TY  - UNPD
A1  - Leuz, Christian
A1  - Verrecchia, Robert E.
T1  - The economic consequences of increased disclosure
T2  - Universität Frankfurt am Main. Fachbereich Wirtschaftswissenschaften: [Working paper series / Finance and accounting] Working paper series, Finance & Accounting ; No. 41
N2  - Economic theory suggests that a commitment by a firm to increased levels of disclosure should lower the information asymmetry component of the firm’s cost of capital. But whi le the theory is compelling, so far empirical results relating increased levels of disclosure to measurable economic benefits have been mixed. One explanation for the mixed results among studies using data from firms publicly registered in the US is that, under current US reporting standards, the disclosure environment is already rich. In this paper, we study German firms that have switched from the German to an international reporting regime (IAS or US -GAAP), thereby committing themselves to increased le vels of disclosure. We show that proxies for the information asymmetry component of the cost of capital for the switching firms, namely the bid-ask spread and trading volume, behave in the predicted direction compared to firms employing the German reporti ng regime.
T3  - Working paper series / Johann-Wolfgang-Goethe-Universität Frankfurt am Main, Fachbereich Wirtschaftswissenschaften : Finance & Accounting - 41 
KW  - Disclosure
KW  - Cost of Capital
KW  - International Accounting
KW  - IAS
KW  - US GAAP
KW  - Deutschland
KW  - Publizitätspflicht
KW  - Asymmetrische Information
KW  - Kapitalkosten
KW  - International Financial Reporting Standards
KW  - International Accounting Standards
KW  - Kapitalmarkteffizienz
KW  - Schätzung
Y1  - 2000
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/55376
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-553769
UR  - https://www.econbiz.de/archiv/f/uf/finanzierung/increased_dislosure.pdf
SN  - 1434-3401
IS  - Revised: June 2000
PB  - Johann-Wolfgang-Goethe-Universität, Frankfurt am Main, Fachbereich Wirtschaftswissenschaften
CY  - Frankfurt am Main
ER  -