..., The Netherlands, Spain, Switzerland, the U.K., and the U.S. between 2004 and 2013. The results indicate that the effect of institutional investor participation on price lead earnings and earnings quality is market specific. In civil law and low anti-director rights index countries, institutional investors have...

...Chu Chen; Giorgio Gotti; Don Herrmann; Kathryn Schumann ABSTRACT We test whether geographical location, audit quality, and equity offering play a role in the earnings quality of reverse merger (RM) firms. We provide evidence that, contrary to the popular focus on foreign reverse mergers...

...) document the positive relation between earnings timeliness and foreign ownership in Japanese firms. Firth, Fung, and Rui (2007) show that Chinese firms with foreign ownership have higher earnings informativeness than other firms. In sum, evidence suggests that the earnings quality of East Asian firms...

... that one potential benefit of capital market globalization is less real earnings management in particular and higher earnings quality in general. JEL Classifications: M41; F23; G32. Editor's note: Accepted by Michael Welker. 2015 We are thankful for valuable comments from Michael Welker...