Political corruption and corporate earnings management

• Main Author: Zhang, Jin
• Other Authors: Zhang Huai
• Format: Theses and Dissertations
• Language: English
• Published: 2017
• Subjects: DRNTU::Business::Management::Bureaucracy
• Online Access: http://hdl.handle.net/10356/72893
• Institution: Nanyang Technological University

Using U.S. Department of Justice data on political corruption convictions, I examine how political corruption affects firms’ earnings management. I find that companies headquartered in more corrupt states manipulate earnings downwards. The findings are robust to six alternative corruption measures,...