paper researchers general equity suggests two market exposure methodological appears to be improvements: (1) positively modeling international associated with exposure to different greater timeliness in jurisdictions as a earnings effect. (2) recognition, while Incorporating changes regulatory through time as an enforcement is interaction effect in the positively full model. associated with the bias towards conservatism. 6 Discussion of Bill Rees Sample consists of 366 It’s a discussion about a The main conclusion The Timeliness 2004 firms. Period: model that is is: in general, capital of Income 1987-1999. In this paper elaborated in section 5 market pressure Recognition by the researchers restrict of this table. The and regulatory European their sample to cross-listed researchers attempted impact each appear Companies: An firms and incorporate to develop our to lead to more analysis of measures of the scope of understanding of conservative Institutional and accounting disclosure, asymmetric accounting, the joint Market importance if the equity recognition by effect being Complexity market, and the strength of incorporating causal mitigated when both the enforcement system in factors into the model. influences are the various markets in Their underlying strong and a trend which the firms are listed. approach remains towards greater January/March 2004 mostly based on the conservatism has Basu model. been documented for firms domiciled and listed in different markets.
paper researchers suggests two methodological improvements: (1) modeling international exposure to different jurisdictions as a effect. (2) Incorporating changes through time as an interaction effect in the full model. general equity market exposure appears to be positively associated with greater timeliness in earnings recognition, while regulatory enforcement is positively associated with the bias towards conservatism. 6 Discussion of The Timeliness of Income Recognition by European Companies: An analysis of Institutional and Market Complexity Bill Rees 2004 Sample consists of 366 firms. Period: 1987-1999. In this paper the researchers restrict their sample to cross-listed firms and incorporate measures of the scope of accounting disclosure, importance if the equity market, and the strength of the enforcement system in the various markets in which the firms are listed. January/March 2004 It’s a discussion about a model that is elaborated in section 5 of this table. The researchers attempted to develop our understanding of asymmetric recognition by incorporating causal factors into the model. Their underlying approach remains mostly based on the Basu model. The main conclusion is: in general, capital market pressure and regulatory impact each appear to lead to more conservative accounting, the joint effect being mitigated when both influences are strong and a trend towards greater conservatism has been documented for firms domiciled and listed in different markets.