Economics at your fingertips  

The power of financial transparency: An event study of country-by-country reporting standards

Niels Johannesen and Dan Thor Larsen

Economics Letters, 2016, vol. 145, issue C, 120-122

Abstract: We show that recent European legislation requiring oil, gas and mining companies to disclose their tax payments on a country-by-country basis was associated with significant decreases in firm value. This suggests that tax evasion creates considerable rents for firms in extractive industries and that disclosure rules have the potential to reduce these rents.

Keywords: Tax evasion; Profit shifting; Multinational firms; Country-by-country reporting; Developing countries; Financial transparency (search for similar items in EconPapers)
JEL-codes: H25 H26 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (32)

Downloads: (external link)
Full text for ScienceDirect subscribers only

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:

DOI: 10.1016/j.econlet.2016.05.029

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2024-03-31
Handle: RePEc:eee:ecolet:v:145:y:2016:i:c:p:120-122