1,147
Views
35
CrossRef citations to date
0
Altmetric
Article

Conservatism and Equity Ownership of the Founding Family

, &
Pages 403-430 | Received 02 May 2011, Accepted 01 May 2013, Published online: 04 Jul 2013

References

  • Ahmed, A. and Duellman, S. (2007) Accounting conservatism and board of director characteristics: an empirical analysis, Journal of Accounting and Economics, 43(2–3), pp. 411–437. doi: 10.1016/j.jacceco.2007.01.005
  • Ahmed, A., Billings, B., Morton, R. and Stanford-Harris, M. (2002) The role of accounting conservatism in mitigating bondholder-shareholder conflicts over dividend policy and reducing debt costs, The Accounting Review, 77(4), pp. 867–890. doi: 10.2308/accr.2002.77.4.867
  • Ali, A., Chen, T. and Radhakrishnan, S. (2007) Corporate disclosure by family firms, Journal of Accounting and Economics, 44(1–2), pp. 238–286. doi: 10.1016/j.jacceco.2007.01.006
  • Anderson, R. and Reeb, D. (2003a) Founding-family ownership and firm performance: evidence from the S&P 500, Journal of Finance, 58(3), pp. 1301–1328. doi: 10.1111/1540-6261.00567
  • Anderson, R. and Reeb, D. (2003b) Founding family ownership, corporate diversification, and firm leverage, Journal of Law and Economics, 46(2), pp. 653–684. doi: 10.1086/377115
  • Anderson, R., Duru, A. and Reeb, D. (2009) Founders, heirs, and corporate opacity in the United States, Journal of Financial Economics, 92(2), pp. 205–222. doi: 10.1016/j.jfineco.2008.04.006
  • Armstrong, C., Guay, W. and Weber, J. (2010) The role of information and financial reporting in corporate governance and debt contracting, Journal of Accounting and Economics, 50(2–3), pp. 179–234. doi: 10.1016/j.jacceco.2010.10.001
  • Ball, R. and Shivakumar, L. (2005) Earnings quality in U.K. private firms: comparative loss recognition, Journal of Accounting and Economics, 39(1), pp. 83–128. doi: 10.1016/j.jacceco.2004.04.001
  • Ball, R., Kothari, S. and Robin, A. (2000) The effect of international institutional factors on properties of accounting earnings, Journal of Accounting and Economics, 29(1), pp. 1–51. doi: 10.1016/S0165-4101(00)00012-4
  • Basu, S. (1997) The conservatism principle and the asymmetric timeliness of earnings, Journal of Accounting and Economics, 24(1), pp. 1–34. doi: 10.1016/S0165-4101(97)00014-1
  • Beatty, A., Weber, J. and Yu, J. (2008) Conservatism and debt, Journal of Accounting and Economics, 45(2–3), pp. 154–174. doi: 10.1016/j.jacceco.2008.04.005
  • Beaver, W. H. (1998) Financial Reporting: An Accounting Revolution, Englewood Clliffs, NJ: Prentice Hall.
  • Beaver, W. H. and Ryan, S. G. (2005) Conditional and unconditional conservatism: concepts and modeling, Review of Accounting Studies, 10(2–3), pp. 269–309. doi: 10.1007/s11142-005-1532-6
  • Blunck, R. (2009) Does Conservative Accounting Reduce Litigation Costs? Working Paper, University of Iowa.
  • Bushee, B. (1998) The influence of institutional investors on myopic R&D investment behavior, The Accounting Review, 73(3), pp. 305–333.
  • Chen, X., Li, K. and Harford, J. (2007) Monitoring: which institutions matter?, Journal of Financial Economics, 86(2), pp. 279–305. doi: 10.1016/j.jfineco.2006.09.005
  • Chen, S., Chen, S. and Cheng, Q. (2008) Do family firms provide more or less voluntary disclosure?, Journal of Accounting Research, 46(3), pp. 499–536. doi: 10.1111/j.1475-679X.2008.00288.x
  • Chen, S., Chen, S., Cheng, Q. and Shevlin, T. (2010) Are family firms more tax aggressive than non-family firms?, Journal of Financial Economics, 95(1), pp. 41–61. doi: 10.1016/j.jfineco.2009.02.003
  • Coffee, J. (2006) Reforming the securities class action: an essay on deterrence and its implementation, Columbia Law Review, 106(7), pp. 1534–1586.
  • Dechow, P., Sloan, R. and Sweeney, A. (1996) Causes and consequences of earnings manipulation: an analysis of firms subject to enforcement actions by the SEC, Contemporary Accounting Research, 13(1), pp. 1–36. doi: 10.1111/j.1911-3846.1996.tb00489.x
  • Edmans, A. and Manso, G. (2009) Governance Through Exit and Voice: A Theory of Multiple Blockholders, Working Paper, University of Pennsylvania and MIT.
  • Fama, E. F. and French, K. R. (1997) Industry costs of equity, Journal of Financial Economics, 43(2), pp. 153–193. doi: 10.1016/S0304-405X(96)00896-3
