiun Wang, Juo-Lien 管理科學系 資訊管理與財務金融系 註:原資管所+財金所 Department of Management Science Department of Information Management and Finance |
關鍵字: | Equity liquidity;Adverse selection costs;Earnings management |
公開日期: | 1-九月-2009 |
摘要: | This study investigates the relationship between earnings management and equity liquidity, positing that as incentives arise for the manipulation of firm performance through earnings management (due partly to conflicts of interest between firm insiders and outsiders), greater earnings management may signal higher adverse selection costs. If earnings manipulation reveals aggressive accounting practices, liquidity providers tend to widen bid-ask spreads to protect themselves. The empirical results indicate that companies with higher earnings management suffer lower equity liquidity. (C) 2009 Elsevier Inc. All rights reserved. |
URI: | http://dx.doi.org/10.1016/j.frl.2009.03.003 http://hdl.handle.net/11536/14169 |
ISSN: | 1544-6123 |
DOI: | 10.1016/j.frl.2009.03.003 |
期刊: | FINANCE RESEARCH LETTERS |
Volume: | 6 |
Issue: | 3 |
起始頁: | 152 |
結束頁: | 158 |
顯示於類別: | 期刊論文 |