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Ronald Dye
Ronald A. Dye

ACCOUNTING INFORMATION & MANAGEMENT
Leonard Spacek Professor of Accounting Information & Management

Print Overview
A faculty member at the Kellogg School of Management since 1986, Ronald Dye was named the Leonard Spacek Professor of Accounting Information and Management in 1993. Previously, he held appointments in accounting and economics at the University of Chicago and in accounting at Yale University.

Professor Dye's teaching and research interests include managerial accounting, management compensation, financial disclosure, information economics, and the economics of standards. He is the author of more than 40 papers which have appeared in leading academic journals of accounting and economics, including The Accounting Review, Journal of Accounting Research, Journal of Accounting and Economics, Rand Journal of Economics, International Economic Review, Journal of Labor Economics, Journal of Public Economics, Journal of Business, and the Journal of Political Economy. He is a member of the editorial boards of the Journal of Accounting Research, Journal of Accounting and Economics, and the Review of Accounting Studies.

Professor Dye regularly gives seminars at leading international business schools. Most recently, he has been studying and lecturing on how firms' can improve their strategic decision-making through their accounting choices.



Areas of Expertise
Activity-based Accounting
Control Systems
Corporate Governance
Cost Accounting
Financial Accounting
Financial Disclosure/Statements
Financial Reporting
Information Economics
Management Compensation
Managerial Accounting
Performance Evaluations
Security Analysis
Print Vita
Education
PhD, 1980, Economics, Carnegie Mellon University
MS, 1978, Economics, Carnegie Mellon University
BS, 1976, Mathematics, State University of New York, Cortland

Academic Positions
Chairman of Department of Accounting and Information Management, Kellogg School of Management, Northwestern University, 2001-present
Leonard Spacek Professor of Accounting, Kellogg School of Management, Northwestern University, 1993-present
Visiting Professor of Accounting, Marshall School of Business, University of Southern California, 2006-2006
Visiting Goizueta Professor of Financial Reporting, Goizueta Business School, Emory University, 2000-2000
Chairman of Department of Accounting and Information Management, Kellogg School of Management, Northwestern University, 1993-1999
Visiting Professor of Accounting, School of Management, Yale University, 1997-1997
Eric L. Kohler Professor of Accounting, Kellogg School of Management, Northwestern University, 1990-1993
Visitng Professor of Accounting, Graduate School of Business, University of Chicago, 1989-1990
Professor of Accounting, Kellogg School of Management, Northwestern University, 1988-1989
Associate Professor of Accounting, Kellogg School of Management, Northwestern University, 1986-1988
Associate Professor of Accounting, Graduate School of Business, University of Chicago, 1985-1986
Assistant Professor of Accounting and Business Economics, Graduate School of Business, University of Chicago, 1983-1985
Assistant Professor of Business Economics, Graduate School of Business, University of Chicago, 1980-1983

Editorial Positions
Editorial Board, Contemporary Accounting Research, 2004-Present
Founding Editor, Foundations and Trends in Accounting, 2005 - Present
Associate Editor, Journal of Accounting and Economics, 1988-Present
Editorial Board, Journal of Accounting Research, 1984-Present
Editorial Board, Review of Accounting Studies, 1996-Present

Consulting
Susman Godfrey LLP (Houston)
Shaffer Lombardo Shurin (Kansas City)
Freeman Freeman & Salzman (Chicago)
Novack and Macey LLP (Chicago)
Cravath, Swaine, & Moore LLP (New York)
Dairy Queen Operators’ Association and Cooperative
Crowell & Moring (Washington)
Baker & McKenzie (London and Hong Kong)
Internal Revenue Service
State Farm Insurance (Chicago)  
Print Research
Research Interests
Managerial accounting, management compensation, financial disclosure, information economics, economics of standards, auditors’ liability

