Brown, P and Beekes, W A (2005) Do better governed Australian firms make more informative disclosures? Working Paper. The Department of Accounting and Finance, Lancaster University.
Full text not available from this repository.Abstract
We investigate whether and if so, how, corporate governance "quality" is related to the information flows from a company and how the stock market and its agents respond. Specifically, we study links between the "quality" of a firm’s corporate governance (CGQ) and the informativeness of its disclosures. We employ a novel, intra-year "timeliness" metric, in the spirit of Ball and Brown (1968) and Brown et al. (1999), to capture the average speed of price discovery throughout the year. Our results suggest that the answer to our question is "Yes": better-governed firms do make more informative disclosures.