Do Better-Governed Australian Firms Make More Informative Disclosures?

29 Pages Posted: 25 May 2006

See all articles by Wendy Beekes

Wendy Beekes

Lancaster University - Department of Accounting and Finance

Philip R. Brown

UWA Business School, M250; Financial Research Network (FIRN)

Multiple version iconThere are 2 versions of this paper

Abstract

We investigate whether and if so, how, corporate governance quality is related to the information flows from a company and how the share market and its agents respond. Specifically, we study links between the quality of a firm's corporate governance (CGQ) and the informativeness of its disclosures. We employ six indicators of informativeness. They include document counts, properties of analysts forecasts and a timeliness metric, in the spirit of Ball and Brown (1968), that reflects the average speed of price discovery throughout the year. Our results suggest the answer to our question is Yes: better-governed firms do make more informative disclosures.

Suggested Citation

Beekes, Wendy and Brown, Philip R., Do Better-Governed Australian Firms Make More Informative Disclosures?. Journal of Business Finance & Accounting, Vol. 33, No. 3-4, pp. 422-450, April 2006. Available at SSRN: https://ssrn.com/abstract=903453 or http://dx.doi.org/10.1111/j.1468-5957.2006.00614.x

Wendy Beekes (Contact Author)

Lancaster University - Department of Accounting and Finance ( email )

Lancaster LA1 4YX
United Kingdom
++44 (0)1524 593623 (Phone)

Philip R. Brown

UWA Business School, M250 ( email )

Crawley, Western Australia 6009
Australia

Financial Research Network (FIRN)

C/- University of Queensland Business School
St Lucia, 4071 Brisbane
Queensland
Australia

HOME PAGE: http://www.firn.org.au

Register to save articles to
your library

Register

Paper statistics

Downloads
18
Abstract Views
1,360
PlumX Metrics