Articles
Bertomeu, Jeremy, Anne Beyer and Ronald A. Dye. 2011. Capital Structure, Cost of Capital, and Voluntary Disclosures. Accounting Review. 86(3): 857.
AbstractLink
Dye, Ronald A.. 2010. Disclosure Bunching. Journal of Accounting Research. 48(3): 489-530.
Dye, Ronald A. and Swaminathan Sridharan. 2008. A Positive Theory of Flexibility in Accounting Standards. Journal of Accounting and Economics. 46(2,3): 312–333.
Dye, Ronald A. and Swaminathan Sridharan. 2007. The Allocational Effects of the Precision of Accounting Estimates. Journal of Accounting Research. 45(4): 731-769.
AbstractLink
Dye, Ronald A. and Swaminathan Sridharan. 2005. Moral Hazard Severity and Contract Design. RAND Journal of Economics. 36(1): 78-92.
Abstract
Dye, Ronald A. and Swaminathan Sridharan. 2004. Reliability-Relevance Tradeoffs and the Efficiency of Aggregation. Journal of Accounting Research. 42(1): 51-88.
Abstract
Dye, Ronald A.. 2004. Strategy Selection and Performance Measurement Choice when Profit Drivers are Uncertain. Management Science. 50(12): 1624-1637.
Abstract
Dye, Ronald A. and Swaminathan Sridharan. 2003. Investment Implications of Information Acquisition and Leakage. Management Science. 49(6): 767-783.
Abstract
Dye, Ronald A.. 2002. Classifications Manipulation and Nash Accounting Standards. Journal of Accounting Research. 40(4): 1125-1162.
Abstract
Dye, Ronald A. and Swaminathan Sridharan. 2002. Resource Allocation Effects of Price Reactions to Disclosures. Contemporary Accounting Research. 19(3): 385-410.
Abstract
Dye, Ronald A.. 2001. An Evaluation of Essays on Disclosure and the Disclosure Literature in Accounting. Journal of Accounting and Economics. 32(1-3): 181-235.
Abstract
Dye, Ronald A. and Shyam Sunder. 2001. Why Not Allow FASB and IASB Standards to Compete in the U.S.?. Accounting Horizons. 15(3): 257-271.
Abstract
Dye, Ronald A.. 1999. Risk, Return, and Moral Hazard. Journal of Accounting Research. 37(1): 27-55.
Abstract
Dye, Ronald A.. 1998. Discussion of: "On the Frequency, Quality, and Informational Role of Mandatory Financial Reports". Journal of Accounting Research. 36(Supplement): 149-160.
Dye, Ronald A.. 1998. Investor Sophistication and Voluntary Disclosures. Review of Accounting Studies. 3(3): 261-287.
Abstract
Dye, Ronald A.. 1995. Discretion vs Uniformity: Choices Among GAAP. Accounting Review. 70(3): 389-415.
AbstractLink
Dye, Ronald A.. 1995. Incorporation and the Audit Market. Journal of Accounting and Economics. 19(1): 75-114.
AbstractLink
Dye, Ronald A. and Swaminathan Sridharan. 1995. Industry-Wide Disclosure Dynamics. Journal of Accounting Research. 33(1): 157-174.
Abstract
Dye, Ronald A.. 1993. Auditing Standards, Legal Liability, and Auditor Wealth. Journal of Political Economy. 101(5): 887-914.
Abstract
Dye, Ronald A.. 1993. Limiting Auditors' Liability. Journal of Economics and Management Strategy. 2(3): 435-443.
Dye, Ronald A.. 1992. Relative Performance Evaluation and Project Selection. Journal of Accounting Research. 30(1): 27-52.
Abstract
Dye, Ronald A. and Robert Magee. 1991. Discretion in Reporting Managerial Performance. Economics Letters. 35(4): 359-363.
AbstractLink
Dye, Ronald A.. 1991. Informationally Motivated Auditor Replacement. Journal of Accounting and Economics. 14(4): 347-374.
AbstractLink
Dye, Ronald A., Bala Balachandran and Robert Magee. 1990. Contingent Fees for Audit Firms. Journal of Accounting Research. 28(2): 239-266.
Abstract
Balachandran, Bala and Ronald A. Dye. 1990. Discussion of Optimal Employment Contracts and the Returns to Monitoring in a Principal-Agent Context. Contemporary Accounting Research. 6(2-II): 796-799.
Abstract
