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Research Details
Industry-Wide Disclosure Dynamics, Journal of Accounting Research
Abstract
The article discusses the effects of a firm's voluntary disclosures on other firms. When Citibank reported the level of default on its Third World loans other banks followed with similar announcements. Following the write-off of Chambers Development for their waste disposal arrangements other waste management firms did the same. These disclosures were attempts to influence the financial market's assessment of the value of the firms rather than the product market behavior by management. Also, the disclosure dynamics of a firm's selection of a disclosure policy is related to its expected price.
Type
Article
Author(s)
Ronald A. Dye, Swaminathan Sridharan
Date Published
1995
Citations
Dye, Ronald A., and Swaminathan Sridharan. 1995. Industry-Wide Disclosure Dynamics. Journal of Accounting Research. 33(1): 157-174.