Stephen Brown

TL;DR: In this paper, the authors show that scale effects present in levels regressions increase R 2, and this effect increases the scale factor's coefficient of variation, and that there has been a decline in value relevance, as measured by R 2.

TL;DR: In this paper, the authors examine two potential mechanisms through which disclosure quality is expected to reduce information asymmetry: altering the trading incentives of informed and uninformed investors so that there is relatively less trading by privately informed investors, and reducing the likelihood that investors discover and trade on private information.

TL;DR: In this paper, the authors examine two potential mechanisms through which disclosure quality is expected to reduce information asymmetry: altering the trading incentives of informed and uninformed investors so that there is relatively less trading by privately informed investors, and reducing the likelihood that investors discover and trade on private information.

TL;DR: In this paper, the authors hypothesize that conference calls are voluntary disclosures that lead to long-term reductions in information asymmetry among equity investors, and they show that firms that hold conference calls more frequently have lower costs of capital.

TL;DR: In this paper, the authors examine the properties of the R-squared metric frequently used in accounting research as a measure of value relevance and show that the metric is unreliable in the presence of scale effects.