Abstract

http://ssrn.com/abstract=1704163
 
 

Citations



 


 



Do Culture and Religion Mitigate Earnings Management? Evidence from a Cross-Country Analysis


Jeffrey L. Callen


University of Toronto - Rotman School of Management

Mindy Morel


University of Toronto - Joseph L. Rotman School of Management

Grant A. Richardson


City University of Hong Kong - Department of Accountancy

November 6, 2010

International Journal of Disclosure and Governance, Forthcoming

Abstract:     
This study investigates whether culture in general and religion in particular mitigate earnings management. Using a cross-country data set, empirical tests based on rank regressions indicate that earnings management is unrelated to both religious affiliation and the degree of religiosity. In contrast, earnings management is found to be negatively related to the updated Hofstede (1980) cultural variable of individualism and positively related to uncertainty avoidance. Our results also indicate that the positive impact of the legal environment in mitigating earnings management, documented by Leuz et al. (2003), can no longer be demonstrated after controlling for culture.

Keywords: Earnings Management, Culture, Religion, Legal Environment

JEL Classification: A13, F23, G39, K49, M41, O57

Accepted Paper Series





Not Available For Download

Date posted: November 7, 2010  

Suggested Citation

Callen, Jeffrey L. and Morel, Mindy and Richardson, Grant A., Do Culture and Religion Mitigate Earnings Management? Evidence from a Cross-Country Analysis (November 6, 2010). International Journal of Disclosure and Governance, Forthcoming. Available at SSRN: http://ssrn.com/abstract=1704163

Contact Information

Jeffrey L. Callen (Contact Author)
University of Toronto - Rotman School of Management ( email )
105 St. George Street
Toronto, Ontario M5S 3E6
Canada
416-946-5641 (Phone)
416-971-3048 (Fax)
Mindy Morel
University of Toronto - Joseph L. Rotman School of Management ( email )
105 St. George Street
Toronto, Ontario M5S 3E6
Canada
416-971-3048 (Phone)
Grant A. Richardson
City University of Hong Kong - Department of Accountancy ( email )
83 Tat Chee Avenue
Kowloon
Hong Kong
27887923 (Phone)
27887944 (Fax)
Feedback to SSRN


Paper statistics
Abstract Views: 818

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo5 in 0.344 seconds