Dye, Ronald A.. 1990. Mandatory vs. Voluntary Disclosures: The Cases of Financial and Real Externalities. Accounting Review. 65(1): 1-24.
AbstractLink
Dye, Ronald A.. 1988. Earnings Management in an Overlapping Generations Model. Journal of Accounting Research. 26(2): 195-235.
Abstract
Dye, Ronald A.. 1986. An Economic Analysis of Bankruptcy Statutes. Economic Inquiry. 24(3): 417-428.
Abstract
Dye, Ronald A.. 1986. Cost-Minimizing Welfare Programs. Journal of Public Economics. 30(2): 259-265.
Abstract
Dye, Ronald A.. 1986. Optimal Monitoring Policies in Agencies. Rand Journal of Economics. 17(3): 339-350.
Abstract
Dye, Ronald A.. 1986. Proprietary and Nonproprietary Disclosures. Journal of Business. 59(2): 331-366.
Abstract
Dye, Ronald A.. 1985. Costly Contract Contingencies. International Economic Review. 26(1): 233-250.
Abstract
Dye, Ronald A.. 1985. Disclosure of Nonproprietary Information. Journal of Accounting Research. 23(1): 123-145.
AbstractLink
Dye, Ronald A.. 1985. Optimal Length of Labor Contracts. International Economic Review. 26(1): 251-270.
Abstract
Dye, Ronald A.. 1985. Strategic Accounting Choice and the Effects of Alternative Financial Reporting. Journal of Accounting Research. 23(2): 544-574.
Abstract
Dye, Ronald A.. 1984. Inside-Trading and Incentives. Journal of Business. 57(3): 295-313.
AbstractLink
Dye, Ronald A.. 1984. Self-Selection via Fringe Benefits. Journal of Labor Economics. 2(3): 388-411.
Abstract
Dye, Ronald A.. 1984. The Trouble with Tournaments. Economic Inquiry. 22(1): 147-149.
Abstract
Dye, Ronald A.. 1983. Communication and Post-Decision Information. Journal of Accounting Research. 21(2): 514-533.
AbstractLink
Book Chapters
Dye, Ronald A. and Mark Finn. 2007. "Equilibrium Voluntary Disclosures When Firms Possess Random Multidimensional Private Information." In Essays on Accounting Theory in Honor of Joel S. Demski, edited by Rick Antle; Pierre Jinghong Liang, Frøystein Gjesdal, New York, NY: Springer Publishing.
Dye, Ronald A.. 1988. "Intrafirm Resource Allocation and Discretionary Actions." In Economic Analysis of Information and Contracts: Essays in Honor of John E. Butterworth [editors Feltham, Amershi, Ziemba].

 
Print Teaching
Teaching Interests
Managerial accounting, management compensation, financial disclosure, information economics, economics of standards, auditors’ liability
Full-Time / Part-Time MBA
Accounting For Decision Making (ACCT-430-0)

This course counts toward the following majors: Accounting.

This course acquaints students with the process used to construct and understand the financial reports of organizations. The objective is to understand the decisions that must be made in the financial reporting process and to develop the ability to evaluate and use accounting data. Emphasis is placed on understanding the breadth of accounting measurement practices and on being able to make the adjustments necessary for careful analysis. The course highlights the linkages between accounting information and management planning, and decision making and control.

Doctoral
Seminar on Agency Theory and Information Economics (ACCT-520-4)
"The class studies economic models of financial reporting and disclosure, along with the economics of accounting standards. The class also studies linkages among financial accounting, managerial accounting, and auditing. Students are expected to learn how to evaluate the existing models in the literature, and also to construct basic models of their own. "

Executive MBA
Accounting for Management Planning & Control (ACCTX-431-0)
Accounting for Management Planning and Control details the use of financial information in management. Topics include profitability and performance measurement and activity-based management and decision support.