Institutional investors and real earnings management: A meta-analysis

Kabaciński Bartosz (), Mizerka Jacek () and Stróżyńska-Szajek Agnieszka ()
Additional contact information
Kabaciński Bartosz: Poznań University of Economics and Business, Institute of Accounting and Financial Management, al. Niepodległości 10, 61-875 Poznań, Poland
Mizerka Jacek: Poznań University of Economics and Business, Institute of Accounting and Financial Management, al. Niepodległości 10, 61-875 Poznań, Poland
Stróżyńska-Szajek Agnieszka: Poznań University of Economics and Business, Institute of Accounting and Finance Management, al. Niepodległości 10, 61-875 Poznań, Poland

Economics and Business Review, 2022, vol. 8, issue 2, 50-79

Abstract: The aim of the article is to examine the influence of institutional investor ownership on real earnings’ management (REM) practices through a meta-regression analysis (MRA) based on a sample of 225 estimations from 19 articles. Some of the available research suggests a mitigating role for institutional investors who can serve as external monitors and thus reduce earnings’ management activities which could have a negative impact on the company’s value. The results obtained from the basic model confirmed neither the hypothesis about the influence of institutional ownership on REM, nor the hypothesis about the existence of a significant publication bias. Using an augmented MRA model conclusions in different areas associated with structural and methodological heterogeneity were drawn. Differences in the impact of institutional ownership on real earnings’ management in different regions of the world, a dependence of the results on different data characteristics and differences in the results depending on whether the article was published in a top journal or not were found.

Keywords: real earnings management; institutional ownership; meta-analysis; corporate finance (search for similar items in EconPapers)
JEL-codes: C83 G23 G32 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.18559/ebr.2022.2.4 (text/html)

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:vrs:ecobur:v:8:y:2022:i:2:p:50-79:n:1

DOI: 10.18559/ebr.2022.2.4

Access Statistics for this article

Economics and Business Review is currently edited by Tadeusz Kowalski

More articles in Economics and Business Review from Sciendo
Bibliographic data for series maintained by Peter Golla ().