| Status | 進行中Working |
| Social Capital and Accounting Comparability | |
| Tang, F.; Lam, B. M.; Liu, M.; Byung, C. S.; Yuen, C. Y. | |
| Abstract | This study investigates the effect of social capital on accounting comparability. We find that firms headquartered in high social capital regions prepare financial statements that are more comparable with those of their peer firms. This result indicates that managers of firms located in regions of high social capital design or adopt accounting methods and systems that make their accounting outputs more comparable to other firms’. We further show that the positive effect of social capital on accounting comparability is more conspicuous when a firm’s information environment is worse, when product market competition is lower, and when a firm has no director interlocking. These results are robust to the instrumental variable approach to control for the possible endogeneity and the use of the state-level Putnam Index as an alternative proxy for social capital. Our study provides new evidence on the importance of social environment in improving financial reporting quality. |
| Keyword | Social capital Accounting comparability Product market competition Information environment |
| Language | 英語English |
| The Source to Article | PB_Publication |
| PUB ID | 58068 |
| Document Type | Report |
| Collection | University of Macau |
| Recommended Citation GB/T 7714 | Tang, F.,Lam, B. M.,Liu, M.,et al. Social Capital and Accounting Comparability. |
| Files in This Item: | There are no files associated with this item. | |||||
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