|
Mandatory financial information disclosure and credit ratings
Vanhaverbeke, Steven
;
Balsmeier, Benjamin
;
Doherr, Thorsten
|
URN:
|
urn:nbn:de:bsz:180-madoc-636955
|
|
Dokumenttyp:
|
Arbeitspapier
|
|
Erscheinungsjahr:
|
2022
|
|
Titel einer Zeitschrift oder einer Reihe:
|
ZEW Discussion Papers
|
|
Band/Volume:
|
22-043
|
|
Ort der Veröffentlichung:
|
Mannheim
|
|
Sprache der Veröffentlichung:
|
Englisch
|
|
Einrichtung:
|
Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
|
|
MADOC-Schriftenreihe:
|
Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
|
|
Fachgebiet:
|
330 Wirtschaft
|
|
Fachklassifikation:
|
JEL:
G14 , G18 , G24 , M41,
|
|
Freie Schlagwörter (Englisch):
|
credit ratings , disclosure regulation , private firms , reputational concerns
|
|
Abstract:
|
When firms are forced to publicly disclose financial information, credit rating agencies are supposed to improve their risk assessments. Theory predicts such an information quality effect but also an adverse reputational concerns effect because credit analysts may become increasingly concerned about alleged rating failures. We empirically examine these predictions using a large scale quasi-natural experiment in Germany, where firms were required to publicly disclose annual financial statements. Consistent with the reputational concern hypothesis, we find an average increase in credit rating downgrades that is entirely driven by changes in the discretionary assessment of the credit analysts rather than changes in firm fundamentals. Analysts tend to give positive private information a lower weight in their risk assessment, while they put a higher weight on negative public information. A last set of results indicate that professional credit providers understand that the resulting downgrades are not warranted, while unsophisticated lenders did indeed reduce the provision of trade credit in response to the rating downgrades.
|
 | Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt. |
 Suche Autoren in
Sie haben einen Fehler gefunden? Teilen Sie uns Ihren Korrekturwunsch bitte hier mit: E-Mail
Actions (login required)
 |
Eintrag anzeigen |
|
|
![[img]](https://madoc.bib.uni-mannheim.de/style/images/fileicons/application_pdf.png)