Does director interlock impact the diffusion of accounting method choice?

• Main Authors: HAN, Jie, HU, Nan, LIU, Ling, TIAN, Gaoliang
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2017
• Subjects: Director interlock; Accounting method choice; Behavior diffusion; Similarity; Accounting; Databases and Information Systems; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/sis_research/8013; https://ink.library.smu.edu.sg/context/sis_research/article/9016/viewcontent/DirectorInterlock_av.pdf
• Institution: Singapore Management University

This paper examines the influence of director interlock on firms' discrete accounting method choices from the perspective of behavior diffusion. We argue that firm managers will imitate their interlocked-partner firm's accounting method choices when choosing their own accounting methods. W...