Influence of Ownership Structure on Accounting Conservatism-Evidence from Japanese Listed Companies -

Content Provider	Semantic Scholar
Copyright Year	2018
Abstract	The notion that Japan is unique in its corporate governance and information environment has been well established in the academic field. This study seeks to explore how such uniqueness in ownership structure, one of the most important building blocks of corporate governance, affects accounting conservatism. In particular, this study also investigates the combined effects of ownership structure and other primary determinants of accounting conservatism (i.e., debt contracting and the regulatory efficacy of accounting standards) on navigating management's compliance to the conservative principal. I find that stable shareholdings are negatively related with the degrees of conservative accounting in Japanese listed firms. Moreover, debt contracting is latent in disciplining conservative accounting practice, which could be attributed to the unique financing arrangements in Japan. On the other hand, accounting standards prove to be relatively effective in regulating accounting decisions to report earnings conservatively, thus restoring the credibility of accounting reports in Japan.
File Format	PDF HTM / HTML
Alternate Webpage(s)	https://www.rieb.kobe-u.ac.jp/tjar/conference/9th/CB1_YiWu.pdf
Language	English
Access Restriction	Open
Content Type	Text
Resource Type	Article