Blockholders and real earnings management - the emerging markets context

Amin, QA ORCID: https://orcid.org/0000-0002-7446-249X and Cumming, D, 2021. Blockholders and real earnings management - the emerging markets context. Journal of International Financial Markets, Institutions and Money, 75: 101434. ISSN 1042-4431

Preview

Text 1809109_Amin.pdf - Post-print Download (809kB) | Preview

Abstract

We investigate the unexplored role of large controlling shareholders (blockholders) in constraining real earnings management (REM). We examine the mechanisms through which blockholders engage with the managers to manipulate corporate earnings. We also investigate the extent to which country-level institutional and regulatory arrangements influence the blockholders ability to mitigate REM. We show that powerful family blockholders develop a coalition to manipulate the board strategic decision making in their favour which leads to a higher level of REM. Our evidence shows that the higher quality institutional and regulatory arrangements endogenously determine the better corporate financial reporting which effectively mitigates the REM.

Item Type:	Journal article
Publication Title:	Journal of International Financial Markets, Institutions and Money
Creators:	Amin, Q.A. and Cumming, D.
Publisher:	Elsevier
Date:	November 2021
Volume:	75
ISSN:	1042-4431
Identifiers:	Number Type 10.1016/j.intfin.2021.101434 DOI 1809109 Other
Divisions:	Schools > Nottingham Business School
Record created by:	Laura Ward
Date Added:	27 Sep 2023 08:19
Last Modified:	20 Oct 2023 17:03
URI:	https://irep.ntu.ac.uk/id/eprint/49820

Actions (login required)

Edit View

Statistics

Views

Downloads