  • Fama, E. F. and MacBeth, J. (1973) Risk, return and equilibrium: empirical tests, Journal of Political Economy, 81(3), pp. 607–636. doi: 10.1086/260061
  • Garcia-Lara, J. M., Osma, B. G. and Penalva, F. (2009) Accounting conservatism and corporate governance, Review of Accounting Studies, 14(1), pp. 161–201. doi: 10.1007/s11142-007-9060-1
  • Garcia-Lara, J. M., Osma, B. G. and Penalva, F. (2010) Accounting Conservatism and Firm Investment Efficiency, Working Paper, Universidad Carlos III de Madrid.
  • Gaspar, J., Massa, M. and Matos, P. (2005) Shareholder investment horizons and the market for corporate control, Journal of Financial Economics, 76(1), pp. 135–167. doi: 10.1016/j.jfineco.2004.10.002
  • Givoly, D. and Hayn, C. (2000) The changing time-series properties of earnings, cash flows and accruals: has financial reporting become more conservative?, Journal of Accounting and Economics, 29(3), pp. 287–320. doi: 10.1016/S0165-4101(00)00024-0
  • Givoly, D., Hayn, C. and Natarajan, A. (2007) Measuring reporting conservatism, The Accounting Review, 82(1), pp. 65–106. doi: 10.2308/accr.2007.82.1.65
  • Holthausen, R. and Watts, R. (2001) The relevance of value-relevant literature for financial accounting standard setting, Journal of Accounting and Economics, 31(1–3), pp. 3–75. doi: 10.1016/S0165-4101(01)00029-5
  • LaFond, R. and Roychowdhury, S. (2008) Managerial ownership and accounting conservatism, Journal of Accounting Research, 46(1), pp. 101–135. doi: 10.1111/j.1475-679X.2008.00268.x
  • LaFond, R. and Watts, R. (2008) The information role of conservatism, The Accounting Review, 83(2), pp. 447–478. doi: 10.2308/accr.2008.83.2.447
  • Penman, S. and Zhang, X. (2002) Accounting conservatism, the quality of earnings, and stock returns, The Accounting Review, 77(2), pp. 237–264. doi: 10.2308/accr.2002.77.2.237
  • Petersen, M. (2009) Estimating standard errors in finance panel data sets: comparing approaches, Review of Financial Studies, 22(1), pp. 435–480. doi: 10.1093/rfs/hhn053
  • Pontiff, J. (1996) Costly arbitrage: evidence from close-end funds, Quarterly Journal of Economics, 111(4), pp. 1135–1151. doi: 10.2307/2946710
  • Qiang, X. (2007) The effects of contracting, litigation, regulation, and tax costs on conditional and unconditional conservatism: cross-sectional evidence at the firm level, The Accounting Review, 82(3), pp. 759–796. doi: 10.2308/accr.2007.82.3.759
  • Ramalingegowda, S. and Yu, Y. (2012) Institutional ownership and conservatism, Journal of Accounting and Economics, 53(1–2), pp. 98–114. doi: 10.1016/j.jacceco.2011.06.004
  • Roychowdhury, S. and Watts, R. (2007) Asymmetric timeliness of earnings, market-to-book and conservatism in financial reporting, Journal of Accounting and Economics, 44(1–2), pp. 2–31. doi: 10.1016/j.jacceco.2006.12.003
  • Ryan, S. G. (2006) Identifying conditional conservatism, European Accounting Review, 15(4), pp. 511–525. doi: 10.1080/09638180601102099
  • Shleifer, A. and Vishny, R. (1986) Large shareholders and corporate control, Journal of Political Economy, 94(3), pp. 461–488. doi: 10.1086/261385
  • Villalonga, B. and Amit, R. (2006) How do family ownership, control, and management affect firm value?, Journal of Financial Economics, 80(2), pp. 385–417. doi: 10.1016/j.jfineco.2004.12.005
  • Wang, D. (2006) Founding family ownership and earnings quality, Journal of Accounting Research, 44(3), pp. 619–656. doi: 10.1111/j.1475-679X.2006.00213.x
  • Watts, R. (2003a) Conservatism in accounting part I: explanations and implications, Accounting Horizons, 17(3), pp. 207–221. doi: 10.2308/acch.2003.17.3.207
  • Watts, R. (2003b) Conservatism in accounting part II: evidence and research opportunities, Accounting Horizons, 17(4), pp. 287–301. doi: 10.2308/acch.2003.17.4.287
  • Watts, R. and Zimmerman, J. (1986) Positive Accounting Theory. Englewood Cliffs, NJ: Prentice-Hall.
  • Zhang, J. (2008) Efficiency gains from accounting conservatism: benefits to lenders and borrowers, Journal of Accounting and Economics, 45(1), pp. 27–54. doi: 10.1016/j.jacceco.2007.06.002

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.