Article history: Received 27 June 2011 Received in revised form 27 February 2012 Accepted 5 March 2012 IT internal controls are an important component of an organization's arsenal of internal controls. Upon conceptualizing failures of operational IT systems, or what we call IT operational risk events, as signals of IT internal control weaknesses, we theorize about these events' impact on intern...

New regulations aimed at curbing conflicts of interests in the financial analysts’ profession have been adopted both in the US (Sarbanes-Oxley Act, Section 501) and in the European Union (Market Abuse Directive and CD2003/125). While more than 60% of the US recommendations have been shown to be potentially biased because of investment banking relationships, this proportion is as low as 2% to 8%...

This study documents a puzzling historical trend in crash risk for US-listed firms: between 1950 and 2019, the firm-year occurrences of idiosyncratic stock price crashes rose from 5.5% to an astonishing 27%. The vastness literature notoriously attributes agency reasons, i.e. self-interested executives who strategically camouflage bad news via financial reporting opacity overinvestment channels....

We examine the relation between public firm presence and import competition. The information created by may provide importers with insights they can use for competing domestic firms. Consistent this possibility, we document a positive find similar results when using differences in expected costs of Sarbanes-Oxley Act as source plausibly exogenous variation after act. proportion German firms rep...

We study the impact of Sarbanes-Oxley Act (SOX) on the relationship between corporate governance and company performance. We consider five measures of corporate governance during the period 1998-2007. We find a negative and significant relationship between board independence and operating performance during the pre-2002 period, but a positive and significant relationship during the post-2002 pe...

Many target CEOs receive unscheduled stock option awards during merger negotiations which become immediately exercisable when the acquisition is completed. We find an inverse association between the size of golden parachutes given to target CEOs and the probability that these executives receive unscheduled options during merger negotiations. These unscheduled awards are also more likely to be i...

In this study, we aim to demonstrate how important public policies that encourage companies decarbonize the environment are Brazil. There is an evident need for creation of a Brazilian Regulatory Agency carbon market acts transparently and according international agreements. analyzed Braskem's greenhouse gas emission reports from 2010 2018 regarding production green polyethylene or other action...