Comparable but is it informative?Accounting information comparability and price synchronicity

IF 6.1 2区 经济学 Q1 BUSINESS, FINANCE
Desheng Liu , Yiqing Wang , Mingsheng Li
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引用次数: 0

Abstract

Increasing accounting information comparability (AIC) theoretically facilitates investors’ analysis of firm performance and improves stock price informativeness by incorporating more firm-specific information. However, achieving the purported purpose empirically is subject to firms’ institutional environment and corporate governance. We propose that under weak legal systems and less developed market environments, higher AIC may adversely affect price informativeness due to managers’ incentives and ability to obfuscate information and investors’ “hallo” effect. Using a large sample from China, we show that the AIC is positively related to price synchronicity, an inverse measure of price informativeness. Additionally, the positive impact is significantly greater for firms located in regions with weak legal systems and less developed market environments. The positive relation is also significantly greater when the business environment and economic policy uncertainties are high.

会计信息的可比性和价格同步性
从理论上讲,提高会计信息可比性(AIC)有利于投资者分析公司业绩,并通过纳入更多公司特定信息来提高股价信息性。然而,从实证角度来看,要达到所宣称的目的,还受制于公司的制度环境和公司治理。我们提出,在法律制度薄弱、市场环境欠发达的情况下,由于管理者的动机和能力以及投资者的 "哈洛 "效应,较高的 AIC 可能会对股价信息性产生不利影响。利用中国的大量样本,我们发现 AIC 与价格同步性(价格信息性的反向衡量标准)呈正相关。此外,对于位于法律制度薄弱、市场环境欠发达地区的公司来说,这种正向影响明显更大。在商业环境和经济政策不确定性较高的情况下,这种正相关关系也明显更强。
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来源期刊
CiteScore
7.70
自引率
9.30%
发文量
78
审稿时长
34 days
期刊介绍: The Journal of Financial Stability provides an international forum for rigorous theoretical and empirical macro and micro economic and financial analysis of the causes, management, resolution and preventions of financial crises, including banking, securities market, payments and currency crises. The primary focus is on applied research that would be useful in affecting public policy with respect to financial stability. Thus, the Journal seeks to promote interaction among researchers, policy-makers and practitioners to identify potential risks to financial stability and develop means for preventing, mitigating or managing these risks both within and across countries.
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