Auditor specialization,accounting information quality and investment efficiency |
| |
| Institution: | 1. School of Economics and Management, Beijing University of Posts and Telecommunications, Beijing, China;2. School of Economics, Shandong University, Jinan, China;1. Nanyang Business School, Nanyang Technological University, Singapore 639798, Singapore;2. College of Economics, Shenzhen University, China;3. Center for Finance and Accounting Research, Shenzhen University, China;4. Department of Finance and Insurance, Lingnan University, Hong Kong;5. Advisory Services, Ernst & Young LLP, USA;1. Department of Accounting and Finance, School of Management, Zhejiang University, China;2. Business School, University of Queensland, Australia |
| |
| Abstract: | This study is examined how the auditor specialization moderates the effect of accounting information quality on investment efficiency, i.e., whether the effect of accounting information quality on investment efficiency is increasing or decreasing with the presence of the specialist auditor.The reached result reveals that the accounting information quality appears to help decrease the overinvestment problem. Similarly, the auditor specialization has been discovered to help greatly in improving investment efficiency, while reducing the underinvestment problem. We further find that the accounting information quality and the auditor specialization are two mechanisms with some degree of substitution in enhancing investment efficiency. The accounting information quality is positively associated with investment efficiency for firms whose auditor is an industry specialist.In addition, to check the robustness of the main results, this paper investigates the causal relationships between investment efficiency, auditor specialization and accounting information quality from the dynamic simultaneous-equation models. |
| |
| Keywords: | Investment efficiency Underinvestment Overinvestment Auditor specialization Accounting information quality (AIQ) |
| 本文献已被 ScienceDirect 等数据库收录！ |
|
