Trading activity and price discovery in Bitcoin futures markets

This study examines the impact of trading activities on price discovery in the Bitcoin futures markets. We find that trades of hedgers are positively correlated with the modified information shares in both CME and CBOE futures markets, suggesting that their trading promotes futures market efficiency. Retailers’ trading activity relates negatively to the price discovery of the CME Bitcoin futures and thus destabilizes the market. Speculators exert positive (negative) impact on the price discovery in the CME (CBOE) Bitcoin futures. Our finding that CME’s Bitcoin futures exhibit superior price discovery than CBOE’s provides plausible justification for CBOE’s decision in March 2019 to suspend further listings of Bitcoin futures contracts.     

Schmoozers,not snoozers: Busting the Kevin and Angela stereotypes in public accounting

In contrast to the well-known stereotype of the boring, unsociable accountant, today’s public accounting professionals argue that they are boundary spanners. Working at the intersection of the firm/client interface, these professionals contend that sociability is a requisite skill for routinely navigating the many interactions they have with multiple personnel at client organizations. This research aims to address this disconnect and to confront whether the public perception is warranted. Using the Trait Emotional Intelligence Questionnaire (TEIQue), we assess the sociability of 176 public accounting professionals and discover that, contrary to the stereotype, male public accountants are more sociable than males in the general population. Our analysis also demonstrates that female public accountants are no more or less sociable than females in the general population. Additional analysis shows that while male public accountants are more sociable than female public accountants, this effect is attributable to differences at lower levels of the profession and that male-female differences disappear when comparing male managers and partners to female managers and partners. Given the importance of sociability in public accounting, this research offers recruiting strategies that will help to dispel the myth of the unsociable accountant and provides training tips for enhancing sociability within the ranks.     

Effects of in-store information quality and store credibility on consumer engagement in green retailing

Literature has reported that store-level information is crucial in determining consumer engagement with green stores. This study examines the effects of in-store (green) information quality on consumer engagement behaviours and mediating effects of store credibility. Moreover, the study reveals whether consumer passion for the environment moderates the effect of in-store (green) information quality on store credibility. Statistical analyses of useable data from 763 respondents examined the relationships. Credibility emerged as a key mechanism to enhance the effects of information quality on consumer engagement. Thus, this study extends theoretical discussions on information quality, consumer passion, and consumer engagement for green retailing.     

Winning us with trifles: Adverse selection in the use of philanthropy as insurance

Research Summary: We study the use of corporate philanthropy as a form of reputation insurance, developing a formal model of such insurance to examine how the terms of insurance in equilibrium change under different assumptions about the firm and its stakeholders. We then test the predictions from this model in the U.S. petroleum industry and find that philanthropic donations offer insurance‐like benefits, but are also positively associated with subsequent oil spills—firms that give more, spill more—with this association being stronger for spills that are under firms’ control and in states with low civic capacity. These results are consistent with an adverse selection/moral hazard equilibrium and suggest that the use of philanthropy as reputation insurance may benefit firms at the cost of society. Managerial Summary: Firms that donate to social causes develop a reputation for being socially responsible, and are often given the benefit of doubt when negative information about them comes to light. But are philanthropic firms truly more responsible? We argue that firms that donate more may be more likely to do harm—those that expect to do harm later are likely to give more now, and those that know their reputation protects them may become less careful. Evidence from the U.S. petroleum industry is consistent with this argument, with firms that give more having more subsequent oil spills, but only the type of spills that are under the firm's control, and only in states where the firm faces weaker scrutiny.     

In search of diners responsive to health cues: Insights from U.S. consumers

Many consumers rely on summary statistics offered by online and mobile platforms to attain nutrition information on menu items. While positive (vs. negative) summary cues garner more favorable consumer responses, this research provides a more nuanced understanding of this effect by examining the moderating role of two individual-level characteristics: health-consciousness and need for status. Two MTurk samples (Study 1: n = 142, Study 2: n = 119) were recruited in 2018. Findings from Study 1 suggest that health-conscious (vs. less health-conscious) consumers show a wider gap in perceived healthiness of a menu item in response to the valence of a health cue. This greater gap translates into more polarized attitudes toward the menu item. Findings from Study 2 indicate that consumers high (vs. low) in need for status exhibit less favorable attitudes toward a menu item with a negative health cue. Theoretical and managerial implications are discussed.     

Muddling through cybersecurity: Insights from the U.S. healthcare industry

The U.S. healthcare sector is inadequately prepared to deal with the reality of cyber threats. The increasing use of smart medical equipment and mobile devices is making healthcare organizations more susceptible to ransomware and other types of malware. The size and complexity of operations, coupled with the presence of numerous legacy and incompatible systems, make it difficult to implement effective cybersecurity measures. The daunting nature of the problem often results in an if-it-ain’t-broke-don’t-fix-it stance among senior healthcare leaders. The preponderance of healthcare-related laws, compliance regulations, and security guidance frameworks serve to complicate the cybersecurity challenge further and too often results in senior leadership assuming a state of blissful ignorance. This study sheds light on the key factors contributing to the chaotic state of affairs and presents a roadmap to a more deliberate and proactive approach to cybersecurity risk management.     

Local television,citizen knowledge and U.S. senators' roll-call voting

I study the effect of access to local television on citizens' political knowledge. I do so by utilizing the mismatch between U.S. television markets and state borders, causing some citizens to receive local television which primarily covers neighboring state politics. I find that access to relevant local television causes citizens to be more informed about their senators' roll-call votes, and more likely to hold opinions about these senators. I also find that citizens with access to relevant local television are more likely to assess their senators based on how well the senators' roll-call votes align with the citizens' policy preferences. These results suggest that passively acquired information through television can help individuals evaluate their elected representatives.     

Commemorating the 50‐Year Anniversary of Ball and Brown (1968): The Evolution of Capital Market Research over the Past 50 Years

We commemorate the 50th anniversary of Ball and Brown [1968] by chronicling its impact on capital market research in accounting. We trace the evolution of various research paths that post–Ball and Brown [1968] researchers took as they sought to build on the foundation laid by Ball and Brown [1968] to create a body of research on the usefulness, timeliness, and other properties of accounting numbers. We discuss how those paths often link back to the groundwork laid and questions originally posed in Ball and Brown [1968].     

Beyond symbolic and substantive: Strategic disclosure of corporate environmental information in China

Under increasing regulatory pressure to disclose environmental impacts, corporate environmental information disclosure (EID) is becoming more prevalent. However, the motives for EID and disclosure approaches (i.e., symbolic or substantive) remain controversial. Using a sample of data for 742 listed manufacturing firms in China across 3 years, we provide evidence to show that the level of EID is significantly positively associated with a firm's advertising intensity and that firms in moderately competitive industries have a higher propensity for adopting an EID‐based differentiated strategy than firms in stronger or weaker competitive industries. We also find that firms that are more sensitive to environmental issues strategically understate their environmental impact when directly facing consumers. Our results suggest that the implementation of corporate EID is strategic and that firms have strong market motives, even under regulatory pressure to demonstrate legitimacy. We discuss this study's contributions to research on EID theory and implications for strategic EID management.