The Moderating Effects of Family Control on the Relation between Managerial Overconfidence and Earnings Management

I-Cheng Li and Jung-Hua Hung ()
Additional contact information
I-Cheng Li: Department of Business Administration, National Central University, No. 300, Jhongda Rd., Jhongli City, Taoyuan County 32001, Taiwan
Jung-Hua Hung: Department of Business Administration, National Central University, No. 300, Jhongda Rd., Jhongli City, Taoyuan County 32001, Taiwan

Review of Pacific Basin Financial Markets and Policies (RPBFMP), 2013, vol. 16, issue 02, 1-33

Abstract: This study investigates the relation between managerial overconfidence and earnings management and whether this relation is moderated by family control. Using a sample of Taiwan-listed firms, we estimate managerial overconfidence from manager dealings and determine the following: First, overconfident managers are more likely to engage in earnings management behaviors; second, family control negatively moderates the positive relation between managerial overconfidence and earnings management; and third, the negative moderating effects of family control primarily result from family chief executive officers.

Keywords: Managerial overconfidence; earnings management; family control; family chief executive officers; moderating effect; D03; M10; M41 (search for similar items in EconPapers)
JEL-codes: G1 G2 G3 (search for similar items in EconPapers)
Date: 2013
References: View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0219091513500100
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:rpbfmp:v:16:y:2013:i:02:n:s0219091513500100

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0219091513500100

Access Statistics for this article

Review of Pacific Basin Financial Markets and Policies (RPBFMP) is currently edited by Cheng-few Lee

More articles in Review of Pacific Basin Financial Markets and Policies (RPBFMP) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().