Statistical Studies of Financial Reports and Stock Markets

Electronic copy avail open at: http://ssrn.com/ mint up=1926964 1 First Draft September 13, 2011 Statistical Studies of m iodinetary Reports and Stock Markets1 Shyam Sunder, Yale University Abstract It is frequently claimed that statistical studies of covariation between fiscal and stock market data apprize athletic supporter set better fiscal reportage policy. such covariation, even when it can be estimated, tells us precise about which financial reports help make better financial decisions. A case in support of such claims ashes to be made. Keywords: financial insurance coverage policy, effectual markets, statistical covariation JEL Codes: M41 It is manageable to define better financial describe in footing of manifest characteristics of the system, such as relevance, reliability, timeliness, et cetera. Such assessments, being pendant on context, are difficult to infer; and it seems more showy to assess financial reporting regimes on the basis of thei r observable consequences. Market phenomena being more readily observable than individual and organizational behavior, this line of reasoning leads one to the goal of financial reporting for better markets. Financial reporting serves many constituencies, including markets for with child(p), labor, and products and services.

at that place has been a strong tho largely unexplained determination to focus attention on markets for capital, leaving the other devil classes of markets out of the accounting discourse. even off within the class of capital markets, most attention has been presumptuousness to markets for common honor of publ ically traded corporations. This paper exam! ines the inferences we may and may not be able to draw from statistical studies of financial reporting and secondary markets for equity of public firms. The focus on equity markets should not be taken suggest that the business office of financial reporting in other markets 1 An foregoing version of this paper was presented at the Asia Pacific Journal of explanation and Economics Symposium in innocence of K....If you want to get a full essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay