this paper investigates the relationship between earnings management and quality of earnings for the bankrupt and non-bankrupt firms listed in the tehran stock exchange from 2007 to 2012.the earnings quality  is measured by four separate accounting-based earnings attributes: accruals quality, earnings persistence, earnings predictability; earnings and is also examined by testing the relationshi...

This study shows that analysts vary significantly in their responsiveness to earnings announcements, where responsiveness is defined as promptness of analysts’ first forecast revisions for the next quarter since the prior quarterly earnings announcements. Further evidence indicates that analysts’ responsiveness improves the efficiency of their expectations of future earnings immediately after t...

Tests of the life cycle human capital investment theory using the implied restrictions on the covariance structure of earnings have not been favorable to the theory. The theory implies that earnings follow individual specific growth paths, which has been modeled as a random coefficient on experience, or “random growth.” The random growth model implies an individual effect in earnings changes. A...

We assess the degree of consumption smoothing implicit in a calibrated life-cycle version of the standard incomplete-markets model, and we compare it to the empirical estimates of Blundell et al. (2008) (BPP thereafter). We find that households in the model have access to less consumption smoothing against permanent earnings shocks than what is measured in the data. BPP estimate that 36% of per...

Chile has usually been considered one of the outstanding countries in the World in terms of its record in reducing poverty. At the same time, income inequality in Chile remains high by international standards; in fact, cross-country comparisons places Chile amongst those countries with the highest dispersion of monetary income (World Bank 1997, 2001; Bravo and Contreras, 2004). This volume orig...

Prior research has investigated the association between executive equity compensation and earnings management but the evidence is not conclusive. We investigate this question using the quantile regression approach which allows the coefficient on the independent variable (equity compensation) to shift across the distribution of the dependent variable (earnings management). Based on a sample of 1...

This paper examines business cycle variation in the earnings-returns relation. Earnings are more persistent when growth rates are high (i.e., in an expansion) than when growth rates are low (i.e., in a recession). Earnings are more persistent when production is high (i.e., in a credit crunch period) than when production is low (i.e., in a reliquification period). Relatedly, earnings response co...

We analyze the changes in earnings of paid workers (wage earners) in rural India from 2004/05 to 2011/12. Real earnings increased at all percentiles, and the percentage increase was larger at the lower end. Consequently, earnings inequality declined. Recentered influence function decompositions show that throughout the earnings distribution, except at the very top, both changes in “worker chara...

We study the labor supply of South Indian boat-owners using daily data on labor force participation and the value of catches from 2000 to 2007. Our panel is among the most extensive ever used for this purpose and the …rst to pertain to a non-service related occupation in a developing country. Our analysis compares two hypotheses about the response of labor supply to increases in wages and incom...

To answer these questions, we use a confidential panel dataset on earnings histories from the US Social Security Administration (SSA), which allows us to follow workers’ earnings over the business cycle. Our approach is to identify individuals who were in the top 1 percent of the earnings distribution just prior to the economy entering a recession or boom. We ask how the evolution of these work...